Buying Behavior and Market Strategy

 

Judy Hopelain, “Secrets of High-Concept Retailers,” Retail Customer Experience, May 12, 2009.

Three chains, serving three different market segments, are creating unbelievable retail experiences to keep their customers loyal.

American Girl has turned 25 and been purchased by Mattel, but the core product line, dolls, remains. To extend its appeal, the company develops related books, magazines, television shows, and movies to tell the story of each doll. At American Girl’s stores and bistros, young girls and their parents can live the American Girl experience through live entertainment, white-linen restaurants, booster seats for the dolls, and a retail outlet that carries dolls and all their paraphernalia. The brand was rated as one of the top 50 brands by Interbrand in 2009.

Terrain, owned by Urban Outfitters, is a gardening and outdoor entertaining store that teaches planting and gardening classes. It also suggests ways to incorporate a garden into customers’ eating and cooking. The concept has become a destination store that enables shoppers to learn about ways to grow their own and use local foods. Customers sense an attachment to the store because the experience it offers is unique to that site, an experience customers cannot replace at a different store.

Knockouts Haircuts caters only to men and tries to serve men in a way that appeals specifically to them. In its sports bar-like atmosphere, male customers can get shoe shines, cigars, and so on from the mostly female employees, who dress in skimpy outfits. Thus, haircuts account for only 60 percent of this chain’s sales, compared with an industry average of 85 percent.