Retail

The Best of New York Retail Trends – Part 2

New York Retail Trends

We continue our look at the latest, most innovative retailing methods New York has to offer. Part one explored technical innovations and customisation. This time we dig down into the customer experience, communities, and new types of retail.

Experience and Engagement


New York Retail Trends
Customer experience and engagement is a trend that crops up again and again in New York. Retailers are coming round to the idea that improving the customer experience is key to building good relationships. Whether that’s making it easier, more enjoyable or smoother. Engaging store designs and interactive spaces are one way the customer experience in changing.

New York Retail Trends
New York has a strong pedigree in visual merchandising. Many of the stores’ window displays feature stunning designs. The stores understand their brand and how to demonstrate that through their interior design. We also saw many retailers who had an interactive screen as part of their shop window. This is a way to begin interacting with customers before they even enter the store.

New York Retail Trends
All sorts of retailers are exploring interactive spaces. These get customers talking, asking questions, learning new skills and feeling inspired. We saw a great example of a food store that enabled people to taste the food, without just giving away samples. Customers can watch food being made, take part in events and classes, pair food with drinks, and dine in a café space. Being able to interact with products before buying makes customers feel closer to the brand. And the store is able to show its expertise and passion for its products.

New York Retail Trends
Another store is pushing experience and engagement a step further. The front of the shop is experiential, letting customers interact with different products. In the back there is a work space where customers can actually build some of those products themselves. There’s no pressure on the customer to buy – everything is geared for interaction. The store adopts the approach of engaging with customers who will then hopefully go on to buy something in the future. The aim is to build strong connections that turn into long-lasting relationships.

New York Retail Trends
One major brand has moved to create a series of huge, extravagant stores for different target groups. It’s a different approach for a brand that normally sells its items through spaces designed to appeal to a wide range of customers. This hyper-targeted retail lets the brand connect better with each of its different customer groups. It encourages them to spend more time and money exploring the store. Making that connection means they will continue the relationship in the brand’s more general branches in the future.

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Communities and Event Spaces


New York Retail Trends
Other stores are forging relationships with customers through dedicated event spaces. These permanent community spaces are not about selling products. Instead, they are used for events and activities that let customers interact with their passions. They bring the brand to life in new and different ways.

A number of retailers are unveiling such spaces, some more ambitious than others. They differentiate brands by helping build a movement around them. This new type of marketing and engagement connects with customers, and lets them connect with each other as a community. In turn, customers then talk to their friends about the brand in a genuine way. It’s well recognised that people trust the opinions of their friends and respond better than they do to traditional marketing. Customers who feel closer to brands are more likely to introduce those brands to their friends.

New York Retail Trends
One of the best examples was a large scale record store that we visited. This company is taking in-store gigs to a new level. Often record stores will put on shows by moving things around on the shop floor to create space. This store has invested in a proper gig venue at the back of the store, complete with working bar. It demonstrates their passion and enthusiasm for their products, as well as giving them a unique selling point. The quality of the venue also means you can imagine customers paying to go to gigs there. This would then be an extra revenue stream for the store.

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New Types of Retail

As we highlighted in part 1 new types of retail are appearing. Micro retail is one. Another is previously online-only brands moving into offline spaces. These help create a new relationship between the different sales channels. We saw one store that takes its inspiration from magazines. It completely changes its theme, appearance and stock selection every six weeks. All these spaces show how brands can change their strategies to increase engagement, recognition and sales.

New York Retail Trends
We also visited another store pioneering a new business model. Instead of having a whole store themselves, brands pay to rent out a small area of this store. It’s a new approach for third-party retail. The store makes its money from renting space rather than a cut of sales.

It’s also an interesting model given a lot of retailers worry about ‘show rooming’. This is where customers use physical stores to find what they want, but buy it cheaper online. This rental approach could enable brands to tap into that and harness using their products as a show room themselves. And then direct them to their own websites for sales.

New York Retail Trends
One major trend right across retail seems to be that successful stores now fall into one of two camps. Either they are cheap and convenient or they are incredibly knowledgeable and passionate about their work. The middle seems to be disappearing as people either favour convenience or expertise.

A denim emporium we visited fits the latter description. It’s designed to serve customers’ every denim need. The space offers a wide range of products and services. The focus is on the brand’s expertise and skills. This helps distinguish it from mass-market alternatives. Positioning yourself as the go-to expert means customers continue to seek you out for your quality of service. Rather than your sales or low prices.

At the heart of all these trends is the customer. New York retailers are innovating and experimenting, but the best are focusing on the customers. Most exciting is that these trends can be taken up by retailers anywhere. Retail may be different the world over, but companies can learn from everywhere.

If you want to see these stores and meet some of New York’s exciting innovators, get in touch to book your New York trend tour.

If you missed part one of our look at the best of New York retail trends catch up here.

 

Image credits – Cate Trotter