Entertainment within the Retail Experience Economy
The value of entertainment within the retail experience economy
Structural changes in UK retail have seen economic value shift towards experiences. Consumers now expect more, and thanks to technology, they can have those needs met. Entertainment has played a key role in the human experience throughout history, but in day’s age of digital delights, what role does entertainment play in retail and just how much do consumers value being entertained while shopping?
Such structural shifts have elicited ways to measure experiences. One model is the Retail Experience Economy Model and it identifies Environment, Escapism, Entertainment, and Education as four key factors in determining a customer’s shopping experience. Our research found that 22% of respondents identified Entertainment as the most important aspect of a meaningful shopping experience, hence it’s up to retailers to provide attention-grabbing and captivating content to create absorbing experiences.
Retail Experience Economy Model
What kind of roles does entertainment fulfil within retail?
Contextually, Entertainment encompasses everything from live product demonstrations, to glitzy fashion shows, to celebrity book signings and even live streaming. These types of events help to nurture brands and create communities, as well as igniting passion, which can be shared with friends and family by word-of-mouth and via social media.
Interestingly, this type of experience also gives some power back to the retailer. Capturing the attention of shoppers can lead to increased dwell times, resulting in higher spend and conversions, as well as the development of a deeper loyalty.
