Pop-up retailing has been popular among retail businesses, be they small or big. Pop-up shops have appeared on city street fronts and shopping malls, among others. Still wondering how do popup shops work? We have the answer.
Popup shops work for communication purposes
Pop-up stores with a mainly communication purpose pay attention to building brand perception and awareness. On the one hand, selling might be included in these stores’ business strategies. But on the other hand, it is less significant.
For instance, for the National Chocolate Day celebration, you may run a 7-day cookie pop-up shop. Here, your customers get the chance to design and leave with their own cookies. This is indeed the approach Hershey took. It also made a meal donation to the charity for each cookie pack distributed.
For transactional purposes
How do popup shops work in this regard? The stores with a transactional purpose have a link with commerce activities’ economic dimension that sales take center stage in corporate operations. Here, stores often make use of a company’s warehouse, and vacant storefronts in city settings, to name a few.
A typical instance of this kind is Halloween shops in which the key objective is merchandise sell-through.
How do popup shops work for institutional purposes?
An institutionally set pop-up store program plays a role in local community revitalization and economic redevelopment promotion. At the same time, it assists in accommodating the goals of the businesses that take part in the program. More specifically, this approach means making use of pop-up stores to decrease the local commercial district’s vacancy rates, spark lapsed customers’ interest, aside from promoting economic development.
For example, the project conducted by WoodGreen led to more than 30 pop-up stores, over 14 stores leased, and every landlord who joined the project recommending it to others. Thanks to this approach, the commercial vacancy rate decreased by 6%.
For market entry purposes
How do popup shops work in this sense? The pop-up consumers’ expectations offer great chances for companies to leverage pop-up shop operations to test new services or products.
In addition, this way supports brands and retail businesses in drawing in new target markets. For instance, global pop-up retail operations may be the very 1st thing you do to create your long-term presence in an overseas market.
Also, pop-up stores, as a special distribution outlet, can be implemented to boost customer loyalty and involvement in other outlets. This surely empowers omnichannel retail operations.
How do popup shops work for inventory liquidation purposes?
As a result of this store’s temporary characteristic, it delivers a sense of urgency (meaning purchase now before it’s gone) and offers a one-of-a-kind sensational shopping experience (meaning the excitement of getting hot deals). This nature helps with your inventory liquidation. Particularly, pop-up liquidation shops improve sustainability (by decreasing waste) and increase the accessibility of goods to consumers.
In conclusion, we hope that you can get the right answer to the question “how do popup shops work?”. For further support, please feel free to reach out to us right now.