Recent Blog Posts

Posted by: Mark Smiciklas

Mountain Equipment Co-op's Manager of Marketing and Research, Selena McLachlan, provides some insight into how MEC engaged their existing community to create an award winning customer acquisition program.

Takeaways:

• Leverage the authentic relationship with your existing community to reach out to new members
• Create specific communication that is relevant to your audience and takes advantage of the powerful demographic targeting capabilities within Facebook's ad platform
• Before hiring dedicated social media staff, get your existing team to build in social media work flows off the "side of their desk"
• Soft launch programs via pilot projects in test markets - whether by region or selected stores.

Posted by Mark Smiciklas:

At the recent STORE2010 Conference I had the opportunity to interview Mitch Joel - author, podcaster and blogger at Six Pixels of Separation - about his thoughts on the impact of social media and social commerce on the retail sector.

Takeaways:

0m.50s Wading into the waters - It's important to enable and empower consumers (and staff) to think of ways to share and collaborate on ideas and material.

1m.23s How to engage staff - Customers walking into your store want to buy from people that are informed. Using social media as a learning resource gives your staff the power to transform the shopping experience.

2m.10s Social Media ROI - What are your overall business objectives? Can social media help you reach those objectives? In most cases the answer is YES.

3m.40s Insights on the need for social media training and guidelines.

5m.30s Advice for the Retail C-Suite - "Social media needs to be in your blood."

As we ramp up for our first annual DIG360 Retail (& Friends) Groundhog Day Celebration in Vancouver, Canada, I'd like to wish one and all a very Happy Ground Hog Day! (click for greeting).

Wiarton Willie, Punxsutawny Phil, and Shubenacadie Sam were in agreement: there is no doubt there will be six more weeks of winter in Eastern Canada and the Northeastern US.  Apparently, Willie mumbled some other information, but no one on the scene spoke groundhog. Stay tuned.

News: http://network.nationalpost.com/np/blogs/posted/archive/2010/02/02/six-more-weeks-of-winter-thus-spoke-the-groundhog.aspx

Kudos to the mayor of South Bruce Peninsula supporting our mission to make Feb. 2nd a national Canadian Holiday: http://www.torontosun.com/news/canada/2010/02/02/12708081.html

We are still waiting to see a retailer and shopping mall movement to embrace this celebration with store promotions.

Here is a link to a CTV news item on Canadian Boxing Day Sales:

David Ian Gray Interview

Industry statistics are not compiled for Boxing Day, or other specific days.  However, we do know that sales for November and December can account for up to 30% of certain categories (e.g., Accessories).  Note that gift cards are recorded as sales when sold, not when redeemed, but indirectly boost sales when additional purchases are made at redemption.

Canadian sales last December (2008) were disappointing and reflected the public nervousness surrounding the economy at that time. Add to that major storms across the country. Only General Merchandise (aka Wal-mart) stores' sales were up at that time (along with Grocery and Pharmacy).

We would expect this year to see a slim bounceback from those '08 figures. Anecdotally, this past Boxing Day generally did not feature massive deals, over and above the pattern showing since early November.  Some luxury retail, such as the Bloor Street Prada Store, were exceptions. This is a good sign that retailers like Best Buy managed inventories well, but not so good for deal-hunting consumers.

A couple of interesting trends to watch:

1. A number of US retailers attempted to spur post Black Friday sales with a Boxing-Day-like promotion.

2. Online shopping in Canada seems to be settling in as mainstream (even though our incidence of this is lower than the US); Future Shop and others began their "Boxing Day" web sales on December 24th.

What:

A practical, interactive seminar featuring two expert speakers on the challenge of creating more impact around print, broadcast and social media while seeking efficiency in your organization’s efforts. This session features Linda Bilben on media relations and Mark Smiciklas on social networks. Both have corporate experience, but also "get" the needs and constraints of entrepreneurial business. Click here for more information.

Why:

Our DIG360 network has expressed the desire to better lever these important influences of word-of-mouth messaging.  Many are already reaching newspapers with their press releases, or have set up a facebook fanpage. Yet they feel that the impact is falling short, and there is concern around the time and effort required to execute and to manage these channels long-term.

When and Where:

Thursday November 26th, 2009 300PM - 530PM, plus post seminar networking.  This will be in Vancouver at the impressive Discovery Parks Vancouver site.  Please register now as space is extremely limited.

This is a busy time of year. We are running it now in order to provide useful tools to help with a final kick for your messaging this Season. Please support this initiative by attending or sending someone from your organization.

Details and Registration link: http://dig360bigbangnov26.eventbrite.com/

Please let your own networks know about this event.  Ask me about obtaining discounts as a 'thanks' for referrals: davidiangray@dig360.ca
 

• reach in the food space,
• tools to connect strategic study and analysis back to the business
• a natural broadening of customer centricity and stakeholder and engagement from a research focus through to social networking.

The $225 million (Cdn) acquisition on Friday of 17-store T&T Supermarket by Canada’s largest grocer and retail giant Loblaw (Loblaw Companies Limited, TSX: L) was big news in Vancouver, T&T’s home base. It may have garnered but a glance elsewhere, yet this is a very significant retail event for a number of reasons.

It marks further validation of Chinese-Canadian entrepreneurship and business leaders. CEO Cindy Lee, her partners and team are to be commended for building a well-run business that not only stands alone as a chain in its niche, but is luring Caucasian ‘newbies’ through its doors in Vancouver, Toronto, Calgary and Edmonton. Loblaws acknowledges T&T as the leader in Canada in serving the various Asian markets. It is multi-cultural Asian, not strictly Chinese.

This move by Loblaw hopefully signals a next-level maturation by traditional Canadian retailers in approaching non-western ethnicities. While many chains have vocalized their interest in serving this fast-growing segment, few have done more than pay lip-service. Trite campaigns translating English copy or crass tactics focused on special offers in other languages have been the norm, while the businesses behind these have claimed they “get” these “cultures”. With this purchase, Loblaw implicitly is saying “we have not got it right yet, but T&T does”. Good move by Loblaw to acquire that expertise. No doubt the learning they experience through T&T will transfer to other banners as well.

T&T’s leadership was bound to erode. It’s competition in the Toronto market is already significant. Asian-Canadians are shopping Superstore and Walmart for household staples. US-Korean H-Mart is slowing moving into Canada. Ms. Lee once again showed terrific instinct in selling at a high point, and at a place where deeper expansion with require a faster approach. Retail is a dynamic industry, with Darwinian evolution a continuous reality. It would be difficult for T&T would retain its unique position in 5-10 years even if it remains in the founders’ control.

There are closer synergies than many realize: While Caucasians see T&T as very low-price, Asian shoppers have already begun to notice many T&T prices on comparable products moving closer to “mainstream” value-based grocery chains (like Loblaw’s Real Canadian Superstore and No Frills). Traditional Asian grocers are still able to undercut on a regular basis, but they do not provide the increasingly desired “Western” shopping experience in terms of clean, well-lit stores, great display and wide aisles.

Conversely, T&T’s big opportunity is the Caucasian shopper. With little outreach, they have been attracting the more adventurous. The ‘foreign’ experience both delights many, but also leaves them confused about the foods and ingredients, and how to gauge quality. T&T’s great instincts about the Asian market have not translated to the non-Asian. And there is a justified, continued fear that too much shift might alienate their core. Loblaw might well be the vehicle they need to jump the chasm to the “white” mainstream.  Perhaps with a well positioned T&T private label?

While T&T has been looking at ways to become a greener store, it has focused (as have many others) on the operational waste reductions that boost the bottom line.  However, Loblaw is a long-time leader on Sustainability, at deeper levels of action.  No doubt there will be sharing of its eco-approach with the T&T team.

Click here to download or view my presentation that was first developed for the Retail Executives Sustainability Summit in February and subsequently refined for the panel I moderated at Retail BC’s Passion for Retail Conference on May 5 in Vancouver, Canada...

Retail BC used the annual industry event, the Passion For Retail Conference, to followup on guidance we received at the Retail Executives Summit on Sustainability.  The latter was an invitation-only workshop in February of this year.  It took the form of a leadership dialogue I created for DIG360, in partnership with Retail BC, and with the expert facilitation of Charles Holmes (noted leadership and change expert).

Participants to that session came from a variety of retail chains and progressive independents. They advised, amongst other things, that management education on this topic is critical - both for tactical quick-wins, how-to's, and for developing a long-term strategic response.

Retail BC once again hosted a tremendous event for Western Canadian retailers. I am grateful for the opportunity to have served as this year’s Passion For Retail Conference Chair.  The theme we developed was: Retailers Can Change The World.

This panel segment in particular dealt with creating an internal foundation that allows for speedy and effective response to the ever-evolving pressures and options facing retail decision-makers.  It also delved into some tougher questions about the future role of retail, and constraints.

Joining me with terrific insights as panelists were:

Amy Curry-Staschke, Senior Manager of Global Compliance, Lululemon

David Labistour, CEO Mountain Equipment Co-op

Satnam Lalli, Pharmacist, Pharmasave store owner, and National Board Pharmasave

Carmen Spagnola, startup retailer and owner of M Smart Design.

I should also thank the following for their tremendous contributions to this successful event:

Peter Robinson, CEO David Suzuki Foundation (and kickoff keynote)

Clint Mahlman, VP Operations, London Drugs

Gary Hirshberg, CEO Stonyfield Farm (dinner keynote)

Metro Vancouver and BC Hydro, who provided valuable funding, ideas and content.

Click here to see the presentation: Download

Please share with me your thoughts or questions on this presentation, as well as stories of how sustainability is impacting retail sector executives and their strategies - and how retail is influencing the broader dialogue on social and environmental responsibility.

Addendum: here is an op ed in Business in Vancouver by Nina Winhamof New Climate Strategies that covered this event: link_to_article.

Click here to see my presentation at the CMA National Conference last month: http://www.dig360.ca/CMA09presentation

Many other presentations covered social media of course, perhaps a few too many.  A highlight for me was Loyalty One (Air Miles) CEO Bryan Pearson's presentation on the next generation of loyalty research and loyalty marketing with great global examples of community building.

The Conference was a noticeably smaller in attendees than that of past years - and the mood a little dour. Toronto marketers obviously feeling the crunch... but its been a good ride for a long time and this is an opportunity to recharge with a level playing field.  Get creative, folks!

Sharing this brought some interesting discussion at a recent conference presentation.  I have been working primarily on two side themes the past several years: sustainability is an obvious one from a review of this site.

However, I have for some time been studying the experience of non-western immigrants, their rate and path of acclimatization to Canada, and the experience of their offspring.  Particularly as it relates to our brands and retailers.  We have much opportunity and have only scratched the surface.

Thinking of retail as a hub of community, the interesting intersection is not just of shoppers but the labour market.  But what are the views of new immigrants of our current preoccupation with carbon and environment?  Does that relate in any way to their purchase choices?  Or employment choice (if they have a choice)? The beliefs they or their children bring home...or the ones they share with the rest of Canada?

Ultimately, what role can retail play in exchanging and sharing values and ideas?  I suspect a great role, but one largely untapped to date.  Please share with me your thoughts on this...