Når mennesker går i butikker New Retail Day ‘14

Filip Lau, ReD Associates 6. maj 2014

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At ReD, we put a deep understanding of real people back at the center of business decision-making. Our teams solve some of today’s hardest problems.

R E D A S S O C I A T E S

Copenhagen & New York

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DRIVING INNOVATION

ReD Associates is an innovation consultancy

that helps clients achieve top line growth.

PEOPLE �CENTERED

We are specialists at uncovering customers’

needs and use insights to reinvent existing categories, identify new markets and develop new sources of

growth.

SOCIAL SCIENCE ENGINE

Our core tool is the application of social science methods and theories of human

behaviour to solve non-linear business problems.

Our proposition

Facts in Brief

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DISCIPLINES

Our staff are trained in the human

sciences, i.e. anthropology, sociology, ethnography, psychology, etc.

Each staff member goes through an internal two-year training programme

focusing on business thinking and commercial implications

65 consultants in two offices. 17 languages

and 15 nationalities. Offices in Copenhagen, New York and satellites in

Shanghai and London

LEADERSHIP Charlotte Vangsgaard – Managing Partner

Mikkel B. Rasmussen – Senior Partner, EU Christian Madsbjerg – Senior Partner, US Filip Lau, Jun Lee, Mikkel Brok-Kristensen

& Charles Hill

PRACTICES Product and Service Development Commercial Growth Organizational Performance

KEY INDUSTRY SECTORS Consumer Electronics

Health and Medical Devices Consumer products Business-to-business

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Sensemaking is described�in the book ‘The Moment�of Clarity’

‘Increase the sales of jerseys �around WC14’

‘Exploit the commercial potential�of emerging markets’

‘Increase market share in the RTD category in China’

Assess possibility to expand market through increased patient compliance’

‘How to create more impactful packaging for our men’s range?’

We call our approach ‘sensemaking’. Basically, it is about turning a business problem into a phenomenon

What is the new take on �national identity?

What does ‘play’ mean to�Chinese kids and parents?

It describes how business problems can be solved…

…by reframing the business problems into phenomena

The Moment of Clarity is written by ReD’s two directors, Mikkel B. Rasmussen and Christian Madsbjerg. It was published in 2014 on Harvard Business Review Press

What is the culture of tea?

Why are people not taking �their vital medicine?

What is masculinity?

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Ærlig talt, så ved vi hos ReD kun lidt om

at drive detailhandel…

…Ligesom vi også ved en del om

hvordan vores kunder tænker detail-leddet i

deres strategi og planer for innovation.

…Men vi ved meget om hvordan folk

handler ind og hvad oplevelsen i butikken

betyder for dem…

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Vores perspektiv på detailhandel kommer fra en forståelse af forbrugernes relation til de produkter virksomheder sælger – og detailhandelens rolle som ‘mediator’

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2 + 2 + 1

1. �Myten om den rationelle forbruger

Altid billigst online

“Mange af kunderne er nogle hyklere. De kommer ind i butikken og lader som om, at de vil købe et køkken. De får en masse gratis vejledning af det velvillige personale. Køkkendesign, farvevalg, navne og mål på materialer osv. De noterer samtlige detaljer og forsvinder så ud af butikken. Over nettet derhjemme kan de nemlig bestille alle dele til det designede køkken hos en billigere leverandør.” �– Læserbrev i Information, 21, november 2013

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Med nye digitale løsninger kan forbrugerne få det billigste produkt nemt og hurtigt

IGÅR De handlende har kontrollen

I det øjeblik den handlende går gennem døren har forretningen fuld kontrol over oplevelsen, prisen, service.

I DAG Kunden har kontrollen

“Ever wondered if you were getting the best price on a product when you were out shopping? … Price Check enables you to search Amazon

products quickly using barcode, picture, voice, and text search.” – Amazon Price Check app

Project: SAM28 Digital Signage

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Hvis prisen er det afgørende parameter, er der særlige steder forbrugerne går hen – især hvis ikke de ved så meget om kategorien

Project: ADI12

Less knowledgeable big box store High volume, national visibility, low prices, low customer service. Brands

compete by owning shelf space.

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On your own navigating a wall of shoes

The person at Dick’s couldn’t tell Ben anything about the different shoes—and Ben wouldn’t have believed him anyway. “I hate the salespeople,” he scoffed, as he searched in futility for someone to retrieve a pair of shoes for him. This was a common experience in big box stores, which provide little assistance for picking out a model.

Project: ADI12

Og det er ikke service og god betjening de leder efter…

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Vi ser en helt anden tendens blandt vidende forbrugere: nemlig at de har en relation til butikken, og efterspørger et veluddannet personale

Project: ADI12

More knowledgeable Run specialty store Low volume, local visibility, high customer service. Acts as a community

center. Brands compete by getting salespeople to recommend shoes.

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Det er ikke specialbutikkerne der har den største udfordring. Det er de “fysiske Amazons”

“The more you are like a warehouse, the more Amazon is going to crush you.”

Lee Petersen, WD Partners

2. �Den nysgerrige forbruger Hvad forbrugerne ønsker af en god købsoplevelse

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I 1990’erne levede ideen om ‘mennesket som forbruger’ i bedste velgående – livet handlede om ‘shopping and fucking’

Sociologien er fyldt med teorier og studier om hvordan forbrug og identitet hænger tæt sammen

Pierre Bourdieu (1930 – 2002)

20 Projects: PER Baby Boomers

Mød Susan der handler ind i Waitrose i London

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#1. EKSPERTISE OG KURATERING

Forbrugerne forventer et højt vidensniveau af de

ansatte i butikker der ikke er positioneret discount

og lavpris – og at vareudbuddet er

kurateret omkring en idé

#2. RELEVANT INFORMATION

Forbrugerne finder nye digitale info-løsninger

relevante hvis brugeroplevelsen er

bekvem og værdiskabende

#3. BEKVEM �SHOPPING

Forbrugerne er interesserede i relaterede

services der ligger udenfor butikken

I dag ser vi tre ting forbrugerne søger når de går handler ind

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Forbrugerne er overvældede af valgmuligheder – og det betyder at de i stigende grad rådfører sig hos kuratorer af god smag. De ønsker ekspertvejledning i butikken Eksempel: Tsutaya Books, Tokyo

23 DESK RESEARCH: http://www.vendhq.com/retail-trends-and-predictions ; http://www.deloitte.com/assets/Dcom-Germany/Local%20Assets/Images/06_CBuT/ ; http://hbr.org/2011/12/retail-isnt-broken-stores-are/ar/12013/CB_R_store_of_the_future_2013.pdf

…Og det er ikke et niche-fænomen Eksempler: Apple og Nespresso

Apple excels as this through employing Apple aficionados to champion their products

Nespresso store staff also offer expert service, helping new and existing customers navigate Nespresso’s machine and coffee range

“This implies a change in the role of the store associate. They now become brand advocates and start to play a key role in the execution of new customer experiences in stores. Retailers will need to re-evaluate their talent management strategy and the implications on aspects such as training and pay structures. Store associates need to adapt change to reflect the changes in customer behaviours. Customers want sales assistants that they can relate to and who will provide relevant advice.”

Deloitte Analysis

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So far, in-store ‘kiosks’ feel like work

Forbrugerne finder nye digitale info-løsninger relevante hvis brugeroplevelsen er bekvem og værdiskabende

Feels like work: Clairols’ “Find your Color” kiosk at Walmart

Brands are waiting for proven formats

Could new technology help?: Lego’s in-store AR

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Integrating design and services across all channels

Forbrugerne er interesserede i relaterede services der ligger udenfor butikken �Eksempel: Urban Outfitters booster salget i butikken ved at tilbyde hjemmelevering gennem salgspersonalet

Aiming to be customer-centered, not channel-centered

1.  http://www.oracle.com/oms/retail/connected-interactions-1527306.pdf 2.  http://www.starmount.com/news/mobile-in-retail-everybodys-doing-it-and-so-should-you 3.  http://www.mobilecommercedaily.com/urban-outfitters-taps-print-catalog-to-drive-mobile-sales

United cross-channel experience boosting sales & profits

• Streamlined design across all channels • Use of mobile devices in store as POS, to check stocks, manage returns and check availability of products in near-by stores and online

• Pick up products ordered online in store • Order clothes online in store • Email in-store receipts • Boasted a 72% single-quarter profit in 2011, whilst other retailers struggled in a grim financial situation • Use of mobile devices in holiday season 2011 created a record high 11% year-over-year holiday sales growth

3. �Brands’ drømmeposition i butikken Brands ønsker at kontrollere købsoplevelsen hos tredjepart - detailleddet

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…Og sådan ser den tilsvarende ‘retail experience’ ud hos designenheden hos det brand butikken sælger

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CREATE#THE#INSIGHT#

Øvelsen er også interessant den anden vej rundt – her et foto af den ideelle bar hvis man spørger Carlsberg…

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CREATE#THE#INSIGHT#

Øvelsen er også interessant den anden vej rundt – her et foto af den ideelle bar hvis man spørger Carlsberg…

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CREATE#THE#INSIGHT#

Nede i kælderen ligger Alistair’s ‘Box of Crap’

4. �Kanaler skifter – og pludselig bliver detail-

leddet interessant Brands er i tvivl om hvordan de kan være med i en meningsfuld

dialog med butikker og kæder

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We have primarily targeted the Off Trade indirectly by teaching our consumers how to enjoy our brands On Trade expecting them to repeat this behaviour off trade

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Susan in Waitrose (London)

1. Myten om den rationelle forbruger�

2. Den nysgerrige forbruger�

3. Brands’ drømmeposition i butikken �

4. Kanaler skifter – og pludselig bliver detail-leddet interessant

Konklusion og spørgsmål

• Hvis pris ikke er den afgørende grund for forbrugeren til at handle hos os hvad er det så?

• Hvordan kan vi give vores kunder følelsen af en kurateret, venlig og ekspertbaseret oplevelse?

• Hvad kan vi tilbyde brands er mere værdifuldt for dem end ‘brand presence’

• Hvordan kan vi øge forbrugernes oplevede værdi af en vare eller en kategori i butikken?