A touch of the theatre to add the ‘wow’ factor Maria Ligerakis
add the ‘wow’ factor
maria ligerakis
CREATING a ‘wow’ factor in the retail environment is becoming increasingly difficult, according to retail experts.
Australian Centre for Retail Studies (ACRS) research director Michael Morrison said retailers could no longer rely solely on the four Ps of the marketing mix—price, product, place and promotion—to differentiate their offering.
“There is a move towards the concept of ‘retailtainment’,” he wrote in a research paper co-authored by Michael Beverland.
“This phenomenon, which brings together retailing, entertainment, music and leisure, has seen the emergence of concept stores like Nike Town, REI, Bass Pro and US-based theme restaurants such as Rainforest Café, The American Wilderness Café and Bubba Gump.
“Retailers need to look further than the traditional retail store elements such as colour, lighting and visual merchandising to influence buying decisions.”
Morrison pointed to “atmospheric influencers” such as music as elements that could impact on customers’ retail experience.
“The specific atmosphere the retailer creates can, in some cases, be more influential in the decision-making process than the product itself,” he wrote.
“As goods and services become more of a commodity, it is what a shopper experiences and what atmosphere retailers create that really matters.”
Experiential marketing guru Bernard Schmitt agreed, nominating Nike Town as an example of an “entertainment retailer”.
In his book, Marketing Aesthetics: The Strategic Management of Brands, Identity and Image, Schmitt wrote that concentrating on the overall retail experience could translate into business success.
“The Nike Town shopper experiences aesthetics that reflect sports, power and movement.”
Roger Tredre, London-based editor-in-chief of brand and retail trend analysis service WGSN, described today’s customers as “butterfly consumers”, expecting high quality service and value for money and prone to brand switching and trial.
Speaking at a recent retail conference in Sydney he advised retail marketers to add a touch of individuality to stand out from the crowd and weave in some “retail theatre”.
Morrison said marketers needed to think holistically to create a memorable brand experience.
“Brand building is a combination of physical, functional, operational and psychological elements,” he said.
“Consumers will be willing to pay more for a brand if there is a perceived or actual added value from their experience of using the product or service.”
