By Steven Weiss
In today’s retail climate, ROI data is no longer a “nice to have.” Retailers are counting on their suppliers to provide the information they need to demonstrate ROI when they implement changes in store design–whether it’s improved signage, upgraded fixtures, a new mannequin line, or a complete redesign.
In our continual effort to drive an industry dialog on ROI, Shop!, the trade association focused on enhancing retail environments and experiences, is pioneering the development of industry standards for Store Redesign ROI. In 2014 Shop! worked with EWI Worldwide to gain an understanding of this topic. The EWI team surveyed retailers with physical remodels regarding their motivations, goals, and expectations of a store redesign. The information was shared in a 2015 EWI White Paper that was inserted in Retail Environments magazine.
Building off of those findings, Shop! has endeavored to further understand the current ROI measurement habits of retailers, store designers, and manufacturers. Shop! conducted a survey for the first phase of the research with key industry players in retail, store design, and fixture manufacturing.
The 2017 Shop! ROI Standards: Store Redesign white paper offers actionable insights, case studies, and best practices based on the findings of our recent studies. I hope the takeaways in the following pages will help you justify your investments to create and execute successful store redesign projects that ultimately enhance the retail experience for shoppers.
This is the first of a series of ROI research from Shop! in 2017. Later in the year, Shop! will release results on Understanding the Effect of the Retail Workers’ Service on the Customer Experience and How it Ties Back to Return on Design.
Steven Weiss is CEO of Shop!.
“A décor improvement strategy alone will not significantly improve sales. It is generally a combination of in-store elements that contribute to a retail experience that translates into a good ROI,” Tim Morrison, Little’s supermarkets studio principal, told Retail Leader. Colleague Daniel Montaño, principal of Little’s brand experience studio, recommended focusing on customer-facing areas and communication, signage, and wayfinding.
Joseph Bona, president of brand environments at CBX, believes any changes should be meaningful in layout and key categories. He also suggested studying retailers outside of your channel or category to discover ways to differentiate your store.
The retailer wants to reinforce and communicate the idea that it “owns black and white” with a new store prototype. Iconic black-and-white art will decorate walls of new units, which will have walnut and Carrera marble floors, metallic ceramic accents and fixtures made of polished chrome, smoked glass and high gloss lacquer.
Sephora Americas has acquired Scentsa—state-of-the-art interactive digital technology designed to enhance the beauty shopping experience in-store—from Crescent House Publishing, a multimedia company serving the retail industry that’s based in Carlsbad, California.
The new Rogers retail stores include a personalized and integrated service approach that brings the connected technology experience to life. Customers will now have access to more tailored one-on-one service, more of the latest technology and products, and more ways to stay connected and entertained than ever before.
Carphone Warehouse chose Synovate Retail Performance to partner with them in a performance improvement project called the ‘Key Store Challenge’. 25 Carphone Warehouse stores were equipped in an initial project designed to investigate how measuring footfall, analyzing consumer purchasing behavior and using this feedback could be used by Carphone Warehouse to increase conversion rates.