december insider

summary

HOLIDAY 2009

• Overview• Deals and Discounts• Online• Meaning, Not Money• Retail• Holiday Dressing• Gift Giving Product Directions

HOLIDAY 2010

SITE TOUR: WHAT’S IN STORE

overview

Overview

HOLiDAY SPeNDiNG 2009

• Consumer’s unsure over holiday spending plans

• 2009 gift giving should on par with 2008

• Attitudinally consumers are in a better place this year

• Dow Jones Economic Sentiment Indicator (ESI) highest since August 2008

• Key area of ESI improvement has been articles on shopping

• Deals and discounts are still important

• Consumers are shopping more online

DeALS and discounTs

SALES AND PROMOS

DAILY DEALS

BUDGET FRIENDLY GIFTS

GIFT CARDS

SALeS and promos

Because of that, the Holiday 2009 season is still driven by sales and promotions with bargain hunting consumers.

Americans aren’t ready to declare an end to the recession. It’s all about the economy and until they see a reduction in unemployment, they not going to feel the recession is over.

DeALS and discounTs

One of the key strategies we are seeing amongst all the big box retailers this season is the daily deal. A daily sale with a new item each day severly discounted. This strategy can be an excellent way to drum up new business or keep your current customers and clients happy.

DAiLY deals

Kohls took the stance of 25 deals of Christmas and again has 1 new discount every day of December up until Christmas.

DAiLY deals

Gift guides are always all the rage and this season is no exception however now we see retailers compiling gift guides for budget friedly gifts. Perfect for the shopper who is not looking to spend excessive amounts. We loved Bloomingdales who

did both an under $50 and $100 option.

BUDGeT Friendly GiFTs

BLOOMINGDALES

GifT cards

Retailers are also developing new strategies around gift cards in an attempt to drive traffic and sales before Christmas. Typically gift cards usual benefit is increasing store traffic in the weeks following Christmas, but this year’s strategies are

designed to drive traffic in store before.

NEIMAN MARCUS / TARGET

GifT cards

• Overview• Cyber Monday• Social Media

online

CONVENIENCE / BLACK FRIDAY: Black Friday shoppers spent 35% more on web purchases than last year.

consumers are shopping more online with two thirds planning to spend at least half of their holiday budget online – and one of the biggest draws is the convenience of being able to shop anywhere and anytime.

Overview

Cyber Monday, the Monday after Thanksgiving now has almost as much buzz as Black Friday. It was estimated that the US retail spend on Cyber Monday this year reached 2.2 billion, which was up 35% on last year. However, that still failed to

compete with Black Friday’s online sales value of $3.1billion.

cYBer monday

HSN had a record-breaking Thanksgiving weekend and Cyber Monday stating that the weekend was the largest by sales in the company’s history. On Cyber Monday, their internet sales were up almost 50%.

cYBer monday

TiS THe SeASON For social media

With an understanding that many of today’s shoppers use Facebook and Twitter regularly, and because these tools are more cost-effective than traditional advertising, about 47% of retailers said they will be increasing their use of social media this holiday season. More than half of retailers said they have added or improved their Facebook and Twitter pages this year, while two-thirds have added or enhanced blogs and RSS feeds. Social media also provides marketers with more flexibility to react to quick changing consumer demands as it is more immediate than print.

SOciAL media

TiS THe SeASON For social media

From a consumer perspective, 17% of us consumers plan to leverage social media sites to assist in their holiday shopping this year with the majority saying they will be looking for discounts and sales. In addition to that consumers will look to social media sites to research potential gift ideas, view their friends and family’s wish lists, research product reviews and to

share their own wish list with friends and family.

SOciAL media

TiS THe SeASON For social media

Starbucks has invested a lot in social media. From Twitter to Facebook to its own MyStarbucksIdea.com, they have a highly-visible social media footprint. And highly-visible results: over half a million followers on Twitter and more than 5 milliofans on Facebook. Some of Starbucks’ specific online efforts include Facebook holiday photo uploads and branded virtual goods. A Flickr page encouraging consumers to upload holiday pictures of themselves and a branded

playlist on Pandora.

SOciAL media

STArBUckS

MasterCard is continuing with its long-running ‘Priceless’ advertising campaign while adding a website that helps people set up shopping lists for their Facebook friends and choose gifts based on offerings from Amazon.com.

SOciAL media

mASTercArD & amazon.com

The Gap has set up a site at CheerFactory.com where customers can create their own holiday cheers to share on Facebook, Twitter and YouTube.

SOciAL media

THe Gap

• TRADITIONAL HOLIDAY VALUES • DO GOOD, FEEL GOOD • GIVE BACK • EVENTING

meaninG noT money

This year we see a return to traditional holiday values where there are more important things than to own and cherish - spend time with your family and loved ones, gifts that mean something vs extravagantly priced items. For example, it’s predicted that

greeting card spending won’t experience as dramatic of a drop as many other categories

TrADiTiONAL holiday values

Consumers are looking for the feel good factor and are on a path to feeling a new wave of optimism leading to new feelings of generosity. More and more consumers are partaking in random acts of kindness and trying to spread niceness and good

will. It is the concept of doing good, makes you feel good. We are seeing brands and retailers joining in.

DO GOOD, Feel Good

HYATT’S rANDOm AcTS oF GenerosiTy

On Friday, December 11, Macy’s will celebrate the first National Believe Day to recognize and reward acts of kindness and generosity across America. This year Macy’s holiday campaign is entitled believe. The campaign draws inspiration from the famous “Yes, Virginia” letter that ran in the New York Sun in 1897 where a little girl wrote the newspaper asking if

Santa Claus was real.

DO GOOD, Feel Good

mAcY’S believe campaiGn

Another way to do good and feel good is by giving back with charity donation. Charity donations have fallen in the recession, but that’s not the end of the story. While corporate charity-giving fell by 8% in the US last year, corporate profit fell 16%. So

this means charity still matters and charitable giving by companies is rising relative to profits.

Give back

cHAriTABLe donaTions

Leading US charity World Vision said charitable giving for its Holiday gift catalogue is up dramatically compared to last year by 28%

Give back

wOrLD vision

Bloomingdales promotes good deeds and the ability to make a difference with gift giving. Their Good Deeds program gives back to

an important causes that Bloomingdales believes in.

GiviNG back

BLOOmiNGDALeS

Walmart is giving back $32 million in donations to charitable organizations across the US.

Give back

wALTmArT

Retailers are using events as a way to generate foot traffic in stores. As I’ve said, consumers are looking for deeper gratification from

their retail experiences.

eveNTiNG

SeLfriDGeS

eveNTiNG

This year, Christmas at Selfridges is a plethora of events almost every day for the month of December from drag-queens to face painting and even pantomime performances.

eveNTiNG

This year, Christmas at Selfridges is a plethora of events almost every day for the month of December from drag-queens to face painting and even pantomime performances.

HeNri bendel

POP UPSSTORE WINDOWS

reTail

A rise in empty retail spaces this year means even more pop-up stores than usual are expected to open this Holiday season. And we were impressed with the stores

windows that engaged customers on a new level.

Toys R Us is opening 80 pop-up stores this year called Toys R Us Holiday Express, they will be open from October through mid-January.

TOYS r US holiday eXpress

POP ups

Cheap real estate has also allowed e-tailers to move into bricks-and-mortar environments which is a great opportunity for online brands such as eBay, who opened their first Holiday store in New York. The physical store will still give shoppers access to the entire eBay marketplace via Internet kiosks and handheld tablets.

eBAY

POP ups

Another key point to making pop-ups work, is to keep it small and saleable in terms of product.

Louis Vuitton has concentrated on small leather goods, exclusive T-shirts and novelty accessories in the pop-up, making it the perfect destination for unique Christmas gift shopping.

LOUiS vUiTTON aT selFridGes, london

POP ups

This season windows are here to make us laugh, to remember the good times and to help us hope for a better future.

Barneys, which you can see here, has injected their windows with a strong sense of humor. They are wishing everyone a Witty Holiday in honor of the legendary TV show Saturday Night Live.

HUmOUr - barneys

STOre windows

And Bloomingdale’s display themes with a twist of humor, such as Dynamic Duos where salt and pepper are as important as the Obamas

HUmOUr - bloominGdales

STOre windows

Interactive and digital media is definitely growing in popularity and are one of the most exciting developments in visual merchandising this year. Saks windows showcase scenes from their own

Holiday children’s book Twinkle Twinkle Little Flake

iNTerAcTive - saks

STOre windows

Barneys, which you can see here, has injected their windows with a strong sense of humor. They are

wishing everyone a Witty Holiday in honor of the legendary TV show Saturday Night Live.

The six windows have a continuous narrative starting with the interactive station where you can make your own letter and send it to Santa

iNTerAcTive - macy’s

STOre windows

Macy’s continues on the Dear Santa theme with an emphasis on interactivity designed to encour-age the belief in Santa Claus and the importance of wishlists.

iNTerAcTive - huGo boss

STOre windows

Hugo Boss’s Holiday campaign running in London is very interesting. This ad that ran in Shortlist magazine encourages customers to bring a copy of the add to the window of the Hugo Boss store for an interactive experience. The display uses augmented reality which enables you to interact with it.

reTail

HOLIDAY DRESSINGVELVETLIQUID METALLICSTUDDINGFEATHERSTUXEDO DRESSINGSEQUINSSTATEMENT COLLAR NECKLACECHAIN ACCESSORIES

veLveT

This season color is held at the warmer end of the scale ranging from wine-red tones through deep purple and high-shine black.

VINCE, LOS ANGELES DELCOR, LONDON PRADA, LONDON

STUDDiNG

The Warrior Goddess trend hits retail evoking a don’t-mess-with-me attitude in time for seasonal festivities. The embellished dress is the key commercial piece for this trend

BERGDORF GOODMAN, NY TOPSHOP, LONDON CESARE PACIOTTI, NEW YORK

Fabrics are draped and wrinkled for maximum effect of the high-shine gloss for that liquid sensation.

SAKS, NEW YORK HARVEY NICHOLS, LONDON NEXT, LONDON

LiQUiD meTallic

feATHerS

From statement single or full feathered, we see both apparel and accessories with voluminous feather embellishments.

SAKS, NEW YORK TOPSHOP, NEW YORK GALERIES LAFAYETTE, PARIS

The tuxedo jacket offers a partywear evolution of the best-selling boyfriend blazer. Plunging necklines with satin lapels inject femininity into the look.

STELLA MCCARTNEY, NY FRENCH CONNECTION, LONDON ZENKER, BERLIN

TUXeDO dressinG

SeQUiNS

We see dresses and skirts updated in animal prints for this season’s sequined party looks.

FRANCESCA’S COLLECTIONS, CHICAGO THE NEW YORK LOOK, NY MISS SELFRIDGE, LONDON

The statement necklace has become a mainstay in the accessories market and this season it is updated with dramatic and oversized jeweled bib collars.

WALLIS, LONDON OSCAR DE LA RENTA, NEW YORK ANTHROPOLOGIE, NEW YORK

STATemeNT collar necklace

COCOONINGHERITAGE

GiFT GivinG iTems

cOcOONiNG

Cocooning snoods are a key accessory. Crossing both the men’s and women’s markets, chunky rib and cable knits are favored for warmth, with jersey as a lighter option.

OAK, NEW YORK NORR, COPENHAGEN MISS SELFRIDGE, LONDON

cOcOONiNG

Kidswear embraces optimistic prints in every color with graphic placement characters as intarsia knits.

OAK, NEW YORK NORR, COPENHAGEN MISS SELFRIDGE, LONDON

cOcOONiNG

KNIT ORNAMENTS: Cozy knitted ornaments are a great gift and range from the traditional motifs of acorns to more abstract Christmas figures of whales and llamas

ANTHROPOLOGIE ABC CARPET LOOP KNITTING SHOP

cOcOONiNG

LOOPED KNIT SWEATER:Looped and fringed knits offer a cozy comfort but while being purpose-fully disheveled.

TOPSHOP, LONDON THE CORNER BERLIN, BERLIN MALO, MILAN

cOcOONiNG

SOFT UNSTRUCTURED KNIT SWEATER: One of this season’s core commercial winter trends is the look of soft unstructured layering, with a key piece being the unstructured knit sweater.

SERIE NORE, LILLE TOPSHOP, LONDON STEFANEL, BERLIN

cOcOONiNG

BOYS SHAWL-NECK KNIT SWEATER: Particularly for younger boys, the shawl neck knit offers a cocooning factor. Key styles include intarsia knits, preppy and cable knits.

GAP, LOS ANGELES CREWCUTS, NEW YORK ASOS.COM, LONDON

cOcOONiNG

CAPE: Cocooning capes are another key piece. Structured long-line capes are influenced from traditional trenches in classic beige tones.

CHLOE, LONDON LUCA LUCA, NEW YORK BRUUNS BAZAAR, COPENHAGEN

HeriTAGe

TRADITIONAL BOXERS: With this holiday season we are seeing the revived interest in traditional boxer short, always a key stocking stuffer.

HANES THE GAP DSQUARED

HeriTAGe

FLIGHT JACKETS: Drawing on falls Military trend, jackets have aviation and air force references.

JITROIS, LONDON RUNWAY, NEW YORK RALPH LAUREN, NEW YORK

HeriTAGe

PLAID SHIRT AND JACKET: A strong North American influence is evident for men’s casualwear with plaid shirts and jackets.

TK, TOKYO LEVI’S, NEW YORK FREE’S SHOP, TOKYO

HeriTAGe

FUR TRIM BOOTSFur-lined footwear and worn-out workboots are another key item for menswear.

SANTONI, NEW YORK SVAN SKODON, STOCKHOLM JENNY B, NEW YORK

HeriTAGe

THE BOW TIE: With the return to classic menswear this season, bow ties are noted all around. Checks and stripes have a strong commercial appeal, while other patterns include polka dots and paisley

RIVER ISLAND, LONDON TOPMAN, DUBLIN BEAUTY & YOUTH, TOKYO

HeriTAGe

DUFFEL COAT: The duffel coat is seen in its original wool form, with four toggles in classic three-quarter-length.

LORO PIANA, NEW YORK ARNOTTS, DUBLIN BENETTON, COPENHAGEN

HeriTAGe

PADDED QUILTED JACKETS: Fabrics update in padded flannels and lightweight wools, making the style just as wearable in urban areas.

BRIONI, PARIS ETRO, LONDON CANALI, MILAN

holiday 2010

CREATIVE: DIY, artistic, educational, decorative

NOSTALGIA: illustration, collage, vintage, memories

SIMPLICITY: stripped back, raw, basic, elemental

CREATIVE: The creative direction offers a bold and unexpected collection for holiday, this is a global melting pot of ideas and inspiration.

HOLiDAY 2010

Obviously influenced by the tropics, Pop Art and clean, bold, graphics, this is a distinctive direction that retains its authenticity through the use of recyclable materials and embracing a crafts aesthetic.

NOSTALGIA: This direction is a treasure chest of memories and oddity. Calligraphy, illustration, collage and découpage techniques combine beautifully with surreal results.

HOLiDAY 2010

SIMPLICITY: With simplicity we explore the new concept of luxury that is stripped down and simplistic. We have combined traditional crafts with rawer elemental motifs to create a direction

which is both slow and sensitive.

HOLiDAY 2010

WGSN CREATIVE INTELLIGENCE

Thank you!