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1. Building brands with
bricks and mortar

3. Retail is a wonderful world!

5. 1. Why you need to build wonderful worlds
2. Who’s building wonderful worlds
3. How you can build a wonderful world

6. Why you need to build wonderful worlds

7. We live in a sophisticating world

8. Why build wonderful worlds
1. Sophisticating consumer/sharper, wiser
2. Sophisticating media landscape
3. Sophisticating competition/direct, indirect

9. 1. Customers today:
– Know it all
– Are up with the latest
– Want things yesterday
– Demand great design
2. Great price and quality are
‘hygiene factors’
3. 59% have all the material
things they need
4. Recession is an accelerator
*Source: Fitch/Chain Store Age, May 2006

10. Sophisticating media landscape

11. The media landscape has exploded
and sophisticated

12. The growth is in ‘me media’
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2000 2001 2002 2003 2004 2005
Internet $85 $80 $167 $236 $388 $647
Pay TV $40 $55 $74 $93 $123 $160
Cinema $69 $64 $58 $66 $74 $83
Outdoor/Transit $276 $271 $261 $297 $328 $357
Radio $684 $695 $702 $737 $841 $890
TV $2,746 $2,490 $2,592 $2,923 $3,142 $3,335
Mags $971 $889 $988 $1,057 $1,191 $1,298
Press $3,184 $2,946 $2,739 $3,000 $3,341 $3,564
Source: CEASA Report YE 31 December 2005: data represented in $AU M

13. Time spent online continues to grow
11.7
Listening to the radio 10.7
9.4
10.2
Watching TV 11.0
10.9
10.0
Watching Pay TV 7.6
8.8
9.1
Accessing the Internet 7.9
6.7
8.1
Listening to music/CD 8.8
6.8
6.0
Exercising 6.0
5.4
5.9
Reading a book 5.8
6.1
4.0
Watching DVDs/Videos 3.6
4.5
Playing computer games 3.5
3.0
3.7
Playing console games 3.4
3.3
2.9
Accessing the Internet at work 2.6
1.4
2.8
Reading newspapers 3.3
3.3
2.3
Reading magazines 2.1
1.8
On average, how many hours do you spend3on each of 5 following? 8
0 1 2 4 the 6 7 9 10 11 12 13 14 15
Base: Australian adults aged 16 plus who use the Internet (n=500) hours per week
Average

14. Simultaneous usage growing
100%
90%
80%
% Australian adults
70%
60%
50%
40%
30%
20%
10%
0%
Be listening to
Using Internet and Using Internet and Be using your
Internet radio or
TV listening to Radio mobile
Podcasts
All the time 7% 8% 4% 6%
Often 13% 11% 4% 5%
Sometimes 14% 20% 13% 36%
Never 66% 60% 80% 53%
Don't know 1% 0% 1% 1%
When using the Internet, how often will you also….
Base: Australian adults aged 16 plus who use the Internet (n=500)

15. Sophisticating competition

16. The changing shopper dynamic
Trade-Up “Where I care”
The middle market is disappearing
Trade-Down “Where I need to”

17. Lower end continues to smarten up
Was Is
B&M
Primark
Bodycare

22. ‘Pop Up’ Store
UNIQLO

23. • http://www.uniqlo.jp/uniqlock/
• http://www.uniqlo.com/utloop/

26. Why you need to build wonderful worlds
1. Retail space is the ultimate consumer
interaction touch point
2. Retail space is the ultimate 4D media
space
3. Retail space is the place where you get to
express your brand

27. Who’s building wonderful worlds

31. TOPSHOP

32. TOPSHOP

33. KWIK E MART

34. KWIK E MART

35. KWIK E MART

36. KWIK E MART

37. KWIK E MART

38. KWIK E MART

39. KWIK E MART

40. KWIK E MART

41. Dior Homme

42. Dior Homme

43. H&M

50. House of
Hoops

56. Nike, London

58. The Quarter Pounder Store, Japan

62. Villa
Moda

66. SNOG, Soho

71. Aesop

74. Bape: A Bathing Ape

77. Kymka

80. Sevva

81. Villa Sofa

91. computer furniture
Bestmobile
Buy peripherals floor care
layout
entertainment computers white goods
gadgets
software
digital assistance
music
photography TV’s
games
kids
speakers
customer service
mobile mobile
DVDs phones music
home
entertainment
checkouts entry/ exit magnolia entertainment lounge
Best Buy layout

116. WOW & NOW

129. How you can build a wonderful world

130. Know your customer
Know how they behave
Identify with them
Understand the competitive environment
Know the future trends and opportunities
Be brave … go further than you think
Identify key consumer touch points & influence

131. The 9 steps to building a wonderful world
1.Attract attention
2.Entice & seduce
3.Make it WOW
4.Explore & navigate
5.Find & discover
6.Inform & secure
7.Add value
8.Close with confidence
9.Reasons to return

132. The customer journey
1
Attract
Attention 5 6
Find & Inform &
Discover Secure
30m
2 3 4 7 8
Entice & Make it Explore & Close with
Add value
Seduce wow! Navigate confidence
9
Reasons
to return

133. The customer journey

135. 1. Attract attention

136. Champs Elysees, Paris

137. 2. Entice & seduce

139. 3. Make it WOW

141. 4. Explore & Navigate

144. 5. Find & Discover

147. 6. Inform & Secure

149. 7. Add value

152. 8. Close with confidence

154. 9. Reasons to return

156. The customer journey
1
Attract
Attention 5 6
Find & Inform &
Discover Secure
30m
2 3 4 7 8
Entice & Make it Explore & Close with
Add value
Seduce wow! Navigate confidence
9
Reasons
to return

157. Strategic approach
Idea
Identity Experience

158. In Summary…

159. 1.Today’s sophisticating consumer and
competitive landscape demands all retailers
build wonderful worlds
2.The world’s most successful retailers have
built wonderful worlds
3.To build a wonderful world you need to first
identify your brand’s core idea, second
articulate its identity and then follow the nine
step process to creating the experience

160. Retail is a wonderful world!

162. Any questions?

163. Thank you
Please contact me
stephen.kulmar@retailoasis.com