Thursday, May 31, 2007

Bringing Out the Governor

In Nebraska there is one sure way to meet the governor. Attend a mall grand opening.

Retailing in my home state hasn’t quite caught up with the rest of the country, which isn’t so surprising considering that we number just 1 million residents statewide. So when RED Development—co-headquartered in Kansas City, Mo., and Scottsdale, Ariz.—joint-ventured an eye-popping open-air center in Papillion with The Lerner Co. out of Omaha, locals took notice. Including Governor Dave Heineman.

Nebraska’s newly installed chief showed up in the pouring rain last Saturday, May 25, to partake in the grand-opening ceremonies of Shadow Lake Towne Center, Sarpy County’s new shopping and dining destination. And, since I also braved the elements to attend as a RED invitee, I felt it my due to personally meet Gov. Heineman. (In truth, RED VP John Bacon gave me a firm shove in the back as motivation to make my move.)

The governor told me that he is excited about this new shopping center. And no wonder. When the rain slowed to a drizzle, my husband and I toured the grounds, marveling at the Main Street shopping district with its amphitheatre, outdoor fireplace, statuary, water features and extraordinary landscaping. We noted the repeated references to Nebraska history—always a winner with this salt-of-the-earth crowd. And we visited retailers Ann Taylor Loft, Coldwater Creek and Yankee Candle. (ULTA will open its first Nebraska location in this center, as will Sephora at J.C. Penney and Sweet & Sassy children’s salon and store.)

You don’t have to be a politician to understand what this kind of shopping center will mean to the state of Nebraska, and certainly to the residents of Sarpy County. Lucky for us that RED Development seems to have a penchant for all things Nebraskan, given their prior upscale lifestyle projects in both Lincoln and Omaha. Could it be because a number of the executives are graduates of the University of Nebraska? They say not, but I still wonder …

— Katherine Field

Wednesday, May 30, 2007

Attending ICSC – and Living to Tell About It

Some 52,000 retailers and shopping center developers attended the International Council of Shopping Centers (ICSC) Spring Convention last week (May 20-23, in Las Vegas)—and I think I had at least a passing conversation with a third of them (okay, that’s an exaggeration, but it seemed like it).

True, we chatted quickly about the latest mixed-use developments (the format that was all the talk at the show), but the subject that came up in every conversation? Feet. And undeniable pain.

With square footage tacked on to already huge distances to cover, this year’s show was almost not doable. The new South Hall was easily a 10-minute hike—without crowds (and it was never without crowds)—and its location forced attendees out into the hot Las Vegas winds to boot, where already blistering feet added swelling to the list of torments. Even men were talking about their feet. We—men and women—compared shoes on the elevators, unabashedly rubbed our feet during meetings, winked at each other as we quick-changed from business shoes to running shoes behind leafy aisle plants.

In fact, it was a man who gave me the most memorable foot-remedy advice. He suggested—and this was amongst a large group of professionals at a Developers Diversified soiree—that we all try an age-old British foot massage. It requires placing one foot in a CLEAN hotel toilet (in the privacy of your room, of course; he wasn’t suggesting public bathrooms), and flushing for a soothing foot massage. Follow with the other foot.

I’m not telling whether I tried it or not. But, as the show progressed into day two, and my feet continued to swell and blister, the remedy sounded less and less revolting.

— Katherine Field

Tuesday, May 29, 2007

Adding ZIP to Saks’ Shoe Salon

While watching the local news last night, I learned that Saks Fifth Avenue’s flagship store in New York City is preparing for the launch of a new shoe department. This is no ordinary shoe department, however. This new department will be so big that the chain promises that it will be getting its own ZIP code.

When the store’s fourth-floor shoe department sets up shop on the eighth floor in August, it will be called 10022-SHOE. The moniker doubles as the shoe salon’s ZIP code, and customers can actually send mail to the department, according to the report.

The new shoe department, which promises to be more of a showroom, will be a 17,500-sq.-ft. space. However, 8,500 sq. ft. will be reserved for the sales floor; the remaining 9,000 sq. ft. of space will be used for storage.

Besides featuring an express elevator that will transport shoppers directly to the “shoe-room,” the department will be encased in hand-blown glass walls, and glass chandeliers will add to the ambience.

While this sounds wonderful, I hope there will be some modern conveniences too. Such a vast space is sure to draw a crowd daily. This could be a great fit for kiosks that can act as price checkers, as well as help shoppers see whether their favorite shoes are in stock, or even electronically grab the attention of an associate.

Typically, I am not partial to an overwhelming shopping experience when shoe shopping, but I do plan to visit 10022. If Saks can combine my suggestions with its traditional strong reputation in the retail industry, the shoe showroom will be another avenue the chain can use to differentiate itself in the marketplace.

— Deena M. Amato-McCoy

Thursday, May 24, 2007

High Expectations at Gap Maternity

As an editor who covers the retail industry, I visit stores for business and pleasure. While shopping, I always take in the new technologies, store designs and the overall store experience. I recently learned that store design and customer experience take on a whole new meaning when you are pregnant.

While the Gap has come under lots of scrutiny and criticism of late, the company is still one of my retailers of choice. In fact, my Gap private-label credit card is being used more regularly now that I am pregnant, thanks to an impressive and expanding maternity department both online and in physical stores. During a recent shopping trip to a couple of stores that feature Gap Maternity, I did notice one area that needs some attention.

I set aside an afternoon to visit Gap’s flagship store on 34th Street in New York City. This was also one of the first locations to feature a Gap Maternity department (approximately four years ago). While I loved the many apparel options I had, I wasn’t too excited about sifting through khakis and shirts that were displayed on low-set shelves found in wall displays and table fixtures.

To make matters worse, the two round sales racks were literally up against each other, and positioned a mere 2 ft. from the wall. This configuration was aggravating to me. And just to make sure it wasn’t my hormones, I watched other "preggies," who were much further along than me, struggle to move through the tight space. And it was impossible for new and expecting moms to navigate their baby strollers through the area.

Curiosity got the best of me and later that week, I visited the maternity department at the 59th Street and Lexington Avenue Gap store. While the sale racks were more conveniently built into the back wall, this 5-ft.-tall mother-to-be had a hard time browsing through the garments hanging on the top rack. And again, I had to squat to sift through low-placed merchandise. (Even though I am used to squatting in my pre-natal yoga classes, I was hoping to save these poses for labor, not shopping!)

If my experiences have any impact at all, I just hope one Gap associate or executive could persuade managers—and corporate planners, for that matter—to alter their merchandising strategies to better accommodate their target customer base—pregnant shoppers.

— Deena M. Amato-McCoy

Monday, May 21, 2007

First Glimpse: Bitten by Sarah Jessica Parker

Most marketers would willingly give up their first-born for a few minutes in the sun on The Oprah Winfrey Show. So I can’t even begin to imagine the reaction of the folks at Steve & Barry’s when Oprah devoted a good part of her show on May 18 to a sneak preview of the chain’s new celebrity line: Bitten by Sarah Jessica Parker. Parker, who comes across as one of celebrity land’s most sincere and genuine personalities, proved herself an intelligent and charming pitchwoman for the budget collection.

While fashionistas, who consider Parker a style icon, may look askance at her decision to get involved with a value retailer like Steve & Barry’s, it was really a natural for her. Parker has never hidden the fact that she grew up in a big, loving family, but one that had to scrape just to get by. Her empathy for those who can’t afford to spend big bucks on fashion came through loud and clear on Oprah.

There are some 400-plus items in the Bitten line, which will be available at Steve & Barry’s stores nationwide on June 7. Judging by the pieces modeled on the Oprah show, Bitten is made up of comfortable-looking mainstays, including jeans and tees, as well as dresses, shoes, accessories and some outerwear. In keeping with Steve & Barry’s value positioning, nothing costs more than $20.

"It's about affordable, well-made American sportswear,” Parker explained. “It's about fashion not being a luxury and quality not being a privilege, and we don't want someone to hold it up and say, 'Well, you get with you pay for.’ We worked so hard to make sure it's everything women deserve."

While some of the items reflect current fashions (high-rise jeans, for example, and espadrilles), the line is by no means trendy. Parker, no slouch when it comes to fashion, repeatedly stressed this point on the Oprah show, using the terms basic/classic pieces again and again.

One of the most refreshing things about Bitten is that it appears to be designed for women of all ages—and sizes. Indeed, the most important thing that separates Bitten from other celebrity lines is its sizing: It will be available in sizes 2 to 22. In sizing and design, Bitten is a far cry from the latest celebrity line, Kate Moss for Topshop, whose fashions are best suited for the body of someone like, well, Kate Moss.

Much remains to be seen about Bitten, particularly with regard to quality. But judging from the Oprah show, its star spokeswoman already has the audience on her side.

— Marianne Wilson

Tuesday, May 15, 2007

American Eagle Goes Prime Time

Prime-time television advertising may never be the same thanks to American Eagle Outfitters. In an ambitious marketing gambit, the teen apparel chain is creating a 12-episode series of short films—each one three minutes in length—that will serve as the first commercial break during the upcoming run of MTV’s most popular show, “The Real World” (the show changes its locale year to year, with the upcoming season set in Sydney, Australia).

The American Eagle (AE) effort will be called “It’s a Mall World,” and will feature a cast of rising young film and TV actors and a comedic, boy-meets-girl story line. The action will be set in a mall, and the cast will all be outfitted in AE threads. One of the actors will even portray an AE sales assistant.

In a clever bit of media integration, five-minute versions of each AE episode will run the next day on the retailer’s Web site, with a special feature that makes it easy for consumers to buy the apparel featured on the episode.

AE’s choice of MTV for its new marketing campaign is a no-brainer: The network can deliver the young viewers that are the chain’s bread and butter. Tying the films into the chain’s Web site is another no-brainer, allowing kids to watch the films on their own time, where and when they want.

As for filling a full commercial break with a short film vs. scattering traditional short ads throughout a show, well, it sounds a lot more fun—and more likely to capture the attention of teens, who have become increasingly selective about what they watch. Media fragmentation is definitely challenging marketers, but it has also opened the floodgates to all sorts of marketing innovation. Traditional advertising may never be the same.

— Marianne Wilson

Monday, May 7, 2007

The Sopranos Hit Wal-Mart

One of my pet theorems about retailing is that the success of a company often can be gauged not only by how the culture at large perceives it, but more importantly, by how those who influence popular culture perceive it.

For years Kmart bore the brunt of ridicule for its Blue Light specials and “polyester palace” notoriety. “Attention Kmart shoppers” became a comic catch phrase. Kmart kept its doormat location in the American culture long after it had been displaced by Wal-Mart as the largest discount retailer.

Why? Because, my theorem explains, the comics and screenwriters who wrote the jokes and movie scripts, such as Rain Main, that captivated America during the 1980s and 1990s grew up in the 1970s, the decade when Kmart was the only national discount chain. Their only national, retail point of reference was Kmart, so the jokes flowed (not that they weren’t warranted, but that’s another story).

Fast forward to the 21st century—it is now Wal-Mart that must face the music, or the stinging barb, not so much because it does anything so radically different than other retailers but because its size makes it a larger-than-life target (pun intended). Sunday night’s episode of The Sopranos on HBO provided another case in point.

Tony Soprano and his minions make part of their living boosting product from the shipping terminals along the New Jersey waterfront. They aren’t fans of heightened federal scrutiny of imported cargo. So, as one of Tony’s capos explained, Wal-Mart was making their hijacking job easier by lobbying against inspections of every container that comes into port.

Wal-Mart, obviously, is not the only retailer that has expressed concern about federal intervention in the free flow of goods through the supply chain. But few if any other retailers would get the recognition factor Wal-Mart brings to a script. It was just a quick, throwaway line, but like the single drop of water that lands on a torture victim’s head, the cumulative impact of repeated denigrations of Wal-Mart’s character can have lasting, insidious results.

— Murray Forseter