Brand responsibility is growing

Since the end of last year, Ceconomy, parent company of the specialist electronics retailers, Media Markt and Saturn, have been making the headlines. The reason for this was that for the 2018/2019 financial year, there was no shareholder distribution in order to strengthen equity. Since Ceconomy’s independence in 2017, there had been several changes at the top. Now, with Bernhard Düttmann as the new head of Ceconomy, in collaboration with MediaMarktSaturn CEO, Reverter, a clear course and a new strategy will ensure order and prosperity within one year. [1]

As for how exactly the changes will look, we will find out at the latest at the transformation plan presentation, which is expected to take place on 26/03/2020 [2]. Previous statements speak primarily of a change in the store retail space and the range, however, a centralisation process has already taken place within the group. In addition to a central pricing strategy, this concerned the product range and retail space management [3].

In the interest of offering the best customer experience, stores should be designed in a uniform way, including a reduction in the total retail space, the concentration of the product range and a modern, appealing atmosphere. In addition, the omni-channel concept is being developed and strengthened. Faster website download times and an in-house app [4], for customers as well as for employees, will make the group competitive in online trading [5].

Since 2017, we have been providing specialist advice for Bauknecht Haushaltsgeräte GmbH in electronics stores. Read the whole case study here.

Advice is key

Based on these directional transformation processes which focus on the customer journey, the store will inevitably turn increasingly into a showroom. In a pleasant, inviting atmosphere, the customer will be able to experience the products from the various brands. An advantage which retail will absolutely have to exploit as a central anchor point in inner-city life. Shopping in one’s free time as a relaxing activity and a source of inspiration coupled with professional, personal advice is the trump card of the physical store.

Against this background and according to the information of the HDE Location Monitor 2020, easily accessible pathways and seating in electrical stores account for almost 70% of their appeal and have a 54% impact on the likelihood of purchase. However, more important are and remain the service features of the store. From the return and disposal of old appliances through to trades’ and repair services, the most attractive approaches lie here with the highest likelihood of purchase. As well as parking, product availability and good connection with public transport, comprehensive in-store sales advice ranks among the top 10 of the most attractive approaches with the highest likelihood of purchase [6].

Read our Case Study on specialist advice and training for our Microsoft customers here.

People buy with their eyes

This undoubtedly means more responsibility for us and our customers in stores. Thus, the meaning of shop-in-shop will reinforce the “showroom” nature of the store. This would increase the industry dynamic within the store and ensure more brand freedom in the case of product presentation. The focus will lie with visual merchandising. Seating possibilities or polished lounges in the store will provide spaces for sales advice and product demonstrations in a more pleasant atmosphere. Brand ambassadors or sales area managers, who simultaneously take care of merchandising and specialist advice in store, are perfectly trained on a continual basis and pass on their knowledge to store employees, who in turn act as positive brand promoters, then confidently take responsibility for the perfect presentation of the brands at POS.

We are looking forward to the challenge of comprehensive visual merchandising in your retail space and guarantee excellent personnel, which, with the core competence of sound customer advice, will strengthen sales and ensure an increase in revenue. With our BI-Dashboard tailored to your requirements, you get an overview of all the KPI’s. We offer you full transparency of all your data, which you can access in detail and check at any time with the click of a button. As a customer, you make decisions based on facts and figures. Analysing has never been easier! Get in touch, we will advise you individually.

Against this background and according to the information of the HDE Location Monitor 2020, easily accessible pathways and seating in electrical stores account for almost 70% of their appeal and have a 54% impact on the likelihood of purchase. However, more important are and remain the service features of the store. From the return and disposal of old appliances through to trades’ and repair services, the most attractive approaches lie here with the highest likelihood of purchase. As well as parking, product availability and good connection with public transport, comprehensive in-store sales advice ranks among the top 10 of the most attractive approaches with the highest likelihood of purchase. [6]