cdicriscmkt-blog

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American Dream Mega-Mall Launches in NJ

I read an article in Fast Company by Zlanti Meyer. In this article, Mayer discusses the new mega-mall being installed in East Rutherford, New Jersey. Personally, as a Jersey girl and avid mall-goer, this is an extremely exciting retail incentive. 

Something that is rather interesting about this mall is that in other malls across the state, there are stores and retail spaces being closed down regularly. However, it is clear that the mega-mall is focusing on the experiential side of retail, providing more than just stores inside. In the new mall, shoppers can take some time and go to an amusement park or skating rink. 

Meyer notes that the mall focuses more on the entertainment experience rather than shopping. According to the article, 55% of the retail space is geared towards entertainment, while only 45% is shopping. However, it can be assumed that consumers are taking extremely well to this new form of retail. Meyer mentions the anticipated annual foot traffic of the space, which is 40 million guests. The mega-mall has done all that they can to anticipate this, but it is evident that consumers in the new generation are looking for a more immersive experience in a mall, and are okay with putting shopping in brick and mortar stores on the back-burner. 

As outlined in the above video from NBC News, the mall struggled to be built, and went through several delays taking as long as up to five years to begin being built. However, this installation has the potential to change retail forever. People who were interviewed in the video mentioned that going to the mall was a big enough experience for a whole family, and that larger family trips were now not as necessary. 

Overall, it can be assumed that the American Dream Mega-Mall has great potential to re-shape the norms of malls across the country. While its doors are open, all of its amenities have not been finished. The retail portions of the mall are anticipated to be finalized within the coming year. I am excited to see the mall and hopefully visit. 

Link to article found here. 

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Pandora Launches New Marketing Incentives

According to an article found on Forbes written by Joan Verdon, the news broke that Pandora has launched new marketing incentives. Because these stores are mainly brick and mortar, the significant lack of foot traffic in malls and retail locations have had a large impact on Pandora and stores alike. 

So, the company decided that they would not let their brand fall in the digital age. Pandora brought on a new CEO, Alexander Lacik, last April with the idea of rebranding their store in the contemporary age of retailing. Hopefully, the changes brought about by Lacik drive foot traffic, keeping Pandora relevant. Personally, I think that Pandora is a great company that makes beautiful products. However, just having quality products is not enough in today’s day and age, and the phenomenon brought on by Pandora rings is so last Christmas. 

Lacik’s idea? Make the stores more experiential. The first store that was gutted and remodeled was the store in Paramus, NJ. Being to the fact that that specific location had ample floor space, the retailer had open opportunities to remodel the way that the store both looks and flows. According to Verdon, the goal was to deliver a more experiential, “service-oriented” store. 

Another major marketing incentive that Pandora has attempted is to hire brand ambassadors that are relevant in pop culture today. Celebrities such as Millie Bobby Brown partnered with the company, reaching a younger generation of consumers, and potentially bringing new customers into stores with the famous name. 

Below is a photo of a Pandora store in 2017:

It is clear that the store is not very warm or welcoming. While it is very clean, the space is not productively managed, and only select pieces are exposed to the public eye. The layout of Pandora in 2017 is a mixture of a grid and a free-flow layout, which is extremely confusing to the common eye, or someone who has never shopped in a Pandora store before. It can be assumed that this is to reduce any theft, however the store is not very inviting to new customers. 

Next is an image of Pandora in 2019:

Here, Pandora makes an effort to make their brick and mortar locations more warm and inviting. The soft “millennial” pink color scheme and light wood are much more inviting. Likewise, the store shows more of a spine layout. This allows and encourages browsing, and makes the entire store design feel very welcome. The ambience was not bad in the previous photo of Pandora, but the facelift that the new CEO is giving to the stores is surely going to become more distinctive and memorable, allowing the brand to withstand the test of time. 

Article found here

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Starbucks Launch Reserve Roastery

CNBC writer Amelia Lucas released an article on the 12th of November providing a sneak-peak at Starbucks’ new Reserve Roastery, located in Chicago. 

This roastery is more than one that just makes coffee. According to Lucas, the location is 35,000 square feet, and is planning to house three coffee bars, a cocktail bar, artisan bakery, and care. However, this will not be Starbucks’ first Roastery, but instead the sixth. With custom artwork and architectural model geared to pay homage to the culture of the city, the location is truly remarkable. 

This will surely become a large tourist attraction in Chicago. It houses impressive roasting and architectural equipment, but also gourmet food and drinks for guests of the Roastery to enjoy.  But mainly, it solidifies the Starbucks brand to the public, and creates a landmark of the ultimate Starbucks. It ties a lasting experience to an everyday brand that has become extremely popular over the past few years. Something that I found interesting in the article is that Maggie Jantzen, a Starbucks brand spokeswoman said that a customer of the Starbucks Roastery spends three to four more times than they would in a regular Starbucks cafe. Not only are these roasteries absolute cash cows, they provide a consumer with an entirely different and memorable experience compared to their regular cup of morning Starbucks. 

Lucas outlines that Starbucks has seen incredible growth in the market recently. According to the article, seeing a “29% gain in shares,” which boosts the company’s market value to almost $99 billion dollars. This is certainly remarkable for a brand that sells coffee, and I think that the reason the company has seen so much success is because of the way that they positioned themselves in the market. At first, Starbucks seemed very exclusive and posh. However now that there are Starbucks locations on every other corner in the city, it is evident that the public has become familiar with the brand and that they are here to stay. 

Link to article here. 

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Gap’s 2019 Holiday Marketing Incentive

After reading an article about GAP’s holiday marketing incentive on Marketing Dive, I was instantly excited for the holidays. This was exactly the goal of the brand, as they are focusing on a more gentle, sentimental tone for their holiday campaign, rather than the typical gaudy incentive. Author Dianna Christe perfectly breaks down the brand’s positioning for their upcoming holiday campaign.

Below is the video mentioned:

Something that the brand clearly strived for in their advertisement was to tell a story about a mother and son, all through a hoodie. The advertisement goes on to challenge customers to give “the gift of thought,” this holiday season. Launching right after halloween, it is clear that the company is trying to make their message loud and clear, getting a jumpstart on the holiday season. 

Clearly, the brand is trying to spread the message in every way possible. The campaign will be aired on GAP’s website, their social media, and ads on social media such as Youtube, Facebook, Hulu, and Vevo. These channels definitely aim to reach a younger generation, familiarizing themselves with GAP’s brand as they strive to give their brand a makeover, separating from Old Navy. I find that rebranding in a time of change is very important. This has the potential to reach and capture a new market, proving that GAP has the ability to withstand the test of time, and is capable of adapting and changing in a retail environment. 

GAP has been on the economic downswing since Q2, losing 2% of their revenue. While this does not seem like the end of the world right now, this could form a strong trend and the brand can lose consumers across an entire generation of consumers, generation X and Z. The brand is now making an effort to stay relevant, and Christe mentions that they have aded stoppable digital ads for the demographic of consumers shopping online. Likewise, the brand is beginning to recognize that focusing on digital marketing is extremely more cost-efficient than press or television ads. 

Link to article found here.