Nike is leading the race to offer UK consumers entertaining ways to spend their money. Elaine Cavanagh reports on a new dimension to shopping
Creating “the leisure experience” has been on retailers’ agendas for a long time. But today there are tangible examples of the idea moving off the drawing board and on to the shop floor.
Among the first off the starting blocks when it comes to taking retailing into new dimensions is Nike, which opened Nike Town London at Oxford Circus in July.
Shoppers entering the 6,503m2 (70,000 sq ft) store – only the second outside the US and designed to be a flagship store to rival New York – are hard pushed to know where the retailing ends and entertainment begins. Among other things, they can join the Nike Town Running Club, attend a sports clinic and meet sporting stars.
Set over three floors, it comprises separate “buildings” that house a network of pavilions which are dedicated to different sports.
Three-storey shopping experience
Nike says the aim is to encourage consumers not only to shop for footwear, clothing and equipment but to also take advantage of opportunities to play. Each pavilion offers interactive areas as well as displays and products. And at the “core” there is a three-storey 360 degree multimedia projection screen which encases a centrepiece called the chandelier – a display of 750 sporting photographs. Customers are also encouraged to try interactive displays that reveal the stories behind Nike products.
“Nike Town is definitely turning the purchasing experience into a leisure-related experience,” says Andy Lucas, retail director of DTZ Debenham Thorpe. “It has made a lot of use of memorabilia, hi-tech presentations of the merchandise and interactivity.”
And Peter Galley, head of retailer services with Jones Lang LaSalle, says of Nike Town: “The store has taken the retail-leisure mix to another level. The concept is driven by the national and international brand and it’s designed to elevate that brand.”
He says it is also a prime example of the need for retailers to turn “want into need” through the use of retail entertainment. The introduction of features such as listening posts and video walls makes it increasingly difficult for shoppers to go in and not make a purchase, says Galley.
Destination stores
The groundswell movement among retailers for acquiring larger units is helping to drive the changes, he adds.
“It becomes more cost-effective to do it if you are taking a 10,000 or 15,000 sq ft store. Property costs and fit-out costs tend to be lower per sq ft for the bigger stores. And if you are seeking to create a destination store you have the opportunity to do something different.”
Galley cites the activities of US book retailers such as Barnes & Noble and Borders. “Borders is creating a destination visit, not only with its massive range of books but with its coffee shop which it has taken one stage further and customers can now have wine and light meals there too.
“And there are jazz bands, piano sessions, events and readings. Everything is designed to encourage the customer to stay longer.”
Borders made its entry into the UK with its purchase of the 26-strong chain Books etc and has since embarked on a twin-track programme of introducing its Borders Books Music Caf
