Expanding brand growth and visibility in Travel Retail.
Several years ago, during the rising success of market leader, Pandora, I was tasked with finding a way to expand the brand in Travel Retail given the specific space requirements to support the brand growth and demanded high visibility.
The brand was already present in various furniture within many of the Tax Free Stores and performing extremely well. There were also considerations not to cannibalise the existing business.
Context and Challenge
Space in any airport is given at a premium, and is highly contested by brands wishing to enter the lucrative market, across all product categories, and, as such, the proposal to develop space has to be very strong both visually and financially.
A Pop up store to the consumer has to be a direct reflection of that brands full retail concept, and, as such, must be consistent with the brand values in not only appearance but in customer service. With staffing levels in airport stores constantly being a challenge it was very important to take this into consideration when studying the financial proposal.
Process and Insight
The process in this case required close negotiations with airport authorities to establish potential spaces that could be converted to ‘pop-up ‘retail, the length of any potential contract, and the extremely onerous building restrictions and safety requirements.
Meanwhile, negotiations with the brand included them declaring a list of brand expectations, including range size and depth, staffing requirements and expected sales turnover.
The Trinity negotiation (airport/supplier/operator) was a challenge ensuring the contract could be profitable for all within the operating time frame.
Once agreed in principle, the detailed work of ranging, listing and grading products required close co-operation from Supplychain teams and Operational colleagues.
The dominance of the Pandora brand in the market made the decision to trial Pop-up stores a viable proposal, and with agreed terms and conditions, sharing risk and supporting brand values, there were overall six Pop up stores opened across UK airports and all traded profitably.
The success of these has been confirmed by the fact that three of them remain as ‘Permanent’ Pop up stores in UK Airports today.