Bold Bet For 2022: Invest In Bricks & Mortar

Shinola's leadership team has spent significant time in our stores over the past several months, catching up with old friends, gathering new insights, and planning for a future of growth. I personally visited a dozen stores recently, meeting with about 40 of our associates.

Even as we invest in our e-commerce capabilities and remain vigilant about protecting public health during this pandemic, it is safe to say we have never been as optimistic about the state of our physical retail footprint in the U.S.

This holiday season, our stores have been buzzing as we've rolled out new products and hosted great in-person events. Last month, for instance, I hosted a gathering of women at a charity shop night at our Logan Circle Shinola store to benefit Vital Voices, a nonprofit that supports female leaders in economics, politics, and human rights. In mid-December, University of Michigan supporters came to our Ann Arbor store to listen to key players from the Big Ten championship Wolverines football team talk about teamwork and unity.

When we launched "Lap 03" of our collection of limited-edition Canfield Speedway automatic chronographs in November, we made it almost exclusively available in stores. It sold out in less than 20 days.

As leaders of fashion brands gaze into their crystal ball for 2022 and beyond, I believe they will see a vibrant future for brick & mortar stores. Whether they are working at an online startup just beginning to tiptoe into physical retail, a 10-year-old omni-channel brand like Shinola, or a heritage brand operating for decades, it's clear to see the central role physical stores can play in expanding the top line, amplifying brand awareness, and bolstering reputation.

In fact, we as a company are?actively?planning for retail growth in?2023 and beyond.?Why? Because brick & mortar is the arena where relationships are most solidly built and customers most intimately connect with our products and values.

The year ahead will come with challenges to be sure, but it is going to be a period that tests the strength of the relationships we've built with guests over several years, not just in recent trying times. While relationships were indeed cultivated during the pandemic -- going forward, these relationships will be essential.

Covid-19 changed behavior, but it did not weaken people’s appetite for human connection and the desire to touch, feel and experience the items they want to bring into their lives. I believe there remains be an urge to spend more time in physical stores even amid all the convenience of shopping online.

Like every fashion brand, Shinola’s bricks-and-mortar locations were disrupted as the pandemic broke out, and over the 20 months that followed. Traffic still hasn’t entirely bounced back.?

Nevertheless, we never stopped focusing on guest experience – we sent handwritten notes, checked in over email, enhanced our concierge services, and made it easier for people to order products from home and pick up at the store. Our stores remain an essential part of Shinola’s strategy.

People will be demanding more from retailers in the days ahead. In a word, they are seeking hospitality. This means providing an increasingly seamless link between online shopping and what is experienced in person. Stores will need to be even more welcoming and dynamic. And, we need to continue being creative by offering more in-person events and experiential activations.

The business case is compelling for more investment in bricks & mortar. We need our own people to feel supported and well-resourced by their employer. Associates on the front lines need to know we have their back. The quality of our hospitality depends on it.

If someone sees a store as unwelcoming, senses a lack of thoughtfulness in how the store is designed, or feel completely misunderstood during interactions with our associates, they will go elsewhere, or simply stay home. This is why at Shinola we drive towards quality guest interactions at every touchpoint.