November 11, 2008
Arch support manufacturer redesigns retail stores to increase conversion rate; sees success with every new step.
Arch-support manufacturer and retailer Good Feet knows its business from the bottom up: People whose feet are properly supported are more comfortable, active and healthier.The challenge for Good Feet was to package that message consistently in each of the company's 140 franchise stores so that customers would clearly and quickly understand the benefits of the custom-fitted product. Slowed growth, marginal customer experience and inconsistent brand presentation prompted Good Feet to consult with STEIN LLC, a Minneapolis design firm specializing in branded environments, to establish a new retail prototype intended to increase brand awareness and sales at each franchise. Beginning with a beta store in San Diego's Mission Valley, STEIN completely redesigned the flagship location with a specific objective: to increase conversions. Despite a weak economy, Good Feet achieved this objective within weeks of the store's opening in May 2008. Average sales during that time went up about 17 percent.
The original "look" of Good Feet stores was created in the early 1990s, but there had been no corporate update since. Store owners gradually changed the original design of their stores to keep them updated, while following the original stipulation that the stores look cozy and comfortable—like a living room. But without a strong brand image or focused messaging, customers were confused about what Good Feet sold and what to expect during the selling process, according to Leigh Woeller, director of marketing, Good Feet Worldwide LLC.
"The stores were all very different in look and feel, which disintegrated any brand awareness we had established," said Woeller. "Because the stores were not consistent—and in some cases, not well maintained—customer expectations were violated the minute they walked in the door because they expected the products to cost less based on the way the stores looked."
Selling message and sequence key to store redesign
"We recognized that Good Feet needed more than a prettier store," said Sanford Stein, president and principal, STEIN LLC. "Our first step was to reevaluate the entire methodology of selling and then establish a selling sequence and message to ensure a consistent customer response. We began with a study of the psychographics of Good Feet customers to better understand them and their needs. We also conducted in-depth interviews with key franchisees and spent many hours in the store observing the selling sequence and customer behavior."
"3-Step System" becomes focus of store redesign
The goal of every sale—and the one that provides the highest margins—is to explain the benefits of Good Feet's "3-Step System" and fit customers with three different types of arch supports that can be used for all activities. These three "steps" exercise, maintain and relax the feet to provide optimal balance and alignment. "However, we found that the message of the 3-Step System—a key brand differentiator—got lost," said Stein. "Several posters in the store featured dozens of different arch supports, but the messaging and claims were confusing to the customer."
STEIN representatives also learned from both dealers and corporate principals that once the customer was seated and engaged in a sales presentation the conversion rate was quite high. Yet without strong visual clues or clear brand messaging, there was little to convince a customer to sit. "Additionally, the living room look probably also eroded the customer's confidence that his or her condition was going to be properly understood and treated," said Stein.
"In retail and retail service, the right experiential sequence leads to a successful and predictable outcome," said Stein. "To establish and maintain high brand value and improved conversion rates for Good Feet, the entire customer experience needed to be retooled."
Engineering a successful branded environment
Together, STEIN and Good Feet named three specific goals to increase the conversion rate at each store: 1) to establish consistent branding; 2) to simplify the sales process for the customer; and 3) to improve—even dictate—the overall sales process for the sales person ("fit specialists") so that customers would receive the same experience no matter what store they visited.
The new branded environment features an informative interpretive display placed on the right facing wall at entry. This display informs the incoming customer of the benefits of the 3-Step System. Bold and simple graphics educate and even empower the customer on this key brand differentiator and prepare him or her for the fitting process.
The focal points of the store are unique individual "fit stations" separated by dividers shaped like giant "iconic" arch supports. These semi-private niches help customers feel less exposed during the consultation and arch-support fitting—in strong contrast to the open living room look of the existing stores. To incorporate a warm, comfortable look, enlarged handwritten customer testimonial graphics cover the entire contoured surface. The elegance and simplicity of the graphic imagery and tailored fit-stations send out subliminal messages to the customers to come and be seated.
To reinforce the importance of the 3-Step Solution and to instill a bit of ceremony (and increased perceived value), STEIN designed a three-compartment selling tray which positions each of the three arch supports in their own little slot and enables the fit associate to ‘present' the solution to the customer with the proper theatrics. "We wanted to avoid the casual manner in which fit associates handled the arch supports," said Stein. The goal was for each "touch point" of the new branded environment to properly position and reinforce brand value so that price resistance was diminished if not mitigated entirely.
"One of the most gratifying comments that we received from the Good Feet representatives after the Mission Valley store was redesigned was the remarkable behavior change seen in the customers the first week the store opened. Customers used to come in, mill around a bit and often just walk out. Now they come in, absorb the information and sit down ready for a fitting," said Good Feet's Tracy Handt, project manager. "It's like they get it, right away."
Bottom line IS the bottom line
"Good Feet dealers who have redesigned their stores are experiencing greater conversions, higher average ticket and increased sales, with no additional advertising or incentives. Once we got people to sit down, conversions went up," said Woeller. "People know how to behave and what to expect. Our sales message hasn't changed, but now people feel comfortable enough to sit down and take it in."
Following the success of the Mission Valley store, Good Feet will require its new franchisees to follow the new design. Existing franchisees may voluntarily choose to retrofit their stores with the new design, and according to Woeller, there are many volunteers. Eventually, all existing stores will be asked to retrofit as their contracts come up for renewal. This solution puts Good Feet many steps ahead on the road towards achieving its goal of increased conversions through delivery of a specific message.
Building on more than 25 years of experience, Stein LLC assists clients in developing successful strategies for retailing and brand marketing. Stein has created over 300 retail design projects, ranging from regional and national prototypes to niche and retail service concepts. For more information call Stein at 612-338-3339.
June 10, 2008
STEIN president named retail consultant to Vantage Marketplace; will share industry expertise with investors
Sanford (Sandy) Stein, president and design principal of STEIN LLC, a retail brand and design company, has been named a consultant to Vantage Marketplace LLC, New York, NY, a consulting service and wholly owned subsidiary of The Goldman Sachs Group, Inc., a full-service global investment banking and securities firm.
Vantage Marketplace connects investors directly with leaders in industries including retail, energy and technology. As a consultant, Stein will share his knowledge and experience of the retail industry with individual investors to help increase their awareness of retail issues.
Stein founded STEIN LLC in 1981 to focus on the challenging and ever-changing field of retail planning and design. “As a consultant for Vantage Marketplace, I look forward to sharing what I've learned about trends in retail and consumer culture,” said Stein. “It's a fascinating and ever-evolving field that combines demographic and psychographic changes that influence our attitudes, behaviors and buying habits.” Stein has presented lectures and seminars throughout the world on retail branding and is the author of over 60 articles appearing in a variety of publications.
Building on more than 25 years of experience, STEIN LLC assists clients in developing successful strategies for retailing and brand marketing. STEIN has created over 300 retail design projects ranging from regional and national prototypes to niche and retail service concepts.