Transcript BA (Hons) Fashion Management Retail Pathway

Introduction to Retail Design
Presentation to:
Temasek Polytechnic, Singapore
ZSTU, Hangzhou, China
Bill Webb
The London College of Fashion
The University of the Arts, London
www.arts.ac.uk
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largest university for art, design & fashion
in Europe
over 25,000 students
students from more than 130 countries
six specialist colleges
focus on retail & fashion management
Fashion Retail Academies
centres for consulting and industry
training
extensive research…”Size UK”…”Mass
Customisation”…
The University of the Arts, London
UAL Headquarters, London
Mme Hu Jintao with Sir
Michael Bichard, Rector
Bill Webb
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Scholar of Cambridge University
30 years experience in fashion
management, consulting and teaching
Conference presentation and
publications (The Fashion Handbook,
Fashion Marketing – Contemporary Issues)
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Recent visits to Shanghai, Hang Zhou,
Beijing, Dalian & Hong Kong
Chinese wife and home in Dalian
The Power of the Visual
“You only ever have
one chance to make
a first impression”
Why it matters……
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“The first bite is
taken with the eye”
(Larousse)
Store design is a key element of fashion
brand marketing
Why it matters….
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shop design is the
expression of your
brand at the point
of sale (Zara)
shop design
provides a three
dimensional brand
experience
your shops are
expensive assets!
New Look
Success Rating of Retail Design
(UK retailers - % - source: Mintel)
Change of
image
Increasing
footfall
Increasing
average
transaction
Better than
expected
25
15
9
As expected
43
61
56
Less than
expected
11
5
7
Don’t know
14
14
23
7
5
5
100
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100
Not an
objective
The Store Development Process
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Step
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Step
1 – define distribution strategy
2 – select design agency/team
3 – prepare design brief
4 - create design concept (research?)
5 – concept detailing & development
6 – layout & space planning
7 – prototyping & costing (QS)
8 - tendering  appoint shop fitters
9 – open pilot store & evaluate
10 - snagging
11 – roll-out, with marketing support
12 – on-going performance evaluation
Benefits of Retail Design
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Differentiation
Levi Jeans
San Francisco
Benefits of Retail Design
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Catalyst for Change
Benefits of Retail Design
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Sales & Profit Improvement
Benefits of Retail Design
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Operating Efficiency
Benefits of Retail Design
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Staff Recruitment & Motivation
Benefits of Retail Design
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Customer Loyalty
Benefits of Retail Design
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Branch Network Expansion
Benefits of Retail Design
Summary
differentiation
 catalyst for change
 sales & profit improvement
 operating efficiency
 staff recruitment & motivation
 customer loyalty
 branch network expansion
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How to Design your Shop
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in-house
external agency
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design agency
architect
equipment supplier
shopfitter
advertising agency
joint project
The Design Brief
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“Know who you want to be”
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the “bible” for the project
should be drawn up jointly by the project
team
should be signed off by the director or
budget holder
time and cost of preparing the brief must
be allowed for
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Don Watt
Contents of the Design Brief
creative brief
 operational brief
 financial brief
 programme
 contractual issues
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The Creative Brief
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background to the project
“big Idea”, “vision”, “USP” – key dimension of
competitive advantage
target customer + lifestyle, needs and usage
geographical market characteristics
competitor analysis – positioning
merchandise categories & brands
desired mood & ambiance
brand personality & value
Integration with other brand marketing
The Operational Brief
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shop location & site
shop size & variations, space use
methods of operation – stock holding,
replenishment, circulation, etc
product mix & characteristics
display method & density requirements
security strategy
promotional & marketing requirements
method of payment
customer service offer
staff and customer facilities
legal issues
The Financial Brief
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budget for the project, inc contingencies
trading potential for specific stores, including
pilot store
capital v. revenue costs
evaluation measures
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(increased) profit return on investment
sales and market share (increase)
space & employee productivity
footfall, visitor profile
conversion ratio
transaction value, multiple purchasing
loyalty, visit frequency
Key Design Elements
store front & windows
 interior ambiance
 space use & layout
 merchandise presentation
 signs & graphics
 service(s)
 visual merchandising
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Store Front and Windows
Interior Ambiance
Interior Ambiance
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colour
finishes (floors, walls,
ceiling)
textures
lighting
temperature
sound/music
smell
products & customers!
Space Use and Layout
Space Use & Layout
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principles
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footfall
horizontal circulation
vertical circulation
space allocation
adjacencies
use of the cube
densities
flexibility
Space Use and Layout
grid
boutique
rose
freeflow
loop or “racetrack”
Space Use & Layout
Merchandise Presentation
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hanging
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lateral
frontal
stacking
dumping
pegging
mixed
Merchandise Presentation
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sight lines
vistas
focal points
category
coordination
fixtures
Signs & Graphics
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information
education
promotion
atmosphere
Levels of Design Application
1.
2.
3.
4.
5.
cosmetic : graphics, paint etc
facelift + secondary fixtures,
lighting, uniforms, flooring
refit + fixtures, layouts, equipment
remodel + exteriors, circulation,
services, total concept….
rebuild : start again!
Spend depends on….
return on investment
 local customers
 local competitors
 shop unit
 state of the art knowledge
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Visual Merchandising
“The First Bite is always taken with the Eye”
Origins of Visual Merchandising
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Fashion
- creative display
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Consumer Goods
- merchandising
disciplines
Visual Merchandising
Visual Merchandising
Douglas
Crate & Barrel
Visual Merchandising
Objectives
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Strategic - supporting your brand
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enhance customer experience
improve store intelligibility
suggest customer problem solutions
improve your R.O.I.
Visual Merchandising
Objectives
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Operational - improving trading
results
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increasing
increasing
increasing
increasing
sales
profit margins
stock turn
space productivity
Visual Merchandising
Objectives
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Tactical - optimising daily
opportunities
supporting
 supporting
 supporting
PR
 supporting
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new products
supplier promotions
your own advertising and
seasonal promotions
“Sales”
Tools of Visual Merchandising
graphics
 colour
 lighting
 texture
 display props
 electronic screens
 the merchandise itself !
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Tools of Visual Merchandising
Which Brand is this?
Tools of Visual Merchandising
Measuring Visual
Merchandising
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footfall
dwell time
conversion rates
transaction values
multiple purchases
sell down rates
promotion take-up rates
brand awareness & reputation
Fashion Brand Identity
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Stylistic Identity –
product design
handwriting
Image Identity marketing
communications
Retail Identity –
selling environment
Burberry
Saviola & Testa (2000)
International Flagships
Burberry, New York
Comme des
Garcons,
New York
Louis Vuitton,
New York
The International Brand Building
“Flagship stores are those stores regarded as the pinnacle in
the retail chain. They are usually large and located in high
footfall, prestigious locations. They offer a full range of
merchandise, with an emphasis on the more expensive,
high quality and high fashion lines. The role of the flagship
store is essentially about retail brand building and
reinforcement rather than profitability. The media
coverage that flagship stores attract adds to the
communications process. When entering new international
markets, retailers often begin with a flagship store
incorporating the latest store design, to test the reaction
to the retail concept”
(Varley, R & Rafiq, M, 2004 p167)
Design Management
specific responsibility
 integrated team approach
 continuous application
 right skills – architecture, interior
design, graphic design, retail
operations, retail marketing
 specific budgets and evaluation
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Hugo Boss
Thank you – Any Questions?
Now’s Your
Chance!
[email protected]