Innovative Retail Concept for Mr. Porter

Page 1

BA (Hons) Fashion Marketing Year 3

Futures and Innovation Storefront Salvation

15457995

Date

Word count: 2477

November 2018


Contents 06-07 Introduction to the Macro Trend 08-09 10 11

Trend Watching: Consumer Trend Canvas Evidence of trend drivers: Technology

The Future Laboratory’s Cultural Triangulation Model

04-05

12-13

Executive Summary

Timeline 14-15

Consumer Analysis

16-17

Evidence of the macro trend in the industry: Matches Fashion


18-19

29

Mr P by Mr Porter

Pen Portrait

20-21

30-31

About the Brand

22-28

Innovation Audit

32-33

Innovative Retail Space References 22-23

The Space

34-35

List of Illustrations

24-25

The Technology

36-37

Appendix 1

26-27

The Aftercare

28

The Events


Executive Summary

4


The macro trend discussed in this report is ‘Storefront Salvation’ by LSN (2018). It is based on how luxury e-commerce are starting to open physical stores and making them as engaging and experiential as possible. MasterCard Smart Mirror is one of trend drivers, as it is a new technology that allows a frictionless customer journey and help aid the communication between customer and sales assistant. A timeline of the trend is discussed, starting from its emergence in 2010 with Vans’ House of Vans and through to today, with Farfetch’s Store of the Future and how technology will aid the customer journey experience. A thorough explanation of evidence of the macro trend in the industry is illustrated by Matches Fashion Townhouse. A few features is explained such as the use of QR codes, in-store talks and workshops such as in-conversation with Man Repeller and the use of interactive tools like a vending machine. Part 2 of the report discussed how the macro trend could be applied to the chosen brand— Mr P by Mr Porter. A new brand created by the luxury giant Mr Porter, caters to young urban men who value functionality and longevity of garments, instead of high street fast fashion. An innovative retail space is proposed, that will have 4 main topics— the space, technology, aftercare and events. Furthermore, an innovation audit using Roger’s diffusion of innovation theory and the fashion lifecycle is used to analyse the brand in relation to the target market. Early adopters and majority will be the ones targeted by this retail space.

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Part I

Introduction to the Macro Trend LS:N (2018) dubbed it as ‘Storefront Salvation’. As more and more digital-first brands such as Casper and Everlane are moving offline, as well as multi-brand e-retailer such as Matches Fashion opening a 5-storey townhouse in London (see Figure 1), it is a testament that physical stores remain a relevant touchpoint for consumers. In order to excel and differentiate itself among competitors, a brand must create an emotional connection and engage with its consumers through digital and physical attributes. According to WGSN (2018), in order to keep up with shifting attitudes and trends in shopper behaviour, “retailers need to reconsider the point of the store when looking to the future.” In today’s digital age, retailers must incorporate the digital and physical together, thus creating a “high-touch yet seamless experience to customers - one that is both experience and technology-led, while meeting increasingly high expectations around service, personalisation and convenience” (WGSN, 2018). Nowadays, defining a store’s success is not only measured by sales per square foot, but by using metrics such as “impact on brand impression, digital purchase intent, inspiration per square foot and customer experience” (LS:N, 2018) are examples of more relevant ways to measure. Based on WGSN’s Shopper Forecast (2018), we are experiencing a “fundamental shift from brand-led to consumer-led retail.” The consumer has more power than ever before, thus reaching to them in different touchpoints is a key recipe for success.

[Figure 1: Matches Fashion personal styling space and townhouse.]

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This report will discuss the timeline of this trend, and how it will evolve. It will also look at trend drivers- technological aspects such as the smart mirror and how that could be applied to the chosen brand, Mr P. Theoretical frameworks such as Trend Watching’s Consumer Trend Canvas and The Future Laboratory’s Cultural Triangulation Model will be used to analyse the validity of the trend. Furthermore, evidence collected through primary research will show how the macro trend is applied in the industry. The second part of the report will show a brief history and proposal on how Mr P could adopt the trend through an innovative retail concept. In addition to that, the brand’s appetite for risk is analysed by frameworks such as the fashion innovation lifecycle and Roger’s diffusion of innovation theory.

Chosen brand: Mr P by Mr Porter

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Trend Watching: Consumer Trend Canvas 1. ANALYZE Basic Needs

Drivers of Change

This trend addresses consumers’ need to have the best customer journey when buying into a brand. They expect to have a seamless experience, starting from researching the brand online, going into their store to product after-care.

The trend is emerging as a result of consumer demands- as shopping preferences differ from person to person, some prefer online or in-store brand must fulfill those touchpoints with the consumer.

Luxury customers desire to have both options when it comes to shopping- online for the convenience and in-store for the experience and service.

As the world becomes more digital, brands mus incorporate their digital strategies to their physic stores, in order to create an omni-channel experience.

Emerging Consumer Expectations Retailers and brands must now keep consumers engaged and interested. Consumers expect experiential retail that is not only fun, but also shareable on social media. They need to feel a genuine connection with a brand, whether its through in-store services, tips and tricks on the brand’s website, or a sense of community and belonging.

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Inspiration

Luxury e-commerce are already applying trend, for example, Matches Fashion ope a 5 storey townhouse which holds events masterclasses, a broadcasting hub, priva shopping and more. It “aims to create a community among consumers” through connecting the physical and digital (Matc Fashion, 2018).


Trend: Storefront Salvation

2. APPLY Innovation Potential

e, a

Further in this report, the chosen brand that is suited to apply this trend is Mr P by Mr Porter. It will focus how to apply this trend not to Mr Porter as a multi-brand retailer, but to Mr Porter’s own brand, Mr P.

st cal

Mr P’s products have a mid-range price point, catering for young working class men that are building their careers. They appreciate a well-made coat and do not mind paying a higher price for quality and service.

g this ened s, ate

ches

THE INNOVATION

Who The consumer group that will greatly benefit from this trend are men aged between 24-35. They are mostly early adopters and early majority men interested in technological advances in retail, as well as keen on the retail experience.

To open an experiential retail space for Mr P in London, incorporating the digital and physical space to create a dynamic and seamless shopping experience for its target market.

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Evidence of Trend Drivers: Technology Mastercard’s Smart Mirror MasterCard claimed their smart mirror (see Figure 2) is “set to change the future of shopping as we know it,” (WGSN Insider, 2018). Nowadays, the in-store experience keeps changing and adding this in-store technology is one of the ways. It creates a virtual shopping basket and automatically recognises items when a customer enters the changing room. To enhance the ‘trying on’ experience, the mirror allows customers to change lighting, request a different colour or size, view further recommendations and pay using contactless all within the mirror (The Industry, 2018). When this technology is applied correctly, it makes a seamless customer experience in-store. However, in the context of luxury retail, human interaction is still crucial. Customers would still demand attention and connect with sales associates. In order to succeed, retailers must find a balanced combination between the two.

[Figure 2: Requesting a different size, colour and paying using contactless in the smart mirror]

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The Future Laboratory’s Cultural Triangulation Model Intuition

• Combining the two aspects in ‘observation’ and ‘interrogation’, it could be seen as a trend that will keep on evolving in the future. Retailers must keep customers enganged- digitally and physically, in order to produce a connection and eventually grow sales.

Cultural Triangulation

Observation

Interrogation • Interview with brand manager of Luca

• Luxury online retailer such as Matches Fashion opened a townhouse store, offering engaging activities such as personal styling, talks, fashion workshops and evening events. • Stores such as Pepe Jeans uses smart mirrors to engage digitally with consumers in store.

Faloni, a luxury Italian menswear e-commerce that had just opened their first store in Marylebone, London. They specialize in cashmere and other menswear classic staples. (see Appendix 1)

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How has it emerged? One of the first brands to tap into the experiential retail trend is Vans. They have been providing memorable experiences through events such as the Warped Tour. In 2010, they opened their first ‘House of Vans’ in Brooklyn, New York: a space for free concerts, art exhibitions, workshops and a skate park (Business of Fashion, 2017). The space is the physical manifestation of what Vans stands for— community, creativity and self-expression. The concept proved to be successful in driving brand engagement and loyalty.

Awareness The journey starts off as customers browse Farfetch online. In one account, data like wishlist and past purchases could be seen.

How its us

Early in 2017, Farfetch an ‘Store of the Future’ which m in a seamless manner, from the customer journey. It show customer’s shopping behavi buying in-store (The Industry on how the Store of the Fu technology is elaborated in t below.

Consideration In-store check-in. As soon as a customer enters the store, sales assistants will be notified. This is to ensure the service is personalized. Browsing made easy by RFID technology- when a customer picks up an item from a ‘connected rail’ it automatically is added to their wish list. Sales assistant will then add the item to the changing room.

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Pur

Smart mirror rooms. This a ers to adjust l a different siz view recomme available in a makes it co quick for the to respond.

Time


sed now?

How will it evolve?

nnounced their concept for melds the online and offline the beginning to the end of ws a 360-degree view of the iour from browsing online to y, 2017). Further explanation uture features cutting edge the customer journey model

rchase

r in changing allows customlighting, request ze or colour and ended items. All a mirror, which onvenient and sales assistant

Service Payment and delivery. To make it as smooth as possible, various payment options such as contactless, PayPal are available. Farfetch will also deliver customer’s shopping to their prefered destination.

eline

According to Business of Fashion (2017), “if we really want to save retail, we’ve got to let it die.” Retail as we know it must die, in order to fully move forward into a bright new age where the purpose of retail spaces is not to sell products, but to act as “living, breathing physical portals into brand and product experiences,” (Business of Fashion, 2017). They will become places we go to learn, see and try new things, be inspired and collaborate. Beyond mere consumption, these places will focus on inspiring, educating and entertaining customers.

Loyalty To create a lasting relationship between sales assistant and customer, they might exchange WhatsApp in order to have a personalized service, unlike a generic email blast from Farfetch.

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Consumer Analysis

The target customer for this trend would be savvy shoppers that are looking for more than just a place to shop, but also a place to spend leisure time in. At a time where e-commerce is supplying customers with endless options, retailers must offer something different than their counterpart. According to McKinsey & Company (Business of Fashion, 2018), “some 80 percent of purchases are still expected to happen in stores in 2020.� People who are innovators, early adopters and early majority are the ones who will benefit most with this trend. They enjoy being the first ones in going to new shops, trying new features and posting them on social media. They are more experimental in the way they shop— they do online shopping for the convenience, to buy tedious products such as groceries or basics, and shopping in store for more luxurious and statement pieces. They like to belong to a community, and share the same favourite brands as their friends.

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Evidence of the Macro Trend in the Industry

Benchmark using Matches Fashion Townhouse

QR Code

Although QR code is not a new technology, it is one of the main details that the sales assistant pointed out. By scanning the QR codes throughout the shop, customers are able to view the collections on display online, and sales assistants are notified that that particular customer is in the shop. With this, the sales assistant is able to access the customer’s recent purchase and wishlist, which shows their shopping habits and preferences, thus they are able to tailor the service and recommendations as accurate as possible.

Events

Leandra Medine (Man Repeller)

This is an example of events the townhouse offers throughout the month of October. They hold a series of talks, masterclasses and workshops for anyone to RSVP. This gives customers a chance to engage further with the brand values and interests, and eventually build a lasting impression on them which results in shopping with Matches. The events are not limited to fashion, but also about lifestyle, food, drinks and music.

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With over 2 million followers in Instagram; founder of the iconic blog Man Repeller; Leandra Medine joined by a panel of other industry experts conversed about Matches Fashion’s 5 style muses, future trends and how they spent their first pay check. The conversation was lighthearted, inspirational and overall, the perfect way to spend a Wednesday evening.


Vending Machines

A way to add an interactive element to the shop. Products in the vending machine include exclusive collaborations by Matches Fashion x Prada, as well as Man Repeller x Donni. Customers were given a token, which then could be exchanged by products in the machine. This encourages customers to post pictures on social media, as this has an ‘Insta-worthy’ quality about it.

Product display

Rails of clothing are displayed in the room, while the talks and workshops are ongoing.

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Cafe

Fifth floor of the townhouse hosts independent cafes that changes every month. The attic-style space has a ‘homey’ feel to it, with travel books and magazines, plants and matcha lattes.


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Mr P by Mr Porter 19


About the Brand This section of the report will focus on Mr Porter’s own brand, Mr P. Mr Porter is a luxury multi-brand e-retailer, however in 2017, launched its own clothing line. Mr P is clean, simple and classic; not overly showy or obviously trend-driven; and eminently wearable (Drapers, 2017). Pieces in the collection include cosy cashmere sweater, woolblend coats, easy-fit denim and classic shirts. All pieces are made with the target customer in mindurban, roughly 25-year-old who works in a large city and wants to look clean and smart without particularly wearing a suit. Mr Porter is known for its educational blog content such as ‘How To’ videos, ‘Best of’ guides as well as thorough product information, according to managing director, Toby Bateman (Drapers, 2018), Mr Porter is “a mix between a magazine and a shop.” This brand identity will align perfectly with the innovative retail concept that will be discussed in the next few sections.

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21


Innovative Retail Concept The

SPACE To open the first Mr P store in London, the store must be experiential, with a touch of modern technology. Product displays are well thought about and every little detail counts. Aesthetically, an apartment-style store proved to be popular among brands that want to sell the overall lifestyle and feel of its identity. Apartment-style stores can function as hubs for community building, according to Business of Fashion (2017), “when customers feel part of a brand community, it builds a certain loyalty as the brand has a human face that feels friendly and engaging.” The space should have an airy and easy feel to it, a space where customers can breathe and take a step back from their busy lives. Since most of Mr Porter’s editorials revolve around travel, lifestyle— including cars, street style and health, the store should bring those aspects to life.

Product display

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Interior design

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The

TECHNOLOGY Mr P’s social media accounts uses user-generated content as a tool to engage with customers digitally. They use #MrPyourway, where customers can contribute and post their pictures to get featured in Mr P’s Instagram. To include this digital strategy in-store, 2 interactive touch-screens would be displayed in the store. A curated album of photos will be displayed and customers can see themselves, wearing Mr P, in those screens with tagged details of the product name and variations. A smart mirror will also be in-store to help customers order a new size, colour or other products from the changing room. They will also be able to adjust lighting, choose their own music from Spotify as well as call a sales assistant. By offering this in store, it adds a unique selling point and will attract men that are interested in technology or that work in the industry. It will create a new shopping experience.

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25


The

AFTERCARE In order to improve the customer journey, the store will introduce an in-store tailoring service. When a customer purchase, for instance, a pair of trousers, they could get it tailored in-store to find the perfect fit. Customisation is a big trend— make customers feel special and to have their pieces tailored specifically to them, they feel better when wearing it. Dedicating some space for aftercare will add value, differentiate from competitors and reflect the shift in customer behaviour, thereby strengthening customer and brand relationships (WGSN, 2018). With a range of products from tapered trousers, denim jeans and wool blazers, customers can wait while Mr P’s professional in-house team make alterations to their garments. The service will offer a wide range of alterations, such as below.

In-store tailor Shirt

• Shorten sleeves • Take in original seams • Shorten body

Jacket • • • •

Take in/ let out seams Shorten Shorten/ lengthen sleeves Shorten sleeves from shoulder • Narrowing shoulders • Add shoulder padding

Trousers • • • • •

Shorten/ lengthen Take in/ let out waistband Tapering upper leg Tapering lower leg Lower waistband

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The

EVENTS As Mr Porter is known for its informational blog posts, a series of talks and workshops that not only discuss fashion, but also about travel and career will be introduced to the store. This could bring content from the blog to life. It is a ‘way of buying into the Mr Porter lifestyle portrayed in its elaborate editorial content,’ (Drapers, 2018). Events will revolve around the overall aspirational lifestyle of what a Mr P customer aim for or already are. In-store events could drive traffic to the store as well as see the store in a new light and setting, as events will be held after opening hours. Customers are encouraged to bring a +1, as this is a way of spreading awareness through word-of-mouth.

Talks/ Workshops • 10 grooming resolutions for the new year • A series of sartorial problem-solving: How to wear denim at work • How to choose a scent for all seasons • Four easy summer cocktail recipes • How to acquire a fool-proof wardrobe

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Pen Portrait Rami Charabi

He is an Egyptian-born British 28 year-old architect living in Battersea. He said being so close to the river Thames inspires him everyday— by constant new developments along the river and the Battersea Power Station. He works at Le Lay Architects in Chelsea, where he spends time back and forth from the studio and office. He grew up with a father who taught him the importance of dressing well, “if you dress well,” he said, “it gives out a strong first impression and the integrity of what you do for a living.” Since he surrounds himself with creative like-minded people, and works in the design industry, dressing well is his forte.

Because I work in a workshop, there are practical conditions I need to adjust to; because my life is more than just work, there are different activities I need to go to. There is always a sense of practicality to what I wear. 29


Innovation Audit:

an assessment of the brand’s appetite for risk in terms of innovation adoption

Mr P is currently positioned in the introductory phase. As they are newly launched in 2017, with a year in business, they are still growing their following— with 53k followers in Instagram and a non-active Facebook page of 15 followers, Mr P is far from their peak. By opening this innovative retail space, Mr P could increase brand awareness as well as build lasting relationships with customers. It acts as another touchpoint to interact with the customers, as well as a channel for them to get to know the brand. Furthermore, with the store, Mr P would shift their position in the innovation lifecycle from introduction to rise (growth). Sales volume will increase over time, as they are adding another point of sales. In relation to the graph below, Mr P’s products are considered classic. Their products are clean, simple and classic menswear, not overly trend-driven, understated yet stylish and modern. Every men in their 20s who are starting their career needs a simple, good quality shirt that will last them a long time. Mr P’s customer value longevity of the products and its its quality overtime.

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Innovation Audit:

in relation to Mr P’s target audience

Roger’s Diffusion of Innovation theory

In relation to Mr P’s target audience, they would be early adopters and early majority in the graph above. Their customers are adaptable to change and are not afraid to be ahead of their peers. They look for benefits and different ways in shopping. They are interested in technology and would be interested to try an experiential way in shopping. Early adopters could include influencers and the existing customer base, as they will be the first ones to try the new products or services. Influencers will post reviews or photos to social media for their followers to see and eventually follow. The existing customer base will be the first ones to know about the opening of the retail space— through email subscription, newsletters or Instagram posts. Early majority are followers who will wait for the early adopters reviews in order to try the new products or services.

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References

Business of Fashion. (2018). If We Built the Retail Model From Scratch, What Would It Be?. [online] Available at: https://www.businessoffashion.com/articles/voices/if-we-built-the-retail-model-fromscratch-what-would-it-be [Accessed 6 Nov. 2018]. Business of Fashion. (2017). To Save Retail, Let It Die. [online] Available at: https://www.businessoffashion.com/articles/opinion/to-save-retail-let-it-die [Accessed 23 Oct. 2018]. Business of Fashion. (2017). The Business of Apartment Stores. [online] Available at: https://www. businessoffashion.com/articles/intelligence/the-business-of-apartment-stores [Accessed 27 Oct. 2018]. Business of Fashion. (2017). The Formula For Brand Experience. [online] Available at: https://www. businessoffashion.com/articles/opinion/op-ed-the-formula-for-brand-experience [Accessed 23 Oct. 2018]. Drapers. (2018). Meet the original Mr Porter. [online] Available at: https://www.drapersonline.com/people/the-drapers-interview/meet-the-original-mr-porter/7031860.article?search=https%3a%2f%2fwww.drapersonline.com%2fsearcharticles%3fqsearch%3d1%26keywords%3dmr+porter [Accessed 24 Oct. 2018]. Drapers. (2017). Mr Porter launches Mr P. [online] Available at: https://www.drapersonline. com/product-and-trade-shows/designed-by-data-mr-porter-launches-mr-p/7026917.article?search=https%3a%2f%2fwww.drapersonline.com%2fsearcharticles%3fparametrics%3d%26keywords%3dmr+porter%26PageSize%3d10%26cmd%3dGoToPage%26val%3d4%26SortOrder%3d1 [Accessed 24 Oct. 2018].

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LS:N. (2018). Storefront Salvation. [online] Available at: https://www-lsnglobal-com.arts.idm.oclc. org/macro-trends/article/22196/storefront-salvation [Accessed 16 Oct. 2018]. Matches Fashion. (2018). 5 Carlos Place. [online] Available at: https://www.matchesfashion.com/ 5carlosplace [Accessed 18 Oct. 2018]. Mr Porter. (2018). Mr P by Mr Porter. [online] Available at: https://www.mrporter.com/en-gb/campaigns/mrp/ [Accessed 27 Oct. 2018]. The Industry. (2017). A tour of Farfetch’s Store of the Future. [online] Available at: https://www.theindustry.fashion/tour-farfetchs-store-future/ [Accessed 23 Oct. 2018]. The Industry. (2018). Mastercard to shake up shopping with new Smart Mirror with payment function. [online] Available at: https://www.theindustry.fashion/mastercard-to-shake-up-shopping-with-newsmart-mirror-with-payment-function/ [Accessed 19 Oct. 2018]. WGSN Insider. (2018). MasterCard smart mirror: A ‘virtual personal shopper’ set to take payments. [online] Available at: https://www.wgsn.com/blogs/mastercard-smart-mirror-payments/ [Accessed 19 Oct. 2018]. WGSN. (2018). Shopper Forecast 2018. [online] Available at: https://www.wgsn.com/content/ board_viewer/#/76629/page/2 [Accessed 18 Oct. 2018]. WGSN. (2018). The Future of Retail Space 2020. [online] Available at: https://www.wgsn.com/content/board_viewer/#/79262/page/2 [Accessed 18 Oct. 2018].

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List of Illustrations Page 4. Qicgre. (2017). Farfetch - Presenting the Store of The Future. [Photograph] Available at: https://www.qicgre.com/thepaper/farfetch [Accessed 7 Nov. 2018]. Page 6. Matches Fashion. (2018). 5 Carlos Place. [Photograph] Available at: https://www.matchesfashion.com/5carlosplace [Accessed 18 Oct. 2018]. Page 7. Mr Porter. (2018). Mr P. [Photograph] Available at: https://www.mrporter.com/en-gb/campaigns/mrp/ [Accessed 7 Nov. 2018]. Page 10. The Industry. (2018). Mastercard to shake up shopping with new Smart Mirror with payment function - The Industry. [Photograph] Available at: https://www.theindustry.fashion/mastercard-toshake-up-shopping-with-new-smart-mirror-with-payment-function/ [Accessed 19 Oct. 2018]. Page 15. MANGO. (2018). High-waist palazzo trousers. [Photograph] Available at: https://shop.mango.com/gb/women/trousers-palazzo/high-waist-palazzo-trousers_31035745.html?c=92&n=1&s=prendas_she.familia;26,326,22,322 [Accessed 7 Nov. 2018]. Page 16-17. Rahmadany, T. (2018) A Visit to Matches Fashion Townhouse. [Photograph] Page 18. Instagram. (2018). Mr P. (@mrp). [Photograph] Available at: https://www.instagram.com/ mrp/?hl=en [Accessed 7 Nov. 2018]. Page 20-21. Instagram. (2018). Mr P. (@mrp). [Photograph] Available at: https://www.instagram. com/mrp/?hl=en [Accessed 7 Nov. 2018]. Page 22-23. The Line. (2018). The Apartment – New York. [Photograph] Available at: https://theline. com/pages/the-apartment-new-york [Accessed 1 Nov. 2018].

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List of Illustrations

Page 22-23. GQ. (2018). Why you’ll feel at home in Fendi’s new London ‘apartment store’. [Photograph] Available at: https://www.gq-magazine.co.uk/article/create-your-own-cashmere-at-fendisnew-sloane-street-store [Accessed 1 Nov. 2018]. Page 22-23. Wallpaper*. (2018). Nautical but nice: accessories label Lonb’s debut boutique cruises into London. [Photograph] Available at: https://www.wallpaper.com/fashion/lonb-opens-sailing-inspired-london-store#pic_195287 [Accessed 1 Nov. 2018]. Page 25. Instagram. (2018). Mr P. (@mrp). [Photograph] Available at: https://www.instagram.com/ mrp/?hl=en [Accessed 7 Nov. 2018]. Page 27. Yelp. (2016). Suitsupply. [Photograph] Available at: https://en.yelp.be/biz_photos/suitsupply-antwerpen-2?select=aHPvtzz15k7HPRovCYIHDg [Accessed 1 Nov. 2018]. Page 27. I.pinimg.com. (2018). [Photograph] Available at: https://i.pinimg.com/originals/cd/e3/ef/ cde3eff5e9655a0962464bf28d21a03e.jpg [Accessed 1 Nov. 2018]. Page 28. Mr Porter. (2018). 10 Grooming Resolutions For The New Year. [Photograph] Available at: https://www.mrporter.com/journal/maintenance/10-grooming-resolutions-for-the-new-year/2920 [Accessed 15 Oct. 2018]. Page 29. Instagram. (2018). Mr P. (@mrp). [Photograph] Available at: https://www.instagram.com/ mrp/?hl=en [Accessed 7 Nov. 2018].

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Appendix 1

Interview with the brand manager of Luca Faloni About the Brand

Luca Faloni is a luxury Italian menswear brand based in London. Its offers timeless classics such as polo sweaters, brushed cotton shirts, cashmere hoodies, cable knits and accessories such as belts and wool scarves. They focus on the finest materials by Italian producers, craftmanship and a worldly lifestyle. A brief interview with Niccolo Marchiori, the brand manager, was conducted for this report, to understand more about why the brand chose to open a store in London. They opened their first store in Marylebone on the 3rd week of October 2018. This interview reveals unique aspects of the store, how they encorporate their digital aesthetics on Instagram and the website to the store and how to create an omni-channel brand experience. Below is a summarized version of the interview, highlighting the most important points that are relevant to the Storefront Salvation macro trend.

Main goals in opening the store - Grow revenue

- Create a cozy environment where customers can see, feel and try the products. We created a lounge where customers can be inspired by pictures of the brand, magazines we propose to them. - Build an even stronger relationship with the existing customers, they could come talk to us and give feedback in person to the sales assistants.

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Store features/ experiments in the store - Firstly, the store is not product heavy, not every single corver is dedicated to products. We have a lounge where people can read about Luca Faloni the way that we like to perceive ourself. - Thursday evening in Marylebone High Street is late shopping, so we propose aperitivo and live music in store. We opt for aperitivo because we are an Italian brand and we like to be true to our roots. - Nowadays influencers are very important, but usually its just a distant connection- we send them products, they take a picture with it and post it. All interactions are done by email. So we would like to change this and our new policy is that every week, we invite one influencer to our shop and I will personally show him around, for him to discover more about the brand, find out his interest and preferences so I can choose a suitable product to gift him. - This is not a final idea, but we want to create an Arab night. As you know, Arabs are quite strong economically, and they have their own way of shopping- they shop late, they don’t want to shop at crowded places. We started building connections with personal shoppers, that has a big customer base of Arabs in London and start inviting them from there. We want to cater to their specific needs.

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