National Post

Pop-ups in pursuit of ever-fickle consumer

- Aleksandra Sagan

• To drum up excitement around the launch of a credit card targeting the oft- pursued millennial demographi­c, American Express Canada tapped several star chefs last month to serve Instagram- worthy plates at a restaurant in Toronto that would launch and shutter within a week.

Before Japanese clothing retailer Uniqlo opened its first Vancouver location this month, it ran a shop with a twist for one day. The location was stocked with flannel shirts, but employees asked Canadians to choose between leaving with a free one or gifting it to a newcomer.

Later this month, Google will open a temporary doughnut store in Toronto, promoting its new smart speaker, the Google Home Mini, simultaneo­usly.

While the pop- up shop may have started as a way for online retailers to stage a l ower- risk experiment with a physical presence, the temporary storefront has morphed into a marketing tool for establishe­d brands, often ones that already boast multiple locations.

“It’s definitely a trend,” said Tamara Szames, a Canadian retail analyst for apparel and footwear with the NPD Group.

Even Ikea Canada, which operates a dozen stores in the country, has created multiple short- lived shops. In June, the Swedish retailer opened the Ikea Play Café in Toronto where shoppers could sample meatballs, play a giant pinball machine and, of course, shop a small selection of the company’s kitchen products.

Pop- up shops backed by big corporatio­ns now spring up like whack- a- moles, and Szames thinks it’s “a very smart trend.”

Companies can change the conversati­on with consumers and align brand messaging, she said, pointing to struggling department store chain Sears.

In April, Sears hosted a pop- up in a downtown Toronto neighbourh­ood Vogue i dentified as the world’s second- hippest in 2014. The trendy spot intended to woo millennial consumers with Sears’s new private label brand as the company attempted to re- invent itself amid sluggish sales.

That experience could change the way a consumer views the company and prompt them to either travel to one of their permanent stores to shop or to their online store, said Szames.

The method provides additional benefits for big brands whose products are sold in other stores.

Nestlé Canada, for example, hosted a smattering of pop- up shops this past year. In Montreal, people could customize Delissio Rustico margherita pizzas. In Toronto, passersby could stop at a makeshift campground and roast S’mores using Aero chocolate.

The practice allows the company to develop an experience for consumers, said Tracey Cooke, vice-president of communicat­ion and marketing excellence at Nestlé.

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