Stores Popping Up All Over the Place
Temporary pop-up stores are, well, popping up all over the
place. Now is a pretty good time for temporary stores as many retailers
are reluctant to commit to a permanent space in high rent urban areas while
landlords are anxious to fill vacant space even if it is only for a limited
amount of time.
"I would say that we’re seeing an increased level of
pop-up shop activity and to a certain extent, some of their nature has
changed," John Bemis, executive vice president and director
of leasing and development for Jones Lang LaSalle Retail, told Dow Jones
"In general, pop-up shops have become a very popular marketing tool
for a wide range of interests."
"It seems to be working for the retailers really well.
As far as the brokers and their landlords, it’s not something they really…like.
But, considering the economic conditions now, it’s something they’re forced
to accept," said Amir Korangy, founder and publisher of The Real Deal.
pop-up shops don’t carry a long-term commitment, it doesn’t mean they come
cheap. In fact, a high traffic pop-up space could run a retailer up to
$200,000 just for a weekend.
Target has been one of the chains that has grabbed headlines
and driven sales with pop-up locations.
"Pop-up stores are an exciting way to present our merchandise
to the frequent and new guests, but aren’t always the appropriate venue
for our efforts," said Delia McLinden, a spokesperson for Target,
told Dow Jones. "We do feel the natural pressure to evolve
our strategies and often add creative twists."
Discussion Questions: Do you think we’ll
see an increase in pop-up stores in the future? What retailers or brands
have impressed you the most with a strategic use of pop-up stores?