{"id":10836,"date":"2018-11-19T22:13:47","date_gmt":"2018-11-19T22:13:47","guid":{"rendered":"https:\/\/www.thestorefront.com\/mag\/?p=10836"},"modified":"2019-03-16T07:25:34","modified_gmt":"2019-03-16T07:25:34","slug":"pop-up-stores-and-the-experiential-retail-economy","status":"publish","type":"post","link":"https:\/\/www.thestorefront.com\/mag\/pop-up-stores-and-the-experiential-retail-economy\/","title":{"rendered":"Pop-Up Stores and the Experiential Retail Economy"},"content":{"rendered":"<div id=\"bsf_rt_marker\"><\/div><p>As the dust begins to settle, it\u2019s clear that warnings of a full-scale retail apocalypse went too far. Nevertheless, with the rise of e-commerce, there is no denying that there is friction between online and brick-and-mortar stores.<\/p>\n<p>Beyond just diversifying touch points and upgrading to omni-channel, this friction is a call to creativity. While shopping online is beneficial in terms of cost and convenience, <strong>it is no replacement for the experience that a physical store can offer and that is exactly what consumers are craving for.<\/strong><\/p>\n<ul>\n<li><strong>Experiential retail\u00a0<\/strong><\/li>\n<\/ul>\n<p>In a 2017 report from McKinsey&amp;Company,\u00a0the growth of personal consumption on experience-related services, such as going to restaurants, amusement parks and shows, have grown 1.5 times faster than overall personal spending and 4 times faster than expenditures on goods.<\/p>\n<p>Linking this trend to happiness, a quest for \u2018likes\u2019 and a fear of missing out,<strong> consumers of all ages prioritize experiences over goods.\u00a0<\/strong><\/p>\n<p>In another report by Squire Patton Boggs titled the &#8216;Retail Experience Economy&#8221;, we learn that:<\/p>\n<ul>\n<li>24% out of 2000 respondents indicate a willingness to pay more for a product if that purchase was embedded in a memorable experience<\/li>\n<li>43% stated they are likely to spend more money with a retailer who offers a meaningful in-store experience<\/li>\n<li>46% identifies environment as a key element of a meaningful shopping experience<\/li>\n<li>Close to 66% is more inclined to shop at places that house cafes, bars or restaurants<\/li>\n<\/ul>\n<p><strong>In order for brick-and-mortar stores to capitalize on this shift and secure relevance, they have to embrace the experience economy in a way that is on-brand, enhance customer engagement and generate enthusiasm.<\/strong> It takes understanding that the experience factor is not just a tactic to drive sales, but that if it is delivered in an authentic, valuable and relevant way, it is a means to create a bond with customers.<\/p>\n<p>To put this trend in perspective: on the one hand, through engaging in community building, adopting a micro-retail strategy and hyper-personalizing service, retail is in the process of truly integrating with consumers\u2019 everyday lives. On the other hand, experiential retailing along with the idea of\u00a0<a href=\"https:\/\/www.linkedin.com\/pulse\/pop-ups-massclusivity-chinese-market-beno%25C3%25AEt-clement-bollee\/\" target=\"_blank\" rel=\"noopener\">massclusivity<\/a>\u00a0sets retail apart from the usual and offers an escape.<\/p>\n<p>It\u2019s not money, but time that is the currency. The product is a souvenir of how that time was spent.<\/p>\n<ul>\n<li><strong>Sephora: setting the stage<\/strong><\/li>\n<\/ul>\n<p>One great example is provided by\u00a0<a href=\"https:\/\/www.linkedin.com\/pulse\/what-retailers-can-learn-from-sephoras-winning-beno%25C3%25AEt-clement-bollee\/\" target=\"_blank\" rel=\"noopener\">Sephora<\/a>, who set the stage for experiential retail. Allowing its customers to play with products in the store, it offered something that far exceeded online possibilities. Offering beauty services and tutorials and leveraging technology with its Sephora + Pantone Color IQ matching device, Sephora combines hands-on education with virtual experience.<\/p>\n<p><a href=\"https:\/\/www.thestorefront.com\/mag\/what-retailers-can-learn-from-sephoras-winning-strategy\/\" target=\"_blank\" rel=\"noopener\"><img decoding=\"async\" class=\"size-full wp-image-10837 aligncenter\" src=\"https:\/\/blog-content.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/Sephora1.jpg\" alt=\"\" width=\"810\" height=\"540\" srcset=\"https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/Sephora1.jpg 810w, https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/Sephora1-300x200.jpg 300w, https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/Sephora1-768x512.jpg 768w, https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/Sephora1-272x182.jpg 272w\" sizes=\"(max-width: 810px) 100vw, 810px\" \/><\/a><\/p>\n<p>Of course, we may be tempted to limit our thinking to experience-creating technologies as being about augmented reality and virtual reality alone, but<strong> it\u2019s really about delivering customized service, making it both easy and eventful to find specific products, simplifying purchasing methods and stretching the experience beyond the store to keep a conversation going across channels.\u00a0<\/strong><\/p>\n<ul>\n<li><strong>The pop-up experience<\/strong><\/li>\n<\/ul>\n<p>There is something magical about pop-up stores. Although physical, they hover between offline and online worlds. It is in their nature to be disruptive, whether in a mall or on the street, and they never fail to capture people\u2019s attention.<\/p>\n<p>These stores generate excitement which &#8211; if properly marketed &#8211; is conveyed in advance through social media and the press. They are temporary, vanish fast, and as such they capitalize on people\u2019s fear of missing out.<strong> They embody a sense of exclusivity and are a powerful tool to boost brand exposure.<\/strong><\/p>\n<figure id=\"attachment_10838\" aria-describedby=\"caption-attachment-10838\" style=\"width: 810px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/www.thestorefront.com\/mag\/classic-football-shirts-teams-up-with-storefront-to-launch-london-pop-up-store\/\" target=\"_blank\" rel=\"noopener\"><img decoding=\"async\" class=\"wp-image-10838 size-full\" src=\"https:\/\/blog-content.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/DnSORzpXcAEk90Y.jpg\" alt=\"\" width=\"810\" height=\"608\" srcset=\"https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/DnSORzpXcAEk90Y.jpg 810w, https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/DnSORzpXcAEk90Y-300x225.jpg 300w, https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/DnSORzpXcAEk90Y-768x576.jpg 768w\" sizes=\"(max-width: 810px) 100vw, 810px\" \/><\/a><figcaption id=\"caption-attachment-10838\" class=\"wp-caption-text\">The Classic Football Shirts pop-up store in London that generated tons of foot-traffic. Powered by Storefront.<\/figcaption><\/figure>\n<p>We live in an age where slogans, hashtags, tweets and short-lived hypes rule the day. Pop-up stores reflect this in some way, fitting the millennial mindset. However, pop-up stores also provide relief. Just as a nice dinner in a restaurant, or watching a movie in the cinema, a pop-up shop that delivers a captivating experience makes people&#8217;s attention more laser-focused.<\/p>\n<p>For a moment, the consumer is not window shopping but is instead engaged in a deep conversation with your brand.<\/p>\n<p>&nbsp;<\/p>\n<p>As we look at all the main trends over the past year that are moving retail forward, we can see that pop-up stores form an integral part of many of these trends. Whether we are talking about hyper-personalization, where pop-up stores provide a way to meet customers face-to-face and gather crucial data; micro-retailing, of which pop-up shops can be regarded as a soft form; community building, with pop-up stores featuring as social meeting point; omnichannel, with pop-up stores bridging the gap between online and offline; or experiential retail, we can say that brick-and-mortar stores are not dying, but rather that they are given new life.<\/p>\n<p><em><strong><a href=\"https:\/\/www.thestorefront.com\/?utm_source=blog&amp;utm_medium=article&amp;utm_campaign=successtory\" target=\"_blank\" rel=\"noopener\">Ready to launch a pop-up shop of your own? Browse +10,000 spaces available worldwide and find the perfect one for your project!<\/a><\/strong><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>As the dust begins to settle, it\u2019s clear that warnings of a full-scale retail apocalypse went too far. Nevertheless, with the rise of e-commerce, there is no denying that there is friction between online and brick-and-mortar stores. Beyond just diversifying touch points and upgrading to omni-channel, this friction is a call to creativity. While shopping [&hellip;]<\/p>\n","protected":false},"author":36,"featured_media":10839,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"qubely_global_settings":"","qubely_interactions":"","content-type":"","inline_featured_image":false,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center 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center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[4,202],"tags":[774,320,875,1441,69,468,264,10,968,1070,650,129],"class_list":["post-10836","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry-news","category-retail-trends","tag-beauty","tag-fashion","tag-future-of-retail","tag-luxury-retailers","tag-marketing","tag-omnichannel","tag-real-estate","tag-retail","tag-retailers","tag-sephora","tag-social-media","tag-storefront"],"qubely_featured_image_url":{"full":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",4500,3000,false],"landscape":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",1125,750,false],"portraits":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",480,320,false],"thumbnail":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204-150x150.jpg",150,150,true],"medium":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204-300x200.jpg",300,200,true],"medium_large":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204-768x512.jpg",768,512,true],"large":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204-1024x683.jpg",1024,683,true],"1536x1536":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",1536,1024,false],"2048x2048":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",2048,1365,false],"qubely_landscape":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",1125,750,false],"qubely_portrait":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",480,320,false],"qubely_thumbnail":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",140,93,false],"yarpp-thumbnail":["https:\/\/www.thestorefront.com\/mag\/wp-content\/uploads\/2018\/11\/StyleAndStill-9204.jpg",120,80,false]},"qubely_author":{"display_name":"Stephanie Kidder","author_link":"https:\/\/www.thestorefront.com\/mag\/author\/skidder\/"},"qubely_comment":0,"qubely_category":"<a href=\"https:\/\/www.thestorefront.com\/mag\/category\/industry-news\/\" rel=\"category tag\">Industry News<\/a> <a href=\"https:\/\/www.thestorefront.com\/mag\/category\/retail-trends\/\" rel=\"category tag\">Retail Trends<\/a>","qubely_excerpt":"As the dust begins to settle, it\u2019s clear that warnings of a full-scale retail apocalypse went too far. Nevertheless, with the rise of e-commerce, there is no denying that there is friction between online and brick-and-mortar stores. Beyond just diversifying touch points and upgrading to omni-channel, this friction is a call to creativity. While shopping&hellip;","_links":{"self":[{"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/posts\/10836","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/comments?post=10836"}],"version-history":[{"count":0,"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/posts\/10836\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/media\/10839"}],"wp:attachment":[{"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/media?parent=10836"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/categories?post=10836"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.thestorefront.com\/mag\/wp-json\/wp\/v2\/tags?post=10836"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}