What's Popping Up on the Retail Landscape

Traditional brick-and-mortar retail stores continue to be challenged.  Macy's decided to close 100 stores.  The Limited is closing all brick-and-mortar retail operations at more than 250 stores.  Sears produced its worst financial results ever.  On the other end of the retail spectrum, however, traditional etailers Warby Parker, Amazon and Bonobos announced plans to open more brick-and-mortar locations as part of their omni-channel strategy.

 

Then there is Nordstrom, who is trying to reinvent itself and reach out to consumers to deliver better in-store experiences.  It is accomplishing this goal by partnering with cult brands such as New Classics, Gentle Monstor, Madewell, Topshop, Warby Parker and Bow & Drape to create pop-up stores within Nordstrom locations, not only to create a different shopping experience, but also to cater to the Millennial generation. 

 

Nordstrom is not alone in its efforts to create new compelling customer experiences through creative partnerships.  Nieman Marcus plans to create Rent-the-Runway stores in its traditional department store format. JC Penny has also announced plans to open nearly 600 Sephora and Nike stores-within-stores.

 

Strategic partnerships with other retail brand names makes sense for department stores because it allows them to test new brands and merchandise without having to make a major investment in their inventory or a build-out. If the partnership works, the relationship continues on a more traditional retail paradigm.  Pop-up stores also provide opportunities to quickly respond to trends while introducing new merchandise. 

 

What does this mean for decorative plumbing and hardware showrooms?  Are there potential opportunities for you to partner with related products and provide a more compelling customer experience through a pop-up store within your showroom?  Would it make sense to partner with a soft goods line that offers towels, robes, etc., or companies that sell bathroom organizing accessories, lighting or other products?  Please share you thoughts on the DPHA Facebook page or with our LinkedIn group.  We'd like to know if you believe a pop-up store would work in a showroom environment.