Chain Store Age - July 2009

Ideations

A Retail Publication

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Growing Your Business in

Today’s Economy

Whether you feel the recovery is imminent or think the country won’t be back on its feet until next year, don’t wait out the economy. Assess and take action now. We find that many retailers have overlooked the following five opportunities to leverage store assets to help business stay strong and grow profit.

1. Deliver on your
brand promise.

The best retailers have a clear idea of what they sell and how they sell it. They have a high level of organizational consistency and

coherence and a clear vision of the future. Every employee knows what the promise is and how to deliver it. Think The Container Store.

The store is your brand promise

brought to life. To help keep a store at optimum profitability, the physical underpinnings of shoppers’ expectations need to be met, from the parking lot to the cashwrap. That

includes lack of clutter, in-stocks on key items, logical adjacencies and a rational traffic flow. A weak structure signals broken promises and sets a mood of doubt. Consumer surveys continually indicate that the majority of retailers have opportunity for improvement on delivery of brand

promise. Ask yourself:

;; ;;;;;;;;;;;;;;;;;;;;;;;;; word what we do for them that’s special?

;; ;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;; vision in favor of short-term instore tactics?

;; ;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;; is translated into the space?

;; ;;;;;;;;;;;;;;;;;;;;;;;;;;;;;; get a clearer view of what could be improved?

2. Convey value beyond
a specific offering.

To have value beyond the item

purchased, a brand must own a

distinctive space in the hearts and minds of its customers by conveying status, or helping people live better by keeping prices low. Or by editing apparel so people can be fashionable. A store’s design helps speak to shoppers’ dreams and aspirations by immersing them in a sensory atmosphere.

At its most fundamental, Target is full-line discount store. It meets the needs of the economy-minded customer, a very rational practical benefit. Its exceptional performance is based on its insight that middle-

class moms want to be cool and have fun. Target’s brand strength as a curator of affordable style is so strong it has to remind shoppers of its low prices. Its stylish urban architecture is complemental and well-composed. Think about it.