"Today's customers want to feel at ease when they shop"
Interview with Rolando Benedick (PDF)
Mr Benedick, the general topic of the conference is "Re-generation – resurrecting retailers and brands". How do you understand this in relation to your particular business sector?
Retailing today has been shaped by innovative concepts, the Internet and twofold specialisation, at the price and brand levels. To be able to "regenerate" in this environment, a clear identity is needed. So we have to ask: what am I? Trendy and cheap? Just cheap? Or middle price segment? And: who are my customers and what can I offer them? But above all, we have to simplify all our processes, improve the rapidity of our responses and source our merchandise more locally. "More locally" means that we don't have to restrict production to China or Bangladesh. I believe that Ukraine or Poland is more important for Europe today.
In present-day retailing, what features do you no longer believe in that you used to believe in ten years ago?
A more interesting formulation would be: what do I believe in today that was laughed at ten years ago? For example: ten years ago people said that the sale of clothing over the Internet was impossible. And today we know that when it's done properly, it is indeed possible. Another example is the evolution of the shopping centre. Ten years ago it was said to be impossible to build a shopping centre without having at least one or two department stores in it. And in May of this year a surprisingly small hypermarket of 4,200 square metres opened at the Millénaire centre in Paris. Ten years ago we were saying "big is beautiful", now it's "small is beautiful". At one time people used to take the car to go shopping – now the trend is back to the cities. It's about being small and sourcing locally. In France we're seeing the big multiples – Carrefour, etc. – opening small stores in response to consumers' focus on fresh, locally sourced organic products.
What effect has the economic crisis had on customer thinking?
Today's customers want to feel at ease when they shop. This involves three different levels. Firstly, the shop has to be close by. Secondly, they want to "feel good" in this shop. "Feeling good" means having confidence. And thirdly there's the question of taste: does the shop correspond to the customers' taste? If you can meet all these conditions, you can sell anything you like in the shop.
What singles out winners in the sector?
A clear strategy for deploying service, innovation and trading up in order to surprise and seduce customers and create customer loyalty. The winners are good at branding – in other words, they have the ability to construct a good narrative around a product. They have the ambition to be well positioned among the best. And they are driven by passion: for their customers and the different ways of satisfying their customers' needs.
Your most important purchase in the last twelve months?
I would say that the remodelling and refitting of my house has been my most important "purchase". It's become a modern yet traditional home. It's cosy. It makes me feel good. That's the most important thing that any purchase can do for us.
What three brands do you admire most?
Gant, Dolce&Gabbana and AllSaints. All three of them have a clear identity, a clear message and a clear price segment.