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Consultants see innovation and pop-up shops

A shopper browsing used clothing at a pop-up swap event in Singapore.

CATHERINE LAI | AFP | Getty Images

LONDON – The future of physical stores has been challenged by the coronavirus pandemic, but experts believe the key to survival will be reinvention.

For some time now, retailers have been trying to attract customers by creating in-store experiences. Now, however, they need to get creative as shopping habits change and customers become more demanding.

Online shopping has been booming since the pandemic began. In the UK alone, internet sales rose from under 20% to over 32% in just three months at the start of the first Covid-induced lockdown. And experts expect the convenience of buying online means consumers will continue this habit even after the pandemic.

According to accounting firm PwC, nearly 50 stores closed every day in the UK in 2020.

Both trends show how important it is for retailers to get their physical presence right.

Kristina Rogers, Ernest Young’s global consumer leader, told CNBC in March that there is “a real redefinition” in the way retailers use their physical spaces.

“It’s no longer just an exchange,” she said, adding that retailers need to understand who their customers are and what they want.

Customers are browsing clothes at the Pangaia pop-up in Selfridges department store in London on April 12, 2021 as coronavirus restrictions are eased.

GLYN KIRK | AFP | Getty Images

She highlighted how Target, one of the largest retailers in the US, chose to have more space in their stores for Apple products. That way, customers interested in Apple devices can check them out in Target when shopping for other things. This is also handy for current Apple users who can merge two trips into one.

“They’re building a ‘mini mall’ in their shop,” she said.

But not every retailer has such a large area to work with. In fact, some experts believe that successful businesses of the future could be those that keep offering new things regardless of their size.

“There will undoubtedly be fewer physical stores going forward,” Matt Clark, managing director of consulting firm AlixPartners, told CNBC’s Street Signs Europe in March. “But the remaining stores need to offer an even bigger experience, additional services and just the ability to purchase products.”

One way for retailers to stand out is to focus more on pop-up stores. These are spaces that are temporarily open to showcase a particular line or product and that have become increasingly popular in recent years.

Stella McCartney Store on Bond Street in November 2020.

SOPA pictures | LightRocket | Getty Images

“One of the most important ways for pop-up shops is to create new opportunities for exploration. It’s not about a consumer walking into a Ralph Lauren store that is the same today as it was 10 or 20 years ago,” says Alex Cohen. A commercial real estate expert at Compass told CNBC.

Some well-known brands have already searched for pop-ups to attract more customers. British fashion designer Stella McCartney is showcasing a variety of local businesses in her flagship store on Old Bond Street in London to celebrate the lifting of restrictions on retailers in the UK. Guess is about to open its first pop-up store in Germany for activewear.

Pop-up areas allow retailers to create something “really fresh” while saving costs, Cohen said.

“Brands have the ability to spend a lot less, not have to commit to a long-term contract, spend less on modular installations, and do it very quickly,” he added.

Exclusivity

In addition, this type of business promotes the idea of ​​exclusivity – a feeling that is becoming increasingly popular with many customers.

“The whole idea of ​​exclusivity is really important. The fact that a pop-up is expiring … is causing excitement among consumers. ‘Wow, if I’m not looking at this pop-up retail offer … at the In den in the next 3 months it will go away, I will never be able to see it, “he said. This adds the kind of excitement that is lacking in many traditional stores.

So it’s not just about the feeling of having an exclusive product, but also about an exclusive experience. This means that retailers can benefit from this exclusivity trend in other ways.

“In terms of exclusivity, many retailers now, either by agreement or actually, when you arrive at a store require you to be connected to a seller. You can’t surf and that creates a sense of exclusivity for better or worse,” added Cohen.

sustainability

Brands are also recognizing the increasing importance of sustainability, both from a business perspective and due to growing customer awareness.

And it’s not just reflected in more “ethical” product lines, but also in what services are available in physical stores.

On its flagship in Stockholm, H & M offers services to repair old clothes and rents out some of its outfits for special occasions.

“The sustainability movement really highlights one of the core dichotomies that the fashion industry is particularly facing, but also a broader retail sector,” said Clark of AlixPartners.

“The debate between value and value: The need to really clearly define your sustainability traits, your ethical sourcing, etc, while delivering great value that is not only cheap but also great value for money which means consumer. “

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Entertainment

New York’s Pop-Up Live shows Kick Off With Jazz at a Vaccination Web site

At first it seemed like a small, no-frills concert in a carefully controlled environment: Jazz musician Jon Batiste sat at a piano in an auditorium in the Javits Center on Manhattan’s West Side, performing in front of about 50 seated health care workers in evenly spaced rows – some wear scrubs, other army clothes.

The dancer Ayodele Casel began to knock, with no musical accompaniment other than a recording of her own voice, and her increased convulsive roles filled the room. And the opera singer Anthony Roth Costanzo played “Ave Maria” in the angelic tones of a countertenor.

But about half an hour later, the performers stepped off the stage and left the room. What began as a formal concert turned into a boisterous procession of music and dance that ran through the sterile building – the convention center was turned into a field hospital early in the pandemic and is now a mass vaccination site – where hundreds of hopeful people are had come on Saturday afternoon to get their shots.

Batiste switched to the melodica, a stylish, hand-held reed instrument with keyboard, and the band of musicians, which had been expanded to include a horn section and drummer, marched up the escalator and through the convention center, finally reaching a climax. Ceiling room where dozens of people quietly waited 15 minutes after the vaccination for the required waiting times.

This concert roaming party was the first in a series of “pop-up” shows in New York designed to give the arts a jolt by giving artists paid work and audiences the chance to perform live after nearly a year see darkened theaters and concert halls. Governor Andrew M. Cuomo last month announced plans for the “NY PopsUp” series in which he stated “we need to bring art and culture back to life,” adding that their revitalization is essential for the economic revitalization of New York the city is of decisive importance. The shows begin as he comes under fire for the government’s handling of Covid-19 deaths of nursing home residents.

Since the program doesn’t attract crowds, most of the performances will be unannounced and suddenly pop up in parks, museums, parking lots and street corners. The idea is to bring a dose of inspiration into the lives of New Yorkers – a moment when they can disrupt their planned lives and experience art during a pandemic year when human contact is limited and people’s activities are severely restricted.

“We need more spontaneity; That’s the beauty of it, ”said Batiste in an interview. “You don’t know what’s around the corner.”

As the band of musicians roamed the Javits Center, the audience of healthcare workers followed them, clapping to the beat, and recording the spectacle on their cell phones. Batiste, the bandleader on “The Late Show With Stephen Colbert,” drove his musicians around the room (most of whom played with the show’s house band, including Endea Owens on bass, Tivon Pennicott on saxophone, and Joe Saylor and Nêgah Santos on drums).

Bre Williams, a 35-year-old blue scrub nurse who had come from Savannah, Georgia to help out in New York, watched wide-eyed.

“You guys do all that stuff up here?” she said with a laugh.

Just before the music ended, some of the health workers rushed off to continue their work day (this concert, after all, took place during their breaks).

The series is being created by a public-private partnership led by producers Scott Rudin and Jane Rosenthal along with the New York State Council for Art and Empire State Development. Zack Winokur, the director and interdisciplinary artist in charge of the program, said the group intends to have more than 300 pop-up performances in all counties and across the state by Labor Day. The performers are selected by an artists’ council – including Batiste, Casel and Costanzo – who are each asked to use their own networks to find participants.

“It’s been a long time since I’ve seen a live performance,” said Winokur in an interview. “It’s a much needed experience right now.”

After performing at the Javits Center for the first time, the musicians made their way to Brooklyn, where they began another flash mob style street jam that started from Cadman Plaza Park and snaked through Dumbo to land at a skate park where teenagers stared at them curiously before hopping back on their skateboards. The free, mobile concerts are described by Batiste, who previously planned them on social media, as “love riots”. This drove over sidewalks and slushy snow and sometimes slowed down traffic.

Casel was prevented from tap dancing in the street and beat out rhythms by clapping her hands on the metal plates of her tap shoes. Costanzo danced with the band and at one point grabbed the megaphone to sing “Somewhere Over the Rainbow”.

While the music was meant to offer passers-by a spontaneous display, the march itself was as strictly regulated as any event from the time of the pandemic. Security guards guided members of the musical entourage through rough terrain and dog litter. Another employee asked viewers to spread out when they started violating social distancing guidelines.

Despite the logistics, the plan managed to arouse a spontaneous curiosity for dozens of people who unexpectedly came across the music. The band moved through narrow streets and shopping streets, making people stop, stare and sometimes groove a bit. Children peered through windows along Washington Street; A doorman shot out of an apartment building to see what all the noise was about. Pharmacy workers leaned out the door to film the procession on the sidewalk.

However, not everyone seemed to appreciate the music. At one point, someone in a residential building threw objects from several floors at the protesters (one of the security officers said he saw an orange juice container and a trophy in the snow).

The band, used to improvising, simply avoided the flying objects and marched a little faster, the music never stopped.

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Entertainment

Cuomo Declares Pop-Up Performances Throughout New York

New York Governor Andrew M. Cuomo, who has made it clear that he sees the return of arts and culture as key elements in the state’s economic revitalization, announced Monday that a series of more than 300 free pop-up performances will be held “NY PopsUp” would begin February 20th and run through Labor Day.

Mayor Bill de Blasio meanwhile announced details of the city’s Open Culture program, which will allow outdoor performances on designated streets of the city in the spring.

The state’s pop-up events are part of a public-private partnership, New York Arts Revival, and will feature more than 150 artists, including Amy Schumer, Chris Rock, Mandy Patinkin, Renée Fleming and Hugh Jackman.

Because the state does not want to attract large crowds to the pandemic, many of the events are not announced in advance.

“We’re trying to thread the needle,” said Mr. Cuomo. “We want the performances. We don’t want mass gatherings, we don’t want large crowds. “

The events, according to the state, will take place in parks, museums and parking lots, as well as on subway platforms and in transit stations. People can follow a new Twitter and Instagram account, @NYPopsUp, for details on upcoming gigs. Many are shown online.

The series is co-directed by producers Scott Rudin and Jane Rosenthal with the New York State Council for Art and Empire State Development. It’s part of an arts revival plan that the governor announced during a January address when he said the state would organize the pop-up performances from February 4th.

The series begins on February 20 at the Javits Center in New York City with a free performance for health care workers starring Jon Batiste, Anthony Roth Costanzo, Cecile McLorin Salvant, and Ayodele Casel. Performers will travel across town in all five boroughs, performing in parks and street corners, as well as on the trail of Elmhurst Hospital and St. Barnabas Hospital.

Mr Cuomo said some of the events would use flexible venues with no fixed seating and could therefore be reconfigured to allow social distancing, including the Shed, Apollo Theater, Harlem Stage, La MaMa and the Alice Busch Opera Glimmerglass Festival Theater.

In June, the opening of Little Island, the park-like pier built by Barry Diller on the downtown Hudson River, and the 20th anniversary of the Tribeca Film Festival will add to the city’s growing arts program.

Little Island plans to have its own festival from August 11th to September 5th, coinciding with the final weeks of programming “NY PopsUp”.

Mr de Blasio announced on Monday that the city would start a new program to help some of the city’s cultural institutions apply for federal grants. The city’s effort, called Curtains Up NYC, will provide webinars and advice to businesses and nonprofits that are in some way related to live performances.

“We have to make sure that New York’s cultural institutions get the help they need,” said de Blasio at a press conference.

When asked if Broadway theaters could reopen while his plans to revive the arts continue, Mr Cuomo expressed hope.

“I think this is where we are going, right?” he said. “The overall effort is directed towards reopening with testing.”

He announced last week that the state intends to issue guidelines to allow wedding ceremonies for up to 150 guests if the participants are tested beforehand.

“Would I see a play and sit in a playhouse with 150 people?” he said. “If the 150 people were tested and they were all negative, I would do that. And the social distancing and ventilation system are right? Yes i would. “

Commercial producers have repeatedly said that Broadway’s economy precludes reopening at less than full capacity.

New York reported at least 177 new coronavirus deaths and 9,923 new cases on Sunday. While the number of new cases has fallen from a high after last month’s vacation, the average number of new daily cases and deaths is still well above the summer and fall levels.

Mr Cuomo said the government must take an active role in helping the city and state recover from the economic troubles of the pandemic. “It won’t be a situation where the economy will just return,” he said. “We have to make sure it comes back.”

“New York leads,” he added. “And we will bring the arts back.”

Michael Gold contributed to the coverage.