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Multichannel Marketing: Bricks and Mortar stores & Social Media

Multichannel Marketing: Bricks and mortar stores are opening spaces in their stores to make community online in a bid to drive business in store.

A recent WSJ  story titled, “Can Shopping Be Fun Again” covered the phenomenon. Kimberly Grabel, Saks’s senior vice president of marketing was quoted, “Many of our customers already feel that Saks is a home away from home.”  That’s why she says Saks is adding “community rooms” that allow customers to host private birthday parties and book clubs for free.

Excuse me; Saks customers already feel Saks is their home away from home? In what universe?  Book clubs meeting at Saks? Doubt it.

Are there other brands that are doing it right? Yep…

Lululemon sells all manner of clothing for yoga enthusiasts.  They move out the racks and hold open classes throughout the week. A great fit (no pun intended) for their target customer and their products.

Topshop does a great job for their target market of teenagers with their novel idea of a photo booth at in-store events that uploads photos to their Facebook page – brilliant.

But events don’t sell merch–nor does CMO speak–salespeople do.

Can brands leverage an online community and develop one in-store? Let’s see…

H&M has 8200 Facebook fans. Are they fans because of the online community or because H&M is the leader in fast-forward fashion they have allegedly copycatted from the designers’ runways and delivered at a price point?

How about the guy who buys the Prada sunglasses for $400. Does he really want to be part of an online community he can talk about his sunglass experience? Or does he (or she) buy them to show others how cool they are to those who can’t afford them? My guess is the later.

Can in-store events help improve a customer’s experience? Of course, take B&H Photo in NYC.

B&H has an event space where they teach about how to use cameras, use images digitally – the works. This is a great fit. It helps customers better use the niche products the retailer carries.

Barnes & Noble and Borders host book clubs and have author readings – a natural fit.

But is there a need for retailers to use social media to create online communities and then hope to get them to meet at their stores?

As far as it goes, that sounds fine. But…

Don’t confuse doing something with doing the right thing to build sales. Anyone can put on a party with free food and “hang out,” like Anne Wintour’s idea last year for Fashion’s Night Out. The real thing missing from all of these “image” events is how exactly does it grow sales?

I think it’s a distraction. Look…

How many businesses do you want to manage?

I remember coffee house owners telling me they couldn’t wait to offer “free music” at night. Sounded great until they realized that they, the owner had to listen to all the demo CDs, review the fliers, make sure it was all setup and everything ran smoothly.  And then what did they have to do when the performer swore or told off-color jokes?

Events can be a way to build interest but it has to start with employees.  Explaining to them why are you doing it, showing how can they participate, asking for their ideas to make it better and sharing your goals for the event all help.

In a cross-channel world it is easy to see how building community online should compliment and build your community in-store. But is that really even possible given limited resources?

How many more salespeople could you put on your team for the money you’ve invested in the event? Or how much more training could you give them to help sell your entire store, not just what your existing employees got with their 25% off employee discount last month?

That’s what is missing in retail right now – the laser focus on selling more on the floor.  Much of what is getting ink and pixels right now seems to be a distraction.

What do you think about all the emphasis on in-store events?

Retailers Elephant in the Room – We're Just Not Into You

Ever been jilted and blame the other person for being a jerk? We all have.  Not until a good friend tells us like it is that we are not that great to be around do we look in the mirror and change.

Dear Macy’s, Best Buy, Pottery Barn and the like, now is your wake-up to look in the mirror!

For the past twenty years you have given us your idea of hearts and flowers: 20% of coupons, secret Saturday sales, friends and family nights, and shopping for charity tie-ins.  These have all danced around the elephant in the room – like having a boring date who only talks about himself, we just don’t want to visit you.elephant in room

You’ll continue to try to get us to “come home” for the holidays. When we finally break down and go, we’ll take the deals and run. Then you’ll keep contacting us like the Jon Favreau character’s awkward answering machine scene from the movie Swingers.

It’s no wonder Saks reports sales losses yesterday.  We’re just not that into you.

Many of the major retailers tout “experience” but in many cases – can we just admit it – you really are just Wal-Mart with less polyester.

The same unenthusiastic, bored employees seeing their lives slip away you’d find at a mass merchant.  The hive mentality that lets them find security stocking shelves, avoiding customers and sticking together behind the counter has left us shoppers aloof and alone.  Your pleas to return go unnoticed because we know you haven’t changed.

Sure you’ll try pop-up stores and special events like Fashion Night Out September 10 but the headlines will keep reading, Shoppers Hold Back because you hope we’ll change, not you.

The retailers that are increasing market share – and they’re out there- are taking the long view of the recession as an opportunity to change.

Looking to increase sales whether you’re a major player or mom & pop? Look in the mirror – it’s time for a makeover.  Now! Otherwise, we’ll just sit at home eating our Chunky Monkey ice cream until someone better comes along to sweep us off our feet.  And that’s the next elephant in the room.

What if we stop looking and just accept our aloneness, looking at a blue screen and shopping online?  Then what are you going to do?

Learn how to makeover your business.

©Bob Phibbs 2009

Women’s Apparel Sales Off Because Nothing Fits

An article in today’s WSJ by Rachel Dodes entitled, Neiman Presses Designers for Cuts, subtitled …Searching for ‘Value’ to Sway Full-Price Sales, covered how the Neiman Marcus buyers are convinced they must be able to show ‘value’ in their clothes.  Their buyers are telling designers to cut out pleats and save money to hit price points. I have news for them: value is not the real issue women’s apparel sales are so low; nothing fits anymore.

Years of going overseas have meant shave a bit here on the pattern and shave a bit there on consistency.  Who cares if the pattern varies one to the other as long as it looks OK on the hanger. Most sales clerks don’t wear the garments they sell so they aren’t telling the buyers. Well now is the time to change this women’s apparel retailers!

To find out if I was on base, I chatted with an audience member Patty. She told me about her recent shopping experience at an upscale women’s boutique going out of business in Waco, TX. She purchased a 6, an 8 and a size 10 pant. These were not cheap garments, they were the type found at Neiman Marcus.

Patty turned to me and said, “Do I look like a 10 to you?” OK guys, you know the right answer to that but it also was true, “No you don’t.” Patty is an attractive woman who I would think a size 6 would fit easily. She even tried on size 12s.

“Wouldn’t you think,” she started “that I should at least be able to pull the size 8’s on? I couldn’t even get them zipped!” And this is at the crux of what I think retailers should be working on during the recession. Women’s clothes don’t fit. It’s a trend that only got worse in the past five years; there is no consistency in the manufacturing.

Is the rise different? OK, but if she’s a 6, she should still be able to get a different cut of a size 6, not have to go two sizes higher to get it buttoned. A woman should never vary by more than one size to get a good fit.

It’s funny people always say guys are the ones who hate to shop yet we have the easiest fit. I can go into any store, high or low-end and pick up a shirt 15 ½ x 34 and it will fit, same with my pants and jacket sizes. Men’s clothes fit.

If a woman is a 6 and has to try on the 8, she’ll think, “I must’ve put on weight.” As Patty shared with me, “Buying clothes in front of a mirror makes you already down on yourself to begin with. If it doesn’t fit, my self-esteem goes under the rug.”

This is a HUGE issue women’s apparel retailers.

As more more manufacturing has gone overseas, the thought must have been we’ll flatter women and give them smaller sizes. And we really don’t have to cut it to fit, they’ll buy it anyway. Heck, women were buying shoes and not even wearing them. It still sold. Those days are gone for Neiman Marcus, Saks and all the others.

Patty was on a roll, “Hey I work. I make a good living. I want to look nice. I will spend money on clothing that I feel is worth it. When I feel I have to settle just for what fits, that’s just crap.”

I saw a video interview with Michael Kors on the New York Times website, “In this day it has to whistle Dixie if it’s going to go off the shelf.” But again, that is based on the belief that it is the fashion that will make the difference – the real issue appears to be women’s frustration with shopping.

A woman doesn’t want a roll of the dice when she picks up garments to try on. Since many stores have cut both personnel and training, no one is going to help her – she knows she’s all alone. She’s got to get undressed, try it on, go back out if it doesn’t fit, etc.

Patty went on, “You would think if you pay more money for it that you would get a truer fit. Wouldn’t you? That would be my expectation, but that’s where you get very frustrated.”

She continued, “If a salesperson knows how a garment fits on your body, then shopping’s fun – all you have to worry about is ‘Do I want it in green or black?’, not trying to get it to fit. I don’t remember the last time I had that experience.”

I asked Patty, “Well jackets aren’t so finicky right?” Patty had a story for me, “My husband and I were walking through Dillard’s and I saw a beautiful long black designer coat on sale from $600 to $173- it was a medium. Wouldn’t you think I’m a medium? Wouldn’t you think I’m a medium? Well I thought this coat was really pretty.

About that time my husband’s beeper went off and he had to go. I didn’t feel like staying. About an 1 1/2hr later he came home and asked, ‘Did you get the coat?’ and I told him, ‘No, we were having fun and I just didn’t feel like shopping once you left and I didn’t go back’. He turned to me with a smile on his face, ‘Well here you go.’ And he handed me the coat! He had gone back to Dillard’s and bought it for me.

Do you know what? It didn’t fit! I couldn’t even get my arms through it. And I’m a medium! It was cut like an extra small! A $600 coat in a medium didn’t fit. The media is full of stories saying ‘women don’t want expensive items anymore.’ No, it’s about being able to buy a medium or a 6 or an 8 or a 14 and know it will fit.

How are we supposed to be able to go shopping? You have to use more of your time and it becomes a chore. When it’s fun I’ll do it again.”

I asked her about legendary service store Nordstrom  – surely they are better. Oops.

Patty had a story there too, “ I went into Nordstrom’s in Dallas with $1000 for my professional suits, but I couldn’t find any suits. I’ve read about the Nordstrom way, but never gotten it. Anyways, I finally found this little girl and I said, ‘I’m a businesswoman I’m looking for clothes for work. I must be in the wrong department.’ She said, ‘No problem’ we walked over to a display and she said, ‘This will look darling on you.’ It was one of these tiny, tiny jackets with pencil legs. I said, ‘That would look great on you but a train wreck on me. I’m 55 yrs old. I don’t want to look like I’m 55 trying to look like 25.’

I would have thought that would be a slam-dunk for Nordstrom. I walked out without buying a thing and I haven’t been back.”

Women’s apparel retailers, now is the time to fix it for the Pattys of the world. This is the real opportunity to compete, not saving $25 here and there.

By the time we were finished with our chat we had a table full of women sharing similar stories. Notice it wasn’t about the discounts offered or retail price of things- it was a simple message: shopping isn’t fun anymore.

Fix that by buying better, developing an across-the-board consistency in sizes and train your sales crew about every garment, fit and how to work a dressing room and you’ll be able to entice this sought-after customer.  If you need help, contact me

Miss this opportunity and you’re toast -concentrating on saving a few bucks on pleats, rather than saving the entire category of women’s apparel.

How Sarah Palin Helped Lose John McCain’s Election

When Ms. Palin burst onto the scene in early September, she was presented as a middle-class everywoman.  Images of her hunting moose, holding her babies, shopping at the local store in Wasilla, Alaska all supported that image.  It connected with rural woman and men proud to see “one of their own” on the national stage.

As information was reported last week, the image the RNC wanted her to portray of an ordinary hockey mom conflicted with the reality of clothes from Saks and Neiman Marcus.  A $2500 designer jacket made the everywoman image a mirage – she was every bit a woman out of reach and possibly out of touch with the every woman they wanted her to be.

Michelle Obama was on David Letterman the night of the report and referred to her own outfit from Target. Ouch.

And by anyone’s account those Katie Couric interviews of Ms. Palin did not show she was ready to lead the most powerful country in the world. 

My point to business owners is that while ad agencies large and small are getting more work than ever to come up with powerful messages and branding, it can’t be an image that is in conflict with reality.  You don’t get points for deceiving people, they shut their wallets or close their ears to you.

For example, you can’t show a picture of friendly, helpful employees unless you actually have them.  Marketing can’t do the heavy lifting of the actual experience.

Regulars will look past the dirt, the pieces of leftover Valentine’s decorations, yellowing tape on the windows, broken or cracked counters, etc. and wait for your employee to wait on them.

But new customers will take notice. After all, they were attracted by something – your clever ads, your mailers, your sponsorship of the local charity, etc.

When people are willing to give you a look, make sure it is consistently the real deal – not a mirage. Are you listening Macys, Lord & Taylor, and Brooks Brothers?

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