The future of Retail by André Grochowicz and Marcus Ryde

1. THE FUTURE OF
PHYSICAL RETAIL
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

2. HYPOTHESIS
The digital will be so significantly integrated in
the physical space that we will not be able to
separate the physical space of retail from
the virtual space of e-commerce.
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

3. FORCES
ECONOMY
"...Retail chains are a fundamentally
implausible economic structure ...
You combine the fixed cost of real
estate with inventory, and it puts every
retailer in ahighly leveraged position...
It just doesn’t make any sense for
all this stuff to sit on shelves...
-Marc Andreessen.
http://www.businessinsider.com/retail-stores-will-diesays-marc-andreessen-2013-1#ixzz2nOPwxf5M
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

4. FORCES
NEW URBANISM
MOVEMENT
"For the first time in more than 60
years, more people moved into New
York City than out last year.”
http://www.huffingtonost.com/2013/03/14/
new-york-city-population-highst_n_2876463.html
330 Shanghai's in China by 2020
-BCG 2010 Urban Income Forecast Model
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

5. FORCES
70%
En route to the store,
of smartphone shoppers use a store
locator to plan their shopping trip.
-Nielsen
TECHNOLOGY
42% of consumers chose
finding a better price online
as their reason for purchasing online
after shopping in a store.
-RIS/Cognizant
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

6. THEMES
SHOWROOMING
19% of consumers leave a
store and look for lower prices online.
-RIS/Cognizant
NEED FOR REAL LIFE EXPERIENCE
MULTICHANNEL APPROACH
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

7. THEMES
LACK OF
HUMANESS
"Customers today want retailers
to be less about well-orchestrated
brands and carefully rehearsed
answers and more about transparency,
authenticity and passion. "
- IDEO
P. 48 / Rotman Magazine Winter 2012
AUTOMATED EXPERIENCE
http://www.ideo.com/images/uploads/ news/pdfs/
THE_FUTURE_OF_RETAIL.pdf
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

8. TRENDS
“McDonald’s already conquered the global segment with
little adaptation of its menu. But conquering the local
segment can be very costly, as the company must come
up with a highly localized menu which competes head to
NEW URBANISM
MOVEMENT
head with local restaurants.”
-Forbes
http://www.forbes.com/sites/panosmourdoukoutas/2013/11/23/mdonalds-three-strategies-to-re-ignite-sales-growth/
LOCALIZATION
THE SPACE IS PART
OF THE COMMUNITY
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

9. TRENDS
CONSUMERS WANTS TO BE PART
OF AN AUTHENTIC STORY
[The Growth we see in the economy
today is built on a new narrative, which
have Shifted from] “Having to Being.”
NARRATIVE
-Boston Consulting Group
http://www.luxurydaily.com/wp-content/uploads/2013/05/BostonConsultingGroup1.pdf
Page 6.
“Le Pain Quotidien transports its customers to the
Belgian countryside and a simpler way of life”.
http://www.redhotmarketingblender.com/2012/06/creatingauthentic-brand-experiences-le-pain-quotidien%E2%80%8F/
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

10. TRENDS
ECONOMY
REAL ESTATE
HIGH PRICES
MODULARITY
ABILITY TO TRANSFORM THE CONTEXT OF
THE SPACE WE FIND OURSELVES IN
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

11. CODES
“Today’s consumer has vastly different
and more sophisticated expectations
of product, service, value and
environment than five
or even three years ago.
-Ian Geddes (Partner at Deloitte)
CRAFTSMANSHIP
http://www.deloitte.com/assets/Dcom-Germany/Local%20
Assets/Images/06_CBuT/2013/CB_R_store_of_the_future_2013.pdf
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

12. CODES
“ Transformation of the ordinary
and expected into an innovative
and evolved experience. Think of Apple
reinventing the look of the personal
computer (and portable music player)
or JetBlue and Virgin bringing style (back)
to airline travel to meet and evolve
the desires of their consumers.”
-Forbes
http://www.forbes.com/sites/onmarketing/2013/12/03/
how-to-build-brand-love-via-designed-serendipity/
Parsons The New School for Design | Analyzing Trends Fall 2013
EXPLORATION
“A lot of times, people
don’t know what they want
until you show it to them.”
-Steve Jobs
André Grochowicz and Marcus Ryde

13. CODES
“When you receive acknowledgement – no matter
how big or small, that positive mutual exchange
leads to a deeper connection that creates
emotional stickiness to your brand. Brands like
Starbucks and Fidelity are masters at building
connections that drive loyalty and create
SERENDIPITY
a sense of comfort.”
-Forbes
Designed Serendipity
http://www.forbes.com/sites/onmarketing/2013/12/03
/how-to-build-brand-love-via-designed-serendipity/
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

14. CODES
“A service experience that delivers unexpected
authenticity, expertise, and a genuine sense
of connection that is memorable. Brand recall
starts with making an impression. If this
HUMAN
impression touches all our emotions, and recalls
happy times/places/people, like Disney
– what results can be magic.”
-Forbes
http://www.forbes.com/sites/onmarketing/2013/12/03
/how-to-build-brand-love-via-designed-serendipity/
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

15. SUBCULTURE
SOCIAL SPACE
"[The maker movement] is about man taking over
the machines again and being empowered.”
THE MAKER
MOVEMENT
- Chad Dickerson (Etsy CEO)
http://www.forbes.com/sites/techonomy/2013/09/25/
how-the-maker-movement-is-reinventing-retail/
CLIENTS
ARE THE
DESIGNERS
THEATER
VISIBLE PROCESS
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

16. TREND OPPORTUNITIES
- BRING THE CONSUMER INTO THE PROCESS
- BREAK THE AUTOMATION, CREATING MORE GENUINE AND HUMAN
EXPERIENCES
- FOCUS ON THE PROCESS OF MAKING, REENFORCING CRAFTSMANSHIP
AND GENERATING A NICE NARRATIVE
- GIVE POSSIBILITIES FOR THE CLIENTS TO EXPLORE
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

17. CLIENT
WARBY PARKER
Parsons The New School for Design | Analyzing Trends Fall 2013
André Grochowicz and Marcus Ryde

18. IDENTIFIED STRENGTHS
HOME TRY-ON
LOCALIZATION
SCHOOL BUS
POP-UP RETAIL
Parsons The New School for Design | Analyzing Trends Fall 2013
BOOKS
André Grochowicz and Marcus Ryde

19. FUTURE ACTIONS
SHOWMANSHIP
THEATER
COLLABORATIVE
CRAFT
SOCIAL SPACE
Parsons The New School for Design | Analyzing Trends Fall 2013
AUTHENIC
PROCESS
André Grochowicz and Marcus Ryde