'They don't want to work' versus 'They don't want to provide work'
THE IN BEST OF RETAIL’S BRICK AND MORTAR NEW PARADIGM€¦ · the consumer knows what they want,...
Transcript of THE IN BEST OF RETAIL’S BRICK AND MORTAR NEW PARADIGM€¦ · the consumer knows what they want,...
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THE
MORTARBRICK AND
BEST OF
DESIGN AND DESIRE
INRETAIL’S NEW PARADIGM
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AROADMAP
TOTHE FUTURE
HOW DO WE GET THERE? BARNEYS
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INNOVATION AND TECHNOLOGY ARE THE DRIVERS OF PROSPERITY
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THE STEAM ENGINE
INNOVATION AND TECHNOLOGY ARE THE DRIVERS OF PROFITABILITY
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ELECTRICITY
INNOVATION AND TECHNOLOGY ARE THE DRIVERS OF PROFITABILITY
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THE TRANSISTOR
INNOVATION AND TECHNOLOGY ARE THE DRIVERS OF PROFITABILITY
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THE LAZER
INNOVATION AND TECHNOLOGY ARE THE DRIVERS OF PROFITABILITY
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THE MICRO CHIP
INNOVATION AND TECHNOLOGY ARE THE DRIVERS OF PROFITABILITY
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THE COMPUTER
INNOVATION AND TECHNOLOGY ARE THE ENGINES OF SUCCESS
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AS WE ALL BOARD THE TECHNO-TRAIN WE MUST REMEMBER…
SAMSUNG
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DRIVES DESIRE
D E S I G N
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12
E S I G N
N T I C E S
T I M U L A T E S
N S P I R E S
E A C T I O N
M O T I O N
D E S I R E
BARNEYS
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13
EMOTIONELEVATES CRAFT INTO THE REALM OF ART
EMOTION ELEVATES THE PROCESS OF DESIGN
BARNEYS
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WHY DO WE LOVE APPLE?THEY’VE MADE DESIGN A PROFIT CENTER
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THE FUTURE OF RETAIL IS NOW
SONOS
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NOW IS THE FUTURE OF GREAT DESIGN
D E S I G N
ADIDAS
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IS CHANGETHE FUTURE OF RETAIL
• GLOBALIZATION
• SOCIAL MEDIA
• BRANDED ENVIRONMENTS
• TECHNOLOGY
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“IT IS NOT THE STRONGEST OF THE SPECIES THAT SURVIVES, NOR THE MOST INTELLIGENT, BUT THE ONE MOST RESPONSIVE TO CHANGE”
CHARLES DARWIN, 1809
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RETHINKTHE TRADITIONAL ROLE OF THE STORE
CONSIDER INTERACTION RATHER THAN TRANSACTION
INTERACTION
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FASHION IS CHANGE BY DEFINITION
BARNEYS
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TODAY THE RETAIL INDUSTRY IS CHANGING FASTER THAN EVER BEFORE
EL PALACIO DE HIERRO POLANCO 32
MUNDO LUJOCOMPLETED SITE PHOTO
PALACIO DE HIERRO
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THE RATE OF CHANGE IS EXPONENTIAL
BARNEYS
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RETAIL CONTINUES ON A GRAND EVOLUTION
FELIX/COLLINS
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AND THAT EVOLUTION IS MORE IMPORTANT TODAY THAN EVER BEFORE
FELIX/COLLINS
SAKS FIFTH AVENUE
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THOSE WHO EMBRACE CHANGE WILL PROSPER
FELIX/COLLINS
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GET HERE? HOW DID WE
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IT BEGANWITH A STORE
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THEN THERE WEREMORE STORES
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AND NOWEVEN MORE STORES
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THE BURDEN OF FULFILLMENTWAS ON THE CONSUMER
THE CONSUMER DID ALL THE WORK
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THE CONSUMER KNOWS WHAT THEY WANT, WHEN THEY WANT IT, AND WHERE THEY WANT IT
TODAY THE BURDEN OF FULFILLMENTIS IN THE SHOULDERS OF THE RETAILER
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WE USED TO GET OUR FASHIONAND PRODUCT INFORMATION FROM ONE OTHER
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AND THENALONG CAME THE INTERNET
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AND WE DISCOVEREDONLINE SHOPPING
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ONLINE SHOPPINGINCREASED DRAMATICALLY
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AND INTERPERSONAL EXCHANGESBECAME LESS FREQUENT
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AND THENWE WERE INTRODUCED TO THE SMARTPHONE
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AND THEN WE HADSTORES IN OUR BACK POCKETS
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AND NOWWE ARE TOTALLY CONNECTED
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WHEREDID THE PEOPLE GO?
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WITHOUT LEAVING THE COMFORT OF HOME
SHOPPING IS NOWDESKTOP TO DOORSTEP
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STORE VISITSARE NO LONGER NECESSARY
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SOCIAL INTERACTIONSDIMINISHED EVEN FURTHER
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AND EVEN THAT IS CHANGING
THE ONLY HUMAN INTERACTIONIS WITH THE DELIVERY MAN
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HOW DO WE GETCUSTOMERS TO RETURN TO THE STORES?
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AND HOW DO WEDIFFERENTIATE OUR STORES FROM THE OTHERS?
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HOW WILLBRICK AND MORTAR REMAIN RELEVANT?
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HOW WILL BRICK AND MORTARSURVIVE IN A DIGITAL WORLD?
PHYSICAL DIGITAL&
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FOR CUSTOMERS TO SHOP IN STORES AGAIN
RETAILERS MUSTPROVIDE A NEW REASON
COSCIA
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WE MUST BRING BACKTHE HUMAN TOUCH
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RETAIL’S BIGGEST CHALLENGETODAY IS NOT THE ECONOMY
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TODAY IS NOT SAMENESSRETAIL’S BIGGEST CHALLENGE
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TODAY IS NOT TECHNOLOGYRETAIL’S BIGGEST CHALLENGE
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TODAY IS OUR RESPONSE TO TECHNOLOGYRETAIL’S BIGGEST CHALLENGE
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OF TECHNOLOGY INTO THE STORE ENVIRONMENT
IS THE SEAMLESS INTEGRATIONRETAIL’S BIGGEST CHALLENGE
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TECHNOLOGY ISN’T THE MESSAGEIT SUPPORT THE MESSAGE
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THE FOCUS SHOULD BE THE BEAUTY OF THE STORE
THE FOCUSSHOULD NOT BE TECHNOLOGY
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THE FOCUSSHOULD NOT BE TECHNOLOGY
THE FOCUS SHOULD BE THE BEAUTY OF THE STORERALPH LAUREN
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THE FOCUSSHOULD NOT BE TECHNOLOGY
THE FOCUS SHOULD BE THE BEAUTY OF THE STORERALPH LAUREN
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THE PHYSICAL STOREIS OUR LARGEST CAPITAL
COACH
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IS IN THE STORE ENVIRONMENT
THE BEST PLACETO CREATE CUSTOMER RELATIONSHIPS
COACH
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THE STORE ENVIRONMENT IS THE MOST IMPORTANT TOUCHSTONE OF THE BRAND
UGG
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INTEGRATE BRAND MESSAGES THROUGHOUT THE SPACE
UGG
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COMMUNICATE THE ESSENCE OF WHO YOU ARE AND WHAT YOU STAND FOR
UGG
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UGGUGG
PROVIDE A PORTAL TO YOUR DNA
UGG
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PROVIDE A WINDOW TO YOUR HEART AND SOUL
UGG
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THE PHYSICAL STORE IS THE EMBODIMENT OF THE BRAND
UGG
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THE BRAND CONTAINS THE TREND THE BRAND IS THE DRIVER
UGG
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THE FUTURE OF RETAILIS CONNECTIVITY
• SOCIAL MEDIA
• BEACON THECHNOLOGY
• BRANDED APPS
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SALES = DIGITAL ENGAGEMENT X HUMAN INTERACTION
72%
24/7
42%
OF YOUNG CUSTOMERS RESEARCH THEIR OPTIONS ONLINE BEFORE VISITING A STORE
SHOPPABLE WINDOWS OR DISPLAYS THAT OPERATE EVEN WHEN THE STORE IS CLOSED
OF COMPANIES WILL SEND COUPONS BASED ON CUSTOMERS’ LOCATION IN STORE…..BEACON TECHNOLOGY
HOME
OUTSIDE STORE
ARRIVING AT STORE
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66%
22%
85%
OF CUSTOMERS WOULD LIKE TO SEE DIGITAL PROMOTIONS TIED INTO BRICK AND MORTAR
OF CUSTOMERS SPEND MORE IF DIGITAL IS INVOLVED WITH THE PROCESS
OF CUSTOMERS BUY MORE WHEN HELPED BY A KNOWLEDGEABLE SALES ASSOCIATE
OMNI CHANNEL
DIGITAL
HUMAN
SALES = DIGITAL ENGAGEMENT X HUMAN INTERACTION
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85%OF CUSTOMERS BUY MORE WHEN HELPED BY A KNOWLEDGEABLE SALES ASSOCIATE
HUMAN
SALES = DIGITAL ENGAGEMENT X HUMAN INTERACTION
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TECHNOLOGY SHOULDN’T REPLACE CUSTOMER SERVICE
IT SHOULD SUPPORT IT
CUSTOMER
QUALITY
EFFICIENCY
SERVICE
RELIABILITY
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BRING THE BEST OF ONLINEINTO THE STORE
COATS
MODELS
COLOR
SIZE
PRICE
THE STORE OF THE FUTURE
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BRING THE BEST OF ONLINEINTO THE STORE
OF SMARTPHONE USERS TURN TO THEIR PHONES WHILE IN A STORE DECIDING WHICH PRODUCT TO BUY
82%
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VIRTUAL REALITY
BRING THE BEST OF THE STOREONLINE
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WILL TAKE YOU THERE FROM ANYWHERE
THE VIRTUAL REALITYSTORE FRONT
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VIRTUAL REALITYWILL BRING THE ENVIRONMENT TO YOU
COLE HAAN
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THE FUTURE OF RETAILIS CUSTOMER INTERACTIVITY
• DIGITAL SIGNAGE
• GLASS FACADES
• SELF TALKERS
• SOCIAL MEDIA
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BEGIN THE DIALOGUE WHILE THE CUSTOMER IS ACROSS THE STREET
GLASS FACADESTHE STORE IS A TOOL OF COMMUNICATION
UNIQLO
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CONTINUE THE DIALOGUE WITHIN THE STORE THEY WILL STOP - THEY WILL LOOK - THEY WILL BUY
VIRTUAL CLOTHING RACKSTHE STORE IS A TOOL OF COMMUNICATION
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THE WALLS SHOULD BE A MEANS OF ENGAGEMENT
DIGITAL SIGNAGETHE STORE IS A TOOL OF COMMUNICATION
THAKOON
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PROVIDE PRODUCT INFORMATION DO MORE THAN SELL - TEACH
SHELF TALKERSTHE STORE IS A TOOL OF COMMUNICATION
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SOCIAL MEDIACONNECT ON SOCIAL PLATFORMS
FACEBOOK US
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SOCIAL MEDIAFROM NORDSTROM TO TARGET
PIN US
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WELCOME AND PROMOTE SELFIES
SELFIESOCIAL MEDIA
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THE FUTURE OF RETAILIS COMFORT
• FOOD
• FITTING ROOM
• COMMUNITY ROOMS
• LOUNGES
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• IT FINALIZES THE SALE
• THE MORE THEY TRY, THE MORE THEY BUY
• 67% CONVERSION RATE BY CUSTOMERS WHO USE THE FITTING ROOM
• SMART MIRRORS
• LARGER SPACE
• IMPROVED LIGHTING
• BACKDROPS TO PROMOTE SELFIES
• PLUSH SURFACE MATERIAL
RETHINKTHE FITTING ROOM
THE FITTING ROOM IS A CRITICAL COMPONENT OF THE SELLING FLOOR AND THE RETAIL STRATEGY
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REBECCA MINKOFF PARTNERS WITH eBAY TO INTRODUCE NEW FITTING ROOM TECHNOLOGY THAT COMBINES ONLINE SHOPPING WITH A TRADITIONAL SHOPPING EXPERIENCE
INTERACTIVE MIRRORSFITTING ROOMS
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PROVIDE COMFORTAND A SENSE OF PLACE
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THERE IS FASHIONIN FOOD
DESIGNER MELONS COUTURE CUCUMBERS
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FASHION LEADERS HAVE EMBRACED THE COMPELLING ALLURE OF FOOD
KARL LAGERFELDTRANSFORMED THE GRAND PALAIS OF PARIS INTO A GIANT SUPERMARKET
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LAFAYETTE GOURMET
GALERIES LAFAYETTEHAS INVESTED MILLIONS IN UPGRADING THEIR FOOD CONCEPT
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LA GRANDE ÉPICERIE
LE BON MARCHÉHAS INVESTED MILLIONS IN UPGRADING THEIR FOOD CONCEPT
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THE FUTURE OF RETAILIN CUSTOMER ENGAGEMENT
• STORY TELLING
• EXPERIENTIAL SHOPPING
• INTERACTIVE MIRRORS
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DESIGN MORE THAN A STORE - DESIGN AN EXPERIENCE
STORY TELLINGEXPERIENTIAL SHOPPING
COSCIA
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IT’S NO LONGER POINT OF SALE (POS) IT’S POINT OF EXPERIENCE (POE)
STORY TELLINGEXPERIENTIAL SHOPPING
COSCIA
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NEW IDEAS, NEW CONCEPTS AND NEW APPROACHES
BE INNOVATIVESTORY TELLING
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NEW IDEAS, NEW CONCEPTS AND NEW APPROACHES
CUSTOMIZATIONBE INNOVATIVE
CONVERSE
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THE FUTURE OF RETAILIS ANALYSIS OF THE CONSUMER FEEDBACK
• ANALYTICS
• STATISTICS
• CODING DATA
• INFORMATION
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THE ART IS ASKING THE RIGHT QUESTIONS
RETAIL ANALYTICSIS AN ART AND A SCIENCE
THE SCIENCE IS THE ANALYSIS OF THE RESPONSES
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IT PROVIDES THE CUSTOMER WITH GREATER CHOICE, AND MORE INFORMATION THAN EVER BEFORE
THE INNOVATION TODAYIS NOT TECHNOLOGY, THE INNOVATION IS WHAT TECHNOLOGY ALLOWS THE CUSTOMER TO DO
ADIDAS
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AN ENVIRONMENT THAT WILL BRING THEM BACK INTO THE STORE
THE RIGHT BALANCE
OF PHYSICAL AND DIGITAL WILL CREATE A BRANDED ENVIRONMENT THAT IS RECOGNIZABLE AND MEMORABLE
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CONSUMER BEHAVIORHAS CHANGED FOREVER
EMBRACING CHANGE IS VITAL UNDERSTANDING MICRO MOMENTS IS A STRATEGY FOR SUCCESS
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MICRO MOMENTSWHEN PEOPLE TURN TO A DEVICE—A SMARTPHONE
THESE ARE DECISIVE MOMENTS WHEN DECISIONS ARE MADE AND PREFERENCES SHAPED
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IN YEARS
LIFE ISN’T LIVED
MICRO MOMENTSARE CHANGING EVERYTHING
IN DAYSIN HOURS
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LIFE IS LIVED
MICRO MOMENTSARE CHANGING EVERYTHING
IN MOMENTS
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THE DAY IS STARTING MOMENT
THOUSANDS OF MICRO MOMENTSWHICH ONES MATTER MOST
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THOUSANDS OF MICRO MOMENTSWHICH ONES MATTER MOST
I CAN FIX THIS MOMENT
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THOUSANDS OF MICRO MOMENTSWHICH ONES MATTER MOST
IT’S GOT TO BE SUMMER SOMEWHERE MOMENT
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THOUSANDS OF MICRO MOMENTSWHICH ONES MATTER MOST
I COULD PULL THOSE OFF MOMENT
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PEOPLE ALL OVER THE WORLD ARE TRYING TO MAKE THE MOST OUT OF EVERY MOMENT
LIFE IS MADE UPOF MICRO MOMENTS, AND SO IS THE SHOPPING CYCLE
TIMBERLAND
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A NEED TO KNOW - A NEED TO GO - A NEED TO DO - A NEED TO BUY
MICRO MOMENTSARE MOMENTS WHEN CONSUMERS ACT ON A NEED
TIMBERLAND
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WILL YOU BE THERE FOR THEM?
A NEED TO KNOW - A NEED TO GO - A NEED TO DO - A NEED TO BUY
MICRO MOMENTS
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BRANDS THAT HAVE A STRATEGY FOR UNDERSTANDING AND MEETING CONSUMERS' NEEDS IN THESE MICRO-MOMENTS WILL SUCCEED
WHO ARE THE SUCCESSFUL BRANDS OF TOMORROW?MICRO MOMENTS
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THE PATH TO PURCHASE WAS LINEAR
TRADITIONAL RETAILTHE SHOPPING FUNNEL
AWARENESS
INTEREST
PURCHASE
DESIRE
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THE PATH TO PURCHASE IS NON LINEAR
MICRO MOMENTSNEW FORMULA FOR RETAIL SUCCESS
SCAN
DISPLAY
BRAND
STORE
ON-LINE
SOCIAL MEDIA
ENGAGE
DISCOVER
BUY
EXPLORERESEARCH
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NOTHING IN THE STORE IS FOR SALE…
THE PHYSICAL RETAIL STOREISN’T GOING AWAY. THE TRADITIONAL MODEL OF "GET THEM INTO THE STORE AND SELL” IS CHANGING
SAMSUNG
BUT EVERYTHING IN THE STORE IS A BRANDED EXPERIENCE
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CONSIDER INTERACTIONRATHER THAN TRANSACTION
RETHINK THE TRADITIONAL ROLE OF THE STORE
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AS THE FOCUS SHIFTSFROM IN-STORE SALES THE NEW ALLURE OF THE PHYSICAL STORE IS BRAND IMMERSION
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THEY ARE CLEARLY MISS-STEPPING IF THE TECHNOLOGY BECOMES THE MESSAGE
RATHER, IT SHOULD BE A VEHICLE TO PROMOTE BRAND LOYALTY
AS RETAILERS INDUSTRY-WIDESCRAMBLE TO INTRODUCE TECHNOLOGY INTO THEIR STORES
SAMSUNG
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TOO MUCH OF ANYTHING DILUTES THE MESSAGE
CURATE THE DEPLOYMENT OF TECHNOLOGY
EDITING IS A CRITICAL PHASEOF THE DESIGN PROCESS
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CURATE THE DEPLOYMENT OF TECHNOLOGY
STRATEGIC POSITIONINGOF TECHNOLOGY IS CRITICAL TO SUCCESS
PALACIO DE HIERRO
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A WALK THROUGH THE STORE SHOULD BE LIKE A WALK THROUGH THE WEBSITE
THE DISTINCTIONBETWEEN BRICK AND CLICK IS DISSOLVING
BURBERRY
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THERE’S NOTHING NEWABOUT CHANGE
CUSTOMERS ARE AHEAD OF RETAILERS IN TERMS OF CHANGE RETAILERS HAVE TO CATCH UP
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A NOBLE PURPOSE DO MORE THAN SELL
EMPATHY FOR CUSTOMERS AND EMPLOYEES
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HUMANITYIS THE NEW LUXURY
EMPATHY FOR CUSTOMERS AND EMPLOYEES
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“WE SEE THE CUSTOMER AS AN INVITED GUEST TO A PARTY AND WE ARE THE HOST. IT’S OUR JOB TO MAKE THE CUSTOMER EXPERIENCE A LITTLE BETTER” JEFF BEZOS
CEO
CUSTOMER
HUMANITYIS THE NEW LUXURY
EMPATHY FOR CUSTOMERS AND EMPLOYEES
INVERT THE ORGANIZATIONAL
CHART
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HUMANITYIS THE NEW LUXURY
WHAT WOULD THE WORLD MISS IF YOU DID NOT EXIT?
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WHAT INSPIRERSAND MOTIVATES YOUR CUSTOMER?
WHEN THEY GO TO THE STORE, THAT’S WHERE THEY MEET THE BRAND
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MAKE THE STORE EXPERIENCEBETTER
• A PERSONALIZED CUSTOMER EXPERIENCE • A SENSORY EXPERIENCE • A CURATED EXPERIENCE • A FUN AND ENTERTAINING EXPERIENCE • AN ON-LINE MEETS OFF-LINE EXPERIENCE • MOBILE ENGAGEMENT AND INTERACTION
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IN-STOREMICRO MOMENTS
EL PALACIO DE HIERRO POLANCO 25
EDIFICIO DE OFICINAS DE LA ASEGURADORA ALIANZAPASEO DE LA REFORMA 51
MUSEO NACIONAL DE ANTROPOLOGÍA EDIFICIO DE OFICINAS, PASEO DE LA REFORMA 195
EDIFICIO BUSH, PASEO DE LA REFORMA 107
COLUMNA DE LA INDEPENDENCIAFUENTE DE LA DIANA CAZADORA HOTEL DEL PASEO, PASEO DE LA REFORMA 208
EL CABALLITO
ESTELA DE LUZ
COLUMNA DE LA INDEPENDENCIA, PASEO DE LA REFORMA 369
SEGUROS LA COMERCIAL,PASEO DE LA REFORMA 116
HOTEL CAMINO REAL
PASEO DE LA REFORMA
D
PALACIO DE HIERRO MEXICO CITY
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PALACIO DE HIERRO STORE LAYOUT REFERENCES THE CITY
EL PALACIO DE HIERRO POLANCO 26
CONCEPT PLANPLANTA BAJA
FUENTE DE LA DIANA CAZADORA
COLUMNA DE LAINDEPENDENCIA
ENTRADA
ENTRADA
ENTRADA
PUERTA DE LOS LEONESMONUMENTO A
CUAUHTÉMOC
LA ALAMEDA
IN-STOREMICRO MOMENTS
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EL PALACIO DE HIERRO POLANCO 28
MUNDO LUJO - MONUMENTOS
FUENTE DE LA DIANA CAZADORA
COLUMNA DE LA INDEPENDENCIAPUERTA DE LOS LEONES
MONUMENTO A CUAUHTÉMOC
PALACIO DE HIERRO MEMORABLE AND RECOGNIZABLE LANDMARKS
IN-STOREMICRO MOMENTS
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THE COLUMNA DE LA INDEPENDENCIAEL PALACIO DE HIERRO POLANCO 32
MUNDO LUJOCOMPLETED SITE PHOTO
PALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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PUERTA DE LOS LEONESPALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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THE COLUMNA DE LA INDEPENDENCIAPALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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PALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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PALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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PALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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PALACIO DE HIERRO
IN-STOREMICRO MOMENTS
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THE IN-STORE ENVIRONMENT CONTINUES AS A CRITICAL TOUCHSTONE OF THE BRAND
THERE IS A NEW ERAIN RETAIL DESIGN
SAKS FIFTH AVENUE