INSIGHT
Spring awakening & brand intimacy
It definitely feels that the desire to look forward to a more joyful spring seems more resonant and tangible than ever, witness the plethora of articles over the weekend about our desire to dress up in anticipation of return to a more socialised life again soon.
We are seeking a combination of familiarity, with our understandably amplified need for safety and security, but, equally, a strong and compelling desire for surprise, stimulation, and simply a greater diversity of experience. This need is amplified as a result of our months of sensory and societal deprivation, where we have a longing to see and experience new things.
Brands have opportunities to respond to these new needs and desires, by enriching, and deepening their relationships with their customers, in more human-centric, intimate ways that take account of the acceleration of the importance of local neighbourhood living.
With the re-set driven by fundamental shifts in WFH, hospitality businesses have an opportunity to reimagine their experiences in local neighbourhoods, building local, loyal tribes who not only will visit frequently, but will dwell for longer periods of time.The much vaunted ‘third place’ of Howard Shultz can be seen in a whole new context of us seeking out neighbourhood hubs, where we can enjoy a sense of social interaction, belonging and community, together with a much-needed change of scene.
There is no question that the new landscape will offer agile brands huge opportunities if they can successfully tap into the building desire for a stimulating diversity of experiences and for social, sensorial, inspiring and uplifting spaces.
The digital first strategies of many brands have compelled a rethink of the role and purpose of their physical spaces, and accelerated a fundamental reset, which has re-energised their brands.
Many brands, coming out of the pandemic, have significantly fewer stores, and are now better placed to reframe the purpose of their stores in more creative and innovative ways, ensuring that they create added value destinations that make their customers hearts beat a little faster.
This reset of a store being a powerful media channel, reconsiders stores as brand billboards, service touchpoints, community hubs or immersive entertainment, or a combination of these elements.
A move towards own brand stores is emerging strongly as many businesses looking to replace wholesale relationships as some department stores decline or disappear, accelerating the drive to DTC strategies.
Neil Saunders a retail analyst at GlobalData says that ‘luxury brands are quite conscious that they need to take control back to their own brands’, inspiring new retail models that are driving closer relationships with their existing customers, as well as maximising customer acquisition through new surprising formats.
Conventional flagships are giving way to more of a neighbourhood focus. Nike is opening 150-200 smaller footprint stores this year and in the view of Stephane Girod, professor at MIT business school, having a local assistant who is familiar with you as an individual and your local community is a very valuable asset in an era of increasing isolation.
This is a direct response to our needs post pandemic for greater intimacy, social recognition, a sense of belonging and acknowledgement and fostering a more human scale relationship with a brand.
The power shift from landlords to retailers will give smaller brands a chance to test and experiment in physical retail, thereby re-energising our local high streets and giving us a much-needed injection of surprise, diversity and discovery.
There is no question that our enforced hibernation has elevated the importance of sensory and social stimulations, and created a new, accelerated appetite for surprising experiences of delight when the world opens up once again.