Published by Modern Retail on 27 May 2020

When Nordstrom opened its New York City flagship last October, it was the epitome of experiential retail. The seven-level store contained seven different bars and restaurants, a spa, a personal styling lounge, and lots of Instagrammable spots. The goal was clear: to get Nordstrom's most loyal customers to visit the store more often for a facial or a happy hour, which will lead them to spend more money. Now, all of those experiential elements that were supposed to make the store a must-visit may deter customers. Shopping in the age of coronavirus means that customers want to get in and out of the store as quickly as possible, which is exactly the opposite of the kind of activity experiential retail is supposed to encourage.

As people are hesitant about spending time in stores, retailers are now rethinking the purpose of experiential retail. The coronavirus has accelerated the shift of experiential retail to online. Virtual styling services will become the new norm. The goal of experiential retail will still be to win over customers' loyalty and get them to spend more money with the brand — but not by getting them to spend more time in-store.

Using digital to provide better service

For example: Chanel's Beauty Atelier store in Soho was meant to be a playground for beauty enthusiasts. There were different spaces throughout the store dedicated solely to testing out face cleansers, lipsticks and fragrances; customers were given the option to book a one-on-one consultation. While that store remains closed, customers can book a video chat consultation with one of Chanel's beauty specialists who will email a recap of what they talked about with clients — with recommended products saved to a Chanel account, making it easier to find in the store next time.

Showfields, the self-described "most interesting store in the world," is trying to take a similar approach. When Showfields reopens in NYC, it will encourage shoppers to download its app. Using NFC tags, Showfields' visitors can tap icons throughout the store to learn more about a brand, get a guided tour of the space, and checkout directly from their phone.

The summer weather could also provide opportunity for retailers to experiment with outdoor activations, which may hep get people more comfortable thinking about shopping again. But those retailers who invest now in digital experiences may be better positioned to win over shoppers when they are ready to spend more time in stores again, even if that is months away.

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full article: Experiential retail will get a digital facelift

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