Welcome to China’s new neighbourhood stores
[PhilNote: Retail in a post-Starbucks, post-Amazon world. Personalized localized neighborhood store experiences for major brands sounds a bit attractive, and a bit of a good application for AI and surveillance capitalism.]
The template first appeared outside China. In 2018, Nike launched Nike by Melrose, the first Nike Live experience store, on Melrose Avenue in Los Angeles. Created as a hub for members of the brand’s NikePlus running community, it has the energy of a pop-up and an experimental edge (including automatic vending machines). The store arranges goods according to the shopping preferences of local consumers, adjusting them regularly to respond to purchase data.
In 2020, Nike opened similar neighbourhood experience stores in Taikoo Hui in Shanghai and Sanlitun in Beijing. Both stores are warm and bright with product displays that are responsive to consumer purchase data, fitting rooms with natural light, a yoga room and a gym. Consumers can immerse themselves in the intimate, relaxing, friendly vibe. The stores also have a neighbourhood community sharing area, a member-exclusive Unlock Box and other in-store special services and products.
Shanghai’s new neighbourhood stores
Now, this trend is turning local. Chinese online women’s fashion retailer Short Sentence opened its first boutique on Shanghai’s Anfu Road in January, seeking to create a similar atmosphere. In April, the store held a first Next-Door-Neighbour gathering, hosted by representatives from the shop’s retail design team AIM, urban culture platform SandwiChina and guests from the community who shared stories about the store space, life and history in the Anfu Road neighbourhood.
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Retail freehold owners and developers can play an important role in encouraging neighbourhood shops in commercial districts. Several stores on Anfu Road are owned by the Shanghai Dramatic Arts Center, while Nio House and the Nike experience store in Shanghai’s HKRI Taikoo Hui are owned by Swire Properties. Similarly, enlightened retail developers around the world are recognising the value of small retail units with a more neighbourly feel. Watch them flourish.
See the full story here: https://www.voguebusiness.com/consumers/welcome-to-chinas-new-neighbourhood-stores
