The British Retail world is one step ahead of the developments of European shops. Everything goes ahead, so the crisis came here first. In this article we will analyze the trading concept of the Homebase chain. According to experts Jos de Vries The Retail Company, there is a lot to learn from this chain.
About Homebase:
Homebase chain is owned by Home Retail Group. The Group is a leader in the UK trading in goods for the home with a turnover of over £ 5.9 billion for the last fiscal year. At the end of 2008 the chain had 331 stores, including 12 stores sequestered DIY-Focus. Currently there are some lay out changes taking place, adding of square meters – half floor. The chain grows steadily by opening up to 15 new stores a year.
Homebase - a network number 2 on the British market with a specialization on home decoration and garden center. It is a tradition that Homebase dictates style of houses and apartments. Therefore, a decorative assortment placed in the center of a trading hall.
Articles’ for home decor are specially highlighted. Merchandisers are trying to introduce products in a manner that it will inspire the buyers. Therefore, the chain does not spare square meters and provide 5 shelf meters for maximum of 25 home decoration items. But selling a lot more than in situation when the product was put in usual form -1 face per product.
Corporative colors of Homebase – orange and light green - are present only in the navigation and presentation of promo areas. The whole trade area is light and bright due to the quality of lighting, light walls and structural elements, racks of milk and a light gray color.
Laconic but effective navigation - ends of gondolas with signing “Great Price” on it draws attention. The chain constantly reminding about the discounts and offers. So on top of the shelves Homebase recalls their programs and benefits - «Enjoy. Up to 10% return on all items in the shop ». Shop is talking to the buyer, and it does not always require salespeople. Good visual design and communication is enough.
The chain is trying to show the products at there best. Flowers on low gondolas in large amounts, and a great cross-merchandising with pots - this is an attractive garden design department.
According to the statistics of the Western chains, paint department bring up to 40% of turnover. In many countries, the owners regularly paint the houses inside and outside. Homebase pays great attention to this department. High quality merchandising- sample jars of paint at the bottom, more expensive paint –at the top - accompanied by samples of paint, POS and booklets. A special place set aside for more expensive, but demanded eco-paints.
Corporative colors of Homebase – orange and light green - are present only in the navigation and presentation of promo areas. The whole trade area is light and bright due to the quality of lighting, light walls and structural elements, racks of milk and a light gray color.
Laconic but effective navigation - ends of gondolas with signing “Great Price” on it draws attention. The chain constantly reminding about the discounts and offers. So on top of the shelves Homebase recalls their programs and benefits - «Enjoy. Up to 10% return on all items in the shop ». Shop is talking to the buyer, and it does not always require salespeople. Good visual design and communication is enough.
The chain is trying to show the products at there best. Flowers on low gondolas in large amounts, and a great cross-merchandising with pots - this is an attractive garden design department.
According to the statistics of the Western chains, paint department bring up to 40% of turnover. In many countries, the owners regularly paint the houses inside and outside. Homebase pays great attention to this department. High quality merchandising- sample jars of paint at the bottom, more expensive paint –at the top - accompanied by samples of paint, POS and booklets. A special place set aside for more expensive, but demanded eco-paints.
Building assortment is designed more modestly in Homebase. But here there are interesting solutions as well. In our opinion, presentation of mixers is excellent. Their visible, you can try them, and banners on the top of the rack create desired atmosphere and dividing into mixers for bathroom and kitchen.
Simply, but very clearly made a presentation of handles and hangers. Each type is stored in a separate box, and a product itself is demonstrated on its front panel. Storage, and demonstration, all in strict order.
The presentation of the tools is perhaps not the perfect one. Closed with metal grille, locked away stock – in this way the chain wants to maintain order and protect against possible theft. However, this does not motivate a buyer to purchase it. In general, assortment of more than 30,000 items of building, decorating and garden assortment is well-presented and interesting. Homebase serves over 70 million customers a year. Continuously informing and attracting by magazine Ideas, produced in 500 000 copies. Of course, the chain is attractive not only due to its design but also due to many marketing campaigns. For example now, in times of crisis, there a lot of sales - garden furniture, tools for half price, when buying two cans of paint of a certain brand the third – free of charge, etc. The chain makes a great stake in the service. In many departments, just push on the button - and «help will come within 2 minutes». Like many chains Homebase marks decrease of 16% operating profit because of the crisis. Last spring the bad weather influenced the sale of garden furniture, barbecue, and flowers. However, sales of kitchens and general products for home decoration is on the good level. As anti-crisis measure, the chain uses Furniture Card program. Many landlords had enough money for the property itself, but it was not enough the furniture. The chain encourages owners and developers. For this the program has been developed, to allow owners to buy at Homebase pre-selected furniture, in terms of the program Furniture Card. The chain allocates the buyer and gives cash to buy. The chain is confident that it will help to equip any room with in the budget. This is another key advantage of Homebase today.
Simply, but very clearly made a presentation of handles and hangers. Each type is stored in a separate box, and a product itself is demonstrated on its front panel. Storage, and demonstration, all in strict order.
The presentation of the tools is perhaps not the perfect one. Closed with metal grille, locked away stock – in this way the chain wants to maintain order and protect against possible theft. However, this does not motivate a buyer to purchase it. In general, assortment of more than 30,000 items of building, decorating and garden assortment is well-presented and interesting. Homebase serves over 70 million customers a year. Continuously informing and attracting by magazine Ideas, produced in 500 000 copies. Of course, the chain is attractive not only due to its design but also due to many marketing campaigns. For example now, in times of crisis, there a lot of sales - garden furniture, tools for half price, when buying two cans of paint of a certain brand the third – free of charge, etc. The chain makes a great stake in the service. In many departments, just push on the button - and «help will come within 2 minutes». Like many chains Homebase marks decrease of 16% operating profit because of the crisis. Last spring the bad weather influenced the sale of garden furniture, barbecue, and flowers. However, sales of kitchens and general products for home decoration is on the good level. As anti-crisis measure, the chain uses Furniture Card program. Many landlords had enough money for the property itself, but it was not enough the furniture. The chain encourages owners and developers. For this the program has been developed, to allow owners to buy at Homebase pre-selected furniture, in terms of the program Furniture Card. The chain allocates the buyer and gives cash to buy. The chain is confident that it will help to equip any room with in the budget. This is another key advantage of Homebase today.
Especially for www.retail.ru Irina Bolotova, Nico de Jong, design bureau Jos de Vries The Retail Company
Photos: Nico de Jong
Further information can be found at http://josdevries-design.blogspot.com/ or contact info@josdevries.eu for further information.
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