Specialists from the GS& Gouvêa de Souza Group highlights the trends presented at the 106th. edition of NRF Retail's Big Show that will impact business in Brazil
For 28 years, the GS& Gouvêa de Souza Group has led the most important delegation of Brazilian retailers to New York, the epicenter of the largest retailer meeting in the world: the NRF Retail's Big Show. And, against the grain of the crisis, this year, the Brazilian delegation took up the position of largest international delegation at the event, with 1,306 participants.
There were more than 300 speakers during the three-day event, in addition to visiting the exhibition fair with more than 500 exhibitors. And the team of specialists from the GS& Gouvêa de Souza Group extracted the most relevant concepts and trends from the NRF convention and which will impact the business in 2017.
1. The GOD Consumer – Global, Omni, Digital
This is a new consumer behavior that, as the acronym itself suggests, will be increasingly deified and will put pressure on your sales team, requiring companies to rethink their business models from a “Customer-first” perspective. or the customer first. “GOD remembers the Consumer God with local and regional touches integrated with the most global and comprehensive vision. An appeal with a strong connection to Sustainability, as it mixes the global best with the local essence that can ensure a privileged and more protected space”, explains Marcos Gouvêa de Souza, general director of the GS& Gouvêa de Souza Group. This consumer is increasingly omni, demanding that your business is prepared to serve them in any channel and at any time, as well as digital and immersed in new technologies (from mobile to virtual reality). And, contrary to what was highlighted in previous editions, this new behavior goes beyond age and gender barriers.
2. Purpose: How important is your company?
That was the big question that most of the lectures tried to answer. “With the evolution and increasingly significant penetration of the internet in the lives of consumers, facilitating their purchase decisions, how are the choices for this or that retailer? Why am I going to leave the house, face traffic, weather, stop having fun or socializing with my friends or practicing my hobbies, simply to go buy something in a store, whether out of obligation or even for pleasure? The answer seems to be more and more what people are looking for, how they identify with a business, why that visit is worth it, what is the meaning for me and my community? People are increasingly looking for businesses with Purpose and Values, which answer the following questions: why does this business exist? What value does this business bring to the world? Who would miss it if this business disappeared tomorrow?”, highlights Hugo Bethlem, managing partner of GS&P3, a company focused on sustainable actions by the GS& Gouvêa de Souza Group. Ex.: The Honest Company, Union Square Hospitality Group, IKEA, among other companies that performed at the Big Show.
3. Brands with Soul
In this sense, brands are no longer just seals of quality and origin to assume a new role. “After all, in a world where people have so many brands available and equally good ones, people are precisely choosing those they can admire, trust and, in this sense, emotional connection is very important”, highlights Luiz Alberto Marinho, partner- director of GS&BW. For him, the brand needs to develop three essential characteristics to establish this emotional connection with consumers: being Authentic (preserving its essence and consistency), Personal (much more than personalizing products via technology, but knowing the customer deeply and anticipating their desires) and Tribal (being able to bring people together in a kind of tribe or brand club). “Speaking of tribe, one of the coolest talks I saw at NRF was about the effect of the bonfire, when brands end up attracting people to the store to create this sense of community, in fact this is a great challenge and a great opportunity for Shopping Centers”, observed Marinho, who concluded: “Today people don't buy products and services, they buy relationships, stories and magic”. Eg: Eataly, Nike and Brooklin Kitchen (one of the stores visited by the GS&MD Delegation in the Pre-NRF).
4. PDX: the evolution of the store in the consumer journey
This expression, coined by Gouvêa de Souza, reconsiders the entire PDV for PDX, which is literally the point where everything must happen, a space that materializes the brands purpose. “The store or the historic POS – Point of Sale has consistently evolved to become a space that offers experience, services, education, solutions, relationships, interaction, updates and can even sell products and services. From the PDV to the PDX, 'X' of everything, representing the multiplicity of functions, possibilities and expectations with respect to spaces previously configured as stores”, Gouvêa. This movement draws attention to the relevance that physical stores have in this process of change, impacted by digital and technological advances that influence commercial activity. “This change involves absolutely everything in relation to the old concept of the store, in relation to the offer of products and services, the design, the activation and sales promotion, the service, the performance and the role of people, the monitoring and control instruments. incorporated and, perhaps more importantly, to the empowerment of the teams that work in these spaces and, necessarily involving their complete integration with other sales and relationship channels within the Omni concept”, he concludes. Eg: the Samsung stores in Williamsburg and the new Nike store in Soho, both visited by the GS&MD Delegation in the Pre-NRF program.
5. Experience 5.0
Recent research shows that the physical store received, in 2016, almost half the flow compared to six years ago (according to information collected by the Wall Street Journal, RetailNext.com and Shoppertrax.com). Consumers are increasingly leaving the point of sale. He needs reasons to go to the store. “The main reason is to put experience, which we call Experience 5.0, with shared values, purpose, emotional approach, identity and that awakens the feeling of belonging in the consumer”, highlights Alexandre van Beeck, managing partner of GS&Consult, an arm of GS& Group consultancy. This experience begins long before the consumer arrives at the store, still in the expectation phase and based on the memories he has of his last shopping experience, which must undergo a good interaction in the PDX so that he registers a new story and starts this one over again. cycle. Therefore, Beeck highlights that it is necessary to create “memorable experiences” and that retail needs to invest in an “Experience Platform 5.0, with a holistic approach thinking about the workforce, the processes that are involved in it, in the place where we work; with continuous innovation and digital supporting this, and also bringing new engagement models”.
6. Technology and Intelligence
Much more than the congress, the NRF Retail's Big Show exhibition is also huge and a source of knowledge and inspiration. This year, it brought together more than 500 exhibitors who brought solutions and high-tech innovations to transform your store into a true Store of the Future. Virtual reality goggles being used as tools that enable leaner stores and digital consumer interaction, robots that automate from customer service to inventory, scanners and 3D printers that allow for maximum product customization, but rumors that Google is taking tools such as Google Analytics into the point of sale, “this can be disruptive for retail”, analyzes Eduardo Yamashita, Director of Market Intelligence at the GS& Gouvêa de Souza Group. For the specialist, the message that should remain with retailers is “Think fast, think simple and always reinvent yourself”.
7. Nameless
In past editions, the NRF Retail's Big Show launched a new term that would become the "ball of the day" in the sector. Omnichannel was one of those words/concepts that, to this day, permeates retail. “What happened was that the Omnichannel theme was much less talked about, that is, it stopped being a nice word and became part of the retailer's routine”, points out Ricardo Michelazzo, managing partner of GS&COMM, an e-commerce specialist. and cross channel. For him, this change is related to the company's internal culture. “The external environment will not be able to have such a strong impact on the internal environment unless we transform ourselves. So, when we see that companies that are more evolved in omnichannel issues, they have a very strong relationship with the internal culture, that is, people are in fact integrated in thinking, actions, strategies, processes... and then yes, we have the technology tools to implement this in an easier way and with much more scale”, he analyzes. But, in addition to reversing the omni pyramid, it is also important to humanize technology to actually engage consumers in this journey.
8. Analytics everywhere… but what about pocket money?
What was most heard in the corridors of the Javits Center, the convention center where the NRF Retail's Big Show took place, was about the “democratization” of Analytics, showing how important it is for any retail company – of any size – to start betting not only in collecting data, but in how to transform it into relevant and actionable information, such as the successful case presented by GameStop, which transformed the data collected through its PowerUp Rewards loyalty program, to get to know its consumer in depth and, as a result, drive engagement actions, diversify its product offering, expand its customer base and transform the business as a whole. “What I see is that in Brazil there is still a separation in these disciplines, so we have a huge opportunity to gather data from all these segmentation bases for a more personalized and segmented offer”, evaluates Vinicius Tsugi, managing partner of wroi + lucida, a company specialized in Analytics and Digital Marketing.
9. SALES People
"We believe in the formula 1 = 3. A great person produces as much as 3 good people", said Kip Tindell, chairman of NRF and co-founder of The Container Store, at the opening of NRF Retail's Big Show. , despite the great technological advance, what permeated several discussions at the convention was the importance of humanization in service. more sincere and warmer with our consumers and that we feed retail with the bases that it has always had in its construction: which is people serving people. service”, highlights Fernando Lucena, managing partner of GS&Friedman, specialized in People Management and Training.
This forces companies to do things differently, from recruiting and selecting employees, through training and empowerment, to compensation and talent retention. Because the employee is an agent of this transformation in retail, being responsible for much more than just a commercial transaction. The SALES People role appears, a concept created by the GS& Gouvêa de Souza Group, which reflects the employee who carries out much more than just a commercial transaction, but who is a Specialist (specialist, expert, technician), Advocate (advocates, defends, collaborates ), Loyal (loyal, dedicated, engaged), Entretain (receives, entertains, welcomes) and Social (socializes, sense of community, integration). Eg: Walmart USA, Macy's and Ashley Stewart, companies that presented their concepts for training and retaining retail talent, at NRF Retail's Big Show.
10. Net Leadership
The increasingly latent presence of technology permeating retail – such as the growing use of artificial intelligence, for example, which is expected to eliminate 47% from American jobs, due to new automation processes and data usage, in the coming years, according to data from Oxford University. Added to the new consumer behavior and the emergence of new and important players in the sector. With so many changes taking place, so does the importance of a new leadership role. That's what highlighted the talk with Richard Branson, founder of the Virgin Group and a born entrepreneur. Lyana Bittencourt, partner at Bittencourt, a company specialized in franchising and business networks, summarized Branson’s teachings: “A leader must have a vision of the future, optimism as a characteristic, pioneering spirit, daring, value the importance of delegating, praising as much as possible, finding the good in people, always being open to listening, being enthusiastic about what you do and focusing on hospitality”.
Post-NRF Retail Trends
There were more than 300 speakers during the three-day event, in addition to visiting the exhibition fair with more than 500 exhibitors. And the team of specialists from the GS& Gouvêa de Souza Group extracted the most relevant concepts and trends from the NRF convention and which will impact the business in 2017.
1. The GOD Consumer – Global, Omni, Digital
This is a new consumer behavior that, as the acronym itself suggests, will be increasingly deified and will put pressure on your sales team, requiring companies to rethink their business models from a “Customer-first” perspective. or the customer first. “GOD remembers the Consumer God with local and regional touches integrated with the most global and comprehensive vision. An appeal with a strong connection to Sustainability, as it mixes the global best with the local essence that can ensure a privileged and more protected space”, explains Marcos Gouvêa de Souza, general director of the GS& Gouvêa de Souza Group. This consumer is increasingly omni, demanding that your business is prepared to serve them in any channel and at any time, as well as digital and immersed in new technologies (from mobile to virtual reality). And, contrary to what was highlighted in previous editions, this new behavior goes beyond age and gender barriers.
2. Purpose: How important is your company?
That was the big question that most of the lectures tried to answer. “With the evolution and increasingly significant penetration of the internet in the lives of consumers, facilitating their purchase decisions, how are the choices for this or that retailer? Why am I going to leave the house, face traffic, weather, stop having fun or socializing with my friends or practicing my hobbies, simply to go buy something in a store, whether out of obligation or even for pleasure? The answer seems to be more and more what people are looking for, how they identify with a business, why that visit is worth it, what is the meaning for me and my community? People are increasingly looking for businesses with Purpose and Values, which answer the following questions: why does this business exist? What value does this business bring to the world? Who would miss it if this business disappeared tomorrow?”, highlights Hugo Bethlem, managing partner of GS&P3, a company focused on sustainable actions by the GS& Gouvêa de Souza Group. Ex.: The Honest Company, Union Square Hospitality Group, IKEA, among other companies that performed at the Big Show.
3. Brands with Soul
In this sense, brands are no longer just seals of quality and origin to assume a new role. “After all, in a world where people have so many brands available and equally good ones, people are precisely choosing those they can admire, trust and, in this sense, emotional connection is very important”, highlights Luiz Alberto Marinho, partner- director of GS&BW. For him, the brand needs to develop three essential characteristics to establish this emotional connection with consumers: being Authentic (preserving its essence and consistency), Personal (much more than personalizing products via technology, but knowing the customer deeply and anticipating their desires) and Tribal (being able to bring people together in a kind of tribe or brand club). “Speaking of tribe, one of the coolest talks I saw at NRF was about the effect of the bonfire, when brands end up attracting people to the store to create this sense of community, in fact this is a great challenge and a great opportunity for Shopping Centers”, observed Marinho, who concluded: “Today people don't buy products and services, they buy relationships, stories and magic”. Eg: Eataly, Nike and Brooklin Kitchen (one of the stores visited by the GS&MD Delegation in the Pre-NRF).
4. PDX: the evolution of the store in the consumer journey
This expression, coined by Gouvêa de Souza, reconsiders the entire PDV for PDX, which is literally the point where everything must happen, a space that materializes the brands purpose. “The store or the historic POS – Point of Sale has consistently evolved to become a space that offers experience, services, education, solutions, relationships, interaction, updates and can even sell products and services. From the PDV to the PDX, 'X' of everything, representing the multiplicity of functions, possibilities and expectations with respect to spaces previously configured as stores”, Gouvêa. This movement draws attention to the relevance that physical stores have in this process of change, impacted by digital and technological advances that influence commercial activity. “This change involves absolutely everything in relation to the old concept of the store, in relation to the offer of products and services, the design, the activation and sales promotion, the service, the performance and the role of people, the monitoring and control instruments. incorporated and, perhaps more importantly, to the empowerment of the teams that work in these spaces and, necessarily involving their complete integration with other sales and relationship channels within the Omni concept”, he concludes. Eg: the Samsung stores in Williamsburg and the new Nike store in Soho, both visited by the GS&MD Delegation in the Pre-NRF program.
5. Experience 5.0
Recent research shows that the physical store received, in 2016, almost half the flow compared to six years ago (according to information collected by the Wall Street Journal, RetailNext.com and Shoppertrax.com). Consumers are increasingly leaving the point of sale. He needs reasons to go to the store. “The main reason is to put experience, which we call Experience 5.0, with shared values, purpose, emotional approach, identity and that awakens the feeling of belonging in the consumer”, highlights Alexandre van Beeck, managing partner of GS&Consult, an arm of GS& Group consultancy. This experience begins long before the consumer arrives at the store, still in the expectation phase and based on the memories he has of his last shopping experience, which must undergo a good interaction in the PDX so that he registers a new story and starts this one over again. cycle. Therefore, Beeck highlights that it is necessary to create “memorable experiences” and that retail needs to invest in an “Experience Platform 5.0, with a holistic approach thinking about the workforce, the processes that are involved in it, in the place where we work; with continuous innovation and digital supporting this, and also bringing new engagement models”.
6. Technology and Intelligence
Much more than the congress, the NRF Retail's Big Show exhibition is also huge and a source of knowledge and inspiration. This year, it brought together more than 500 exhibitors who brought solutions and high-tech innovations to transform your store into a true Store of the Future. Virtual reality goggles being used as tools that enable leaner stores and digital consumer interaction, robots that automate from customer service to inventory, scanners and 3D printers that allow for maximum product customization, but rumors that Google is taking tools such as Google Analytics into the point of sale, “this can be disruptive for retail”, analyzes Eduardo Yamashita, Director of Market Intelligence at the GS& Gouvêa de Souza Group. For the specialist, the message that should remain with retailers is “Think fast, think simple and always reinvent yourself”.
7. Nameless
In past editions, the NRF Retail's Big Show launched a new term that would become the "ball of the day" in the sector. Omnichannel was one of those words/concepts that, to this day, permeates retail. “What happened was that the Omnichannel theme was much less talked about, that is, it stopped being a nice word and became part of the retailer's routine”, points out Ricardo Michelazzo, managing partner of GS&COMM, an e-commerce specialist. and cross channel. For him, this change is related to the company's internal culture. “The external environment will not be able to have such a strong impact on the internal environment unless we transform ourselves. So, when we see that companies that are more evolved in omnichannel issues, they have a very strong relationship with the internal culture, that is, people are in fact integrated in thinking, actions, strategies, processes... and then yes, we have the technology tools to implement this in an easier way and with much more scale”, he analyzes. But, in addition to reversing the omni pyramid, it is also important to humanize technology to actually engage consumers in this journey.
8. Analytics everywhere… but what about pocket money?
What was most heard in the corridors of the Javits Center, the convention center where the NRF Retail's Big Show took place, was about the “democratization” of Analytics, showing how important it is for any retail company – of any size – to start betting not only in collecting data, but in how to transform it into relevant and actionable information, such as the successful case presented by GameStop, which transformed the data collected through its PowerUp Rewards loyalty program, to get to know its consumer in depth and, as a result, drive engagement actions, diversify its product offering, expand its customer base and transform the business as a whole. “What I see is that in Brazil there is still a separation in these disciplines, so we have a huge opportunity to gather data from all these segmentation bases for a more personalized and segmented offer”, evaluates Vinicius Tsugi, managing partner of wroi + lucida, a company specialized in Analytics and Digital Marketing.
9. SALES People
"We believe in the formula 1 = 3. A great person produces as much as 3 good people", said Kip Tindell, chairman of NRF and co-founder of The Container Store, at the opening of NRF Retail's Big Show. , despite the great technological advance, what permeated several discussions at the convention was the importance of humanization in service. more sincere and warmer with our consumers and that we feed retail with the bases that it has always had in its construction: which is people serving people. service”, highlights Fernando Lucena, managing partner of GS&Friedman, specialized in People Management and Training.
This forces companies to do things differently, from recruiting and selecting employees, through training and empowerment, to compensation and talent retention. Because the employee is an agent of this transformation in retail, being responsible for much more than just a commercial transaction. The SALES People role appears, a concept created by the GS& Gouvêa de Souza Group, which reflects the employee who carries out much more than just a commercial transaction, but who is a Specialist (specialist, expert, technician), Advocate (advocates, defends, collaborates ), Loyal (loyal, dedicated, engaged), Entretain (receives, entertains, welcomes) and Social (socializes, sense of community, integration). Eg: Walmart USA, Macy's and Ashley Stewart, companies that presented their concepts for training and retaining retail talent, at NRF Retail's Big Show.
10. Net Leadership
The increasingly latent presence of technology permeating retail – such as the growing use of artificial intelligence, for example, which is expected to eliminate 47% from American jobs, due to new automation processes and data usage, in the coming years, according to data from Oxford University. Added to the new consumer behavior and the emergence of new and important players in the sector. With so many changes taking place, so does the importance of a new leadership role. That's what highlighted the talk with Richard Branson, founder of the Virgin Group and a born entrepreneur. Lyana Bittencourt, partner at Bittencourt, a company specialized in franchising and business networks, summarized Branson’s teachings: “A leader must have a vision of the future, optimism as a characteristic, pioneering spirit, daring, value the importance of delegating, praising as much as possible, finding the good in people, always being open to listening, being enthusiastic about what you do and focusing on hospitality”.
Post-NRF Retail Trends
“We returned to Brazil sensitized to the fact that the more technology becomes available, the more it transforms the market, the more it changes society, People and Purpose become even more relevant”, concluded Marcos Gouvêa de Souza. But those who haven't been to New York will still have one more opportunity to stay on top of retail trends in 2017. The GS& Gouvêa de Souza Group is presenting the Retail Trends Post NRF 2017 in ten Brazilian cities. The schedule is on the website: http://gouveadesouza.com.br/posnrf/. Meetings have already been held in Rio de Janeiro and São Paulo. Check out the next ones:
03/14 - Porto Alegre
03/16 - Salvador
03/21 - Recife
03/22 - Christmas
03/27 - Campina Grande
03/28 - Belo Horizonte
03/30 - Curitiba
03/14 - Porto Alegre
03/16 - Salvador
03/21 - Recife
03/22 - Christmas
03/27 - Campina Grande
03/28 - Belo Horizonte
03/30 - Curitiba
EN 
PT 
