OMNI-CHANNELKEY TO
THE FUTUREOF RETAIL
Promoting top brands, embracing new tech andengaging new
consumers were cited as top trends atthe annual Global Retailing
Conference, sponsoredby the Terry J. Lundgren Center for Retailing
at the
University of Arizona.
By Tony Lisanti
While innovating customerengagement was the theme oftheannual
Glohal Retail Conference,sponsored by the University of Arizona,the
growing importance of omni-channelretailing, social media, high
profile brandsand the Millennials was the focus ofkeynote
presentations by retail and brandexecutives.
The roster of more than a dozen speakersfor the conference,
which was held in Apriland attracted more than 350
attendees,included top retail execs from Macy's,Home Depot, Walmart
and Petsmart, brandlicensing executives from Li & Eung andSaban
Brands, as well as various consumerand research experts.
Terry Lundgren, chairman, presidentand chief executive officer
of Macy's, gave
the opening keynote presentation andemphasized his vision ofthe
departmentstore retailer through the acronym "MOM"(My Macy's) and
the terms "omni-channel"and "magic selling."
Lundgren, who refers to himself aschief customer officer to
emphasize theimportance of targeting and engagingcustomers in every
possible way, revealsMacy's extensive commitment andopportunity to
reach a new groupof consumers, the Millennials,who are ages 13 to
30, 70 millionstrong in the U.S. and bigger thanthe Baby
Boomers.
Lundgren explains thatthis is the first generation toincorporate
technology inevery aspect of their lives
Top: Terry Lundgren, Macy'sRight: Elie Dekel, Saban Brands
1 2 6 www.licensemag.com June 2012
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on an hourly basis. He says this is avery different customer who
requiresMacy's to do things differently thanever before to attract
them.
Lundgren says that conferring withMacy's employees in this age
groupis a key way the retailer is trying tounderstand shopping
patterns andneeds of customers. Macy's is alreadyusing online,
social media, mobiledevices and its popular live events,such as the
Macy's Thanksgiving DayParade, its July 4th fireworks and theFlower
Show, to engage customers."Never fail to astonish the
customer,"says Lundgren.
The Macy's CEO also points outhow the retailer continues to
improveits localization of merchandiseassortment strategy, as well
as usingtechnology to better manage inventory. Macy's isturning
almost 300 stores into fulfillment centersthis year to handle
online orders and better serveits customers.
Macy's is also expanding with: "Beauty spot" kiosks, which allow
customers to
browse and select products while an associatebrings those
products to the customer;
"Virtual mannequins," which will be able tochange displays based
on time of day and otherfactors;
The "endless aisle," which will allow customersto surf a tablet
device in store and view productassortment beyond just what is in
stock in thatlocation and make a purchase.
Another key element and focus among keynotespeakers is the
importance of licensed brands atretail and how they drive customer
traffic andloyalty.
Elie Dekel, president of Saban Brands, explainshow the Paul
Frank brand is growing worldwideand expanding into various new
categories (seestory on page 76).
"We are capitalizing on the growing importanceand value of
brands that are authentic, expandableand target passionate
consumers," says Dekel.
Dekel says that Paul Frank now has more than 45licensees and is
in more than 25 product categoriesand is expanding PF Kids and PF
Teens.
Dekel says that Paul Frank is expanding
worldwide, and he is particularly bullish on China,where he
projects there will be 50 Paul Frankstores by year end.
Rick Darling, president of LF USA, addressesthe importance of
international expansion andthe popularity of designer and celebrity
brands.He admits that Li & Fung is cautious of celebritybrands
because of their unpredictability and thelength of time it takes to
establish a long-termprogram. Popular designers, he believes,
aren'tas risky, pointing to Georgina Chapman as anexample. Chapman
and co-founder Keren Craigrecently partnered with LF USA for a line
ofapparel and accessories set to launch in fall 2013.
According to Martha Van Gelder, director oftheTerry J. Lundgren
Center for Retailing: "This is aunique conference with high level
speakers in asmall setting that focuses on one central theme,such
as customer engagement. The program is builtfrom 360 views on all
aspects of retailing."
The annual event supports the "non-profit RetailCenter at the
University of Arizona-one ofthe fewretailing business degrees
(versus fashion) in theU.S.-for the benefit of raising the
visibility of andpromoting careers in retailing," says Van
Gelder.
There are currently more than 30 corporatepartners and
sponsors.
Next year's global retailing conference will beheld on April
11-12, 2013, in Tucson, Ariz. For moreinformation, visit
www.terryjlundgrencenter.org.
1 2 8 www.licensemag.com June 2012