The Top 10 Retail Trends of 2011

2012 is upon us and I'm happy to report that despite some bumps in the market retail is here to stay!

2011 saw the development of some interesting trends that have worked their way into the retail vocabulary and reflect our world's culture at a specific point in time. In my view, 2011 was the year of “Empowering the Consumer.” Retailers went to great lengths to give consumers more choices, more discounts and, most importantly, more personalized shopping experiences. Expect this trend to continue in 2012, giving retailers the opportunity to increase brand loyalty by further empowering customers.

But before we look ahead to 2012, I’d like to recap 2011 with a top ten list of the year’s retail trends that relate to how retailers are paying greater attention to consumers and giving them the power to shape the retail experience:

10. Pay by smart phone app: Last January Starbucks led the way by launching a mobile app that gives customers the ability to make purchases via their mobile device. We can now get our favorite drinks without the use of cards or cash.

9. Extreme Couponing: The sport of saving $$ become a true fad. A friend of mine just told me that her whole family had their stockings stuffed this past Christmas with soaps and lotions that she redeemed for free! TLC even has a television program devoted to the trend.

8. Discount or die: Promotions, discounts, two for one and SALE! were everywhere in 2011. H&M was just one of countless retailers who offered a bonus gift card with a purchase, a win-win for the customer that receives the gift card and for the retailer that’s almost guaranteed a return trip by the customer who’ll redeem the card.

7. Shopkick: The location-based technology that offers rewards to bring customers into stores continued to gained momentum.

6. Import: International retailers brought their stores to the U.S. market in a dominant manner. Uniqlo's New York openings took the award for biggest splashdown.

5. Export: U.S. retailers ventured abroad for growth. Gap successfully opened major flagships in Shanghai, Beijing and Hong Kong.

4. Store closures: The past year wasn't entirely rosy, as some retailers continued scaling back. Sears and Kmart announced plans to shutter over 100 stores.

3. Values-based retail: We all want to feel good about where we shop and this past year saw retailers providing consumers with more opportunities to give back. Nordstrom opened its Treasure & Bond in New York City with 100% of proceeds pledged to charity.

2. One Size Does Not Fit All: Joining the trend of localized environments, Sephora opened a hip, art-inspired Meatpacking District store – illustrated in the photo above.

And the number one trend from 2011 that I believe poses one of the biggest opportunities for retailers to succeed in 2012…

1. Elevated Customer Experiences: In an effort to meet every shopper’s desire for new and unique experiences, all sorts of public locations, such as transit hubs like San Francisco International Airport’s T2 and NYC's Grand Central, brought quality retail experiences to the everyday.

Here’s to the New Year ahead, with lots in store for both retailers and shoppers!

Barry Bourbon AIA, LEED® AP, is a leader of Gensler’s global retail practice and a principal in the San Francisco office. With a constant eye on the latest tools and technologies that connect consumers and retailers, Barry inspires colleagues to stay focused on the rapidly evolving issues facing clients, and to design for the holistic experience of a brand. Never one to shy from a challenge, Barry is an expert problem solver who excels at leading multi-location, multi-disciplinary teams with the tightest schedules and budgets. Contact him at barry_bourbon@gensler.com.

Comments

[Cheap Poster Printing]

Great information! I've learned so much from this post. -Mike-

[Jason S.]

Great points, and well presented. I also fully believe that elevated and enhanced customer experiences are the #1 (or should be the #1) goal for retailers across the globe. Customers are tired of the static give/take of retail. We crave that special something called EXPERIENCE, intangiable as it is, for our money and commitment to the brand.

[Barry Bourbon]

Mike and Jason, Thanks for your comments. For some shopping is a chore, for others a passion but I think all would agree that spending your hard earned money in a quality environment that focuses on making the customer number one is A Good Thing.