Retail Management Final Project

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POP-UP SHOP

BIRCHBOX+ART BASEL



COMPANY OVERVIEW

BIRCHBOX+ART BASEL monthly

Art Basel is an annual event that takes place in Hong Kong

subscription service that sends its subscribers a box of four

and Miami Beach. The event is the stage for artists of all

to five selected samples of makeup, or other beauty related

kinds that produce high quality modern and contemporary

products. These products include skincare items, perfumes,

art. Galleries and exhibitors collaborate together to

organic based products and various other cosmetics.

showcase this work from around the world. Basel looks

Birchbox was founded by Katia Beauchamp and Hayley Barna

bigger than ever in 2015, with 267 exhibitors from 32

in 2011. Their mission at birchbox is to help consumers cut

countries headed to South Beach December 3 through 6 to show

through the clutter of the beauty industry to find products

off the works of around 4,000 modern and contemporary

that really work for them. birchbox customers are able to

artists.

both try out new samples without investing in full-size

that attracts a sophisticated cultured gallery crowd but

products, while also enjoying the experience and surprise of

also a young hip graffiti-clad Wynwood crowd where mural

receiving a new box every month.

artists paint the walls alive.Wherever you find art, not far

Birchbox

is

a

New

York

City-based

online

This event has become a must-stop destination

behind is designers and magazines and a plethora of other industries. Editors throw events and parties in the Design District and South Beach chic boutiques. Art Basel revolves around surprise and culture, and is An unpredictable spectacle attracting over 75,000 people the past year.


COMPETITIVE ANALYSIS Almost immediately after Birchbox launched, several competitors, many of them copying the Birchbox format almost exactly, cropped up to take advantage of this new trend in shopping. This included both other beauty box services, as well as subscription services for a number of other industries, from pet care to cooking and groceries. While there are numerous subscriptions services available to customers today, Birchbox’s main direct competitors are GlossyBox and Ipsy, while also competing indirectly with Sephora.

glossybox

y

or t s i

ive t i pet is m o c lys a n a ve i t eti ss p m co akne we

Opened in 1970 and is

Founded in 2011 by Founded in 2011

now owned by LVMH

Michelle Phan, a

h

es l a s ue n e v

sephora

ipsy

luxury goods group

Youtube beauty star

Subscription servic sold exclusively online

Subscription service sold exclusively online

Sold

online,

in

stores,and

through subscription boxes coming in 2016 (Piazzola, 2015)

Strong customer Full size products,

reviews and brand

brand perception as luxury and high-end

Full brand

size

products,

perception

as

luxury and high-end

loyalty at a competitive

Huge retail footprint, brand recognition and loyalty

price point

Poor e-commerce user experience, no ecommerce store

New to subscription service commerce


industry analysis While Birchbox has definitely captured the attention of the adventurous beauty shopper, it has failed to become the online beauty counter that it often tries to position itself as. While there are certain benefi ts to purchasing cosmetics from a site like Birchbox (i.e. the opportunity to try a product before you buy and the chance to try products you may have never selected for yourself at a relatively small price risk), this does not account for some customers who may have specifi c ideas, tastes, and beauty needs. While experimentation and surprise are fun, and Birchbox may indeed help many customers fall in love with products that are new to them, many customers long for more control over the buying process.

strengths

weaknesses

• Brand recognition (original beauty box) – seen • Strong e-commerce presence for buying full-size versions of samples • Strong incentives program to reward subscribers and sell full size products • Wide variety of brands represented • Strong and user-friendly web/mobile presence • Strong tutorial and social media presence to encourage beauty education and experimentation

• Small sample sizes (as opposed to competitors like GlossyBox) Specifi c target market • Poor presentation of products (as opposed to competitors) • Small storefront presence

as industry standard • Competitive price point

OPPORTUNITIES

threats

• New target markets

• Constant new competition in a growing

• DIY beauty (ex: CurlBox)

• Lack of interest in the commercetrend of subscriptio services

• Organic, non-chemical selections

• Shipping and transportation struggles market

• New presentation techniques


Birch meets basel Welcome to Birchbox’s first Art Basel pop-up shop in the coveted Wynwood area of Downtown Miami! This pop-up shop will span the week of November 30th- December 6th. Birchbox will be showcasing the work of Stephane Gautier within the shop, where it will be available for purchase. Over the span of the week many exciting events will be taking place. Founders Hayley Barna and Katia Beauchamp will be doing a live Q&A in store about the company, as well as with featured artist Stephane Gautier. All week champagne will be served as well as a full bar service in the back of the store. we recommend visitors try our strawberry-rhubarb bellini with basil! this pop up shop will also have a full service brow and nail bar to aid customers with the latest beauty trends for their week in Miami. Lastly we will have our usual build a box opportunity where subscribers and first time users can curate their selection of products for the month.


Collaboration Meet the Artist: A French artist and designer Stephane Gautier began his work at the age of 13 by deciding to stick and paint his toys on a canvas. His work is a look into past sentiments of childhood evoking emotions through objects representative of most adult’s childhoods. His work is jubilant just like his enthusiasm for multiple mediums. He calls upon viewers to have a deeper consideration of the means clustering of representation, of the effectiveness of advertising and propaganda, and finally of the sacred and misappropriation of childhood nostalgia.


MARKET ANALYSIS demographic Women Status: Married no kids mid 20s - 50 Income- 35,000-100,000 Education: Undergraduate degree Location: MIami residents & metropolitan areas

psychographic Career Oriented She likes to shop gallery hopping social gatherings goes to pure barre class Likes to read Danielle Steele

shopping behavior 43% of millennials rank authenticity over content when consuming news. They first have to trust a company before they even bother reading the content that they produce. Millennials also want to engage with brands on social networks. 62% of millennials say that if a brand engages with them on social networks, they are more likely to become a loyal customer. They expect brands to not only be on social networks, but to engage them. Millennials are also extremely brand loyal. 60% said that they are often or always loyal to brands that they currently purchase (Schawbel).


CUSTOMER PROFILE Age:18-25 Career: Lifestyle Blogger for a magazine Salary:35,000 Interests: Gallery hopping, foreign films, keeps up with trends

Age:40-60 Career: Gallery Owner, Miami Socialite Location: Miami Salary:100,000-300,000 Interests: Dinner Dates, Charity events, always up to date with latest artists.


PRODUCT ASSORTMENT


With our product assortment, we wanted to focus on the essentials for the Miami Girl. We picked the best products from each category Birchbox features and catered the products to the Miami Socialite and traveler who will be attending Art Basel for the week.


MOOD BOARD


Pop-up shop location

FEATURES Wifi Handicap Accessible Parking Electricity Air Conditioning Heating Toilets

Kitchen Security System

Miami Art Space (Wynwood) Downtown Miami - Miami, Florida

Stock Room Counters Fitting Rooms Lighting Street Level

$24,500 /week


View 1


View 2


View 3


Floor plan


M A GR

A T S IN

2nd AVE Wynwood, Miami

+

BOX

ART BASEL

#Birchtobasel

TAK

EAW

AY

Marketing


+

ART BASEL

I S E T I S WEB

E G A GN


social media launch Within Birchboxes social media launch we plan to do a 2-month pre-launch social media push to raise awareness about the upcoming Art Basel pop-up shop. We will utilize four main platforms of social media: Instagram, facebook,twittwe and snapchat

Instagram

facebook

Within Instagram we will be promoting our upcoming pop-up shop at Art Basel and the collaboration with French artist Stephane Gautier. His work will displayed on the walls of the shop and be available for purchase. The advertisements on Instagram will be posted once a week the month before. Within Instagram we will launch our “Trip to Birch & Basel” contest in where we will ask our followers to post a picture of themselves using their favorite BirchBox products and tag the photo with #BirchtoBasel. The winner will be announced Thanksgiving weekend and will be awarded plane tickets from his or her home city for two. Upon arriving to Miami they will be accommodated to a suite at the Fontainebleau and exclusive VIP passes to the Birchbox pop-up including: brow and nail bar and a build your own beauty box.

Birchbox boasts over 1.6 million followers on Facebook in which we will encourage to participate in our Instagram contest and add us on Snapchat. We will continue generating content the months leading to Art Basel focused around the assortment of “Miami style” products being featured. Even if customers will not be able to attend Art Basel they can still get their Miami beauty on through products featured on our website.

twitter On twitter we will be focusing on promoting our Snapchat and Instagram campaigns to reach our target demographics for the popup shop. Our twitter page will be posting more of the products you

snapchat During pre-launch and set-up of the event we will be snapping our followers on BirchBoxes Snapchat sneak peaks of the shop being assembled and the art being installed. During the shop we will have live Q & A with the featured artists and CEOs of Birchbox. We will encourage fans of the brand to submit questions via Snapchat about their favorite products or about the pop-up itself!

will see within our pop-up along with our Youtube tutorials of how to use these products. A good example is our tanning products that will be featured that can be intimidating to women who have never used them. On twitter you can play videos within the tweet without having to leave the website, so we will be utilizing this feature to further help customers enjoy our product assortment.


#BIRCHTOBASEL


Budget


WORKS CITED Schawbel, Dan. ‘10 New Findings About The Millennial Consumer’. Forbes. N.p., 2015. Web. 19 Nov. 2015.


Kelsey Bidel-niyat Sam franco taylor miller Rachel scaffe


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