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Retailing...are you the new social church?
John Stanley

Various reports have been produced on retailing in recent years that focus on why people go shopping. Some of these reports identify that consumers are driven by convenience and price. I agree that these are key drivers and the multitude of "box" stores and TV commercials will verify that this is the case for many retailers.
 
Having said that, there is a fundamental change going on in some retail sectors that we need to be aware of. The consumer is re looking at their most precious commodity, TIME, and asking themselves how can they use it more effectively, but also how can they develop quality time within the community.
The community is still an important factor for consumers and they still want to gather and connect as a community. Historically the village and town square became the focal point for the local population and the weekly market was a must be place to be seen, catch up on the latest local gossip and to connect as a community. The town square remained the centre of the community until the emergence of the supermarket. This resulted in consumers changing their shopping habits and as a result they would often go shopping and not engage with anyone else in the community whilst on that shopping trip.
 
During the last twenty years this has become the main shopping focus. Out of town shopping complexes were developed and as a result the hub of many towns went into decline and the community suffered as a result.
 
We are now in a period of change once more.  Consumers want their "Social Church" back and as a result we are seeing a number of changes in the way people plan to shop.
What is Social Church?
 
My definition of social church is where the community can gather and connect. This may take place at a market, a community hall, club, or of course, church. Over recent years the social church has become more segregated with consumers congregating in tribes based on age or hobbies rather than mixing as a community where all ages and interests get together and enjoy the community.
Communities need to get together.  Alas in many communities in the last few decades people have moved in and out of houses and may not even know the neighbours; the result is a breakdown of the overall community.
Consumers are now challenging this concept and as a result we are seeing a change in the way we retail and I believe this will be a trend rather than a fashion and retailing may have changed for decades as a result of it.
 
Activity Centres
 
The shopping mall is already seeing this evolution take place. Some estimates are that 50% of American shopping centres are already in decline and empty malls are now a common site in the USA.  The consumer has started to rebel against an experience where they are left in a controlled environment to walk along lines of global shops without much respite.
The result has been the emergence of the main street in new "shopping villages" and architects beginning to design shopping centres that look more like town hubs than boxes with shops in them.
 
In Australia we have the term "Activity Centres.”  An Activity Centre is where 50% of available rental space is made available to activities other than retailing. This means that libraries, night clubs, taverns and community halls are now being introduced into the same retail complex and a 24/7 community experience is on offer to local residents.
The local farmers market traditionally was the "Social Church" for the community. The farmer would bring products direct from the farm and sell directly to a local community. In countries such as Italy, Spain and France the market has continued to be a community focus, but in many countries it went out of fashion as the supermarkets grew their market share.
 
The Farmers Market is back and has become one of the fasted retail growing sectors, it is the ideal social church and many new Activity Centres have created a central plaza to allow the market to be reintroduced into the central hub of activities.
My Book Shop Experience
 
I recently had a meeting in a suburb of Perth and we planned to meet at Millpoint Cafe Bookshop, a business I was unfamiliar with. I was told it was an independent bookshop. The meeting was on a Friday morning.  I arrived at the book shop to find the place full of consumers, reading books, buying books and having a late breakfast or early lunch, in fact we had a challenge to find a seat.
 
Here was an independent, locally owned bookshop that had discovered that if they could tap into Social Church they would have a thriving business.  The place I am told is humming like this every day of the week.

What had they discovered
 
1 You need to create a relaxing atmosphere to get consumers to linger longer
2 The product does not dominate the experience; the customer needs space to enjoy the experience
3 They provide social activities, spread in their case around authors, that are provided consistently and at various times of the day and the week
4 The quality of the food and coffee is as important as the quality of the product they sell
5 The customer is encouraged to linger longer
6 The staff were exceptionally good at their interactive personal skills
7 The team had a passion for the product and how the customer could enjoy it
8 The environment was authentic and unique; you knew you were not in a globally designed retail environment
All forms of retailing need to develop the social church niche. For some retailers it can be a broad church whilst others will develop a narrow church and build on the hobby or interest of their customers.

The businesses that have an advantage are locally owned independent operators who are keen to develop their market penetration within the community.
 
If you would like more information on how to create experiences for your customers, John Stanley has developed a low-cost, high-value means of doing just that and training your team every month at the same time.  For AUD$45 a month you can become a member of his exclusive club and stay ahead of your competition, watch his monthly TV program online, and train your team, visit his resource site www.johnstanleyretailguru.com.au to join up and start reaping benefits today.

 

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