360DigitalInfluence

To spite the lack luster economy, I’ve been seeing stories in WWD, The New York Times and Wall Street Journal that suggest consumers are shopping.  Perhaps not as much and not for the same things they used to, but they are out there shopping.  BIGresearch reports 4o percent of women said that shopping for themselves is at the top of their priority list.  The key to consumer spending today is value, according to Yanklovich and Ropers recent consumer studies.  Consumers want to know when they make a purchase they can feel good about the money they spent because they know they are getting a great deal.  These changes have led to a shift in how retailers reach consumers.   The world’s largest retailer, WalMart, is taking advantage of other electronics retailers closing to revamp their offerings so they will reach those consumers who used to shop at said closed stores.  They are taking a look at their product offerings and adding more than just entry level as suggested in the following article.

Macy’s has also done this in light of Linens & Things store closings.  With some small changes to their home department, they have seen an uptick in those sales.

Fashion designers have long been taking this approach by offering their designer duds to the masses with collections at mass retailers such as Target, H&M and Kohls.  Coming soon, Target will add Alexandar McQueen and Anna Sui (WWD 5/6/09).  These collections sell out at these retailers as consumers want to wear designer names, but can’t afford the high prices.  However, in today’s economy, you can even find great deals at Neimans or Saks.  That’s right, those retailers are slashing prices like never before.  For anyone that loves fashion, now is the time to shop.  In my mind, this will stimulate the economy, but begs the question where will it leave us when no one wants to or expects to pay full price again?

It leaves us with empowered consumers who are turning to bloggers as experts for advice on where to and how to shop in a down economy.  Some of my favs are the clever, resourceful and in-the-know bloggers such as www.55secretstreet.com, www.sheknows.com, www.thebudgetfashionista.com or www.secondcitystyle.com.  They even offer tips on how to use an item - like that sequined top you think you can’t live without, but don’t know how to pull the look off.  You can visit the blogs, follow these folks on twitter or get their daily RSS feeds.  These bloggers and others like them [in their particular area of expertise] are the new influencers.  This audience needs to be treated as any other media outlet and considered influencers who provide peer to peer advice that could benefit your company or brand.  These bloggers are inspiring consumers and building their confidence to shop once again by offering them smart and innovate ways to shop.

I can’t help but address the shopping mall.  With all of this talk about consumers consuming again, where does it leave the antiquated mall shopping concept.  Think about this…the first indoor shopping mall opened in the United States on July 20, 1916.   Wow…long time ago!  Since then, frozen food, color television, BandAids, mobile telephones, CD radios, cable and this funny thing called the internet have come along.  What has the shopping mall done to keep up with the times?  Better yet, what should they be doing, or is there a better way to mall shop online?  What will stimulate the consumer to shop again?  Well, I addressed the value part of it, but there needs to be more.  The brick-and-mortar location needs to amplify the social experience, which is something online shopping sites have embraced.  Virtual malls are gaining momentum by fulfilling cosnumers need for convenience, social networking and value.  Two mall shopping sites that stand out are www.virtualeshopping.com and www.mallplace.com.  These sites are different, but similar in many ways.  They aim to capture the apprehensive consumer who is becoming more and more fasinated with online shopping, and more fed up with real malls.  In this environment, they can shop from store to store and category to category.  For example, I can buy towels for my bathroom or a pillow for my dog in one location.  It is all in one place with multiple retailers to choose from, which lends itself to quick and easy comparitable shopping.  Not surprisingly, Zappos.com has already taken to this concept by partnering with hangout.net to allow users to customize their avatars with Vans shoes.  If online malls take off, it will have all retailers rethinking their marketing strategies.  They may want to open a store or buy a billboard to attract consumers to their online stores.  Right now, it is unclear if these sties will succeed - especially in today’s economic times,  but is does show an ongoing interest in online retailing and the imaginative ways to get consumers consuming once again.