Thursday round-up: my predictions for the future of retail and why consumer confidence matters, plus bookmarked articles & shopping notes
#56: this is In The Loop, where you’ll find retail, fashion & beauty news and trends, through the lens of a retail strategist who loves to shop, share & dive in to all the latest.
What a week it’s been. Offers here, there, and everywhere. Overflowing inboxes. Traffic to get anywhere near a shop. Let’s just say, retail’s busiest period is more busy than ever.
It does feel like there are more offers this year, so if you’re feeling overwhelmed thinking about what might work for your retail business, take a look at my Black Friday breakdown from last week’s round up where I talked about some of the best sales/ offer strategies I’ve seen this year. You might just find the inspiration you need to stand out from the crowd.
Beyond the Black Friday chaos, here’s what you’ll find in this week’s edition:
Reflections of a Retail Strategist - what caught my eye this week
So Many Thoughts- my predictions on the future of retail
Out and About, feat Muji and cardboard pop up displays in beauty
Bookmarked - this week’s must-reads
Shopping Notes - everything I saved in my Notes app this week
💭 Reflections of a Retail Strategist
What caught my eye
Building trust is a key part of retail success. A generous returns policy and offering to price match recently bought items to sale and offer prices gives customers confidence in a brand. At Monica Vinader, both are offered for 100 days from purchase, and I love it. How refreshing to see a retailer stand by the quality of their products and shopping experience.
UK consumer confidence is up thanks to Black Friday, and retailers need to take advantage. Launching a new range alongside Black Friday offers can help to get more eyeballs on a brand and prove that they aren’t just trying to clear old stock. Phase 8 took this double-pronged approach on Monday and it’s sure to boost sales of seasonal products and avoid deeper discounts later in December.
Fewer retailers and brands are avoiding Black Friday offers altogether. After opting out in previous years and moving towards charity donations on Giving Tuesday, RIXO have joined Black Friday this year with a 20% off almost everything offer. Taking part in Black Friday can be costly from a margin POV, but it has the added benefit of increasing footfall and web traffic, so even if a small discount or exclusive gift is offered, sales and brand awareness can see a boost.
💡 So Many Thoughts: what does the future of retail look like?
TL;DR: streamlined, easy to navigate, with a less is more ethos.
With seemingly endless product launches, store openings and discounts most customers (especially at this time of year) are just overwhelmed.
Overwhelmed with choice.
Overwhelmed with offers.
Overwhelmed with gift guides and recommendations.
Just overwhelmed with it all.
Thinking about this reminded of an almost decades-old study by the Harvard Business Review that found customers are more likely to buy and be satisfied with their choices if they have less choice in the first place.
Shopping has become a chore, so much so that we’re buying more just to return it because it’s easier than shopping with a purpose and a plan.
But there’s an alternative model that benefits customers and retailers.
As customers look for more ease and less stress, and retailers look for ways to reduce inventory, costs and returns, the future of retail set to be about curation and edits, personal shopping and recommendations and the use of technology to make purchasing and returning easier.
What could this look like for customers?
More live online shopping events that showcase the best of what brands and retailers have to offer in an interactive way;
More in-person shopping events with demonstrations, freebies, food/ drinks and interaction;
Shopping experiences that take out the excess as brands and retailers embrace multipurpose garments, curation and edits by offering styling advice;
They will be offered value at every touchpoint, from swing tags with QR codes that link to styling ideas to personal shopping that caters to their specific needs;
An increase in lookbooks with clickable links;
Accurate size guides that customers can trust;
Flexible payment options, including cryptocurrency;
An increase in multi sensory, immersive brands experiences - in-store cafés will become more common;
AI-generated product recommendations and suggestions that are actually relevant
All of these strategies will create an easier shopping experience that takes out excess and give a value-add beyond the sale, a trend that will create loyalty and increase satisfaction.
Honing in on what makes the perfect assortment for their customers is also a winning strategy for retailers because :
they can create products and ranges that are more targeted to specific customer needs
splitting sales across similar products leads to excess stock and increased discounting
increased customer satisfaction will lead to a reduced returns rate
it counteracts the “haul culture” that’s damaging the bottom line by creating products that are the best
it allows collaboration with customers on a meaningful level
it will create in-store services that encourage footfall and create excitement
Final thoughts
Retail strategy matters more than ever, so make sure you get yours right.
Did you know that I offer a Strategy Intensive package?
During a 90 minute call, I can help you brainstorm ideas, validate your thinking, and create a business strategy that will give you the confidence and clarity to move forward with ease
I’ll also send you all of the notes from our conversation so you can refer back to them and email you a detailed plan of action split in to quarterly sprints so you know what to focus on and when
Standing out and adding value will define the future of retail- find out more about how I can help you here.
🏬 Out and About
Browsing and shopping with a purpose
Muji
The Japanese retailer filed for bankruptcy earlier this year, but I for one hope they stick around in the UK.
I’ve been shopping at Muji for 20+ years, and I’ve always found their store experience fascinating. Last week I popped in for their stationery (their gel pens are the best pens out there and what I use exclusively when I’m writing anything) but came out with a notebook, eyelash curler refills, a hair claw, dark chocolate covered cherries, a card holder, and pens.
In other words, there’s a lot you can buy there that you didn’t know you needed. They offer simple solutions that I can’t find anywhere else (reusable travel friendly beauty pots that don't leak fit in to this category).
Here’s what I loved the most:
a new skincare range
the sock wall
organisation solutions
the easy-to-navigate store layout
tidy racks of clothing
Boots
The temporary cardboard display stands are everywhere in their stores right now
If you’ve popped in to Boots lately, you can’t have missed the temporary cardboard stands that are conveniently placed to grab your attention and encourage you to take a closer look.
What solution do these offer for Boots and the brands they feature?
It’s a quick and cost-effective way to trial a brand and/ or selected products before investing in a permanent stand;
Stands can be moved around the store;
They make great features along the checkout queue space especially for minis and gift ideas (Benefit Cosmetics do this really well);
It creates an easy edit of easy grab-and-go beauty for customers who don’t want to scour shelves full of products
🔖 Bookmarked
I love shopping in person, and one of the best experiences is always at All Saints, so it comes as no surprise that I’m super excited to see them investing in more store openings in the UK and across the world.
US beauty sales are up and 30% of shoppers are looking to buy gifts in this category, which is one of the reasons that beauty is so resilient. Other reasons: it’s a core market for self-care, caters to impulse purchases, doesn't need to cost a lot and is perfect for updating your look in a flash.
Mango is a go-to destination for key pieces and their fit and designs have been improving season after season. The Spanish retailer is now looking to expand further in the US with 60 planned new openings.
🛍️ Shopping notes
What I’ve loved this week
One of my favourite places to shop in Q4 is Kate Spade. Their stores get me in a festive mood, and who doesn’t love a splash of pure fun and colour in their accessories? Their generous Black Friday sales are also the perfect chance to grab those pieces I’ve had my eye on.
I’ve been getting my Anthropologie wish list for the 25% off sale ready for a while. Is there anywhere better for affordable designer-looking statement jewellery?! I’m heading to the store today so I’ll report back on any gems I find.
I’ve been browsing Seasons, the Next spin-off website dedicated to luxury brands and higher priced investment pieces, non-stop since it launched at the start of the month. If you haven’t seen it, you must click through to see selected pieces from Joseph, Marc Jacobs and Tory Burch. It’s a great example of a retailer analysing their data and acting on it to create a shopping solution that customers actually want.
The Kate Moss x Zara collection launches on Saturday. My reminder is set.
And that’s a wrap for this week!
I’d love to hear from you, so let me know what you think of this week’s edition and what else you would like to see over here on In The Loop.
Until next week,
Hina