Entertain and inform: Customers want more than what traditional stores give

Over the past two years, a number of online-first and tech driven businesses have gone the brick and mortar way, leading many to speculate that the country’s unpenetrated digital landscape is far from the ecommerce haven that had been promised. But scratch the surface and the story is more nuanced. It is no longer about digital versus offline retail, or about creating an omnichannel brand. It is all about creating experience zones that engage, entertain and inform. 

This year, fashion portal Myntra announced the launch of 30 experience centres across major cities where customers can receive orders and try them out, Nykaa has been doing the same. Initially experience stores were meant to be an extension of the digital platforms, helping to ease the hesitation many have over buying a dress without trying it on, or a lipstick without checking it out in the mirror. However over the past year, these centres have expanded their offerings, creating premium zones and extensions, with some even offering an extra something, such as a cafeteria by the side, or workshops on draping sarees and donning the greasepaint. Some have even opened themselves up as performance centres, after store hours.

Electric two wheeler manufacturer Ather Energy is using the experience zone format too, to go beyond the old school automobile buying experience. It has centres (dealerships) in elite neighbourhoods in Bengaluru and Chennai, large spaces with multiple zones for interaction and product immersion. 

“A naked scooter gives an in-depth view of the ride, showcasing all the components of the vehicle. A distinct test ride and charging zone, allows consumers to experience the vehicle and its ownership. A large TV displays their real-time data visualisation highlighting the aspects of owning an Ather 450,” said Ravneet Phokela, chief business officer, Ather Energy. 

OnePlus, a premium smartphone brand, has over 25 experience stores in the country and aims to have around 100 across 50 cities by next year. Apart from phones and newly launched television sets, OnePlus is promising visitors a premium coffee experience and a family outing all rolled into one. 

Brands have located many of their experience centres within the large malls and are designed to grab the attention of passers-by. Pepperfry, Nykaa, Lenskart, Caratlane, Zivame, Craftsvilla, Amazon (Alexa) and many others have set such studios up. 

Experience centres help shoppers over the barriers that keep them offline. And it also helps  brands tap into the impulsive shopper. In fact, like Pepperfry, which launched this format back in 2014, many companies are tying up with virtual reality/ augmented reality businesses to give customers a holistic view of their products.

Experience centres are also part of the brand-consumer engagement online, turning up on social media timelines and inserting the brand into conversations around events and new launches. Dhanraj Bhagat, partner (consumer and retail) at Grant Thornton India LLP notes that the concept of experience stores is not necessarily something that counters the hesitation of online shopping, rather something that provides an entirely different experience that cannot be achieved online. 

“There is no inherent revenue correlation between rolling out experience stores and sales thereafter. Companies will still advertise to reach their target audience, however, it (experience stores) does help to create curiosity and drive footfall. It existed in the past as well but technology has allowed companies to take the experience to another level,” says Bhagat.