This week we have seen the demise of Fletcher Jones and the opening of Top Shop. My 15-year-old daughter texted me, saying: “I’m even more excited than when Zara opened – it is British and I love it – when can we go?”
Many Australian retailers are left thinking “what happened – where did our customers go?” We are in the peak of Christmas season and there is not one retailer in Australia who is not holding their breath and “hoping”. As we know however, “hope” is not a strategy.
From the online world I can see so clearly what is likely to happen over the next few years. But I don’t have a massive infrastructure or team – I don’t have to move a mammoth organisation into the position of competing against global players.
Think of the traditional retail customer experience: we battle the traffic, search for a parking spot, deal with lousy weather – and then try to find someone to serve us – when we finally do find someone to assist we discover that the retailer does not have the colour, quantity or size you need. No wonder people are choosing online… it is just so easy.
I’d hate to be in the business of having to have all the right stock in all the right places at all the right times – being served by all the right people… how hard is that?
What can retail businesses learn from the entertainment business?
What if retail outlets became show rooms – where as a buyer once your colour and style are determined you have your item delivered at no extra cost direct to you the very next day. Not schlepping your purchases from store to store – wasting hours, with feet hurting – now that would be an experience.
Retail in Australia is about to make a massive shift and not all will make it. I hate to say it, but it is all about the experience. In speaking to the MD of Chanel Australia, David Blakeley, he says that their concept stores are going from strength to strength. People love being immersed in the brand, and you simply cannot achieve the same experience in a department store.
Please retailers, wake up! Listen to your customers and give them something worth fighting for. I understand that the reason why Top Shop is opening stores here – it’s because they have been shipping so much product here via their website they realised what a fantastic market it is.
Bring innovation back to retail. For instance young Eliza Roberts (aged 11) has started her first business. In the northern beaches of Sydney she has started a pet birthday cake business called Doggy Cakes. In the first month she sold 30 cakes. She knows her market, she provides fabulous service, and people are very much getting the “entertainment value” of being able to talk about the experience of their purchase.
Retailers it is time you gave your customers a good time!
Naomi Simson is considered one of Australia’s ‘Best Bosses’. She is an employee engagement advocate and practices what she preaches in her own business. RedBalloon has been named as one of only six Hewitt Best Employers in Australia and New Zealand for 2009 and awarded an engagement scorecard of over 90% two years in a row – the average in Australian businesses is 55%. RedBalloon has also been nominated by BRW as being in the top 10 Best Places to Work in Australia behind the likes of Google. One of Australia’s outstanding female entrepreneurs, Naomi regularly entertains as a passionate speaker inspiring people on employer branding, engagement and reward and recognition. Naomi writes a blog and is a published author – and has received many accolades and awards for the business she founded – RedBalloon.com.au.
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