Apple’s core value of making shopping into an experience

The future of the high street is here and it looks a lot like Apple. Sarah Freeman reports.

The last time it happened was back in September. In scenes replicated around the world, Britons, desperate to be among the first to get their hands on the new iPhone 5, set up camp outside Apple stores. By the time the brand new phones were on sale, more than 1,000 customers were lined up outside the London shop – some had been there for several days.

It’s the kind of hype most retailers can only dream of being able to muster and while Apple may sell exactly the kind of products blamed for the death of traditional shopping, it may also be proof that there is life in the old high street yet.

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“The game has changed and however much some people might like it, the high street can’t stand still,” says Tammy Smulders, trend forecaster and founder of marketing company SCB Partners. “A quarter of the UK’s high streets are failing, with another 11 per cent in decline. This year we have already watched the demise of HMV, Jessops and Blockbusters, once big names, joining stalwarts, like Habitat, Borders, JJB Sports and Comet and it’s inevitable that the future of our high street shops is being heavily questioned.

“The rise of the internet, with online giants such as Amazon and eBay, has seen the world of retail become a very different place. We enjoy window shopping on a computer screen, buy our weekly shop at the touch of a button and the postman has now become our personal concierge.

“However, I don’t think we need to be too pessimistic. In 15 or 20 years time, high streets will still exist, but they will reflect our needs as shoppers much more than they do today.”

Which is where, says Tammy, Apple comes in. From its Silicon Valley headquarters, the company has always put as much emphasis on design as it has on technology and its stores are no different. These are places where potential customers are positively encouraged to browse and to spend as long as they like surfing the internet. If they don’t buy, it doesn’t matter, they have already bought into the Apple philosophy and at some point they will likely return as paying customers.

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“This is where shopping is going,” says Tammy. “We are at the point already where it probably doesn’t make sense for most retailers to have a presence in every town and city in the country. Instead we will see a move to flagship, large format stores which will have a much greater focus on customer experience.

“Shopping online has lots going for it. It’s quick, it’s easy, it’s often cheaper and you can do it at any time of the day. However, we haven’t lost our need and desire to interact with human beings.”

Technology companies are already locked in a battle to win a slice of the lucrative digital payment market, which will eventually do away with both cash and credit cards.

To some the idea of using handsets as mobile wallets is just another example of how shopping has become more impersonal. However, according to Smulders the most savvy retailers will not see it as a chance to simply reduce staff numbers, but will redeploy a more highly skilled workforce into other areas.

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“It’s about added value. If I’m honest I really don’t mind if when I’m ready to hand over my money I do it via a machine and never even talk to an actual person.

“What I do mind is if I want someone knowledgeable to talk to about a particular product and there is no-one on the shop floor.

“Again, that’s where Apple have got it right.

“The people who work there know everything there is to know about the company’s products and they are passionate about the brand.

“The ‘have a nice’ day philosophy is a very American way of doing business, but increasingly these days shoppers want to have an experience when they go to the high street.”

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While listening to Smulders it’s easy to believe that those who have already written the high street’s obituary may have been a little premature, even the most optimistic forecasts suggest that some high streets won’t survive the change in shopping habits.

“If you buy into the idea that retailers will no longer feel the need to have a presence everywhere, then clearly some towns and cities are going to miss out. Successful stores have a habit of attracting other companies to the same location and yes that could leave other places facing a very difficult future.

“The world is changing incredibly quickly, but I have every confidence that in some shape or form the Great British high street will survive.”

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