FINAL Belk Innovation Report FTM320

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North Carolina State University Belk Innovation Challenge Modern. Southern. Student. Retail Merchandising in Fashion and Textiles Ade Echeverri, Ellen Dulweber, Lizzy Goudreau, Morgan Shelton, And Payton Hardee

Transcript of FINAL Belk Innovation Report FTM320

Page 1: FINAL Belk Innovation Report FTM320

North Carolina State University

Belk Innovation Challenge

Modern. Southern. Student.

Retail Merchandising in Fashion and Textiles

Ade Echeverri, Ellen Dulweber,

Lizzy Goudreau, Morgan Shelton, And Payton Hardee

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Executive Summary

The purpose of this research paper, and creating the In-Store event at Belk was to

determine how Belk might develop and execute marketing strategies to target new

consumers, especially how to engage and retain a Millennial consumer. The main goals

were to rise above the competition, create profit, and leave consumers wanting more and

feeling content with purchases.

Our insights resulted by conducting primary research, secondary research, and the

findings and conclusions after the In-Store event. The primary research was conducted

through a simple survey directed to the target consumer, college-age students ages 17-26.

The secondary research was done through journals, books, and other informational

sources that provided a deep understanding of Belk’s history, financials, and successes;

this aided the construction and planning of the event. After gaining all of this knowledge

from the research, it was concluded what would be appropriate to create as a successful

In-Store event.

The Belk Innovation Challenge peaked at the In-Store event, which allowed for

interaction with Belk customers. With a budget of $1000 the In-Store event went live on

social media, the Product Merchandising and Store Layout team provided looks on

mannequins, print media constructed a cohesive Look Book, food was provided, and

creative details pulled it all together. Due to the success of social media and

#BelkGoesRed, the In-Store event was able to attract over 560 interactions with valuable

Belk customers.

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In conclusion, the Belk Innovation Challenge led to outstanding research and

increased awareness of Belk throughout our campus and for local customers. Future

recommendations include forms of instant gratification, such as prizes and raffles, for

college-age consumers. Another recommendation is providing more intricate mannequin

displays of merchandise directly targeted to college-age consumers in order for these

consumers to visually see how different brands can be worn and become great additions

to their existing wardrobes.

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Introduction

The purpose of the paper is to inform the reader on all necessary information,

which will allow him to gain full insight into all steps of this challenge. This information

includes primary research, secondary research, information gained from the survey, and

the groups’ thoughts and conclusions gathered from the in-store event. The purpose of the

challenge can be broken down into three main points: (1) to understand Belk’s

positioning in the industry and to determine how Belk compares with its competition

within that retail sector, (2) to research how Belk and its target consumers are impacted

by industry trends such as fiber, textile, apparel, retail, marketing and advertising, and

lastly (3) to determine how Belk may develop and execute marketing strategies to target

new consumers, especially how to engage and retain a new consumer—the college-age

consumer.

Background

William Henry Belk was born in 1862 in Lancaster, South Carolina (North

Carolina Business Hall of Fame, 1988). He spent most of his childhood attending school

and working as a sales clerk at a small convenience store. By 1888 the entrepreneur was

ready to open his own business. On May 29, 1888, William Henry Belk opened what

many called ‘the cheapest store on Earth,’ the “New York Racket.” His business brought

rapid success and lead to the creation of what was soon to become the largest privately

owned department store (Belk Inc.). This vast success encouraged William to invite his

brother, Dr. John M. Belk to join him in business. They became partners in 1891 (North

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Carolina Business Hall of Fame, 1988). As they began to expand, they created their

second and third store in South Carolina, followed by a fourth in Charlotte, North

Carolina (North Carolina Business Hall of Fame, 1988). In September 1895, the

Charlotte location was introduced to the world as the Belk’s Brothers Company (North

Carolina Business Hall of Fame, 1988). Between 1895 and today, Belk has grown as a

company and developed immense brand equity. This growth and recognition has granted

Belk with tremendous success and an army of loyal customers. Belk’s ability to provide a

variety of brands has allowed the retailer to develop a wide range of consumers. The

partnership between these two prosperous brothers lead to an immense expansion, which

has grown to over 300 stores today located across 16 southern states (Belk Inc.).

Belk headquarters are located in Charlotte, North Carolina. The Belk headquarters

offer different career opportunities among many areas. These areas include product

development, e-Commerce, sales promotion/advertising, visual merchandising,

finance/accounting, information technology, human resources, and real estate/store

planning (Belk Inc.).

Belk is currently in the third generation of family leadership, which has provided

the company with a fundamental foundation and strong growth. The current Chairman

and CEO is Thomas M. Belk Jr., Kathryn Bufano is the current President and Chief

Merchandising officer, and John R. Belk is the current President and Chief Operating

Officer (Belk Inc.). The company’s organizational structure at a local level includes a

defined chain of command consisting of a Store Manager, Assistant Store Manager, Sales

Team Manager, Sales Operation Managers, and Sales Support Associates (Belk Inc.).

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These positions help carry out Belk’s mission statement providing customers with

excellent customer service and assistance.

Belk has created clear and strong vision and mission statements. The retailer has

strict values in which it has instilled in its company and employees. Belk hopes to create

a strong community of customers that find a strong meaning in its mission, values, and

vision. Company values include being the best at what they do, to be proud of our rich

heritage, be involved in our communities, and be relentless with customer care (Belk

Inc.). Belk’s vision statement is, “to satisfy the modern southern lifestyle like no one else,

so that our customers get the fashion they desire and the value they deserve” (Belk Inc.).

Belk’s mission statement is complimented by the vision statement, which says, “for the

modern southern woman to count on Belk first. “For her, for her family, for life” (Belk

Inc.). Belk’s mission and vision statement create a sense of charm in the desired southern

lifestyle amongst women and provide great customer service executed with quality

products. Contrastingly, Belk falls short in some areas of relativity to the younger

consumer and recognizes a need for change.

New Imaging

“In 2010 Belk launched a fresh new logo and tagline, firmly establishing Belk as

the destination for ‘Modern. Southern. Style.’ (Belk Inc.)” This new look has given Belk

a new modern style that hopefully appealed to its existing customers and bring in new

customers. Furthermore, this change displays Belk’s willingness to keep up with the

modern fast pace society and reach out to the younger demographics.

Current Target Consumer Market

Belk’s current target consumer market includes its main customer, which is

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typically a middle age woman with a middle/upper income. These women have

developed brand loyalty and more than likely their mothers shop at Belk as well. This

target market prefers Belk due to its ability to provide lifestyle brands that provide any

product needed in a home.

Currently Belk is on its way to expand its target market to the college-age

consumer. These consumers are known as the Millennial’s, or Generation

Y. Millennial’s are between the ages of 18 and 30. This group is the most diverse

generation thus far. Millennial’s are the most technologically inclined generation and 90

percent of them use the Internet occasionally, compared to 79 percent of boomers. Social

Media contributes to the Millennial’s friend base, which is significantly higher than that

of other generations. Millennial’s are greatly affected by the opinions of their friends

when it comes to shopping decisions. Millennial’s tend to be extremely brand loyal, but

will give up their brand loyalty if a coupon, reward, or deal is available at a competing

brand. The college-age consumer is attracted to vibrant, energetic shopping environments

that show individuality; this appeals the most to them. Window displays, good music, and

décor are a few key attributes that are noticed by this generation. Pleasing and having the

attention of these consumers is the key to success at this time.

Financials

The following chart represents Belk’s major expenses over the last four years

(January 2010-February 2013). Total revenues have steadily increased as have gross

profit and operating income. Interest expense and merger charges have contrastingly

steadily decreased which makes for more cash flow. The balance sheet shows a mostly

positive four-year trend represented by the green bars, with only a few areas in the

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negative represented by the red bars. All indicate successful fiscal years for Belk and can

presumably be accountable for potential company success. (Please refer to the below

chart for visual representation).

Table 1

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SWOT Analyses

Belk is a very diverse company; therefore it has a number of competitors. These

researchers chose to compare three of the retailer’s major competitors: Nordstrom,

Macy’s, and Target. A SWOT analyses was composed for all three companies.

SWOT Analyses

Nordstrom SWOT Analysis

Strengths: -Quality merchandise -Loyal customer base -Brand knowledge -Great customer service

Weaknesses: -Higher price points -Limited locations -High debt burden

Opportunities: -New technology -New services -International expansion

Threats: -Weak economy -More reasonably priced department stores -Online shopping sites.

Macy’s SWOT Analysis

Strengths: -Strong management -Brand variety -Promotional sales -Loyal customer base

Weaknesses: -No foreign market -Store image -Annual revenue growth rate low -Not diversified

Opportunities: -Broaden online shopping -Emerging markets -Retail innovation

Threats: -Discount stores -Increased minimum wages

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Target SWOT Analysis

Strengths: -Active social media -Brand name -Variety of merchandise -Large customer base

Weaknesses: -Not diversified enough -Food margins lower than general merchandise -Brand and store priced relatively the same -Product recalls

Opportunities: -Global expansion -Private label growth -Demand for organic food

Threats: -Growth of second hand apparel stores -Changing demographics -Credit card business with financial economic turmoil

Current Competitors of Belk

The evidence about Nordstrom, Macy’s, and Target provided in the SWOT

analysis can be utilized to generate original ideas, methods, and technologies to

distinguish Belk from its competitors. Those three companies are seen as Belk’s largest

competitors; not only because they are similar in business structure and products but also

mainly in the customers they share. Belk, Nordstrom, Macy’s and Target all have very

comparable target markets. They appeal to men and women seeking a quality product, an

easy shop, or lifestyle brand products. Now that Belk is trying to reach out to the college-

age consumer retailers must identify a new line of competitors that greatly appeal to the

college-age consumer. These retailers can include: Target, Forever 21, H&M, and

specialty stores such as local boutiques. Although retailers such as Forever 21 and H&M

may be in a different channel of distribution as compared to Belk, they are two of the

most popular retailers amongst college-age consumers.

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Marketing Techniques Presently Utilized

Rebranding occurred in the fall of fiscal year 2011 to establish a modern new look

for Belk and in the past two years the response has been very positive from emails and

calls to posts on the company’s Facebook page. The brand continued to build its image in

the past year through increased advertising that included high impact television

commercials and direct mail advertising that reflected the brand image and

communicated the latest and best fashion and values offered in the Belk stores. The

advertising mix increased the company’s use of web advertising and social media

campaigns by vamping up their Facebook page, twitter account, blog and even creating a

Pinterest account to engage the consumers deeper in the brand thus attracting them to

shop in Belk stores.

A major highlight in Belk’s marketing brand efforts was its sponsorship back in

2011 at the Bank of America Stadium in Charlotte of the college bowl game between

North Carolina State University and University of Louisville. This event was televised

nationally on ESPN in December and more than 58,000 fans attended the event. On game

day Belk’s website sales were up 92% in states outside of the usual footprint account for

22% of total eCommerce sales versus an average of 10%. This got the company exposure

to a large group of its target market, southerners and Generation Z and Y who all watched

or followed the game.

The company continues to enhance its new brand image through these strong

advertisements and sponsorships, keeping everything modern and engaging which will

help to continue increase in brand awareness and growth.

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Industry Factors

As society begins to become more and more dependent on social media it is

crucial for Belk to keep up with new trends and technologies, such as social media, in

order to remain connected as the retailer expands efforts to target the College-Age

consumer. Keeping up with social media trends that college-age consumers are hooked

on is seen as the most important factor that can impact Belk. Other industry factors that

Belk might face that can impact the company and the College-Age consumer are: online

vs. brick-and-mortar, brand loyalty, and shopping trends. By becoming experts in how to

manage all of these factors in a successful way Belk can easily overcome its competitors

are they fight for the College-Age consumers.

Target Consumer

To define the “college-age consumer”, we look to the generation known as the

Millennials, or Generation Y. Anyone between the ages of 18 and 30 are considered to

be a Millennial. Millennials differ from other generations in many ways. Millennials are

the most diverse generation thus far, with 39 percent classified in the minority category.

This category contains 14 percent African American, 20 percent Hispanic, and 5 percent

Asian American. (Pewsocialtrend.org/millennials) They are the most technologically

inclined generation and 90 percent of them use the Internet occasionally, compared to 79

percent of Boomers. Social Media contributes to the Millennial’s friend base, which is

significantly higher than that of other generations. Generation Y is said to seek out a

broader range of activities, and have a global view of travel. As far as education,

Generation Y is more highly educated than generations before, where 54 percent have

some college education compared to 36 percent of baby boomers. (Pewresearch.org)

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From a political stance, Millennials are considered to be more liberal than others. This

generation places a significant amount of importance on status and success. Millennials

tend to be extremely loyal to a brand, but will stray if in possession of a coupon or reward

of a competing brand. Some will switch brands to save money, but pay a little extra if it

is towards a good cause. (Amazon.com/AmericanMillennials) The college-age consumer

is attracted to vibrant, energetic shopping environments. Window displays, good music,

and décor are very important in grabbing thisgeneration’s attention. There are many

more marketing methods to reach this generation because of the impact of social media

interaction. Marketing to the Millennials is on a broad spectrum and is becoming easier

to obtain. This generation is engaged and ready for a competitive market to emerge.

Survey

A survey was conducted in order to collect some primary data on the wants and

needs of the Millennial consumer. Specifically, we wanted to gather information about

product merchandising and store layout as it pertains to the college age customer. A copy

of the formatted survey can be located in the Appendix. This survey template should be

referenced in regards to understanding research findings and conclusions.

Summary of Survey Findings

The purpose of this survey was two-fold: 1) to collect information from college-

age students in order to understand the college-age consumers’ preference regarding

retail store image and product layout; and 2) to specifically find out about Belk Inc. store

image and merchandise presentation as it pertains to attracting and retaining the college-

age consumer as a loyal customer. Our target population for the survey was the 17 to 26

year old enrolled in a college or university. Therefore eligibility criteria for this survey

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included individuals between the ages of 17 and 26 who were currently enrolled as a

student. In addition, to be included as a respondent, participants were required to answer

at least half of the survey questions.

The most important point to be gathered from this survey is that aesthetics,

especially of the products themselves, are very important to the college-age consumer

when shopping. Organization of products and placement of merchandise were found to

be of high value followed by décor, lighting, and store entrance. Because merchandise

itself was repeatedly ranked as ‘very important’, it was crucial that clothing displays at

the event be not only visually appealing, but positioned in an easy-to-navigate manner as

well. Navigation was also important because store directories were commonly ranked low

on the scale of importance. The Millennial shopper was found to prefer a logical

arrangement of merchandise to eliminate the need for a written directory.

Another feature of common high importance was the use of mannequins for

product ensembles. 88 percent of the respondents answered positively about being

attracted to specially designed ensembles and product displays. When asked to explain,

text box answers included outfits for inspiration, matching ideas, or staying up-to-date on

new fashion trends. This was taken into heavy consideration in the planning of the in-

store event. At each station of the event, one male and one female mannequin were

dressed in corresponding styles. Each outfit not only showcased Belk merchandise, but

the clothing was chosen according to current market trends. The outfits were selected to

represent the four aspects of a college student’s life; the everyday, the pride, the

workplace, and the weekend. Survey results also showed a preference in the potential of

having a section in the store for special occasions rather than a section for college

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specific apparel. This was taken into consideration as the mannequins were not only

separated by occasion, but also modeling clothes that could be versatile. The mannequins

were relatively tall and placed on either sides of the front entryway in order to stand out

to those passing by.

Overall, the survey provided useful feedback on targeting the Millennial

consumer. According to the responses, product layout was found to be most important

followed by overall store aesthetics. Easy navigation and merchandise organization was

heavily emphasized as the event was arranged. Mannequins were dressed according to

current trends and placed according to their occasion. Taking the survey responses into

consideration as the event was executed contributed to its success and the return of

Millennials to Belk in the future.

Summary of In-Store Campaign

The In-Store event was held at the Belk at Crabtree Valley mall in Raleigh to

promote Belk’s store and products to the college age consumer. The event was located in

front of the store’s entrance to the mall on the main level with multiple tables set up

around the entrance. The event consisted of 13 raffles and four different activities in

which college-age mall goers could participate. Additionally there were mannequins

dressed in stylish outfits a college age male or female might wear to help inspire looks for

the consumer.

The event was divided into four different categories titled “The Pride”, “The

Workplace”, “The Weekend” and “The Everyday” where each activity and mannequin

supported the category. The activities included a demonstration and practice of how to tie

a bowtie, a chalkboard and photograph to write how Belk inspires you, a meet and great

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with NC State cheerleaders and a Dj for listening to the most current music. There was

also food at the tailgating table and candy on each table for participants to eat, along with

style guides in order to inspire the college consumer to create a complete wardrobe at

Belk.

Due to the results found in our survey and other research conducted these

researchers set up the merchandise and product layout in a specific way that was most

attractive to the target audience. The survey question, “When shopping, are you likely to

be attracted to ensembles on mannequins or product displays as inspiration” and 68%

answered yes to mannequin displays; one even said, “It helps to imagine what it will look

like”. These results influenced the selection of outfits for each themed mannequin.

Also when asked which form of in-store merchandise presentation is most

appealing to you, almost 70% responded saying a themed cluster of mannequins was their

favorite; therefore, two mannequins were grouped together by theme: “The Pride”, “The

Workplace”, “The Everyday”, and “The Weekend”. to further appeal to college age

consumers. The mannequins were all close together in the event to appear as a large

cluster of mannequins that would draw in the participants. Each mannequin was dressed

in merchandise from Belk, with a wide range in prices and brands from through out the

store. Because Millennial consumers value affordability, some outfits incorporated

simple pieces from the Junior Department to make the look less expensive. On the

contrary, Millennials are willing to splurge on a big item if it is special enough. To adhere

to this some higher end designer items were used to tie in the whole outfit and to appeal

to the consumer in expectation of trend and style recognition.

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In the survey participants answered that special occasion and college event

clothing were the sections they would be most interested in at Belk so when pulling looks

for these sections “The Pride” and “The Weekend” there was extra thought put into how

the mannequins were presented. The outfits were selected from sections that would have

the best merchandise in that category; so if asked by participants where a specific item on

the mannequin was located, the consumer would also be able to see all the other products

that could potentially be worn in the same occasion. College apparel with logos was not

very popular in the survey results so we steered clear of dressing the mannequins in these

shirts or looks. Overall aesthetics are very important to the consumer when shopping so

outfits on the male and female mannequin were coordinated as a pair. The essential goal

is to appeal to the college age consumer’s imagination.

Key Findings

Through execution of the Belk Innovation Challenge In-Store Event, students

involved were able to view a college marketing project implemented within an actual

business setting. The most profound and seemingly obvious observation from the

attendance of the event is that the Millennial generation is apathetic and not inclined to

go out of their way unless the results are strongly in their own favor. For example, at the

event promised giveaways, such as a gift card to Belk or a local restaurant, a bow tie, a

pair of boots of the winner’s selection, or a set of jewelry were not enough to engage the

college students at North Carolina State University outside of the realm of the College of

Textiles. Although, a large number of participants and a nearly flawless execution of the

in-store event was staged, it was evident that majority of the “Millennials” in attendance

were supporting friends or fellow classmates. Millennials expect instant gratification;

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they expect everything to come from their doing nothing. Tragic as that may be, the mere

chance of winning a few raffle prizes after having trekked five miles to the mall leaves to

large a change that a college student walks away empty handed, therefore, deterring them

from attending at all.

Surprising Insights

With large efforts in publicity and spreading word to every outlet possible, the in-

store group had high hopes for the Millennial attendance for the Belk Innovation

Challenge. While disappointing, lower college attendance was not too surprising

considering the generational research conducted prior to the event. However, it was

refreshingly surprising the amount of shoppers that stopped to participate in our bow-

tying tutorial, to taste our food at “the Pride” tailgating booth, and to take pictures in front

of the backdrop with a chalkboard expressing their style. Participants ranged from teens

in high school to the college-age consumer..

Recommendations for Future Execution of Strategy

The Millennial generation is one that expects instant gratification. So while

raffles are a great way to give away prizes sometimes they do not allow for the college

consumer to walk away with something in hand. Perhaps if Belk was to work with the

Benefit make-up counter again the company could create a “baggie” of multiple products

or samples. Prizes to the first fifty students with their college ID could be a way to

provide urgency and a little competition to the event. While free food was a great way to

attract people, a partnership with a local restaurant to give away meal coupons would an

incentive to the struggling Millennial. There is not much more that a college student

wants than a free chicken sandwich from Chick-fil-a. One of the top prizes of the in-

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store event raffle was a pair of tickets to the North Carolina State University vs. East

Carolina University football game. This prize should definitely be implemented again

with heavy emphasis. Finally, more mannequins should be used to showcase each

college look. There were four major looks put together by our specific group, the

merchandising and store layout team. It was planned originally to dress three female

mannequins and two male mannequins for each look. In addition, if Belk provided those

students with a college ID a discount on the clothes each mannequin is dressed in, we

believe that participation would largely increase.

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Appendix

The primary research results gave us good amounts of incite on how the college

age consumer responds to Belk currently and merchandising techniques they prefer.

Survey Findings for each survey were finalized by using a template. By using a template,

groups could then merge their findings into one report, if so desired. Groups could also

compare findings across individual reports. Four sections were required in the report:

Introduction, Methods, Results, and Discussion, all of which are standard sections in

reporting findings from survey research and marketing.

Introduction

The purpose of this survey was two-fold: 1) to collect information from college-

age students in order to understand the college-age consumers’ preference regarding

retail store image and product layout; and 2) to specifically find out about Belk Inc. store

image and merchandise presentation as it pertains to attracting and retaining the college-

age consumer as a loyal customer.

Methods

Our target population for the survey was the 17 to 26 year old enrolled in a

college or university. Therefore eligibility criteria for this survey included individuals

between the ages of 17 and 26 who were currently enrolled as a student. In addition, to

be included as a respondent, participants were required to answer at least half of the

survey questions.

An electronic survey was developed online, using Constant Contact® software.

Facebook and email were used to distribute the survey. The survey link was posted in

private group messages that were sent out to friends. Facebook was also used in order to

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post the link on different walls, such as sorority groups. Since project group members

were acquainted only from the class, this situation made for distribution to a wide range

of individuals. The survey was released online after a thorough review and pretest by

peers. Respondents were expected to anonymously respond online within a ten-day

period during the fall 2013. The software package, Constant Contact® screened for

respondents who did not meet the criteria, with the intent that these surveys would not be

included in the project findings.

The survey was composed of 12 different questions, initially focusing on

consumer preference for retail store layout and merchandise presentation, and then

specifically focusing on Belk. The survey included questions with multiple choice with

one response; multiple choice with multiple responses; Liker-type rating scales for

multiple items; and ranking items numerically in order of importance or desirability. The

questions were framed to respond to the main goal of gaining knowledge regarding what

specifically draws college-age customers to the retail store for in-store events.

Results

Seventy-five individuals responded to the survey. Using the eligibility criteria of

age (17 to 26 years) and college or university enrollment, one respondent was deemed

ineligible because of age. Only one person was between the ages of 27 and 30 and not in

college, meaning they did not fit the criteria. In addition, sixteen respondents failed to

complete half of the survey and their surveys were discarded, leaving a total of 58

college-age consumers as the study sample (N=58). The sample was comprised of 54

(93%) females and four (7%) respondents did not answer.

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After establishing a profile of our college-age consumer as women, ages 17 to 21,

enrolled in a college or university, the survey turned to their preferences about store

characteristics. They were asked

“Which of the following store characteristics are most important to you?” Respondents

were asked about eight characteristics for which they were to rate each of the

characteristics on a scale of 1 = ‘Not At All Important’ to 5 = ‘Very Important.’ They

were instructed to rate all of the items. After respondents rated each item, the items were

ranked into a rating score. The rating score was the weighted average calculated by

dividing the sum of all weighted ratings by the number of total responses. The items are

presented in descending order of importance, with the ranking and the number of

participants responding. The participants chose Organization of Product (4.7, n =58) as

‘Very important.’ Window Displays (4.3, n=58), Décor (4.3, n=58) and Lighting (4.2

n=58) were positioned near ‘Somewhat Important.’ Approaching ‘Somewhat Important’

from the other end of the continuum were Store Entrance (3.7, n=58) and Signage (3.5,

n=58). The fifth question stated, “When looking at merchandise in a retail store, which

of the following is most important to you?” Only Store Directory (3.3, n=58) and Seating

(n=3.1, n=58) approached the rating of ‘Neither Unimportant Nor Important.’

The survey also queried respondents about merchandise, asking, “When looking

at merchandise in a retail store, which of the following is most important to you?” The

same Likert-type scale was used however; only four ratings were used in the rating and

ranking process. 1= ‘Unimportant or Unnoticeable;’ 2= ‘Somewhat Unimportant;’ 3=

‘Somewhat Important’ and 4 = ‘Very Important or Noticeable.’ They were also asked to

rate only four items in this question (See Chart Below). As in the question above, all 58-

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survey participants responded. ‘Placement of merchandise in the department’ received a

ranking of 3.1 and Color organization of merchandise’ both approached ‘Somewhat

Important or Noticeable.’ A section in the store for college-age students received a 2.2

and mannequin characteristics received a 1.9, each approaching a 2 = ‘Somewhat

Important or Unnoticeable.’

Continuing to explore college-age consumers’ views on retail store image and

product layout, respondents were asked if they were likely to be attracted to ensembles on

mannequins or product displays as inspiration to them. They were also asked to comment

either why or why not. Fifty-eight respondents answered these questions. Fifty-one

(88%) responded ‘Yes.’ Comments were mostly positive about mannequins and followed

three themes: 1) inspiration/imagination; 2) matching pieces together; 3) styles and

trends.

Another more in-depth question also asked about merchandise presentation and

which was most appealing to the respondent: digital slide show, hanging signs, or themed

cluster of mannequins. Thirty-seven (65%) of the 57 respondents answered that the

themed cluster of mannequins was the most appealing.

Finally, college-age consumers were asked ‘Which of the following aspects of

store presentation would most deter you from successfully locating the desired product?’

Respondents were asked about five aspects; cluttered fixtures with excess merchandise;

loud music; lack of sales associates; too much merchandise; and too little merchandise.

They were instructed to rate each of the aspects on a scale of 1 = ‘Least Desirable’ to 5 =

‘Most Desirable.’ They were instructed to rate all of the items. After respondents rated

each item, the items were ranked into a rating score. The rating score was the weighted

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average calculated by dividing the sum of all weighted ratings by the number of total

responses. The items are presented in descending order of desirability, with the ranking

and the number of participants responding.

After asking several general questions about their preferences regarding retail

store image and product, the survey transitioned into questions specifically about Belk

Inc., a leading retailer in the southeast. Respondents were asked if they were familiar

with Belk and 57 college-age consumers responded affirmatively that they were familiar

with this retailer. The next question asked respondents to comment on what they found

most attractive about Belk. All 58 (N=100%) responded and were asked to select the one

characteristic they found most attractive. Approximately 27 (47%) college-age consumers

overwhelmingly mentioned product layout. Another 17% (n=10) specifically mentioned

merchandise presentation. Following up with the question above, they asked “If you were

shopping at Belk, what would make your in-store shopping experience more enjoyable?’

(See Chart below.)

If you were shopping at Belk, what would make your in-store

shopping experience more enjoyable? Select all that apply.

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Answer Number of Responses

Response Ratio

Adequate Mirrors in Dressing Rooms

30 59%

Large dressing rooms 29 57%

Comfortable Seating 22 43%

Music 21 41% Refreshments 14 27% Shopping cart/bag 9 18%

Other (View all) 2 4%

. “If you were shopping at Belk, what would make your in-store shopping

experience more enjoyable?” The most common response was adequate mirrors in

dressing rooms followed by large dressing rooms, comfortable seating, music,

refreshments, shopping cart, and lastly, other. The “other” included two text box

responses: more attractive decor and a sales associate willing to put outfits together.

The last question of the survey asked How interested would you be in a section of

clothing at a Belk store specifically for the following: college events, apparel in school

colors/logo, special occasions, and other. "Special occasions" was the most popular

response with 65% (n=33 of 51 respondents) followed closely by college events (60%)

and lastly, apparel in college colors/logo (57%). The one response in “other” was shoes.

Discussion

The most important point that can be gathered from this survey is that aesthetics

are very important to the college-age consumer when shopping. Most participants

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answered in favor of color organization and neat product or merchandise layout. It

appears that creating a section of clothing catered specifically to the college age student

was not as important as had been anticipated.

A high percentage of respondents claimed that they looked at the outfits on the

mannequins for inspiration. One person in particular commented that it was a great way

to see what a clothing item would look like when put on rather than just hanging on a

fixture. Another interesting discovery was that survey respondents did not rate store

directories as having ‘high importance.’

The Constant Contact® program was a great way to gather our data without

error. Having now had experience with the software, the group anticipates a stronger

survey if given the opportunity to conduct a survey again. A potential opportunity for our

group would be to reach the student body on a larger scale, rather than just to the students

that we know and are accessible to. All in all, the gathered results were about what was

expected. They will come to great use in the execution of our Belk event.

The tools that were used in conducting our primary research were a survey we

created and sent out to be taken by friends. There were many different kinds of question

on the survey, which helped get a range of information from participants. Articles written

on Millennial consumers were also used as secondary research information giving us less

specific but still useful insight. In order to implement this idea in the future Belk may

have to work with a few outside companies just as we did to create this event. The food at

the event was a huge success so Belk may have to work with a catering company or

restaurant such as Biscuitville; a very popular restaurant used for tailgating food. They

can be contacted by phone at the closest location to the specific store. Other companies

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Belk may need to work with are ones that can make signs or poster to be used at the

event, preferably ones they are already doing business with that make their usual signage.

A photographer will also need to be contacted to take pictures with athletes and the

inspirational chalkboard. Overall it is a very easy event to conduct in which Belk

provided most of the materials and is cheap to implement.

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Works Cited

Belk Inc. (n.d.). Retrieved from http://www.belk.com/AST/Misc/Belk_Stores/About_Us/History.jsp Belk Inc. (n.d.). Retrieved from

http://www.belk.com/AST/Misc/Belk_Stores/About_Us/Who_We_Are/Mission_V ision_Values.jsp

Belk Inc. (n.d.). Retrieved from http://www.belk.com/careers/corporate.html North Carolina Business Hall of Fame (1988). William henry belk . Retrieved from http://www.historync.org/laureate - William H Belk.htm Belk, Inc. (n.d.). Retrieved from belk blog website: http://belkblog.com/ Belk, Inc. (n.d.). Retrieved from belk facebook page website: https://www.facebook.com/Belk Belk, Inc. (n.d.). Retrieved from Belk website: https://twitter.com/belk Belk, Inc. (n.d.). My belk. Retrieved from Pinterest website: http://pinterest.com/mybelk/ "Company Profile Belk, Inc." Marketline (2012): 1-7. Web. 03 Sept. 2013. <http://web.ebscohost.com/bsi/pdfviewer/pdfviewer?sid=757de50f-f719-40e7-b48f-07a5e947804e%40sessionmgr4&vid=14&hid=25>. Belk, Inc.. "FY 2012 Annual Report." (2012): 1-3. Web. 03 Sept. 2013. <http://www.belk.com/media/pdf/AboutUs/CorporateInformation/BelkInc.FY12AnnualReport.pdf>. Fromm, J. (2011). American millennials: Deciphering the enigma generation. Retrieved from http://barkley.s3.amazonaws.com/barkleyus/AmericanMillennials.pdf Advocates for Youth. (2012). [Web log message]. Retrieved fromhttp://www.advocatesforyouth.org/millennials Nordstrom's swot analysis. (2012). Retrieved fromhttp://www.wikiwealth.com/swot-analysis:nordstrom-s

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