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The following is an interesting podcast from Terry O'Reilly's new show Under The Influence on branding and consumers (on CBC Radio).  Entitled, Men Are From Sears, Women are from Bloomingdales, the premise is that genders follow archetypical patterns when shopping. Specifically, it suggests some reasons for the 'truthy' observation that men hate shopping.

Give it a listen (after the short 'ad' for another show).

podcast.cbc.ca/mp3/podcasts/undertheinfluence_20120107_22955.mp3

We can agree men and women, broadly speaking, exhibit different patterns in communication, problem solving, decision-making and socialization. After years of studying shoppers in retail settings, I agree that men indeed are more likely to find shopping a chore. However, this is not 'black and white; I have a different 'take' on this. 

First, there are plenty of exceptions to this generalization; situations where men very much enjoy shopping (think Bass Pro) and where women cannot wait to get out of the store (think... Bass Pro). 

Second, and most important, I believe that there is a Catch-22 at play here.  Because retailers have long known that women are most often the ones who shop for the household, retail experiences have been tailored to them over the decades.  Because retail is so quick to adopt ideas seen in other stores, the standard practices in retail, all retail, have evolved from retailing to women. 

Today there are proportionately more men regularly shopping (people are single longer, female spouses have demanding careers splitting more household trips).  However, most shopping experiences are not designed for men, for their needs.  Men's clothing is perhaps the best example, especially with the predominace of unisex stores.  It is little wonder men do not enjoy the process.  There is a great opportunity to rethink how men shop, but in order to build more compelling experiences for them, rather than assume they will hate the shopping experience.

The podcast presents some insights that are quite compelling; such as, men are less deal-focused, price-compare less, and spend more on similar product than women. Or the difference in spending when men shop together and when women do likewise.  According to the research, men pick higher priced items at regular price, when other men are with them; it seems the purchase price relates to status and power. Women seek even better discounts in the presence of their female friends, as status is conveyed by deal-hunting expertise.

Men see staff as but another 'tool' or resource in store, a possible source of practical information ("where can I find this?").   Women, on the other hand, value the relationship with a staff person and trust more complex judgement ("does this look good on me?).  O'Reilly offers several examples of sales techniques to enhance the customer experience and encourage longer visits, higher spending.

One final note: in a global market place, it did strike me as highlighting a fairly "white" or Western set of shopping attidudes and behaviours. More and more our research processes must accomodate a broader mosaic of what is 'mainstream', even in domestic Western markets such as Canada, Germany or the United States.

However, it is a compelling piece in a great series on branding. Take a listen...

podcast.cbc.ca/mp3/podcasts/undertheinfluence_20120107_22955.mp3

The past two years has seen an upsurge in Canadian coverage of the iconic post Thanksgiving US shopping experience known as Black Friday.  While it sounds ominous, this is named for the (hoped for) selling day that puts American retailers into the "black", or makes them profitable on the year.  It is the US version of Boxing Day.

Canadian media coverage in recent years has trended to the presumed surge of Canadian shoppers across the border on this day (physically and virtually), and the lost business for Canadian stores.  Research has focused on what people say they will do, which tends to be more optimistic than reality.  Or on the desires of 'online shoppers', which is a subset of our shopper base.

Just after Black Friday In 2010, DIG360 and Angus Reid Forum teamed up to set a benchmark on actual shopper behaviour.  Its a unique study which provides a sober reality check.  

Most Canadians were aware of this sales day in the States. Notably, only 1.5% of adult shoppers travelled to the US on Black Friday 2010.  As we noted, "while this is still quite a notable number, and likely concentrated in some key border crossing areas of the country, this is 1 or 2 people for every 100.  Compare this with the prevailing images of many shoppers flocking across the border to shop US door-crashers in a manner anywhere near our Boxing Day numbers".

Slightly fewer than 4% of Canadian adults specifically shopped online for Black Friday sales at US retailers. Click here for a summary. 

Those Canadian retailers who ran domestic "Black Friday" sales had some slight, incremental success, as 6% of us bought a sale item themed on that day.  Are shoppers driving this promotion? I'd say not. In Canada, a number of the 6% may well have shopped anyway.

Perhaps skittish retailers reacted to the same prior year images of cross border shoppers on the news. More likely, they are seizing any opportunity to create shopping excitement earlier in the holiday shopping season. Regardless of the reason, this will become a growing trend under its own momentum, driven by Canadian retailers afraid to not follow suit. So look for a few more ads and a slighlty higher single digit incidence this year.

We will be updating this study next week and will share results here.

Please click here to see our new workshop demo reel.  Contact us if you want to learn more.

Click: DIG360 Workshop Demonstration Video

Thanks to RJ Sauer and his team at Brudder Productions.

David joined other noted experts On WorldTalkRadio’s “Green with Envy” radio program hosted by Peter ter Weene, on July 28.  David's interview is the last one (around the 45 minute mark).  He spoke about the current state of sustainable activities in retail and  some of the challenges facing this sector in becoming greener.

Click here to listen: Podcast

Please Mum was certainly a Canadian retail success.  No question.  However, the current predicament (68 closed stores, layoffs, creditor protection) should be no surprise.  Ultimately, retailers can believe themselves successful when looking at sales performance during booms.  However, underlying flaws in the business quickly become fatal when the tide turns. 

It is in the strong years that investment must be made in change, improvement and the future.  Yet so few do this. This once dominant Canadian chain could not adapt to the changing competitive and shopper environment for retail.  See the Vancouver Sun Article here for details (click to view):

VancouverSun Article (Jenny Lee)

The following are some questions that might be lessons for other retail operators:

1. Is it possible the entrepreneurial founder had trouble adapting from a startup/growth concept to managing a complex, mature retail brand?  A number of executives have come and gone over the past decade. This suggests possible internal management challenges and a lack of empowerment and autonomy.  By comparison, at Lululemon, Chip Wilson has become the visionary while professional CEO Christine Day is clearly responsible for the operational and expansion success of the chain.

2. Perhaps the opportunity for private equity was missed some time ago?  Rumour has it that Please Mum was being shopped around at the start of the year (and perhaps the recent restructuring is part of a bigger play).  Outside investors, when a good strategic fit, bring discipline and perspective to any business that may be too reliant its early wins and owner hubris. 

3. Might a different strategy have been prudent? The Please Mum retail strategy for years has been constant price promotions. The discounting cited for their ecommerce site is regularly seen in store.  I have always considered this a hard position for them to defend at the best of times and left dollars on the table. However, the appropriate operating strategy in this case should have been efficiency excellence built through innovation. Also extremely tough to pull off. As noted in the article above, they fell victim to the price discounting of others who were undercutting to keep afloat in their own home bases.

4. Was "brand" a concept fully understood? Attempts at branding over the years seem focused on marketing elements, as opposed to holistically branding the business.  By that, I mean Please Mum was not holistically branded around a consistent, unique and relevant experience.  Rather, efforts seemed focused on signage and logo and labels.  A tight brand would have enabled a different competitive position.  This is what Lululemon and Aritzia do so well (not just vertically integrate).  There was nothing particularly distinctive about Please Mum stores.

5. Are they now in 'no man's land'?  Succeeding on twenty-one stores is going to be a challenge. This is reminiscent of another departed icon, A&B Sound.  Twenty-one stores will require management and coordination (time and expense) while not having the scale to be efficient.  Quite a turnaround is required including a major rebrand - not just adding store brands.  More likely, this might a step towards finding a suitor for the remaining locations or more hopefully an acquisition. The latter would require some asset beyond store fronts.  This will take some time and a fresh set of strategic planners.

By contrast, Mountain Equipment Co-op is a rare Canadian retailer that regularly anticipates future scenarios up to 20 years out.  This enables them to build change and adaptation into the concept.  Simply rolling out the "formula" and thinking about next season no longer is good enough.  

I do wish Please Mum and Ms. Adrian all the best and I hope my pessimism is proven ill-founded.

The following are some images captured on a recent tour of the SOHO shopping district of New York City, a creative flagship mecca.  

  Uniqlo Store, SOHO Mar 2011

On February 1st and 4th, Mark and I presented our thoughts to executives around the strategic implications of social networks and social media on retail and retail-minded organizations. We were guest experts at PwC's Business Leaders Breakfasts in the Lower Mainland.  Thanks very much to Chrisina Houghton, Calle Johnson and the PwC team.

Click here to download:

DIG360 Social Media Retail PwC Presentation

While trial-and-error bubbling up of ideas is warranted, social initiatives are being driven often without strategic guidance. Far too often executives are abdicating responsibility to wrap their minds around what the evolving world of social networks and social media mean to their organization. We aim to change that.

Is this simply about facebook and twitter being media channels to blast out offers? Or is about tools and paradigms that can fundamentally impact brand, service, experience and collaboration outside and inside the organization?

This needs to be brought tightly back to the business: are the trial and error skunkworks efforts reinforcing the brand and tying to customer journeys? Or are they confusing the message and irrelevant to audiences?  Have you been exploring how to develop a social/collaborative model to link stores and staff? And retail has a secret weapon that is rarely noticed by its managers: the Store (as a social media or network hub).

Please share your thoughts.

David Ian Gray

By Mark Smiciklas

Originally posted on Social Media Explorer

Retail organizations can differ greatly from traditional B2C businesses – with their dynamics presenting a series of unique opportunities and challenges around the development of social media strategy and tactical implementation.

On the plus side, retail has some inherent characteristics that are very conducive to social media. My colleague, David Ian Gray, often refers to retail as a "natural social network", where brick and mortar stores act as community hubs – conduits for people with similar interests to gather. In addition, he feels that retail has a built-in theatrical element that facilitates experiences and fuels word of mouth communication – very helpful when it comes to social media.

On the minus side, retail also presents a series of organizational challenges around store operations, geographic dispersion and departmental silos – all of which can threaten the success of any social media initiative.

Department Integration – Social media touches all facets of an organization and the retail sector is no exception. What is unique, however, is the added challenge presented by store operations which are physically removed from head office. It’s essential to factor in the role of street level teams when it comes to executing a plan and subsequent social media campaign. One example might include in store calls to action – operations will play a key role in facilitating the transition from an online campaign to a positive in-store experience.

Brand Integration – Individual retail stores within a chain may be unique in how they operate, merchandise, promote and connect with local audiences. As a result, there is an increased need for retail organizations to implement social media strategies that communicate a consistent brand message across potentially different product offerings, stores, staff and events.

Shared Purpose – Retailers are known for implementing an ongoing stream of tactics, programs and promotions. In order for social media to be successful within this environment, it’s important for all stakeholders to understand the organizational purpose of any digital strategy – For example, one client produced a video (accessed by all employees via their intranet) that outlined the purpose of their social media program and how it would benefit the organization. Having all departments and front line staff connected to a strategy increases effectiveness of execution and creates a better chance for success.

Relevant Content – Front line staff have huge social media influence within the retail environment. Store level employees are directly responsible for the delivery of customer experience – the information they receive via internal social media i.e. product information, training, etc. helps position them to successfully deliver a positive customer experience. This, in turn, fuels positive word of mouth that builds brand equity. As a result, offering relevant social media content to external AND internal audiences becomes critical for retail organizations.

Social Media Planning - There are basically two overarching goals for any social media initiative – to make money or save money. These apply to the retail sector as well. But the retail environment also has some unique objectives that require an integrated effort with respect to metrics. For example, one retail social media goal might be driving traffic to store. In order to effectively measure this, retailers need to factor in offline data and have a method to correlate social media analytics with in-store performance.

In our opinion, Lululemon is so much more than riding the yoga wave. It makes great product. It breeds a culture of innovation and very tight sense of brand and purpose. And it is one of the most empowering employers in retail.  When seeking reasons for success of companies like Lululemon and Target and Apple... look beneath the obvious. It often comes down to some fundamental precursors which enable on-brand innovation to be regularly achieved.

Here is a DIG comment on Lulu in the recent MacLeans: click

I am hearing from a savvy luxury brand store manager that Chinese New Year becomes a busy selling period for them in markets with a strong ex-pat Chinese population.  This year it is on February 3rd, and marks the Year Of The Rabbit.

The celebration traditionally brings gifts of money. There are those who purchase in advance of the (hoped-for) gift; and those who run out with cash in hand.  How many retailers are culturally aware of this? Who position themselves respectfully and sensitively as a good place to buy something special?