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More VISION newsletter 7: The human touch in a world of screen culture

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Every 2 months: 1 consumer trend briefing, 4 retail real estate players' viewpoints and online follow-ups.

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More VISION newsletter 7: The human touch in a world of screen culture

  1. 1. more # In partnership with 7 Sept. 2012 byevery 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-up The human touch in a world of screen culture ©iStockphoto.com/tedestudioAs retailers and the retail property world move everything online, howdo we maintain a balance between THE HUMAN TOUCH and SCREENCULTURE? Inside • The trend briefingWe know that consumers embrace companies that contribute positively tosociety, stand for something or just have some personality. In fact, show us • Interviews:a customer who wouldn’t like to feel part of something bigger or at least for DALZIEL & POWshopping to be enjoyable, rather than simply transactional. GALAEAny retail experience that can show itself in a new light, open, honest, fun, INVALIOtrustworthy, reactive is welcomed with open arms. Welcome to the HUMAN BALTIC AMERICATOUCH.But we are seeing a shift further towards SCREEN CULTURE: ubiquitous,mobile technology, cheap and always on; interactive and intuitive (via touchscreens and tablets); an interface to everything and anything that lies beyondthe screen (via the mobile web and, increasingly, ‘the cloud’).In this issue we will look at how screen culture can help create and maintainthe human touch - just one way to ensure retail success. Follow us on
  2. 2. more Follow us on byevery 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-up The trend briefing Where does the trend come from ?* Where do we start in describing the HUMAN TOUCH in retailing? The list below might just be as obvious as it is difficult to put into practice: 1. EMPATHY: understanding not just what your customers want, but how you make them feel. 2. GENEROSITY: moving beyond the purely commercial to give something back to your customers. 3. HUMILITY: letting others talk about what you do. 4. HONESTY: not trying to hide your flaws or sugar coat things. 5. HUMOUR: because business doesn’t have to be serious all the time. 6. MATURITY: pushing the boundaries a little. 7. FLEXIBILITY: responding to people and their needs, throwing out rigid, static processes. And all of these characteristics can be enhanced through SCREEN CULTURE: It is predicted that by 2015 – only three years away – the number of internet - connected devices will be the equivalent of TWO for every person on the planet. IP traffic will reach 11GB per person and global internet traffic will reach one zettabyte. (That’s 10 to the power of 21 bytes!) We are living in a world of screen culture. Smart retailers will work hard to ensure that they use this traffic to their advantage ... Four opportunities are listed hereinafter.advertisement Pop-up shops as a service .EU @popup_shops I info@popitup.eu I T +32 497 251 751 *Source: trendwatching.com a London-based, independent trend firm, scans the globe for the most promising consumer trends, insights and related hands-on business ideas. Its free monthly Trend Briefings get sent to more than 160,000 business professionals in 180+ countries.”
  3. 3. more Follow us on byevery 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-upOpportunity 1: Selected links 1. US based fast food retailer Domino’s Selected videoAdmit you are human and can launched a month-long promotional cam- Times square tracker – Domino’s Pizza paign in New York. Hiring out a huge bill-make mistakes board space in Times Square, the brand live-streamed customer feedback (good and bad) given via Twitter. This uncensored approach to feedback is daring, but all shopping centres and retailers might do this in time 2.Unilever-owned ice cream brand Ben & Jerry’s issued a statement on its website stat- How do you see it?In 2012 consumers don’t expect retailers to ing its support for and admiration of the Oc- Share your view and join in cupy Wall Street protests. The demonstrations the discussion!be flawless, in fact they even embrace com- were concerned with social and economic in-panies that are (painfully-but-aptly named) equality and corporate values. Post your answerFLAWSOME. Retailers and shopping centre owners take 4hereWhat do we mean by FLAWSOME? Compa- note – you don’t have to remain neutral tonies that are open and honest about their short- political issues!comings, that show some empathy, generosity, 4More links on trendwatchinghumility, flexibility, maturity, humour and, darewe say it, some character and humanity.So, time to ask yourself: are you going to tryand keep up the façade of corporate perfec-tion (which no one believes anyway), or takea risk, open up, and trust that consumers willfind you FLAWSOME.Opportunity 2: Selected links friends, via a video link. Hao Di Lao cus- tomers can also use iPads to order food. 1. Porsche launched a special edition 911 This idea could be applied to retailers orWork on the human side of GT3 R Hybrid model to celebrate reaching shopping centres so easily, perhaps owners 1,000,000 fans on the brand’s Facebook page.social media to your advantage The car’s surface was covered with more than of multiple shopping centres could connect 27,000 signatures from fans and was later put them all together. on display in the Porsche museum. 4More links on trendwatching It doesn’t take much imagination to see how shoppers might be encouraged to sign Selected video a wall in a shopping centre, perhaps. KLM Live tweeting 2. Dutch airline KLM organised 140 of its employees to take part in a real-life tweet- ing exercise. Taking place in an empty aero- plane hangar in Amsterdam’s Schiphol Airport, the employees worked for twelve hours replying to customers’ tweets. We have yet to see a shopping centre takeMake it pervasive, personal, immersive and social media as seriously as this.interactive. There are easy-to-apply trends, We have yet to see a shopping centre takeand then there are broader ‘ways of life’, social media as seriously as this.shifts in consumer culture that all business How do you see it? 3. The quintessential and yet-to-be-bet-people should be aware of. And so it is with tered example: UK based flower delivery Share your view and join in company Interflora launched a social media the discussion!screen culture, less of a trend that willoverturn your business tomorrow, but more campaign to brighten up the lives of Twitter Post your answera medium through which so many trends in users by sending them flowers. It monitored 4here Twitter for anyone who might need cheeringthis trend report will manifest themselves. up, and sent them a bouquet of flowers. 4. Sichuan hotpot chain Hao Di Lao and Chi- nese technology firm Huawei announced a partnership to install telepresence screens in restaurants. Thanks to the screens, cus- tomers can enjoy their meal with family and*Source: trendwatching.com a London-based, independent trend firm, scans the globe for the most promising consumer trends, insightsand related hands-on business ideas. Its free monthly Trend Briefings get sent to more than 160,000 business professionals in 180+ countries.”
  4. 4. more Follow us on byevery 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-upOpportunity 3: Selected links 1. US based sunglasses retailer Tom’s Glasses Selected videoShow your compassionate face pledges that for each pair of sunglasses it sells, the Coca Cola Japanese Red brand will either donate one pair of glasses to a Cross aid appeal person in a developing country, provide sight-sav- ing surgery or medical eye treatment. For a shopping centre this approach could have enormous potential to create local press and media coverage. 2. After the March 2011 tsunami in Japan, Coca- Cola and the Japanese Red Cross partnered to create a vending machine that accepted dona- tions. Customers could give either JPY 10 (USD 0.12) or JPY 100 (USD 1.2) via dedicated buttons How do you see it?Shoppers will become more and more aware on the machine. After receiving the donations, the Share your view and join in machine expressed a loud exclamation of thanks. the discussion!that personality and profit can be compatible.As consumers see retailers succeeding while re- 4More links on trendwatching Post your answermaining reasonable, helpful and even almost 4here‘human’, they will be increasingly disillusionedwhen encountering the opposite. Your cus-tomers will be less accepting of bland, inflexibleorganisations, excuses or communications. Weare in a position of a buyers’ market, and don’tforget, there is no obligation for shoppers tocome back to you ...Opportunity 4: Selected links Up-to-date collections of over 300 stores are available, with users spending Fantasy Money. 1. BMW announced a program asking con-Learn from your customers or sumers to test out its all-electric vehicle, the Ac- Shoppers can share ‘wardrobes’ with friends, de- sign outfits, ‘follow’ famous style icons, ‘unlock’even go Beta tiveE car. After application and acceptance to major world destinations, and complete shop- the program, 700 drivers (called the Electronauts) ping challenges to boost their ‘fashionista repu- will test the vehicles over a two-year period, leas- tation’. ing the cars from BMW for USD 499 per month. Users will be required to provide insights and 4More links on trendwatching data to BMW, and attend feedback groups. This project was similar to a sophisticated public Selected video consultation programme. The future of retail 2. Taking the experimental shopping theme even further: A Startup Store is a retail space and shopping exhibition which changes its stock in- ventory every four to six weeks. Undertaking a complete reinvention with the stock change, theWhat started in the digital world as a way to interior, merchandise, theme and store name arelaunch test versions of software will move ever also refreshed. When the store first launched, thefurther into the offline world in 2012, as brands theme was beta and brands featured includedlaunch beta products, concepts or experiences, Artspace, Birchbox, Baublebar, Joor, and Quirky – all New York-based start-up companies offer- How do you see it?and invite customers to help develop them. ing consumer products. Share your view and join inAudiences will of course like anything novel and the discussion! 3. This is particularly interesting for retailers andexciting, especially if it’s exclusive and they can shopping centre owners who want to develop Post your answercontribute. But it will take a confident retailer to footfall or manage their stock lines: Discount 4hereadmit that it doesn’t know it all, and that it can codes and genuine shopping vouchers for par-and wants to learn from (and with) its customers. ticipating retailers that can be unlocked throughHowever releasing beta products or services will gameplay, directing users to brands ecom- merce sites. Launched in the UK in Beta version,not be an excuse for poor quality or substandard Fantasy Shopper is a social shopping game al-service. In fact, it will be the opposite: a very lowing users to browse, style and purchase ap-public commitment to continual improvement. parel virtually - without spending any real money.*Source: trendwatching.com a London-based, independent trend firm, scans the globe for the most promising consumer trends, insightsand related hands-on business ideas. Its free monthly Trend Briefings get sent to more than 160,000 business professionals in 180+ countries.”
  5. 5. more Follow us on byevery 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-upInterview 1 How do you see the balance between the happen to have made our life easier. The in-David Wright, Group move toward screen culture and the need tegrated offer uses technology to support theMarketing Director of design to maintain a human touch? sales team and the customer, firstly to attract,consultants Dalziel & Pow The store is the perfect location for technology then inspire and inform, and finally to aid the to enhance the experience but transactions in- transaction. There are many ways to achieve store on the screen are not as prevalent as we that Attract, Inform and Transact process. might have expected. People are just not in It is predicted that by 2015 there will be the mindset to transact on screen instore, it more wireless internet traffic than wired just doesn’t feel natural. The screen is a useful devices. How do you see that impacting tool for inspiration, information and some on the shopping centres and the retail en- transactions but they lack the realness of the vironment? product interaction. For us technology is a tool The days when you could treat your store as we need to use like lighting or VM to enhance an open stockroom have long gone, it is no the shopping experience. longer good enough simply to allow access to We talk a lot about the creation of One Brand the product on offer, you need to enhance that Space and that concept will gain momen- product, tell a story and give a reason to buy. tum, where integrated and appropriate uses Through every aspect of the retail experience, of technology exist within the store environ- we are creating showrooms rather than stock- ment and throughout the customers jour- rooms, spaces that attract and engage. In this ney. New shopping channels, specifically Showroom we can edit, enhance and entice. internet, but increasingly mobile, are chipping Whether the story is one of heritage, customi- @dalzielandpow away at traditional retail. The better brands sation or value, there is always a story to tell, have increasingly integrated their on-line and we just need to work a little harder to find it. In off-line channels in one seamless offer, recog- a showroom environment a shopper will be nising that in the customers mind, retailers encouraged to stay longer and spend more, it are monolithic, homogenous traders who delivers on every level.Interview 2 How do you see the balance between the their purchases: shopping centres, airports,Jean-François Bouvier – move toward screen culture and the need train stations, e-commerce websites, etc. Butdirector of GALAE, to maintain a human touch? it’s a fact that today 76% of purchase decisionsKlépierre’s specialty leasing Human touch and screen culture shouldn’t be are made in-store. Customers still need tosubsidiary opposed. They complement each other in touch and feel products before convincing many regards. Customers are growing accus- themselves to buy. That kind of genuine cus- tomed to using touch screens for their per- tomer experience is impossible to translate in sonal use with their phones and tablets. an online environment and acknowledges the Moreover, they see more and more digital need for bricks & mortar retailing. totems in their daily lives. This has led Klépierre It is predicted that by 2015 there will be to sign a deal with Clear Channel, the world more wireless internet traffic than wired leader in digital advertising inside shopping devices. How do you see that impacting centres. 73 of our French malls will be on the retail environment? equipped with 900 digital screens and totems. Traditional retailing will need to seize that op- 72% of our visitors believe this enhances their portunity by giving customers more services. positive perception of the shopping centre. In At Klépierre, many of our shopping centres the end, this gives both Klépierre and brands have mobile applications offering visitors a a new way to reach customers. Events and an- map of the mall and exclusive deals. Most re- imations are often organised using these digi- cently, we have launched a geo-localisation tal screens, showing how screen culture and application for our Val d’Europe shopping cen- human touch can cooperate. tre. It allows customers inside the centre to Do you see the future of shopping centres find the easiest way to specific stores, their and retail being challenged by online, or parking space and even their friends! By the do you see them coexisting. end of 2012, our Blagnac shopping centre vis- They will definitely coexist. Traditional retailing itors will also have the opportunity to down- channels feed off online shopping and vice load a similar application. We put a great deal versa. Nowadays, consumers have a wide of effort in designing new services for cus- array of options to discover products and make tomers to better their shopping experience.
  6. 6. more Follow us on by every 2 months: 1 consumer trend briefing • 4 retail real estate player’s viewpoints • online follow-upInterview 3: How do you see the balance between the Can you give us some examples of cases move toward screen culture and the need to where retail companies have received andPamela Wolf, maintain a human touch? acted upon consumer feedback?partner/digital business, I’m a believer in using digital as a way of improv- Many examples come to mind, but overall IINVALIO, distribution ing the quality of “human touch”Digital gives us . think that retailers react to customer feedback achannels consultants a choice as to how we want to do things. Shop, lot more today than in the past thanks to digital read the paper or a book, watch a movie, play a tools. These multi touch points give the shopper game, organise a meeting, talk to a friend… direct access to the product and to the people With shopping, people will continue to want the behind the product offering. touch and feel experience but they will also want Digital really is a two way channel and smart retail- fast and easy service at the touch of their finger- ers who have realized this are adjusting their strat- tips. Why can’t we do both? egy accordingly. Customer reviews, direct emailing Do you see the future of shopping centres and online chat with customer service, affiliation and retail being challenged by online, or do programs, social networks, fan pages, retailer sites, you see them coexisting. blogs, fan made sites/videos, and many more, are I believe that they will coexist. For the shopper, all opportunities for the retailer to exchange with, it’s not an either/or scenario. And let’s not forget learn from and react to their customer base. that some of the biggest online brands are also It is predicted that by 2015 there will be more big bricks & mortar (B&M) retailers (ie. Macy’s, wireless internet traffic than wired devices. Home Depot, Sephora). How do you see that impacting on the retail @wolfpamela The mental barrier dividing online shopping and environment? B&M, which was created with PC web use, is Traffic will come from the increased number of being removed with the increasing use of mo- connected devices but also from the types of bile devices and will eventually disappear. data being exchanged (video being the greediest). Both forms of retail will continue to evolve as I see this as an even bigger opportunity for richer customer habits evolve. New forms of retail will shopping experiences both online and at the emerge through this convergence allowing for Point of Sale allowing for more powerful connec- further opportunities for today’s retailer. tions between the shopper and retail. Cus- Nonetheless, the main challenge for all retail tomers will want to dive more deeply into their channels will remain the same, now that the favourite brand and digital will make it possible. customer is in your store (whether physical Customers will come to expect quick, seamless selling point / or Numeric (website / blogs/ shopping across multi-touch points and retailers etc.), how do you keep him there? will be able to provide it. Interview 4 How do you see the balance between the Do you see the future of shopping being Ron Epstein, President, Baltic move toward screen culture and the need challenged by online, or do you see them America, real estate to maintain a human touch? coexisting? investment company It is the question of the difference between The internet is a giant new shopping center quantity vs. quality; and the balance of in every neighborhood. All the rest will just cost/benefit, with the later imposing a new be less appealing but most will survive in paradigm in which the former is being an- one way or another. swered. In a global economy those that do It is predicted that by 2015 there will be not have the time or resources to fly to every more wireless internet traffic than wired client for a relationship reinforcing lunch devices. How do you see that impacting vastly outnumber those who do. Modern on the retail environment? communication tools allow this group ac- The obvious is location based coupon cess, and by their numbers, are defining a text/email contact from merchants when new modus operandi in business. In the prospective customers are geographically end, no one will deny the ‘human touch’ is convenient. The reverse is also likely with more effective, but being able to reach mul- online merchants sending product or cate- tiple potential business opportunities from gory-related promotions to consumers when single locale is a worthy second place, allow- their location is detected in a retail store. ing more with less. If you agree that it is a This is probably why Google has the edge world that anyhow values quality less and over Facebook in monetizing the internet, quantity more – it seems that even the gap though each has the data the other needs to is closed even further. institute this in an efficient and massive way.
  7. 7. Discover the MORE+ Vision Pavilion at MAPIC, 14-16 November 2012, Cannes - France The pavilion will host several workshops on the following themes: • What business and governance model for culture in retail? • Instore product pickup: Value add for Brick and Mortar? • How to drive traffic to stores and transit zones thanks to culture? • Digital platforms: must have & nice to have for shopping centers • The Power of Pop-up stores These conferences will be brought to you by: Next MORE+ Vision issue: November 2012 - Crisis & Retail Consumption Register here if you wish to be notifiedMAPIC ® is a registered trademark of Reed MIDEM - All rights reserved - Reed MIDEM, a member of Reed Exhibitions, © 2012 Access to one year of cutting-edge more MORE+ Vision newsletters: by • There are one trillion conversations about brands each year in the U.S. alone.… what is your Retail social media strategy? • How can retailers and retail developments reach out and engage with the citysumers? • Culture, Leisure: traffic generator? Retail spaces undergo constant change and shopping centres are embracing a fusion of cultural and retail opportunities. • Retail renaissance: physical retail has come under attack from e-commerce, but as multi-channel retail gains strength, the industry is experiencing a convergence of physical and virtual shopping experiences. • Retail in-Motion: Retail in transport hubs is becoming a real revenue driver as terminals upgrade and expand commercial development and turn into shopping malls. • Staying top of the pop-ups: Pop-up shops have gone from a perfect example of temporary installation to a fixture on every marketing-strategy-to-do list” Contacts Credits Any questions on MORE+ Vision, Contributors: Peter Clucas • Jean-Marc André please contact Editor: jean-marc.andre@reedmidem.com Acknowledgement: MORE+ Vision wishes to thank the interviewees for their kind participation Design: Frédéric Beauseigneur – Reed MIDEM Publishing Dept. Want to advertise in MORE+ Vision, Sources: “trendwatching.com, a London-based, independent trend firm, scans the globe for the most promising consumer trends, insights and related hands-on business ideas. Its free monthly Trend please contact iris.terre@reedmidem.com Briefings get sent to more than 160,000 business professionals in 180+ countries”