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Its stylish urbanarchitecture iscomplemental andwell-composed.Think about it.
•Wherecanweadd
value that worksor our brand?Aesthetics? Format?Merchandising? Service?
3. Connect consistently across allcustomer touchpoints.
It’s common or a retailer to underestimatethe number and importance o itstouchpoints. By studying the shopper journey rom awareness, to consideration,purchase and use, a strategic plan canbe created so the brand promise canbe consistently delivered across allthose moments. Best Buy ranks highon consistency. Its service oerings,selection and experience (in-store, onlineand in-home with The Geek Squad)continue to nd avor among surveyedconsumers. Consider these questions:
•Doweunderstandhowshopperschoose
 and use our store?
•Arewedeliveringthesamemessage
and experience at all moments?
•Aretheregapsalongthecustomer
  journey where we could advise,educate and inuence?
•Arethereunderutilizedtouchpointsthat
 we could exploit?
•Dowethinkholisticallyorarewegetting
 lost in tactics?
4.Driveinnovation.
One o the most disastrous eects o uncertainty is that operations
isemphasizedwhileinnovationgets
abandoned. That has not beenthe case with Burger King. BK, a maturebrand with a store design that wasbeginning to be perceived as tired, hasbeen able to grow in a troubled market.Their eorts are being helped by a new
upscaleprototypethatarchitecturalizes
the brand’s ame-grilled cachet with a veryeye-catching sleek design that instantlyconveys to the shopper what BK stands or.
FurtherinnovationcomesintheWhopper
Bar concept, an extension o the brandocused on the iconic burger and highlighting
the“HaveitYourWay”brandposition.
 It takes BK to a new place in the customer’s
Growing Your Businessin Today’s Economy
Whetheryoufeeltherecoveryisimminent
or think the country won’t be back on its eetuntil next year, don’t wait out the economy.
Assessandtakeactionnow.Wendthat
many retailers have overlooked the ollowingve opportunities to leverage store assets tohelp business stay strong and grow prot.
1.Deliveronyourbrandpromise.
The best retailers have a clear idea o what they sell and how they sell it.
Theyhaveahighleveloforganizational
consistency and coherence and a clearvision o the uture. Every employeeknows what the promise is and how todeliver it. Think The Container Store.The store is your brand promise broughtto lie. To help keep a store at optimumprotability, the physical underpinnings o shoppers’ expectations need to be met, romthe parking lot to the cashwrap. That includeslack o clutter, in-stocks on key items, logicaladjacencies and a rational trafc ow.A weak structure signals broken promisesand sets a mood o doubt. Consumer surveyscontinually indicate that the majority o retailers have opportunity or improvementon delivery o brand promise. Ask yoursel:
•Cancustomerssayinonewordwhatwe
 do or them that’s special?
•Haveweneglectedourlong-termvision
 in avor o short-term instore tactics?
•Doweunderstandhowourbrand
is translated into the space?
•Shouldwedoastoreaudittogetaclearer
 view o what could be improved?
2. Convey value beyond aspecic oering.
To have value beyond the item purchased,a brand must own a distinctive space inthe hearts and minds o its customers byconveying status, or helping people live betterby keeping prices low. Or by editing apparel sopeople can be ashionable. A store’sdesign helps speak to shoppers’ dreamsand aspirations by immersing them in asensory atmosphere.At its most undamental, Target is ull-linediscount store. It meets the needs o theeconomy-minded customer, a very rationalpractical benet. Its exceptional perormanceis based on its insight that middle-class momswant to be cool and have un. Target’s brandstrength as a curator o aordable style is sostrong it has to remind shoppers o itslow prices.mind and broadens its core demographics.
TheWhopperBarhastheabilitytostand
alone, become a hybrid concept, or adaptto a smaller ootprint, expanding the
“King’s”reachintonewopportunities.
Look or such an opportunity by asking:
•Wherecanwendthe“whitespace”
 or innovation?
•Whereisourexecutionweak?•Arewerelyingtoomuchonmessaging,
 not enough on physical improvement?
•Couldwedomorewithless?•Isthereanaturalextensionofour
 brand that expands our market?
5. Build relationships with relevance.
In retail, like in lie, building and maintain-ing relationships is hard work. It requireskeeping tabs on the changing lives o thepeople your brand has targeted. Only whena business possesses a deep understandingo its customer wants and needs does ithave an opportunity to gain market share.The best way to build relationships withcustomers is to have the product that’s rightor them emotionally delivered in a relevantvalue-added way. Online retailer Zappossecretly upgrades its shipping to overnightwhenever possible. Trader Joe’s continuesto nd new, interesting inexpensive oods.Apple has dispensed with paper receiptsin avor o email receipts. Look throughthe shopper’s eyes:
•Howconvenientisittoshopwithus?•Wherecanwerefreshtheexperience
 to encourage trial?
•Wherearetheopportunitiesforus
 to be more relevant?
•Howcanwebuildloyaltyby“wowing”
 our customers?
Don’twaituntilthedustsettlestoaudit
your store or opportunity. The kindso questions we oer here will get youcloser to an actionable insight that willdrive your business toward growth.
A Retail Publication
Ideations
Issue 3 • 2009
 
Chairman’s Commentary
A Retail Publication by
7575 Paragon Road, Dayton, Ohio 45459
 
P
+1 937 439 4400
F
+1 937 439 4340
retail@designforum.comD. Lee Carpenter, Chairman & CEOJill Davis, EditorLucas Human, Design/Production
© 2009
Ideations
How to stop the recession rom stiing creativity andstrangling prots.
Up the Economy
Firstofall,don’tlooktoWashington,
 
WallStreetorthemediaforsignsofa
turnaround. That way lies madness.Too many o their metrics are backwards-looking and the media has beennearly hysterical. Enough already.
Despitethedysfunctionanduncertainty,
America is still the best place in theworld to do business. Consumers spendin order to enjoy lie. They’re waiting
outtherecessionwithiPhones,Wiis
and at screen TVs! Americans believethings are going to improve, andoptimism is a sel-ullling prophecy.Granted, these are not ordinary times.But the same retail challenges are asdifcult as they ever were. Here are threeexhortations that while not specic to therecession can help you think creativelyand protably.
Close the loop between strategyand execution.
 
Strategy is no longer linear; that is, decidingon a plan then putting it into action in thestore. Today it’s a loop which allows ormaking revisions based on new inormation.This year we helped two clients, BurgerKing and Big Lots!, bring their brandsmore ully alive in execution. BK had neverully exploited its ame-grilled positionarchitecturally. And Big Lots! needed to lookmore like a retailer with clear hierarchies inan intuitive space and less like a garagesale so that it can encourage trial and takeadvantage o better location opportunities.
Both retailers are committed to testing andvalidating their new store designs beforesystem-wide adoption. In the case of BK, somefranchisees have stopped construction totransition to the new look. But they’ll have towait as the learnings from the limited rolloutare incorporated back into the strategy.Same with Big Lots! These are the kinds of forwards-backwards action plans our toolsand processes support. And you do need aprocess to put that mindset into practice.
Read the market. Becauseyou can’t drive it.
Markets will always throw out a steadystream o threats and opportunities.You can’t predict them or control them.So don’t assume you know what thecustomer wants. I a company is convincedthe shopper isn’t buying what it’s sellingit will typically resort to cost cutting andmarkdowns to outlast the downturn.The basic assumption is that you canconvince the consumer to pay more or
lessquality.Doesthatsound
suspiciously like GM?
Determinewhattheshopperneeds!
Midwest apparel chain The Buckle hasexperienced over 20 months o double-digitgains. They are tuned into their youngshopper’s idea o value: t, selection,service and dierentiation. The Buckle’son-trend national brands are by no meansthe cheapest and associates are careullyacculturated. Compare that to Gap whichseemingly operates on the assumption thateveryone in the world wants a pair o Gap
 jeans.Whereisthevalueinthat?
 
Innovate. Innovate. Innovate.
 
You know, I’ve been saying this or years.
AndI’vecometorealizethat,although
nobody admits it, people get conusedby the word. To innovate means simplyto do something in a new way.Think a new way. Redesign your store.Frame your whole business in a new way.
Developanewproduct.Reworkyour
merchandise mix. Innovation is whatever isnew or you. It can be large or small. It can beout-o-the-blue or built on what you’ve got.The way we look at it, you’ve been givenan opportunity to make a clean break withthe past—i you want to. It’s a chance tomake painul decisions that you shouldhave made anyway. And it allows you theprospect o accelerating a undamentaltransormation o your business, i that’s what it takes to leap ahead.The downturn has brought us a long
shake-outperiod.We’reallbeingtestedon
our resourceulness and relevance to the
developingneworder.Whateverthat
 may be, the recession is an opportunity,not an excuse
For more inormation or to be placed on our mailing list, visit our website: www.interbranddesignorum.com and
completethecontactform.ReprintsofarticlesorexcerptswithouttheexpresswrittenpermissionofInterbrandDesign
Forum is prohibited. Ideations will print 4 times in 2009. Subscriptions: $125 annually in the U.S.; $150 elsewhere.
Thoughtully,
D.LeeCarpenter
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