When local sportswear brand Anta decided to include in-store design as a component in its ongoing creative review, it reflected the growing importance of a discipline that has traditionally garnered little mainland attention.
In-store design has certainly risen on the marketing agenda - one source notes that “not a day goes by without someone calling me from the mainland, asking for information about what they can do to improve their in-store design and point of sales”. Yet it is worth remembering that it is starting from a low base.
“In the China market, in-store design is pretty new - people have been talking about this for only about two or three years,” says Simon Holt, regional director for retail activation at Arc. “At the same time, it’s a little bit like teenage sex - everyone is talking about it, but not many people are actually doing it”.
A critical problem for MNC brands has been that Western practices may not be directly transferable to China. “Many of the European brands entering the market fall flat as they don’t seem ‘individual’ or ‘intriguing’ enough,” says Toby Johnston, partner at independent branding agency Shift. “This is especially apparent in second- and third-tier cities where the starkness of Western design is often considered boring.”
The cultural difference between Chinese consumers in different city tiers also remains a pressing challenge. “In China, people are cheaper than most other things - so you’re seeing a lot of brands just adding to the clutter by having a lot of untrained promotion staff,” says Holt. “We need to overcome the lack of clarity and guidance in-store to build better shopper experiences - and it might turn out to be cheaper if the people were actually trained.”
One of the ways in which Western brands are addressing the issue is through creating flagship stores, where they can more closely control the brand experience. Adidas launched an eye-catching flagship outfit in Beijing this year. It was hailed as one of the brand’s most successful stores in the world.
One thing that has held in-store back has been the lack of obvious evaluation measures. While this problem has not been solved, there is a growing appreciation of the importance of in-store design to influencing purchasing decisions. Chinese brands are now following the example of MNC brands.
“Adidas, Nike, Chanel, Prada and Gucci are doing particularly cool things in China right now in terms of in-store retail, and the Chinese brands are recognising they need to step up to stay in the game - even in far less premium categories,” says Johnston.
Department stores, meanwhile, remain a key arena where brands battle for the retail edge. Jewellery brand Tofu is attempting to differentiate via a Landor-developed POS programme that focuses on distinctive shapes and colours.
“Most brands are trying to be as loud as possible and be unique at the same time,” says Liang Tan, senior design associate at Landor.
The growing availability of digital POS technology is another factor that may accelerate investment in in-store design, particularly where Chinese brands are concerned. “Large LED panels showing runway shows and graphics, music scores created specifically for the brand’s retail environments and innovative lighting techniques are all playing their roles in the new wave of China’s retail resurgence,” says Johnston.
“I was recently talking with someone from a women’s apparel retailer who said that the most important thing for their brand in the future is to be ‘sustainably different’. They’re onto the fact that to stay ahead, reinventing themselves, especially in the retail space, is particularly important.”
Got a view?
Email [email protected]
In-store design has certainly risen on the marketing agenda - one source notes that “not a day goes by without someone calling me from the mainland, asking for information about what they can do to improve their in-store design and point of sales”. Yet it is worth remembering that it is starting from a low base.
“In the China market, in-store design is pretty new - people have been talking about this for only about two or three years,” says Simon Holt, regional director for retail activation at Arc. “At the same time, it’s a little bit like teenage sex - everyone is talking about it, but not many people are actually doing it”.
A critical problem for MNC brands has been that Western practices may not be directly transferable to China. “Many of the European brands entering the market fall flat as they don’t seem ‘individual’ or ‘intriguing’ enough,” says Toby Johnston, partner at independent branding agency Shift. “This is especially apparent in second- and third-tier cities where the starkness of Western design is often considered boring.”
The cultural difference between Chinese consumers in different city tiers also remains a pressing challenge. “In China, people are cheaper than most other things - so you’re seeing a lot of brands just adding to the clutter by having a lot of untrained promotion staff,” says Holt. “We need to overcome the lack of clarity and guidance in-store to build better shopper experiences - and it might turn out to be cheaper if the people were actually trained.”
One of the ways in which Western brands are addressing the issue is through creating flagship stores, where they can more closely control the brand experience. Adidas launched an eye-catching flagship outfit in Beijing this year. It was hailed as one of the brand’s most successful stores in the world.
One thing that has held in-store back has been the lack of obvious evaluation measures. While this problem has not been solved, there is a growing appreciation of the importance of in-store design to influencing purchasing decisions. Chinese brands are now following the example of MNC brands.
“Adidas, Nike, Chanel, Prada and Gucci are doing particularly cool things in China right now in terms of in-store retail, and the Chinese brands are recognising they need to step up to stay in the game - even in far less premium categories,” says Johnston.
Department stores, meanwhile, remain a key arena where brands battle for the retail edge. Jewellery brand Tofu is attempting to differentiate via a Landor-developed POS programme that focuses on distinctive shapes and colours.
“Most brands are trying to be as loud as possible and be unique at the same time,” says Liang Tan, senior design associate at Landor.
The growing availability of digital POS technology is another factor that may accelerate investment in in-store design, particularly where Chinese brands are concerned. “Large LED panels showing runway shows and graphics, music scores created specifically for the brand’s retail environments and innovative lighting techniques are all playing their roles in the new wave of China’s retail resurgence,” says Johnston.
“I was recently talking with someone from a women’s apparel retailer who said that the most important thing for their brand in the future is to be ‘sustainably different’. They’re onto the fact that to stay ahead, reinventing themselves, especially in the retail space, is particularly important.”
Got a view?
Email [email protected]
.jpeg&h=334&w=500&q=100&v=20170226&c=1)
.jpg&h=334&w=500&q=100&v=20170226&c=1)
.png&h=334&w=500&q=100&v=20170226&c=1)
