PPAI Magazine July 2023

| Must Read These stores and other pop-up shops and events are part of a $14 billion industry and growing. Some brands and retailers use pop-ups to test out new store formats or locations. Others use pop-up events to launch new products or create immersive experiences. Among those who have launched pop-ups, 80% said it was a success and 58% said they would do another pop-up, according to a survey of more than 600 professionals in the global retail industry. After hosting a pop-up store, these retailers reported improved market visibility and increased sales and social media buzz. For online-only retailers, pop-up stores are especially appealing. They give shoppers a chance to interact more directly with products, and because pop-up stores are temporary by design, they also create a sense of urgency to buy now. These “here today, gone tomorrow” shops allow brands to connect with consumers in fun, fresh ways without committing to a brickand-mortar location. They also don’t require a huge financial investment. About half (44%) of retailers who host pop-up shops spend less than $5,000. Brands with established physical locations also benefit from pop-up stores. By popping up in different locations, they can drive traffic and sales while reaching a new customer base. Businesses can also set up pop-in stores, which are simply stores within a store. Nordstrom has used this strategy since 2013 with its Pop-In @Nordstrom concept. Every four to six weeks, the retailer features a new themed pop-up from brands like Everlane, The North Face and Warby Parker. In a world where most people prefer online shopping, promotional products can help draw people away from their screens and into a pop-up store to shop. Read on for some promo ideas to make pop-up shops a success. Top 3 Reasons For Opening A Pop-Up Shop According to a survey from Storefront, retailers and brands chose short-term retail for these reasons: 1 Instant buzz 66% 2 Customer connection 63% 3 Introduce a new product 46% Why People Attend Pop-Ups Most people are naturally curious about pop-up stores. They want to know what’s inside and what kind of deals they can score. And sometimes, they just want to get a closer look at a cool design. Here are some of the top reasons consumers shop at pop-up shops: Unique/exclusive products or experiences 55% Curiosity/excitement/entertainment 49% To support local/independent businesses 47% To get good deals or free items/services 38% More personalized shopping experience 29% Engage with brands/products for the first time: 27% Face-to-face interaction with employees 23% Immersive brand/product experience 21% To share experiences with friends/family 20% Social media-worthy 7% The aesthetics or design layout 7% PPAI • JULY 2023 • 61

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