Retail Observer

RETAILOBSERVER.COM JANUARY 2018 44 I n the ever-changing world of retail sales where independents wage a perpetual war with their big box adversaries and e-commerce giants, owners must exploit any advantage that communicates the benefits of the products in their showroom. With the popularity of online research, customers are now as knowledgeable about the appliances they seek to buy as the salespeople who sell them. This growing reality undercuts any hope of still wowing the customer with the futuristic capabilities of a state-of-the-art product. Luckily for owners, there exists one more surprise in the retail arsenal, which serves the dual purpose of appealing to a customer on a personal level while showcasing the sights and sounds of something new in an attempt to win their business. This popular new concept is the in-store demo. The in-store demo is a novel approach in that it allows customers to essentially try out the product in-store rather than watching a demo carried out by the salesperson or through a video on their home computer or smart phone. Much like test-driving a car, the customer can develop a feel for the product first-hand without interference from a chatty sales team. More importantly, the customer must be in the showroom for the demonstration, which is a boon for the retailer since its gives them the opportunity to actually meet and converse with their prospective buyer. It is the hope of retailers that the popularity of the in-store demonstration will one day return the online shopper to the showroom. The concept of the in-store demonstration, particular for appliances, is rooted in the theory that if a customer is lured into watching a demo up-close, they may stay to buy. It is also a covert action by retailers to redirect the market share swallowed up by online retailers by getting shoppers back into their stores. Ani Collum, a partner at the Norwell consulting firm Retail Concepts, remarked on this retail philosophy in a 2016 article in the Boston Globe entitled "Appliance Retailers Turn to Chefs to Sell Kitchen." The story highlighted how retailers are employing chefs to showcase new products in-store, much to the delight of customers. "What retailers are doing is thinking about what is going to make the customer experience interactive," Collum says. "Retailers are asking how they can keep people in their store longer, because the longer they're there, the more money they're likely to spend." In a similar article demonstrating the allure of the in-store demo, Kavita Kumar, of Minnesota's Star Tribune, commented on the push by electronics retailer Best Buy to add in-store shops in order to give customers an opportunity to try out their line of Dyson vacuums, blow dryers, and fans. In "Best Buy Adds Dyson In-Store Shops to Vacuums, Hair Dyers", Kumar stated that, "The initiative is yet another way Best Buy is trying to differentiate its in-store experience that competitors such as Amazon can't replicate online." Interestingly enough, even big box stores such as Best Buy have sought to re-engineer their showrooms in an effort to draw traffic in their stores. The intense competition within the retail landscape does not allow for stores to rest easy. The popularity of e-commerce and the declining fortunes of brick and mortar establishments make it imperative for owners to develop effective lures for customers to enter their establishments. Without innovative methods such as the construction of areas to showcase in-store demonstrations, the encroachment of online retail giants will likely go unabated. Luckily, interactive in-store demos seem an interesting way forward for retail stores who seek to win back customers who currently only use their smartphones to do their shopping. The handling and viewing of new appliances, particularly the more high-tech smart appliances, are an attractive prospect for customers whose only recourse is to watch video demonstration of the product. With so many customers seeking value in their purchases, the ability to seemingly test drive a new appliance before buying seems a novel approach to drum up foot traffic, especially with the holidays winding down. For embattled retailers everywhere, it may be just the gift they were hoping for. John White Appliance Trends John White, Chief Marketing Officer of AVB Inc. RO THE GROWING POPULARITY OF THE IN-STORE DEMO AND THE FUTURE OF RETAIL SALES

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