The Retail Landscape is Changing: Experiential Marketing
Insanity is doing the same thing over and over again and expecting different results. Likewise, this quote can be applied to the hundreds of retail spaces closing their doors and moving to e-commerce. In other words, while many large retail stores are closing their doors, it might be important to ask, is this the only way to stay ahead in today’s changing marketplace?
Accordingly, as many large stores are shutting their doors, Nordstrom is expanding. Last month, the luxury retailer opened a brand new New York City Flagship store. Not only is it unique for them to be opening a brick and mortar store at all, but it also opened a very unique store. As a result, the flagship is an experiential retail experiment.
What is experiential retail?
- Much like experiential marketing, experiential retail is an immersive experience.
- The concept aims to engage customers rather than sell to customers.
- The customers’ senses should be stimulated by the experience.
- It should go beyond what customers expect of a retail store. Something that they will consider shareable.
- The space should accommodate events and services, not just products.
- These events and services should accommodate the target audience’s real needs.
The Nordstrom location includes a martini bar in the middle of the shoe department, stroller cleaning, and appointments with a personal stylist in the styling lounge. It ticks all of the boxes. There are services, and events to keep the customers engaged. The entire space is aimed towards their target audience and should definitely exceed their expectations.
The company threw a grand opening party and invited Instagram influencers. Namely, it felt like you entered the club where anyone who’s anyone should be seen. In addition, other companies in NYC have done something similar to their stores to stay relevant – Levi’s, FAO Schwartz, and Timberland just to name a few.
Experiential Marketing in the Changing Marketplace
Experiential marketing is just as important to go along with these new stores. Particularly, it is a well-known fact at this stage that Millennials prefer experiences over things. Therefore, it is important for this generation to experience the brand to be won over by it. To sum up, this is why experiential marketing can be key too. As a result, the same rules apply as above.
In conclusion, is experiential marketing the right move for your brands? In short, it is key to better understand your target audience. Thus, survey research or focus groups is a key method to better understand what your customers are looking for.
Looking for more? Check out our other blogs on Millennials:
Here is a brief excerpt from the article:
“Knowing your audience and prospects is a key way to improve your profitability! Different generations have different behaviors, attitudes, and preferences. Understanding the generation gaps will help you understand the needs of your customers. Generations give marketing strategists an easy way to target and focus their methods.
Baby Boomers do not want to see texting acronyms; they are swayed by clear video, they care about their in-store experiences, and they like to compare prices. On the other hand, Millennials want to care about the product they’re buying, and want to have a positive impact on their community. In addition, Generation Z (those born after Millennials and before 2010) is most influenced by social media, as that’s where they receive most of their news.”
Want to learn more about Market Research? Here are some blog posts to check out!
- How to Avoid Advertising Mishaps
- Virtual Reality & Qualitative Research: Fad or Here to Stay?
- 6 Things to Watch Out for When Writing a Survey
- Marketing Strategies for Generation Alpha: the Newest Generation
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