15 Oct The Future of Retail: The Need for Experience Driven Initiatives
It’s no secret that the retail environment is changing and physical retail stores face an ever-increasing list of challenges. As online shopping has soared in recent months, one survey revealed that online consumer spending has increased by an average of 10-30%.
The great news for retailers is that customers spend more per visit in-store than online. 71% of shoppers surveyed in a recent First Insight Report spent $50 or more when shopping in-store, versus only 54% of respondents spending more than $50 when shopping online.
But it’s not just online shopping that retailers need to compete with. Retailers have traditionally seen their competition as other retail outlets. However, new consumer spending data shows that retailers are also competing with restaurants, events, music and performing arts.
Many stores have used a diverse range of approaches and techniques in the past to stand out from other outlets, capture the attention of shoppers and draw them in store. However, most retailers are continuing to use the same methods, are still looking at customers with aggregated or summarised data, and ultimately are struggling to entice customers in-store.
When we look at those who are currently winning the retail game, and continuing to have long-term success into the future, we’re seeing a noticeable pattern. These retailers are using technology to create engaging environments that provide unique, personalised, and memorable experiences that leave a lasting impact in the minds of consumers while being authentic to their brand.
This is why we believe that the future of retail will focus on incorporating unique, technology-driven installations that convey information, create unique experiences, and promote brand awareness that will ultimately increase customer traffic and spending.
But what are these methods that can help retailers stand out, draw people in-store and get their customers returning time and time again?
"Retailers can see sales increase up to 40% when encouraging customers to spend more time in store."
Creating exciting visual displays:
the emotional power of colour and lighting
With social distancing, plexiglass shields, ‘please wait here’ signs, check in codes and limitations to the number of people allowed in stores, there are fewer in-person touchpoints for retail stores than ever before. This is where digital elements need to do some heavy lifting and convey the brand in a much deeper and more memorable way.
Some simple, yet powerful AV elements that any retail space can easily introduce include extremely thin and flexible organic LED panels, and large-scale projection and light mapping to create exciting and engaging experiences that need to be seen to be believed.
In many retail environments, flexible panels and large-scale projections are replacing large, static displays on walls, pillars, floors and ceilings to draw attention, convey information, promote brand awareness, create lifelike depictions of scenery and create unique experiences.
Large-scale projections and creative lighting are effective ways of creating a unique environment and immersing your customers within that space.
These elements can also be used to convey and elicit specific emotions in your customers. For example, fluorescent lighting makes it hard for people to take in information, while soft focused lighting helps to lead the customer’s journey.
Red colours and lighting can have a negative emotional impact on customers but also convey a sense of discount. Conversely, playing with the blue/green colour spectrum reduces anxiety, while greens create a sense of luxury and enhance daring choices.
Something as simple as projecting artful designs can even reduce the sense of risk in decision making when consumers are making purchase decisions.
Likewise, sound plays a crucial role in creating atmosphere, altering moods and impacting human behaviour – read more about the impacts of music and sound on consumer behaviour .
"When we asked shoppers what they thought of the many displays, videowalls and other digital experiences popping up in retail, more than half SAID it helped them find products and/or learn about them — but a whopping 41% said it added to their enjoyment of shopping in stores."
Using VR in retail
A new trend in retail called “shoppertainment” melds the power of digital signage, mirrored displays and mobile technologies to create a unique and engaging shopping experience unlike anything people have encountered before.
Imagine grabbing a pair of shoes off the shelf and testing them out with a run in a virtual park. Sounds like something out of Back to the Future doesn’t it? But that’s exactly what Nike’s new SoHo based retail store has on offer.
Built with integrated AV experiences in mind, the 5 story, 55,000-squarefoot store includes a Nike+ Running Trial Zone. This is Nike’s latest in-store experience that allows customers to field test new shoes on treadmills that are paired with floor to ceiling visual displays that put you in the heart of Central Park.
Then there’s the Nike+ Soccer Trial Zone. This features a grass area to give customers an accurate representation of what their new soccer boots will be like out on the field.
The Nike+ Basketball Trial Zone lets customers test shoes on a real half-court where you can perform drills under the supervision of certified store athletes, all while being surrounded by more high-definition displays showing images and video of New York basketball courts to create that extra layer of immersion
creating enveloping spaces
Creating virtual spaces within your store to enhance the showcasing of products or just to create an immersive instore experience can truly make your store stand out amongst the crowd. By designing and outfitting a space with custom ambient lighting and even sound coverage, you can create an enveloping experience of music, visuals and sounds so visceral you can reach out and touch it.
Sony’s technology showcase featured a 30-foot video wall that was accompanied by a suite of speakers to create a rich and immersive 3D sound scape.
The high-res LED technology allows for video reproduction with a deeper colour pallet and significantly higher dynamic range than that of a normal screen. Combining ultra-high-resolution video with spatial sound creates a truly authentic and unforgettable experience for customers.
AV is shaping the next-generation of retail experiences with futuristic technologies, interactive POS, large format projections and ultra-large displays that captivate consumers with sound and vision.
By creating a remarkable integrated audio visual experience that deeply engages your customers, you’re able to transform your retail environment into an immersive and unique event that makes shopping a joy.
Reach out today
At Ampd, our team of AV experts have significant experience in transforming everyday venues, stores and spaces into unforgettable experiences that bring customers back time and time again. We partner with you to design and install AV solutions that help drive customer traffic and increase spending while keeping you within timelines and budgets.