Consumption & Retail trade by СУП.

CONSUMPTION & RETAIL TRADE ANJA BERESTETSKA YAROSLAV YAKOVLEV

ZURICH 2016

CONCEPT „Why the markets attract people so much? There are many explanations possible: people like to see more people, the market is as old as the city itself, people like to see others doing the same thing they do, they like to see food and how it is prepared or served. With the modernization of cities, with globalization, we began to receive and buy things with too many wrappers, too prepared, in overdesigned spaces. We no longer see things in their original state. So nostalgia to see products, fruits, vegetables, meats, fish in its natural state attracts us.[...] We all get tired of seeing the same things too, a classic shopping mall with its shops so similar that riches the point where you do not know in anymore in which place you are, excludes us from the city” -Jaime Lerner, “Acupunctura urbana”

Einzelhandel / Detailhandel What does it mean? Retailers are business firms engaged in offering goods and services directly to consumers. In most – but not all – cases, retail outlets are primarily concerned with selling merchandise. Typically, such businesses sell individual units or small groupings of products to large numbers of customers (http://www.inc.com/encyclopedia/retail-trade.html). Authors Anja Berestetska is Hamburg-based Ukrainian-born urban designer and city lover. She is learning about the urban issues and solutions through living and working in several countries, such as Brazil, China and now Switzerland, adapting local ideas and achievements to the international praxis. Yaroslav Yakovlev is Kharkiv-based architect, graphic designer and calligraphist. Starter of Urban Sketchers Kharkiv official group. Following his interests in eco-building, sustainable development, hand-made craftship and urban gardening he has been participating in different international architectural and art projects. They have met in Kyiv in 2015 as participants of Studio#1 CANactions School for Urban Studies in order to learn the new approaches in urban design in post-socialist and post-revolutionary context of Ukraine. In Zuerich they studied closely the retail trade in global and local context and its role for the urban development, based on their own experience and qualitative research.

CITY AS AN EGG To generalize the urban development we can imagine it as an egg, cooked in 3 ways. In the ancient time a city could be imagined as a boiled egg: yolk would represent the city center, egg white -- the suburbs, both surrounded by the city wall (a shell). Later in 17-19 centuries the city begins to sprawl into the suburban areas as the population increases and the walls are no longer limit its grow, although the city center reminds where it used to be before. Now it looks more like a fried egg. In the modern times one city center is not enough any longer as city continues to grow. Hence, there is a tendency to polycentric city, with several well-connected sub centers.

VALUES SHIFT Family values: Our parents dreamed about a house with a garden and a car. Nowadays the number of single households is constantly increasing. We do not buy family packages in supermarkets and prefer to be mobile and share things with other people. Sharing is new caring.

TRADING HISTORY History of the trade is closely connected to urban development. They influenced each other mutualy through the centuries, formed the appearance, shaped the supply and demand, changed spaces and consument habits. Here we try to sum up the main episodes of this relationship.

SOCIETY F O

The number of elderly person in the population is increasing and is becoming one of the most significant social transformations of the current century. “Today, 8.5 percent of people worldwide (617 million) are aged 65 and over. According to a new report, “An Aging World: 2015,” this percentage is projected to jump to nearly 17 percent of the world’s population by 2050 (1.6 billion)” (Cire 2016). This has impact on nearly all sectors of society including labor and financial markets, the demand for goods and services, such as housing, transportation and social protection, as well as family structures and intergenerational ties. There are a utopia and dystopia future scenarios of aging: the new Gold Age vs. stagnation and decreasing of productivity etc. We are used to divide human life in three phases: childhood, adulthood, old age. Now the tendency is towards forth phase: an elderly person who is still fit to work and a person who needs nursing services.

AGI NG

TRENDS EVOLUTION

TI B A NIZ A

For the first time in history of the more than a half of global population inhabits cities: 3.7 billion a number that will double by 2050. This shift implies profound challenges including food, water, and energy consumption. “Urban growth presents an opportunity to connect more people to water and electricity, making them healthier and more productive. It also presents the risk of overwhelming various public goods, including power, infrastructure, health, and education as these systems adjust to increased demand. Urbanization can be a positive, but if poorly managed will only amplify existing challenges” (Runde 2015).

It is a process of multinational interaction and integration among the people, companies and governments, driven by international trade and investment and aided by information technology. It is an old phenomenon that was speeded up in the last decades due to international policy liberating the national and international trade and technological development. Best way to illustrate it can be following quote that went viral on social media: “Your car is Japanese. Your pizza is Italian. Your beer is German. Your wine is Spanish. Your democracy is Greek. Your coffee is Brazilian. Your tea is Chinese. Your watch is Swiss. Your fashion is French. Your shirt is Indian. Your shoes are Thai. Your radio is Korean. Your vodka is Russian”. Yet, as an antipode to the globalization it looks like the future will be local, from food to politics. As we are depending on the scares recourses that will end soon, we will need to turn back and adopted more local way of life.

I G I TA I Z AT L

More and more processes are taking part online. Internet enables worldwide trade with a unique transparency of prices and creates virtual public spaces, at the same time putting the suppliers under great pressure. Also, it can be said that internet is making us immortal: statistic proclaims in 2060 there will be more dead people on facebook that alive. The classical mechanisms of sale can no longer be applied, as the new consumer is fully mobile, and could buy almost anything anywhere and at anytime. Social media is emerging as a bourgeoning marketplace or old and new goods. Consumers are turning into active co-creators of the supply and demand. This process is requiring new business models and approaches.

S TA

L A BI

Sustainability has been becoming a trend since few decades as a reaction to the growing concern over environmental degradation and its consequences. An increasing global population demands protection of natural resources among them the food and water supply in order to guarantee sustainable and worldwide provisions. It also implies shift of consumer attitude towards goods and more conscious consumption.

B A L I Z AT

ENT

SOC

Globalization stands for commodification and homogenization that in turn creates the counter trend of personalization since people started to react against standard issue products. Having the product itself is not as important as obtain experiences it can promise.

BEHAVIOUR History events and global trends have been playing an important role by the development of the retail trade in the urban areas. Zooming into some of the aspects we can see and feel how our idea of retail trade and space the it needs has been developed through the centuries.

Global trends have impact on many aspects in everyday life. They change the way we desire and buy things, therefore they have an impact on the consumer behavior as well the appearance of the shopping space.

24/7 City Jaime Lerner in his book “Urban Acupuncture” proposes to invent trading time tables for the city, in order to ensure the 24/7 trade in city that answer the needs of different groups of dwellers at the same time protecting different types of retail trade. “Street sellers could probably start to work in the afternoon, after 6 p.m, living the city life when the traditional trade is over. This would safe their job. One sector would help another one and in this way the urban retail trade would be protected.”

RETAIL TRADE TYPOLOGY

“Tante Emma” Laden - a little shop in the quarter where you find most important daily products, usually meets neighbors and talk for a while with the owner

Supermarket - weather independent space with supply of goods of short- and medium-term need, cheaper prices, usually very reduced interaction between the customer and the seller

Market - temporary / permanent, open/closed space where people regularly gather for the purchase and sale of provisions, livestock, and other goods

Kiosk - similar idea, might be less personal interaction

Outlet shop - same idea as supermarket, cheaper prices

Pop-up shop - flash retailing, is a trend of opening short-term sales spaces

Spontaneous trade - often products from own household/garden etc. situated close to the fluxes of persons, ex. metro, bus or stations stops

Chain shop - copy paste places with mostly same range of products, global

Boutique, concept store - a small store that sells stylish clothing, jewelry, or other usually expensive things

Takeaway / food truck - prepared food / beverages to go, no sanitary facilities, any or few tables to sit

Department store (Warenhaus) - big, many-floors, retail trade shop that sells different types of products, also food. Like hardly any other form of retailing, the department stores have managed to provide people with consumer goods from all cultures and thereby emphasize the cultural function of trade.

Flagship store - core store for brand name retailers, larger than their standard outlets and stocking greater inventory, often found in prominent shopping districts, designed by star architects

Craftsman workshop - sells products / services that are produced at the same place, can form clusters

Restaurant - a place, where food and drinks are offered and consumed. They offer a variety of dishes and have separate tables or rooms for their guests

Experience shopping - a “museum” of a brand, where person not only can buy product, but learn, taste, smell – experience something (Museum of Chocolate in Köln, Messmer Forum Tea Museum Hamburg, Unilever House Hamburg)

CASES Following case studies are representing the examples of some trends, the role they are playing for the city atmosphere and self-identification, their influence on the dwellers, and the way they transform urban areas throughout the world.

Hafencity – newly built area of Hamburg, Germany – has several “museums” run by famous brands that expand the classical saler-customer relationship with knew knowledge and experience. In such new types of shops you are not only buying common goods as tea, chocolate or spices, you learn more about their origin, production. You try, smell, taste, and create your own product (like a bar of chocolate or a new sort of tea). The transfer of goods is enriched with transfer of knowledge (Event Society trend).

First thing that probably comes to your mind when you visit the Municipal Market in Coimbra, Portugal – is that most of the vendors are elderly. It seems, as if they run the whole market, stocking their pension and revealing the myth of decreasing productivity at older ages (Aging of Society trend). Besides the markets always played an orientation role in the city, they have been creating a unique atmosphere and urban identity.

Spontaneous trade in Ukraine. At the transportation nods in Kyiv and other Ukrainian cities you often see people informally trading with basic goods straight from “the ground”. Often they sell goods they grow themselves. The prices are cheaper than in supermarkets. Spontaneous trade is an important aspect of the city according to Jaime Lerner as it bring their contribution into smell, colors and sounds of every-day life.

Food truck culture emerged on the interface of several trends: globalization (it happens in many corners in the world), urbanization, localization and sustainability since most of the products sold are of local origin as well as eventization. With the crisis of 2008 the phenomenon of food trucks appeared first in the USA. Restaurants visits could not longer fit into the budget. Many young chefs suddenly had no jobs and were searching for alternatives. Food truck enabled good food for comparatively little money.

GRAPHICS Can different types of retail trade be compared? Due to which features? We try an attempt to compare them and create different variables such as time one spend in the shop, the place it occupies, the products it sells. This subjective attempts are based on our experience and hence. They can give a user an idea of our perception of the trade and the way it impacts the city.

retail system: self-financed local

supplies

global

strongly regulated

selfregulated

short-term

supplies

long-term

super-donated

urban density

product uniqness

area for the shopping

time spend on shopping

trading area

communication level

new experience for customers

price of a product

INSTRUMENTS Imagine for a second an empty city center, in the evening when offices and most of the shops are closed; only populated by few belated pedestrians and homeless people. Or a sleeping district: lights in the windows and no people on the streets - one wants to get home as soon as possible. Or a street where all little shops are closing one by one. Retail trade is not only important because of the economic value but because of it influence on the atmosphere and urban identity. With formal and informal instruments city government has the ability to control and support trade as well to influence the location factors.

Formal instruments – long-term perspective • Zoning plans (professional view) • Reorganization law (legislative view) • Referendum (vox populi)

Location factors

Informal instruments – short and middle-term perspective

Hard

• Integrated action plans – scenario technique about future of the area • Retail trade and center concepts – support of balance between stakeholder interests • Urban development planning • Neighborhood management – coordination between community and private actors • Urban development funding • Joint European Support for Sustainable City Investment (JESSICA-Funds), a common initiative of European Commission and European Investment bank • Public-private Partnership • Business Improvement District (BIDs) – example Hamburg • Interim (temporary) use • Clustering – a themed bundle of offerings helps to create a transparent location profile

• Concurrence • Range of products • Frequency of visitors • Infrastructure • Subventions • Melting pot Soft • Leisure activities • Cultural activites • Housing

IDENTITY ATMOSPHERE LOCAL ECONOMY URBAN VITALITY

LET’S TALK ABOUT ZUERI #ukraine #tsueri #germany #habits #trade #culturalshock #differences

ANJA:

Hoi Jaro, tell me what was the first difference between Ukraine and Switzerland that jumped into your eyes?

JARO:

Hoi Anja! Well, the first thing that drown my attention was the merchandize outside of a shop – cloths, flowers, fruits. That the shop owners simply put it there; decorate the stand and no one tries to steal anything. True, when I just moved to Germany this fact surprised me too. People trust each other much more than in Ukraine.

Whereas in Ukraine we spend ca. 50% of salary on the food, here in Switzerland I count, it makes only 10%. On the other hand, there are any spontaneous trade here, where we buy cheap and fresh products. The food in the supermarket costs less than on the market. In Germany, it works same way but in Ukraine, it is other way around. Market is actually a luxury! Talking about luxury: other thing that is different here is a big number of little boutiques that are selling local products of high prices. I am asking myself, how are they all surviving? At the same time, in one area you find several shops with same type of products – especially the hairdresser and beauty salons. In my little block, I counted four of five. I cannot imagine the demand can be so high, but somehow they are where they are.

And what was your first impression? Comparing to Germany where I live, those big supermarkets, Migros and Coop are not simply places where one gets products but also schools, banks, gas stations etc. Die Genossenschaft! Beside they almost monopolized the market. True, there are also Lidl, Aldi and others here, but so far, I saw only few of them, whereas Migros and Coop seems to be omnipresent. In addition, you can pay for the products you bought yourself! The automatic cash replaces the cashier, I never see any bored security guys who controls the process. Again, I cannot imagine it in Ukraine. Beside, no one chat with the cashier, everything is quite automatized... Another difference is market. Markets here are never occupying a permanent space like those in Kyiv and take place on the open air at the squares. In Internet, you have a timetable where which market is taking place – mostly in the morning hours. Later they disappear without leaving a sign of their existence. No garbage, no empty stands. How much space is saved in this way! However, I still love our old markets and their atmosphere; you can’t compare them, I guess.

As for me, pharmacies are quite interesting in Zurich. They seem invisible in the city fabric, yet if you search, you would find many of them. However, to buy anything you need a prescription; in Ukraine, most of medicines are prescription-free. Well, in Germany it is like here. The difference is the number of drug stores to buy cosmetics, cleaning products, organic food and prescription-free medicine. Next to my house, I discovered little drug store but they only sell organic products and the rage is small. You buy everything in one place: Migros or Coop. Not quite true. I buy in different places, depending on the opening hours. A supermarket next to my place is closing earlier, so there are two more options that are open until 22. By the way, the ZVV temporary tickets motivate me to organize my shopping time. For example, if I buy a single ticket for one hour, I can take a tram until bigger but more remote supermarket, counting that in one hour I need to go there and come back. Like a Cinderella man. Makes sense especially when it rains like today.

Did you realize there is any market, which is open on Sunday? Sunday most of the things are closed, with exception of some cafes and all those shops at Langstrasse and Central Station. And almost anything is open at night. It makes me anxious; I am used to have access to things 24/7 after I finish work late. What a Swiss husband does if his pregnant wife wakes him up in the middle of the night saying she urgently wants some pickles and Toblerone? I guess, they buy all the possible stuff in advance and keep it at home for such cases. On the other hand, here I do not buy many things at one time and prefer going to supermarket several times a week instead of once. Maybe it is psychologically, since the prices of the products here are higher than in Germany. Buying less you have a feeling of spending less… However, comparing to Ukraine the prices are actually proportional to the salaries of the people.

Did you notice that the design of the products here is very laconic and self-speaking? No cheesy slogans or kitschy colors. Everything is simple but well designed. Even the little coffee creams are decotated with the paintings. Maybe after Germany it is not a big difference, but comparing to Ukraine for sure. Yes, I know what you mean! Did you notice, we are mostly talking about food?..

Street kids that sell chocolate from some volunteering company tell me it brings them fun. Ainâ&#x20AC;&#x2122;t it funny?

Regular open-air market on Marktplatz neighbors with Coop supermarket (which works until 22:00!) during the morning hours, leaving any type of waste after itself.

MENTAL MAP: OERLIKON

In office area of Hagenholz they do not welcome small retail, but new hipster-style also becomes visible, like this new-born book shop.

Pop-ups near Messe reveal both last inventions and traditional holiday stuff for the numerous visitors of Hallen stadion and sport area around.

Typical shops and cafes at the ground floor of Oerlikon townhouses. This asian cuisine is always open wherever I pass by.

Bernina City is the modern dominant at Hirschwiesenstrasse, and contains of trading area of shopping mall, stores, food-court. Besides it is a residential complex.

Traditional shops with history are not seldom in the canvas of Oerlikon. This is Tobacco shop.

Dorflinde low-level trading areas evoke sympathy. Social centre, elder house, Caritas second hand - all occupy one district.

Mental map of Oerlikon was made by Yaroslav Yakovlev. It transcends his own feeling and limits of the district he lives during 3-month stage in.

MENTAL MAP: WIEDIKON Empty big space of Coop supermarket early in the morning. Lot of goods, several customers.

What kind of job do they sell in this shop?

Funny looking creature and spices welcome customers in this tiny shop of local products.

Disturbing advertisment in a window of depilation studio.

A shop of cheap cloth at the tram stop Schmiede, puts a lot of merchandize on the street â&#x20AC;&#x201C; a good serves as an advertisment.

Kosher meat shop meets the need of orthodox Jewish population of Kreis 3.

A kiosk in Kreis 3 looks very similar of those in Kyiv. But almost every kiosk here is painted with the same color - blue.

In chinese supermarket one can buy not only food but also dishes and godâ&#x20AC;&#x2122;s figurines.

Mental map of Wiedikon was made by Anja Berestetska. It transcends her own feeling and limits of the district she lives during 2-month stage in.

MENTAL ANCHORS Walking through our neigborhoods carefully looking around, we realized that does not matter how attentive you look, some things will pop up and stay in your memory while others just will not drow your attention. We invite you on a virtual walk at our neighborhoods, putting you as an actor within our mental maps, showing you the most remarcable details at the same time giving you freedom to play with your imagination and choose what is more appealing to you.

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