Stores Magazine - December 2007 - (Page 40)

WORTH WATCHING / MERCHANDISING STRATEGY age to various products in the company’s stores. Phase Two will include switching from regular to touch-screen monitors. That way, a customer looking at a product like a cell phone can learn about a particular phone’s features and benefits on the first screen. With a touch, the second screen will pop up, and explain network technology. A third screen could outline various calling plans. “It would be an easy-to-digest visual presentation,” Buchanan says. Getting to this point involved some growing pains for Nebraska Furniture Mart. Most challenging has been ensuring the reliability of the system: Buchanan says the goal was 100 percent Technology’s product demonstrations help boost sales conformance 98 percent of the time, and it has taken some time to achieve. The efforts appear to be achieving reBY KAREN M. KROLL sults, however. Consumers questioned in exit interviews say that they rememelling consumer electronics can pose a number of challenges for retailers. The products are complicated and contain a variety of feaber the products associated with Lift tures, many of which change on a frequent basis, making it difficult more than other products displayed in for even the best salespeople to keep current. the stores, according to Goldberg, and retailers SALES INCREASES per screen above and have seen sales increases To enhance its sales environment and beyond the merchanof 20 to 30 percent help associates boost their ability to sell dising system used to when the technology is consumer electronics, Nebraska Furniprovide electricity to deployed. ture Mart introduced “Lift” technology with Lift merchandising the product and tether from MTI Interactive in its three stores. Customer interaction technology it to the shelf, says As its name suggests, Lift technology with merchandise has Jason Goldberg, vice president of mardetects when a customer has removed increased since Lift was deployed, keting for Hillsboro, Ore.-based MTI, an item, such as a digital camera or cell Buchanan says, though just how much but retailers can deploy the Lift system phone, from its display in order to exis difficult to say; Nebraska Furniture in various ways that help rein in the cost. amine it more closely. When that hapMart didn’t track the frequency with For example, some use it just for prodpens, Lift activates a product presentawhich customers would pick up or hanucts located in premium positions, such tion on a display screen located near the dle products before it installed Lift. as end caps; others may link several proditem. The monitors can range in size “When you have a compelling showucts to one centrally located screen. Some from six to 42 inches; most measure 17 room with a well-merchandised floor retailers add a portion of the cost to the or 19 inches. and interactive [displays], customers slotting fees they charge manufacturers. “The best way for customers to learn can’t help but pick up the devices,” he and explore products is through comsays. Two-phase implementation pelling demonstrations,” says Jay Rolling out the Lift system required an Nebraska Furniture Mart has deBuchanan, electronics division director investment of several hundred thousand ployed Lift technology on digital camfor Nebraska Furniture Mart. The predollars in each store, but management is eras, cell phones, home theater systems sentations can convey a tremendous convinced that the investment will pay and GPS devices since October 2006. amount of information quickly and off. Nebraska Furniture Mart expects to The company’s implementation of Lift clearly, aided by the use of visuals. For inrecoup its investment within 18 to 24 technology will come in two phases. stance, they may describe the features of StORES months. Buchanan and his colleagues are just different cell phones, or explain the techconcluding Phase One, which consists nology behind high-definition television. Karen M. Kroll is a business writer of rolling out the interactive digital signThe Lift technology runs about $2,500 based in Minnetonka, Minn. Need a Lift? S 20-30% 40 STORES / DECEMBER 2007 WWW.STORES.ORG http://WWW.STORES.ORG

Table of Contents Feed for the Digital Edition of Stores Magazine - December 2007

STORES - December 2007 Contents Executive Editor's Page President's Page Holiday Shopping Extravagance What Shoppers Think 10 Things You May Have Missed Numbers Worth Counting Full Price/Markdown Retail People Niche Marketing Eight Predictions for 2008 Concept2Watch Merchandising Strategy Sourcing E-Commerce Supply Chain Warehouse Management Software Contactless Payments Marketing Marketing Online Loeb Retail Letter ARTS Update Point of View NRF News Retail Industry Calendar Last Laugh

Stores Magazine - December 2007

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