This document outlines key milestones in the evolution of music consumption, from local village squares where people would buy bread, to the introduction of the first iPod in 2001 and streaming services like Spotify launching in 2014, culminating with Amazon's 'one touch' Prime music app.
GOOD MORNING !
This talk is entitled: FROM SHOP KEEPING TO THRILL-SEEKING
What retailers can learn from emotion-fuelled music festivals…
LET ME INTRODUCE MYSELF:
MY NAME IS ALASDAIR LENNOX AND I AM THE EXECUTITIVE CREATIVE DIRECTOR AT FITCH
Please join the conversation during this presentation on Twitter and use the hashtag #StirringEmotions
At the end I will give you a slide-share link so that you can download this presentation
LET ME TAKE ONE MINUTE TO INTRODUCE FITCH
FITCH is the Worlds leading retail & brand consultancy
Now with x16 studios across the world, IN ITS X 45 YEAR
I live in London and lead all the creative work IN THE UK, EUROPE AND FOR GLOBAL BRANDS.
Half our work is designing stores for retailers
The other half is designing experiences for retail brands
Full breadth of categories, from tech to Auto to Coffee shops to Toyshops to Grocery to beauty etc etc
OK, lets make a start…
I want to tell you a very personal story of my love of music,
how I have bought it, how I consume it and how I enjoy it…
in 1979 I bought my first ever single, 'Too Much Too Young' by The Specials, on a 45rpm vinyl disc
By 1980 I was creating my first 'rude boy’ mix tapes on cassette tape.
In 1982 I bought The Jam’s last ever album, ‘The Gift’,
on my first ever Compact Disc
Then along came Napster, where we downloaded music to our basic PC’s
The music was free and it felt exciting and naughty downloading them illegally !
untill Napster was closed down in the early naughties,
So I began to pay for my music again
but this time I was downloading mp3 tracks to my new and very shiny first iPod
Fast forward another fifteen years
and I became totally frustrated by all the annoying adverts on my ‘freemium’ Spotify player
So today, my music is curated courtesy of my ten Euro monthly subscription to Apple Music
This platform has the smartest of algorithms going.
It predicts what I may like before I know it and challenges my comfort zone by mixing my favourite classics with the freshest cuts just dropped
So I now rent all my music and have nothing tangible or physical to show for it
It's incredibly convenient, as the files seamlessly play on all devices in my headphones, car and home
This means that I really have absolutely no reason to ever go back to a physical music shop again
And that’s a real shame
My relationship with shopping has been a very similar story
It started in my local village square, buying bread for my mum
Later, I would venture to my nearest Market town to buy those vinyl singles and blank cassette tapes
On my early adventures to the nearest City, I would have bought that first Jam CD
On my first ever trip to the USA I bought that first iPod player
And visited an inaugural apple store that was a seminal moment for any retail designer !!
Today I find it all to easy to shop online with Amazon’s 'one touch' Prime app
With orders arriving 4 hours later
And I do so while sitting at home on my comfy sofa,
listening to Rudimental remixes streamed through my Sonos music system
While talking to my Amazon echo – ordering coffee capsule refills by voice command
So now I have very few reasons to go to the high street, arcade or shopping mall ever again…
So I may stay at home now to shop from the sofa or in my kitchen
but I do physically go out for music and specifically to enjoy live performance
I may buy my music in the most convenient way via the latest zeitgeist app
but I still love going to experience live gigs in pubs
iconic London venues like Brixton Academy
and at crazy weekenders away like the Glastonbury Festival.
and I’m not alone at these gigs
We may live in a world where people expect downloads to be free but we are more than happy to pay for a concert
With more people than ever going to see and experience live music
it's now seen as the primary cash generator for the music industry
its time for Bricks & mortar retail could learn a lot from the live music scene
It’s time for physical retailers to think a bit more rock 'n roll
So to attract people back in store
I believe that there are three things, retailers can learn from live concerts:
Firstly we need to Stir Emotions of our customers
Stirring emotions creates a more powerful experience and lasting memories
There’s an algorithm to make anything easier, less friction, however there’s no algorithm to stir your emotions.
This short film talks about the eight core human emotions
The late Freddie was absolutely right with this observation.
Why on earth would you pay to get the same experience at a gig as on a recorded album?
And why on earth would you want the same online experience when you go into a physical store ?
I love live gigs
That feeling when the bass is pounding your chest and you are losing your voice from singing your heart out
that is the very definition of multi-sensorial: sweaty, sexy and messy
One of the most powerful moments is when the audience starts to sing and jump as one, when we become more than the sum of our parts
What’s the equivalent in your average store?
The queue for the cash register?
Brands and retailers have an opportunity to capitalise on the COLLECTIVE POWER OF THEIR CURSTOMERS
We need to mobilize people and drive their desire to experience the products in the flesh
For example the way Nike use their runners clubs to emotionally and physically connect people to their Nike Town stores
Or Lululemon, the Canadian athletic apparel retailer
And they are famous for doing complimentary yoga classes in-store
Creating a chilled like atmosphere with lots of community involvement
In July 2016, Sonos opened its first flagship store on 101 Greene Street, Soho NY.
The six house-shaped ‘Listening Rooms’ let visitors experience their own music, in their own space and in their own time
Sonos Studios, this one in Shoreditch, London.
It describes itself as an ‘acoustically designed, social and collaborative space’
These three best practice are all experimenting with different ways to STIR THE EMOTHIONS OF PEOPLE
THIS SHORT FILM DEMONSTRATES HOW WE AT FITCH, STIRRED THE EMOTIONS OF THE FOOTBALLING FANS ACROSS THE WORLD
WITH THE 2015 WORLD CUP CAMPAINGN : BATTLE PACK
The second learning from the music industry is to Think Venues, not Format.
And I love this quote “This is where I am alive” – that sense of emotional attachment and purpose
Retailers need to think of their stores as an on-going performance space.
Let’s make our metrics more about the time spent within the environment and frequency of return
and less about the square meterage and density of merchandise.
A great example being Burberry Flagship store on 121 Regent Street opened in 2012
I love how perfect and pristine the interior is, with its seamlessly integrated digital screens as mirrors
However I respect how it has been conceived to also hold both music and fashion events in-store
Here with Jake Bugg performing
Another good example is Topshop Flagship on Oxford Circus in London with their live-streamed catwalk shows during London Fashion Week.
Where visitors can get virtually behind the scene to access, to what would normally be access for the VIP’s only
Just as live music festivals have unique personalities, from Knebworth to the Secret Garden Party,
retailers have a chance to immerse customers in a holistic experience
So, I ask the question: What if Bestival were the architects for the next Westfield shopping mall?
or Glastonbury Festival of Contemporary Performing Arts curated Covent Garden Market?
As Glastonbury Festival is as much about the ‘arts’ as it is about the music,
I’m sure their curation of brands, hospitality and event spaces could take Covent Garden to the next level
And people would want to return on a more regular basis
Some retails are also starting to blend retail, with Hospitality and with live Entertainment.
This Hamleys Flagship store, designed by FITCH opened in April 2015 in Moscow, Russia
Hamleys 'Worlds of Play' mixes retail, attraction and entertainment to provide a feast for the senses;
A short film:
Hamleys Results:
Most visited store in Moscow 2015
2 million customers in first 2 months of launch
300,000 toys sold in first 2 months
More visits to Hamleys than the Kremlin
13metre tall LEGO rocket made with 1.9 million bricks
The third, and final insight is about ‘Memory Making’
The genius of live music gigs is that they truly deliver on the overused phrase of ‘an unforgettable experience’.
How do they do this?
The set list is the way bands modulate the crowd’s energy over ninety minutes
It’s a combination of a powerful start, some crowd pleasers, the experimental new tracks and the surprise collaboration with another artist
and a great set always finishes with an enormous crescendo of lights, smoke and fireworks
and if we are really, really lucky, an encore to put the cherry on top
We need to create a roller coaster of emotions
Stores need to have much more modulated and fluctuating energy levels to drive the tempo and pace
How do we do this in retail stores?
Brands and retailers need to be develop both a big high emotional point in the shopping experience and have a strong, defined ending.
This strategy is called the ‘Peak end rule’ and is proven
You can download a specific paper on this from FITCH.com called ‘the Peaks of Shopping’
It’s interesting to look at the differences between online shopping and going to Physical store
In 2016 we did research with 2500 UK shoppers with WorldPay
In Summary the research concluded that online shopping was mostly about Reduction, less hassle, less involvement, less Friction
However the OPPORTUNITY for physical stores is that it’s the best place (in an omni-channel eco-system) to ADD that emotional high point
Its at this point that we need to really Stir our customers Emotions intensely
This quallative research also looked at the current end of the Shopping Experience
And the end is currently the most unhappy and is generally remembered by long queues at the till point
So why ruin a great in-store experience with a poor payment process?
New technologies now let customers check out where, when and how they like
We need to finish with a positive memory of the shopping trip
My final FITCH case study is for an Indian paint company called Asian Paints,
where it’s a paint store that actually doesn’t actually sell any paint pots ….
I believe that the future of bricks and mortar retail needs to feel
more live
more unexpected
and constantly new
Summary:
What brand owners and retailers need to do:
Bricks and mortar retail needs to be live, kick ass, sweaty, messy and highly commercial
Shopkeepers need to become more thrill seekers and brands should act more like a rock bands
Summary:
What Retail designers need to do:
Its no longer be just the 'stage designer'
We should also be the conductor, audio-visual artist, filmmaker, pyrotechnician and choreographer all in one
Rock on!
Please join the conversation on twitter
And feel free to download this presentation on Slide-share
Danke !