Operational Excellence: Navigating Store Openings Post Covid-19

WE WILL NOT RETURN TO NORMAL

I had a fire side chat with Simon Collins, former Dean at the Parsons School of Fashion, New York to discuss best practices when re-opening your stores or indeed before you plan your retail future. 

The conversation sponsored by Omnilytics (https://omnilytics.co) was very well received with a large number questions which I will respond to. In the mean time I have posted below some of my thought starters from the chat and comments about how I can help you deliver both brand and commercial growth even during these challenging times.

• A RETAIL APOCALYPSE DUE TO COVID-19?

I would suggest there is no apocalypse and that it's the continuation of the evolutionary journey retail has always been on. From the local full service specialty shop of our great grandparents time through to the introduction of the self service supermarket to the big box category killers to the mega malls and Amazon Retail. Each one has apparently herald the death of its predecessor. So what replaces Amazon? The intelligent home that knows what you want and orders it so you can do more fun things like going out being social and having a fun immersive brand experience that is not overtly selling?

Piggly Wiggly, Memphis, Tennessee in 1916 the first self-service grocery store in the US.

"I would suggest that even today it's the continuation of the evolutionary journey retail has always been on."

A Retail Apocalypse started to be talked about around 2010 and was even referenced in The Harvard Business Review September 2017. In 2019, retailers in the United States announced 9,302 store closings, a 59% jump from 2018. Over 12,000 physical stores have closed due to factors including over-expansion of malls, rising rents, bankruptcies, low quarterly profits due to changes in spending habits. Consumers have shifted their purchasing habits due to various factors, including experience-spending versus material goods as well as the rise of e-commerce. COVID -19 has accelerated not an apocalypse but the speed of evolution and revolution. COVID-19 may well have resulted in a renaissance to full one on one personal service and interaction just like the old days but now with Go Instore. Brompton Bikes new website uses integrated live video service Go Instore and Shopify, allowing customers to see bicycles before they buy them. Offering this kind of in-store service gives customers additional certainty about what they are buying.

"COVID-19 may well have resulted in a renaissance to full one on one personal service and interaction just like the old days but now with Go Instore."

• FACT BASED APPROACH

Move from what you think to what you know, the more you know about your own business and more importantly your consumers the better the outcomes at all levels.

For over 20 years I have been using the latest technology and software to generate a bases of fact. (Image from 2007). Facts that carry weight in the boardroom and form the foundation of great creative outcomes. Now I use a mobile devices to capture (none personal) consumer behaviour within a space which combines with other data to provide a comprehensive set of facts.

"For over 20 years I have been using the latest technology and software to generate a bases of fact."

• STRUCTURAL ECONOMICS

Make sure your human capital and business economics are rightsized and future proof ensuring agility and flexibility. Make use of proven best in class external sources and talent. Question all procurement decisions, where and how are you doing your e-commerce photography? How can you get better results but spend less?

I can provide best in class results driven creative and sourcing which will pay for its self through commercial performance or procurement savings.

• FISH WHERE THE FISH ARE

Omnichannel retail doesn't mean be everywhere, just everywhere your customers are. Be fully integrated in your approach to commerce providing shoppers a unified experience across all channels and touch points. I don’t just design stores I create brand experiences that deliver brand and commercial value making use of all physical, digital, VR, and AR tools.

"ONE SIZE DOES NOT FIT ALL"

• AGILITY

Move, pivot, zig zag do what ever you have todo to create your brands and maybe even your industries future. E commerce moves quick you have to as well. POP UP’s, Events do you even need to be on the high street, is the high street still relevant?

"I am well resourced with great capability which means I can partner with you to enable your organisations to pivot, evolve, and revolutionise not just yourselves but maybe even your industry."

• EVOLUTION & REVOLUTION

Evolution & Revolution will always be with us. Evolve rapidly and use solid data to work out when YOU need to revolutionise, don’t wait for others, be confident in you and your brand and lead. 

• STAND OUT & BE UNIQUE

Don’t be like your competition be you! If you’re only seeking to be like your competition, there really isn’t a reason for consumers not to check out your competition.

"I can help you discover who you are, what’s your story, how you tell your story and the best way to tell that story."

• WE WILL NOT RETURN TO NORMAL

‘Normal’ can be defined as any behaviour or condition which is usual, expected, typical, or conforms to a pre-existing standard. The normal human body temperature is 36.5–37.5 °C that’s a good normal. Normal in our context equals BORING don’t be boring! Don’t embrace normal embrace change, use data to create the new normal…….then repeat and repeat.

• A WORLD OF CONTRADICTION

We live in a world of contradiction and as retailers we have to ensure legal compliance especially today with social distancing and ensure we are providing safe and legally compliant environments even if we see none compliance outside our doors. You have to be sure of your facts, the data you have built those facts on and then be confident in your strategic decisions BUT keep AGILE

• EMOTIONAL CONNECTION

Think emotional connection not retail. Success in retail is largely about emotional connection and retailers that want to win will embrace this. This is more easily said than done for legacy retailers that are set in their ways. But smaller, agile retailers are leading the pack on this front.

• HUMANS ARE CONNECTED AND VERY SOCIAL 

A couple of key learnings for me coming out of the COVID-19 is how connected we are globally both physically (the spread of COVID-19) and digitally. Despite all the technology and isolation ‘laws’ we as humans want to be with other humans and share a hug, a laugh, a meal, good times and bad.

• FIVE POINT TAKE AWAY 

1. Use a solid base of data and consumer behaviour findings to understand your current and future consumers. Enact change based on those facts.
2. If you are not agile and adaptable become so NOW. Know what your strengths are and more importantly what your weaknesses are and make the changes NOW. Use best in class external resources.
3. Be unique and true to who you are, tell your story, lead and others will follow.
4. Humans are social and seek out experiences. Provide enriching experiences that connect emotionally. Don’t think transactional.
5. Ensure consistency of consumer experience and journey across all channels providing an omni experience. If your organisation is still set up by channel you need to change your structure now! 

MY TWO FAVOURITE QUOTES

“People do not buy goods and services. They buy relations, stories and magic” – Seth Godin

“A brand is no longer what we tell the customer it is; it is what the customers tell each other it is.” – Scott Cook

ABOUT BOB NEVILLE

Bob Neville is a product and three dimensional designer by training and profession who has through practical experience become a Global Creative Retail Expert. His experience is extensive across Owned, Franchise and wholesale channels.

Born in Paris Bob has lived around the world however his twentyfive years in Asia Pacific means he also has a very detailed knowledge of markets such as China, Korea and Japan.

With over 10,000 stores and shop in shops opened with his concepts around the World including extensive role outs in China he is a true Global Executive who is able to translate a brand into three dimensions and through into retail and branded environments. Retail and branded environments that work globally whilst at the same time respecting cultural nuances AND delivering bottom line growth