Maybe Starbucks IS Listening

Maybe store design and customer service are making a comeback in coffee retail. Maybe using new color schemes (bye bye yellow and green, hello chocolate and pomegranate!) really make an impact. Maybe quirky tile backsplashes make preparation areas seem friendlier (and more sanitary). Maybe a chalk board with smiley faces and cordial barista greetings works on a sentimental sucker like me. Maybe a raised wooden stage in the corner dedicated for open mic nights or poetry readings makes me nostalgic for college. Maybe the return of the plush lounger and leather couch make me feel like I'm at home. Maybe soft window treatments and sheer curtains really do make me want to curl up with a book and sip on my coffee, staring out the window from time to time. Maybe I was just really in the mood for that Iced Grande Skinny Vanilla Latte (that is, by the by, the correct way to order...I asked). Or maybe I've found my new favorite Starbucks. Across from the new Avenue Forsyth in metro Atlanta. Two very enthusiastic thumbs up, Starbucks. Maybe I'll tell my friends.

--Alison Embrey "Maybe" Medina

A Design to Take Your Breath Away

Sometimes there comes along a piece of design work so amazing it stops you dead in your tracks. You must tilt your head this way and that, contorting your body to take it all in. And at the end, you continue to stare in wonderment, thinking--how did they do this???

Zaha Hadid did exactly that. Well, it's what she does practically every day, but most recently with this incredible piece of work featured on the left. It's a chandelier. The crystals are locked together in a spiral, creating a magnificent spectacle. Can you believe it? Can you see it? The design is so intricate, so stunning, that I'm sure it would take your breath away had you been standing before it in person.

Speaking of, the chandelier is currently on exhibit in Swarovski Crystal Palace in Milan. So, hey, next time you swing by Milan, be sure to visit this masterpiece in person. And then immediately report back here!

This is certainly not the first time talented Zaha Hadid has blown people away with her designs. She's a renowned designer, creating designs for spaces such as train stations, public squares, hotels, housing projects, museums and opera houses. Wow! We're certainly lucky to have such an incredible designer among us.

What's your favorite design piece these days? Have a favorite designer or mentor in the field? Leave your comments here.

--Heather Strang

Auto Chic

Car dealerships aren't typically the most exciting places to visit. Think bland interiors punctuated by cubicles and rotating cars on display, highlighted by the occasional greasy comb-over and a plaid jacket or two. But to be fair, there are some auto makers doing a great job--like the Ferrari-Maserati showroom in the Wynn Las Vegas or the Audi dealership housed in the architecturally stunning Iceberg building in Tokyo. And every now and then a new design catches my eye and makes me wonder why more dealerships aren't capitalizing on the power of the retail experience. Enter the new Fiat flagship store in London's West End, which debuted about a month ago on Wigmore Street.

Fiat Group Automobiles UK Ltd. kicked off the opening night March 11, with a design exhibition and celebrity party. The exhibition, called Fiat Workpop 500, featured the work of 22 young designers, who were competing to design an accessory for the Fiat 500 that would be chosen to go into production, and become available for general sale. Designer Ron Arad led the competition’s panel of judges.

"The Fiat 500 Workpop exhibition, our relationships with the London Design Museum, where the new Fiat 500 is being exhibited, and the London Design Festival, which we sponsor, reflects Fiat’s enthusiasm to interact with our style and design partners," said Elena Bernardelli, marketing director, Fiat Group Automobiles UK.

Showcasing cars in style, the showroom features an innovative interior of chrome and glass. According to a press release from the Italian car manufacturer, Fiat "is establishing its new flagship store as a 'cool' place for car buyers and Fiat enthusiasts, as well as marketing it as a venue for corporate meetings, fashion shows, art and design exhibitions, and as a lavish set for film makers." CNN has reportedly already booked the showroom for a seminar.

Have you attended a special event at the new Fiat flagship in London? Do us a favor and tell us if it's just as shiny and über cool in person!

--Jessie Bove

Send a Woman to Get the Job Done

It's ant season, folks. And what I've learned is that no matter how many of those buggers I kill, I still need an expert to get the job completely done.

In that same vain, in retail, as in life, sometimes you need to send in a professional to get the job done. Often, that professional is a woman (as was my exterminator)--particularly when you're left with a big fat mess. Not that a man couldn't do it, but let's face it--the guys have had plenty of opportunities to get it right. It couldn't hurt to give a gal a shot to see if she might have the winning formula for success.

I'm speaking, of course, of former Rite Aid executive, Beth J. Kaplan, being summoned (not once, but twice!) to General Nutrition Centers (GNC) to spruce up the company's image.

After being sold to a new set of private-equity owners last year, GNC is ready to get back into the game. Apparently, the retailer recognized that somewhere along the line they had left out a huge segment of the population in their marketing and store design--women. So, who did they call? Kaplan, who worked with the company more than a decade ago. She's returned to serve as the company's president and chief merchandising and marketing officer.

While in the past, GNC tried to change its reputation as being meat-head central, it was unable to adequately alter consumer perception. To really connect with women and change the brand's appeal, they needed to bring in someone who knew the job and the demographic inside and out-- Beth Kaplan.

Case in point, have you been to a GNC recently? It's cold. The store design leaves little to be desired, and even the brand's vitamin packaging is boring, not to mention ultra-masculine. And, of course, there's a huge men's section and a smaller women's section. Some of the vitamins I frequently purchase are often found in the "men's" section, even though they're for the nervous system. In addition, their Web site features a men's section, but not a women's. GNC definitely needs Kaplan's help.

According to the company, by early 2009 it plans to have new ideas out in a few hundred of its stores, most likely mall stores and those that are company-owned.

I look forward to seeing a woman's touch affecting more aspects of our culture, GNC included. Kaplan is certainly qualified--she's been there before and knows the industry inside and out. And like my ants, brand problems and negative perceptions won't go away on their own. Sometimes, a professional is needed. Someone who knows the job, like my exterminator, and like Kaplan.

What's your take on GNC? Have any ideas for their store design? Think a feminine approach could help? Leave your comments here.

--Heather Strang

The 99 Cents Store

I love a bargain, so it’s no wonder that I make a weekly sojourn to my local 99 Cents Store on 103rd Street. In it, I find all kinds of things I didn’t even realize I needed. Last week, I purchased a new kitchen strainer, a pastry brush, 150 straight pins, (no I didn’t count them) a 4-ounce jar of pitted Spanish olives (sans pimento), a jar of guava preserves, a recycled oversize tote bag, two hideous floral soup bowls, a three pack of white acrylic tube socks--and still received $1.29 in change from my $10. Okay the store is an eyesore--gondolas, cheap chrome bins, hand-written signs and indoor/outdoor carpeting. Who cares, I know it’s not Sephora!

I have never been a big fan of Bob Barker, or “The Price is Right,” but I’m certain I’d do well in the game where contestants guess what the manufacturer's suggested retail prices of many sundry items are.

I hate being ripped off, so it’s no wonder that when I make a weekly sojourn to my local (no name mentioned) grocery store, in it I find all kinds of things I realize I don’t need--at least at the manufacturer's suggested retail price, like Clorox bleach at $1.69 (only 99 cents at the 99 Centa Store), Renuizit Lavender Meadow Air Freshener at $2.39 (only $1.19 at the 99 Cents Store), Electrasol Dishwater Detergent at $3.89 (only $1.29 at the 99 Cents Store). You get the drift.

Just two blocks away from one another, the same items, possibly delivered on the same truck, are 50 percent to 75 percent off. Okay my math isn’t too terrific, but I still manage to save money.

My grocery store may not give a farthing that I’m skipping their aisles 8 and 9, but let me suggest that some smart grocery retailer might want to start their own 99 cents aisle in their store. Take a deeper discount on those items that are being sold competitively (fairly) just a few blocks away, without the huge profit margins. I might even drop a few dollars for a ceramic reindeer, a Santa Maria votive or a jumbo size box of Q-tips.

--Ron Knoth, Guest Blogger

Show Me The Products!

Forget selling me your "environment," how about having some product around for me to buy? It certainly makes a dramatic statement to have a store with wide open flowing spaces and maybe a dozen shirts artfully hung at odd angles on a couple of rods around the perimeter, but I’m not impressed. Well, maybe I will be a bit impressed by how much margin and markup you have to have on those dozen shirts in order for the sale of even one of them to cover the cost of your rent and utilities. But I don’t think that that is the impression you are trying to make. Or maybe I’m just not your target customer, but I should be--I’m the guy with the money and plastic in his wallet, and the two daughters taking me in tow.

As I said, maybe I just don’t get the fashion statements that stores are trying to make with their minimal inventory and some outright bizarre mannequins showing their wares. Or do they just keep the good stuff in back and only trot it out when they have a live one in their environment? I don’t know. But I do know that after killing the weekend trying to spend some money on my daughters that I wasn’t really impressed with what I saw. For the record, the time was spent at Woodfield Mall in Schaumburg, Ill., which--until Mall of the Americas was built in Minnesota--was the largest indoor mall in the country. And it still takes a full weekend to cover all of the stores. All of the big guys are there, along with a gazillion small shops, and yet it was hard to spend money there.

A few recent posts have cried out for seating and resting areas in stores, but I would like to cry out for more fixtures and product to look at. And maybe turn down the volume on the music blasting through the store. It may be nice for the employees, but as a customer trying to listen and make sense out of the daughters' talk it was very distracting. Not that I’m asking for elevator music, just a lower decibel rating.

Admittedly the big department stores had plentiful quantities of product, but it sure all looked the same to my tired old eyes. And it was not to my daughters' liking either. They did find things at the small boutique stores, but there wasn’t much to look at and not many had a full range of sizes to back up meager wares. Apparently some stores are opened to sell to one small niche of design and customers, but are they too narrowly focused? My girls did go to the mall specifically to find a couple of the small shops that they have liked in the past, but they were gone and replaced with new stores after only a few months.

Also for the record, the girls aren’t outrageously sized, but they are tall, razor-thin dancers. They are also a newly graduated elementary school teacher who was seeking a professional looking wardrobe to go with the new job, and the other is an education major looking for the same wardrobe to go do her student teaching in. It shouldn’t have been difficult, or am I just naïve about fashion retailing nowadays? There just didn’t seem to be a lot of middle ground between hopelessly out-of-date, and way-too-much-in-date.

So how about it folks, could we get a broader selection in your stores to sing your praises for you, and maybe turn down the volume so that I can hear the choir?

--Scott Caldwell, Guest Blogger

Welcome to Un-Reality

Remember The Truman Show? Or Matrix? How about The Game? While the characters in the movie thought they were dealing with reality, in actual reality, everything around them was fake. If you look closely at these plotlines, you'll see the fake reality was always a test for the character. So, in an ode to Hollywood, retailers are pulling storylines straight out of the movies, busily creating their own un-reality--test stores. It's the creepiest and coolest idea in test marketing that I've ever seen.

Eden Prairie, Minn.-based SuperValu created a store mock-up that's complete with everything from linoleum floors, to checkout lanes and magazine racks. The goal? To make sure stores have the exact look and feel they want. SuperValu isn't leaving anything to chance, which is why they strategically create the same 30,000-sq.-ft. environment you or I would experience in any of their stores. Then, they go to work. Minus the muzak, of course.

Mike Buck, vice president of SuperValu's fresh foods merchandising had this to say about test stores, "It's a big disruption to do things in a store and this (test stores) will let you mess around without hurting the store."

It doesn't really bother me if the saltine cracker end cap is on aisle 8 one day or 18 the other, but I see his point. Besides, how much fun is a test store?! I'm wondering if they give tours. Is the food in the test stores real? Inquiring minds want to know...

For major design overhauls, a test store would be a way to ensure perfection. Often, it's tough to tell if reorganizing the customer service center/bakery, etc. will work until you see how it flows with the rest of the store. Bravo SuperValu! How smart are they?

If we could just talk Nordstrom or Barneys into doing the same, we could then follow in the IKEA guy's footsteps and live there. Now, that would be fabulous.

Do you know a retailer who invests in test stores? Ever been to one? If so, leave us a comment with all the details.

--Heather Strang

Retailers Are Moving On Up

Fitting in a daily 30-minute workout can be a real challenge. Anyone else feeling this? With everything we have to do in our busy lives, it hardly seems like there's enough time to sit on a stationary bike, pedaling nowhere or hip-hop dance in a room full of strangers. More and more, I'm forced to find ways to get my workouts in, in mini bites. And who would have thought that I could find a decent workout inside the latest big-box retail stores?

I'm not talking about sweating to fitness DVDs in-store. I'm talking about quad killers--the stairs. You may have noticed that recently retailers are moving up when it comes to new store design. In fact, due to rising real estate costs, retailers are jumping on the two-story design bandwagon like never before. This means only good things for those of us looking for ways to get some cardio in. REI (stairs, no escalator, so extremely great workout/shopping option), Target, Home Depot, Costco, Kohl's, Barnes & Noble, Dick's Sporting Goods and even Wal-Mart have re-discovered the two-story store.

While two-story facilities can have additional costs (escalators and elevators for instance), they do allow retailers to maximize cost efficiency by building up, rather than out--thus avoiding higher real estate costs and saving our environment by taking up less space. In addition, city planners and developers often encourage retailers to take the vertical approach not only because of density issues, but also because two-story stores provide a more warm and fuzzy shopping experience than the coldness that can result from a huge parking lot sized store. Some retailers hesitate to build up rather than out, due to increased staff needs, redesign and special infrastructure additions. However, the excessive climb of real estate prices and limited space in most urban areas is requiring the change.

Real estate costs aside, I'm in agreement with the city planners. From a shopper's perspective, two-story stores are just more fun. There's more to explore and let's not forget, opportunities to take the stairs five or more times, providing a shopping and workout experience all in one. Multi-tasking never looked so good!

My favorite shopping/workout experience comes from REI, who has a gorgeous store with beautifully wide staircases and lots of goodies for my next adventure.

Do you have a favorite retailer who's maximizing space, in addition to giving you opportunities for cardio? If so, fill us in by leaving a comment.

--Heather Strang

Have A Seat

I don't know if I'm just being cranky because it's the holidays and I've been shopping more hours than I've been sleeping, but the lack of in-store seating is getting to be ridiculous. Given, there are several stores that have cute seating areas for tired shoppers/parents-in-tow with teens/those of us who need a quick nap before the next round of stores. Hollister and Gap come to mind as retailers with in-store seating--especially the Gap Body store, which has an adorable sofa set up with plush pillows and fun colors. I'll even admit there are stores where seating would seem inappropriate or just odd. And similarly, there are stores where in-store seating would seem completely logical, and maybe even mandatory. Take, for example, my recent experience at a Verizon Wireless store in Alpharetta, Ga.

Since buying a cell phone/service plan is already unpleasant enough of an experience, you'd think cell phone service providers would want to make the best of their in-store shopping environment.  You know, create something that makes the arduous process of signing away your soul, ahem, I mean, choosing a cell phone service provider, more comfortable, easy and, dare I say, fun? Okay, maybe not fun, but at least slightly entertaining and at least pleasant. I've seen photos of several cell phone stores, especially ones in New York, which have capitalized on this and have created cool, engaging in-store environments. I understand that these types of stores cannot be rolled out everywhere, but come on. How about a little effort, please? Here is my question for the Verizon store in Alpharetta: If you want to keep customers in your store for long periods of time, why don't you have more seating?

With the exception of two leather benches in the customer service area in the secondary room and a few bar-like stools around the center station in the main room, there was no place to sit. The process of buying a new phone or renewing a contract/signing a contract, and having all your phone information transferred and activated, isn't exactly the quickest. Sure, having little seating forces you to walk around and browse, but if you've already paid for a phone and signed on the dotted line, you're not exactly in the mood to keep looking at phones and options and plans and programs and BLAH! Wouldn't it be nice to have a lounge area set up in the middle of the action? Maybe even a cafe-like setting? After I made my purchase, I ended up sitting on one of the bar stools for eternity. Not exactly great for Verizon, as I was taking up space in front of one the electronic screens used to entice new shoppers.

I mean, how much could it really cost to throw in an additional seating area? I bet it would more than pay for itself by freeing up space for customers to browse and use the cool, interactive features. Then again, what do I know about the in-store experience, I'm only the customer.

--Jessie Bove

The End of Strip Malls

I am so sick of strip malls. Let me count the ways. First, they are aesthetically unpleasing. Maybe this was a-okay in the '80s, but not so much now. Secondly, I'm simply not going to use every store within the strip or suddenly decide I need cowboy boots since there's now a new western wear store next to my favorite Old Navy. No, it won't happen.

However, the perfect panacea for the strip mall is the widely popular mixed-use development.

Now, a mixed use development I love. It feels homey (and it IS home to a lot of people), it's like you've stepped onto some delicious movie set where people live and shop together as one. Ahh...heaven. Apparently, I'm not the only person in love with a mixed-use development, because they're springing up all over the place.

Seattle recently announced the construction of its newest 445-foot condo tower, AVA. How avant-garde! This development takes the whole retail/condo/office space thang to new heights. At AVA, (which boasts the tagline: Zen Living in the Zing of Downtown) high-rise condos and estates are planted on top of a luxury boutique hotel. Now we're talking. Hotel guests and residents can enjoy the benefits of a heated pool, cabanas (in Seattle!), fitness facility, 3,000-sq.-ft. spa and the rooftop SkyLounge. Yum! In addition, a full-service business center is on-site, with secretarial services available, as well as meeting and conference rooms with rooftop deck access. Add to that a 4,000-sq.-ft. restaurant and lounge and yet-to-be decided retailers on-site, and you've got yourself a little piece of nirvana. Pre-sale responses are reportedly through the roof, even though prices range from a meager $400,000 to $5 million.

The rest of the Pacific Northwest is no stranger to these magnificent mixed-use developments. In Portland, Ore., a once ho-hum suburb, Hillsboro, was transformed into an urban dream with the advent of Orenco Station. In fact, in 2006, Sunset Magazine named it the best new suburb on the West Coast. If Sunset Magazine isn't enough to sway you, I can vouch for it. Before Orenco, I never went to Hillsboro, but after, oh, you bet I go to Hillsboro now. Solely to enjoy Orenco, but hey, who cares? They have a fabulous weekend farmer's market, kitschy stores, including the biggest, most wonderful New Seasons Market and lovely local restaurants. I simply linger around wondering what it would be like to live there. If it wasn't sold out, I would be living there already.

So, retailers, scrap plans to open up in the next strip mall and go for a design that is trendy, fun and let's face it, going to bring you far more customers. Mixed-use development = cha-ching.

Have a mixed-use development on the East Coast or in the Midwest that you adore? We'd love to hear about it. Be sure to include links to their Web sites in our comments section.

--Heather Strang

Shut the Door

I hate it more than a mirror-less fitting room. I even hate it more than an inappropriate sales associate manning the fitting room area. I hate it more than the super-unflattering lighting of an A&F fitting room; more than the fitting room with the awkward, too-short door; or the one equipped with only a flimsy curtain; or the communal dressing room area at the local tennis store. I'm talking about the fitting rooms in the junior's department of Macy's at North Point Mall in Alpharetta, Ga. Barf.

Maybe it's just me, but I like to have a fitting room with some sort of functioning door. Oh, and preferably one that locks (although in many cases that's asking too much). What is so complicated about creating a pleasant fitting room? This is an area that I've found is sometimes overlooked by retailers--a mere afterthought. Don't get me wrong though; there are definitely retailers out there who have taken pride in their fitting rooms, equipping them with stylish furnishings and spacious quarters.

But the fitting rooms at Macy's North Point Mall are not exactly up to par. I frequent North Point Mall for the fact that it's quite close to my office and on the way home. It's definitely not my favorite mall in Atlanta--I'd much rather shop at Perimeter or Lenox, which have a far superior store selection. North Point has steadily been getting better stores, but it still has a way to go. For the past couple of years, a former Lord & Taylor department store sat uninhabited. A few months ago it was finally occupied--unfortunately it was by Belk, much to the dismay of local shoppers who were hoping for a Nordstrom or Bloomie's or anything else really besides Belk. What's even more upsetting is that the Parisian store (which Belk took over) is now closed. So another empty anchor shall waste space. But back to the fitting rooms at Macy's...

In the past 13 years that I've lived in Atlanta, I can only remember the junior's department fitting rooms being updated one or two times--and most of those "updates" just involved switching the location from one side of the department to another. The current state of the fitting rooms is sad. They look worn and dirty; they have those angled slats on the doors that let you sort of see passersby and make you wonder if they can see you; they have doors with handles that don't turn; they have doors that don't stay shut unless you barricade them with a huge purse (I knew I was carrying a big ole purse for a good reason!).

I wonder why this department's fitting rooms are neglected? Some of the other ladies' departments have nicer dressing rooms--nothing spectacular, but at least they have three-way mirrors and doors that shut. Is the teen demographic really not that important to Macy's? What about those of us in older demographics who still wear junior's sizes? Are our dollars less valuable? Is our shopping experience less important?

This fitting room situation also presents a problem for sales associates. Refusing to use the ragged junior's fitting rooms, I haul my pile of prospective purchases to other departments to try them on. When they don't fit, I hang them up on the rolling rack of rejects set up outside the dressing room area. Surely this can't be very productive for sales associates who are now tasked with deciphering which departments clothing should be returned to. And don't expect me to do it after you've already insulted me with the fitting room choices.

Macy's I love you, but your fitting rooms are in desperate need of a makeover.

--Jessie Bove

P.S. This particular Macy's is undergoing some nice renovations--bigger accessories department, etc.--hopefully this means the fitting rooms are next.

It's Chanel, Baby!

Perhaps you're like me and often glance in the mirror thinking, "Oh dear god, this cannot be how I look today!" And then you realize, yes, in fact, it is how you look every day. Thankfully, there's Chanel.

The retailer announced the recent opening of its Costa Mesa, Calif.-based Chanel Makeup Studio, which is located inside Bloomingdale's. It's the first of its kind in the U.S., but not in the world. Apparently Chanel believes that the international peeps deserve their delicious makeup far before we do, because 10 makeup studios already exist at in Moscow, Tokyo, Dubai, Istanbul, Barcelona and London. Shockingly, my feelings are hurt. I'm sure yours are too.

But, have no fear, Chanel makes up for the diss by offering European and Asian best-selling goods at the new studio that you can't find anywhere else, at least domestically. Of course this means we'll all have to book flights to Costa Mesa to take advantage, but hey, Chanel does what it can.

Since I'm not much of a make-up-a-holic (hence the tremendous mirror disappointment), I was more excited to learn about the sassy design of the in-store makeup studio at Bloomingdale's. It's only a 500-sq.-ft. space, but makes up for its smallness with slick, black-and-white decor (in the traditional, classy Bloomingdale's style) including black lacquered shelving to hold its magnificent quantities of makeup. Wait, isn't lacquer out? Probably not if Chanel is doing it. The lighting--one of my personal interests--is set-up specifically to accent both the makeup and those trying it on. Gotta love that! The aura of the studio is sleek, sophisticated and modern (think Gattaca, not The Jetsons), with a nice luxurious edge.

I'm assuming the point of the over-the-top design is to distract customers from the obscene prices and instead transport them into absolute opulence. Luxury can be an amazing aphrodisiac, after all. In addition, the in-store studio features four huge plasma screen televisions blaring Chanel commercials, featuring hotties Nicole Kidman and Keira Knightley. Two girls who obviously don't realize how good food actually tastes, but, I digress...To add to the contemporary feel, a ticker streams constantly, broadcasting upcoming studio events and other important makeup news.

Chanel and Bloomingdale's really know how to do it up right.
Stay tuned...I have a feeling this concept will be spreading to more U.S. locations.

Been to the Chanel Makeup Studio in Bloomindale's? Or think I'm ridiculous because their makeup IS outstanding? Do tell! We want to hear from you...

--Heather Strang

Best Bathrooms in Retail

Lets be honest, when you're shopping, the quality of a retailer's bathroom takes on some significance. I can love my shopping experience, but if I walk into a messy, dirty bathroom, I'm turned off. Take grocery stores for instance. Typically, they're pretty awful. I'll only use Fred Meyer bathrooms if it's an absolute emergency. However, at a recent visit to QFC (incidentally, also owned by Kroger), I was pleasantly surprised. It was clean, tidy and even had hairspray, lotion and other goodies for my use. It was almost like the bathrooms at my favorite boutique hotel--Hotel Lucia. Okay, not quite, but it was nice.

Apparently, I'm not the only one rating retailers on their restrooms. Cincinnati-based Cintas Corp. holds a national "America's Best Restroom" contest each year. Cintas is a restroom hygiene products and services provider, which makes the contest a very clever marketing strategy for them. Ballots are cast online and include a wide range of businesses, including restaurants, hotels and casinos. Qualifying standards are based on outstanding hygiene, style and open access to the public. This year's winner of the 6th Annual Cintas Contest was none other than Fairfield, Ohio-based Jungle Jim's International Market. Check out the photo of Jungle Jim's bathrooms and you'll realize why they took the title. While from the outset the bathrooms appear to be port-o-potties (ick!), they're actually faking customers out. Upon entrance, guests are surrounded by an upbeat jungle motif, complete with 10 stalls, marble accents, green tile, fresh flowers and tropical artwork. A company spokesman said that Jungle Jim's is all about having fun--even when it comes to their restrooms. Now, that's the kind of retailer I want to shop at.

The other four finalists were Virginia Beach, Va.-based Catch 31, Las Vegas-based Mix Lounge at Mandalay Bay, followed by Proctor, Vt.-based Vermont Marble Museum, and Flushing, Mich.-based Fandangles'.

So, this got me thinking--who do WE think has the best bathrooms in retail? Lets say our criteria is based on style, creativity and cleanliness. Any ideas? I would love to hear your nominations. I recently visited Ulta (I know, when am I NOT shopping?!) and loved their restrooms. Very mod. But, unfortunately, I can name more retailers that don't meet this criteria, like Target, Wal-Mart, Fred Meyer and Zupan's. So, help me out--which retailer's bathrooms do you love? Leave a comment with your nominations here.

--Heather Strang

Macy's Goes South Beach

Lime. Ocean. Coral. These are South Beach colors, people. And they're also the colors you'll see inside the newly renovated Macy's in South Beach. Macy's is spinning its look to "hip, hot and fashionable"--yes, that IS a direct quote--for its South Beach store in Miami. While the company is keeping silent on the cash spent for the 91,118-sq.-ft. renovation, one can only imagine. The store originally opened in 1953 as a Burdines, and according to several reports, could never keep up with the change in market as more bling entered the area. So, the new store is practically brand new--more windows for natural lighting, the home department has been eliminated, the men's department moved to the first floor, and women's apparel has taken over the entire second floor; as it should be, of course.

In addition to the new look, Macy's hipped it up by adding brands such as Lacoste, Ed Hardy, Paris Hilton (I could find no actual evidence of this line's existence, beyond blog reports, so you decide) and Michael Kors. Fancy, eh? The word is that Macy's is no longer "grandma's" store, as the market shifts dramatically from retirees to heiresses. To make sure the ladies in SoBe, as it's now known, are taken care of, Macy's also added Chanel and Bobbi Brown cosmetics, Coach handbags, Calvin Klein shoes and Betsy Johnson accessories. Sounds so very SoBe to me!

Although this is a dramatically new look for the Macy's SoBe, it's becoming a common Macy's trend as many of their stores in urban areas are featuring a more fashionable look. Personally, I love it. Retailers may want to take note; not only are colors like lime green and ocean blue all the rage, infuse your department store with high-end lines like Michael Kors (but stay away from that Paris Hilton stuff!) and you might maximize your visibility and sales. Besides all of that, your customers will also think you're über cool. And who could put a price on that?

Tell us about a store you know that has also pulled a Macy's and renovated to better appeal to its market. Does it work? Let us know, we'd love to hear your scoop! 

--Heather Strang

Sloppy Joes and Pricey Clothes

The first piece of retail smarts I received was, not surprisingly, from my mother. In teenybopper contagion, I stood barely 5 ft. tall, awestruck by “trendy” clothing boutiques, a few halogen lights and a glass exterior. My mother would attempt to drill into my thick adolescent brain that the fewer products you see in a store, the more expensive they will be. And even then the logic was legitimate: I could see a correlation between my favorite discount clothing shops, deficit of hangers to clothes, and the undeniably attractive prices. The trend towards reductionism in retail design continually pushes the envelope in terms of the ratio of graphic art to merchandise. Retailers now hold pristine environments and a lack of clutter to be a gold standard, but this only begs the question: what price are we, as consumers, paying for it? My hypothesis: it’s not just monetary.

On the other spectrum, the restaurants I frequent only seem to be getting more, well, grubby. I welcome it--and it’s not just me. Take a glance at The New York Times; it prints more reviews on hole-in-the-wall, mom-and-pop “joints” that serve the best pie in New York than ever before. I almost live for sloppy, oversized portions of comfort food. Quite frankly, I crave it. Perhaps it’s an inner-rebellion, but when I read about Eleven Madison Park in the Flatiron district in New York--I was frankly disgusted. Food presentation with the sterility of IKEA? I’ll pass. For some reason, the elation about owning one of 50 pairs of jeans on display in Jasmine Solo, just isn’t relayed to food. I’m easily disappointed by the lack of quantity when I order attractively plated food from a raved-about brasserie. Why is it that I almost seek out utter violation of department of health ethic to share guacamole and a basket of grease-soaked chips with a few friends?

We are repeat customers at local restaurants that haven’t changed their menu in years, let alone décor, and all the while shun outdated retailers who fail to update their image. Hangers at Abercrombie & Fitch lie in a neurotic fashion, spaced exactly an inch apart, while the best pizzas always seem to be the ones that come out of the oven sadly misshapen. There is comfort in a packed restaurant, but not in packed clothing racks. In a long list of questions, why do I continue to frequent bar scenes at the risk of the inevitable--beer-coating the soles of my new pair of Betsey J. pumps? Imagine the pristine floors of your local Neiman Marcus coated in bar tar. Unheard of. The next time I tag along to the lumber section of Home Depot, will it be free of wood-chips, because I’ll admit--there’s a bizarre sense of satisfaction in the smell of cut timber wood. Perhaps it’s primal, but the sterility I see in retailers is almost frightening--not only for my wallet, but myself.

--Angela Morabito

Photo: A dish from Eleven Madison Park Restaurant

Oh Make Me Over

It's amazing what a little makeover can do. The Hyatt Islandia in San Diego is in the midst of a $65 million makeover that will change everything from the views to the hotel's name. As of September 2007, the hotel will be transformed into the Hyatt Regency Mission Bay Spa & Marina. Gulp. That's a mouthful. And it's not just the name that's over the top. Renovations include an eco-friendly luxury spa, waterfront restaurant, poolside lounge (look, it's the Caribbean in San Diego!), 430 redesigned guestrooms, a health club--overlooking the marina no less--three swimming pools and waterslides. So, what used to be an everyday Hyatt hotel will be a full-on water park with an environmentally friendly spa. Nice!

Which gets me thinking about the power of renovation in the retail world. While a complete remodel is spendy, it does allow an "okay" venue to become the brand-new "it" spot. Retailers can learn from Hyatt's example--take a blah location to bam! and appeal to an entirely new target audience for a mere $65 million. Not so bad, right? Okay, okay it's still a lot of cash. But, as I was shopping at a major department store yesterday, the fluorescent lights burned my eyes (when are we going to eradicate those things from retail environments?!) and the erratic layout made me want to grab the wedding gift--yes, another summer wedding--and get the heck out of there. Thankfully, more retailers are catching on with fresh designs and less abrasive lighting. We just need the whole lot to jump up to speed. And if we could only find a way to add a water park...

--Heather Strang

Cardboard Boxes Are All the Rage

I'm not sure if you heard the news, but cardboard boxes are the latest in retail display and design. Oh yeah, it's a BIG phenomena sweeping the nation. At least that's what I thought on a recent jaunt to the mall, when I discovered a major women's apparel retailer proudly displaying their sale items in cardboard boxes, with price signs and sizes taped to them. Clothes were thrown in haphazardly, and while marked with sizes, each box contained a mishmash of every size. It was a little confusing, not to mention irritating. Was I excited about getting a stylish t-shirt for $9.99? Yes, absolutely. Did I want to buy a t-shirt in a cardboard box? Um, no--only if I'm shopping at a second hand store will I be game for that (and if it was a second-hand shop, I'd only be spending $3 on that tee!). Interestingly, behind the stacks of boxes with clothes piled in, were some of the same sale items hanging on racks. And guess which display I purchased from? Somehow, that dress on the rack was far more appealing to me than the one crumpled and thrown in the cardboard box. Perhaps they're conducting a social experiment and you'll see me on the next episode of Dateline. At least, that's what I'm hoping. Because, c'mon, retailers, you gotta know--it's all about presentation, baby. I'm as superficial as the next consumer and if I'm going to spend money in your store--the money I've worked hard for--then I want it to: 1) look pretty, 2) have the employees treat me like a princess. Okay, maybe not a princess, but you know--make eye contact and smile when they talk to me.  It's not rocket science. Consumers want to walk into a well-lit (i.e. no fluorescent lights), beautiful store with clothes displayed nicely--either folded in stacks or hung neatly on racks. Got it? Good. Now, back to the shopping.

 
--Heather Strang

It's Raining Men

If the blogline or picture didn't catch your attention, well, I guess it's a lost cause. But contrary to the pretty boy image, I'm really bringing attention to a car wash, believe it or not. And this is not your ordinary park-and-go facility. Sky Wash, located in a suburb of Atlanta, brings design and service together to create a wonderful retail experience--something you'd least expect out of a routine car wash.

Offering a smorgasbord of washing options, Sky can accommodate those wanting to spend hundreds on a detailing job, as well as those opting for an affordable, thorough interior and exterior cleaning. Regardless of whether you've just driven in your new luxury vehicle or the standard family sedan, all customers are treated equally.

And now for the best part of it all--the facility design. The exterior of the building calls attention from the street, with an arc-like form painted white with metallic accents and the name Sky in blue. Entering the facility's drop off area, a service agent takes your order, and you are free to go relax while your car gets a bath. Once inside the facility, a lounge area greets customers with comfortable seating and compelling reading material (a slew of design magazines and even The New York Times Magazine can be found here). A refreshment area offers a selection of gourmet chocolate bars, espresso drinks and fruit--to be purchased of course. Across from the food offering, about 25 flat-panel desktop PCs with Internet access keep patrons entertained. The space as a whole has a very Scandinavian feel--with its stark white walls accented with random art and plasma screen TVs, and blond and metallic minimalist furniture in the lounge and computer areas. As techno/electronica music fills the space, you almost forget you're at a car wash.

Sky also offers its customers various membership programs, including one called the "Sky One," in which those signed up pay around $65 per month for an unlimited number of car washes. The company also calls attention to its eco-friendly practice of recycling 75 percent of its wash water. All in all, Sky is very impressive--even if it's just a car wash, it sets the bar higher than some of the health/beauty spas I've visited.   

And yes, the men aren't bad looking either.

--Rachel Brown

Oh Lord...& Taylor

Whatever happened to Lord & Taylor? For years it seems like Lord & Taylor has been in a slump. The Lord & Taylor in the mall near my house closed quite some time ago, and the building remained vacant and lonely. I often wondered why a Nordstrom or Bloomingdale's didn't swoop in a claim the prime spot. Now, after reading a recent press release from Lord & Taylor, I'm thinking maybe the department store was holding on to the building as it prepared for a comeback--and now is the time.

Jane Elfers, president and CEO of Lord & Taylor, announced several partnerships that are aimed at repositioning the iconic brand. David Lipman, Y&R's BrandBuzz, Randall Ridless and Mancini Duffy will all be joining forces with Lord & Taylor, which was recently purchased from Federated Department Stores by NRDC Equity Partners LLC (NRDC). David Lipman has joined as a creative consultant and will collaborate with the other creative partners, and Y&R's BrandBuzz will develop and execute a creative platform for the Fall/Holiday 2007 campaign. Even more exciting, Randall Ridless will redesign the stores' interiors, while architectural and design firm Mancini Duffy will help execute the redesign.

Lord & Taylor also said that more changes would be announced in coming months. As the oldest American specialty retailer in the United States, I bet they've still got some tricks up those sleeves. What do you think Lord & Taylor will do with this opportunity to reposition itself? Will they pull a 180 and completely shift gears? Will they implement small changes? Will they surprise us or disappoint us? For now, they've certainly intrigued us...

--Jessie Bove

Mirror Mirror Not on the Wall

Here is a little advice for retailers to take note of: if you want customers to purchase your products, put mirrors in the fitting rooms. Seems pretty obvious you say? Well think again, because a handful of apparel and other retailers don't think so. Awhile back when I was in hot pursuit of the perfect Halloween costume, I stopped by a certain store (that shall remain unnamed) to try my luck. I quickly found a costume and was assisted right away by a friendly associate who handed me my size. I followed the signs to the fitting rooms and wasn't surprised to find two modest rooms in the back of the store (it's not like this was Saks Fifth Avenue, so I wasn't expecting much.) What did surprise me, was that the fitting room had no mirror inside.

I stood inside the small white box for a moment, dumbfounded, before realizing that the only mirror available was nailed to the outside of the door. The outside! I don't even like coming out of my dressing room to use the big three-way mirror in department stores, and now this store expected me to walk out into the middle of the store (in full costume) just to see how ridiculous I probably looked. Yeah right. Once this dawned on me, I stood there for a moment and carefully eyed the getup I was contemplating trying on. All I saw was bunched elastic, too-short shorts, bulky fabric and lots of pale skin in my future, and that was it. No way! I crammed the costume back into its bag, never taking off even so much as a shoe.

For a split second I thought about maybe just trying it on and trying to get a "feel" of it without stepping outside to look in the mirror. That idea was foiled when I remembered that exactly three years ago, I stood in a very similar store, in a very similar mirror-less fitting room wearing a costume that "felt pretty good." I ended up purchasing it, only to be disappointed when I got home and tried it on--it was awful. And so my excursion to buy a costume was over. I don't know why there wasn't a mirror in the fitting room. Maybe all the costumes don't fit well, maybe the employees just want to laugh at you, maybe it's for no reason at all. All I know, is that I went and spent my money somewhere else.

--Jessie Bove

In-Store Media: From Also-Ran to Front-And-Center

Some interesting excerpts from Bill Gerba's report on the recent At-Retail Media Conference, courtesy of Wirespring.com:

It's clear that in-store media has gone from also-ran to front-and-center for many advertising and marketing agencies. While certainly not a complete synopsis of the conference, here are five key points that stuck in my mind after it was over:

Measurement and accountability are key. This was by far the most repeated point during the two-day seminar. Most network operators, metrics firms and self-proclaimed experts agree: in-store media does work. But measuring this success is turning out to be more time-consuming, complex and expensive than many had expected...

In-store is the last mass-medium. We've heard companies say this before, and we've heard the media, ad agencies, and other related parties refute it. But I think the key here is not where the most media gets consumed, but rather how a series of fragmented markets can be addressed at once. ... The fact that in a given month the top 10 retailers will have 197M unique visitors -- while the top handful of TV shows will reach only a fraction of that number -- really illustrates the point.

Give people what they want. As Steve Farella from TargetCast noted, in the old days media companies used lots of war analogies and idioms when describing their strategy for reaching the consumer. Plans of attack, target acquisition and the rules of engagement were all frequently used terms. However, these days there are 500 TV channels, not five...

Don't forget about privacy. At the end of a fascinating presentation by Brand Experience Lab's David Polinchock on experiential marketing and some of the new technologies on the horizon, I asked whether any brands or retailers (or consumers for that matter) had looked into the privacy or ethical concerns of next-generation tracking and data mining products. I was quite surprised by his answer: privacy isn't very important for many young people, provided that they feel they're getting something of value (a customized promotion, better pricing, etc.) in exchange for giving up their personal info...

Store research data can be surprising. Because they make good food for thought, here are some interesting stats quoted by some of the presenters during the At-Retail Media Conference. I haven't verified any of these, so use them at your own discretion:

* IBN determined that four of the five largest radio "stations" in the US (including the three largest) are in-store audio networks.

* PRN notes that the top 10 US retailers receive 197M unique visitors each month, and these people visit an average of seven times per month, for a total of about 1.4B shopping trips per month.

* Hispanic shoppers are 70% more likely to watch in-store digital media than non-Hispanics, and have up to six times better brand recall for advertised products.

* Retail Marketing Services discovered that placing a graphic or visual element on a shelf-mounted sign ("shelf barker") can generate up to a 35% sales lift.

* And my favorite: Retail Marketing Services also studied the Tesco digital signage deployment. They found that while 42% of individuals looked at the screens, on average they only did so for about three seconds. Among other things, this underscores the importance of using short, to-the-point messages on in-store networks, rather than traditional 30 second spots.

Exposed! Inside the Secret World of Store Design!

Seems like September is the month when the national consumer press discovered store design. It started with USA Today's expose on how retailers "set lures" to trick shoppers into buying things they don't need. Next came Business Week's Special Report on new advances in shoplifting prevention at retail, followed within a week by the same publication's feature on Safeway's store redesign. And two out of the three stories came with full-page graphic renderings of a store layout. You know store design is much more than creating an attractive space, that it's a complex field requiring a deep understanding of design, consumer behavior and technology...and that, done right, it can have a major impact on sales. Now perhaps all the hoopla will bring more corporate focus--and investment--your way.

--Karen Schaffner

"Lern" something

What was New York & Company thinking? On a recent trip to the mall, my shopping buddy and I both took notice of New York & Co.’s new store design, which, to put it nicely, isn't so hot.

When New York & Company Inc. was sold in 2002 (it used to be owned by The Limited Brands Inc.), the company operated stores as both “Lerner New York” and New York & Company.” Little by little, Lerner stores brandished new signs as they were converted to the New York & Co. name, and that seemed to be the only alteration. I can’t remember exactly when the New York & Co. store in my mall (I shop there so frequently I feel entitled to some ownership) got revamped, but I want to say it happened within the last year. I never gave it much thought as I passed by its storefront on numerous excursions. But finally last week, something hit me: the store looks awful.

In fact, it’s so uninviting that I have only been inside once since the remodeling. On the occasion I happened to venture inside, I stayed in the store only for a brief couple of minutes before quickly making an exit--I had started to feel like I was suddenly shopping in Rave. Bright white walls, black-and-white panels, boring displays and a grid-like layout were all screaming “cheap” in my face. Don’t get me wrong, I love affordable apparel. But when I shop for a bargain, I want to feel like I’m getting a steal, not like I’m buying something cheap. I felt uncomfortable as I navigated the very-much separated sections of the store and was surprised to see that the fitting rooms no longer had a waiting area for boyfriends/husbands/fiancés to gather and awkwardly, but diligently, hold our purses. Something about this particular store’s design was just off--unfriendly and forgettable.

The new layout doesn’t compel me to even go inside, let alone to buy merchandise. It makes me miss the old store, with its plush lounge chairs in the area surrounding the dressing rooms, three-way mirrors, subdued lighting and open, flowing floor plan. Given, it wasn’t the most exciting or innovative design, but it was warm and inviting. The old New York & Co. felt more upscale, and it made shoppers want to stay in the store and take their time meandering and perusing the racks. To this day, the mere mention of the word “Lerner,” still evokes a panic-stricken look on my father’s face as he’s reminded of how many hours of his life were wasted away sitting in that store. Now that is powerful stuff.

--Jessie Bove

Naughty, naughty

Tucked away in New York’s SoHo is the brand-new, “sexiest store in town”--
Kiki De Montparnasse. Kiki is described as “somewhere between a lingerie store, high-end sex shop and a luxe boudoir lounge.” The 2,000-sq.-ft. selling space, plus a 1,200-sq.-ft. gallery, was designed by Los Angeles-based design firm Commune, and as you would expect, the store is dark and sensuous, with a sharp modern edge of graphics--including erotic art--fixtures and other elements. Dressing rooms have light controls that say: “before,” “during,” and “after,” and the salon offers classes and “educational” events. According to co-founder Andrew Pollard, “Kiki De Montparnasse was conceived as a brand to instill customers with a sense of beauty and freedom, empowering them to explore their own sensuality.” If you are looking for something that’s definitely not plain vanilla--Kiki may be just the thing to give your day a lift. It’s at 79 Greene Street. But don’t tell them Diva sent you--you’re on your own here!

--Diva

On the Cusp

Concrete floors and exposed ceiling ductwork? Diva can hardly believe this is Neiman Marcus--but then, it's supposed to be a secret. N.M. doesn’t plan to tell--or at least, they won’t promote--that Cusp is their new, stand-alone, specialty-retail concept. Diva, of course, can blab until her heart’s content. There are no elegant artwork and plush upholstered divans, marble floors or crystal chandeliers here. Cusp is an entirely new creation, targeted at N.M.’s next generation--customers in training. The first Cusp opened a week or so ago in Tysons Corner Center in McLean, Va. Hip, 20-something-year-olds were delighted to discover a very anti-Neiman’s environment (a little like Barneys’ COOP), filled with chain-link fencing, rubber tires, planks of raw wood and a table made from a smashed Porsche. Dedicated to the latest fashion trends, the store aims to provide the season’s hottest “must haves,” including leggings, skinny jeans and oversize handbags with hardware details--and of course, there are lots of those trendy pirate skulls floating around. Neiman’s could be on the Cusp of a big success. Dive says: it’s definitely worth a drive-by.

--Diva

Super-Secret Conference Readies Spy Tech?

Just as it seemed that RFID is as much yesterday's news as Mel Gibson, things have heated up a bit.  First, there's the world's largest continuous expanse of linoleum retailer getting all mushy about rolling out RFID, just a day after the gloomy report about the chips' progress in retail. 

Meanwhile, an RFID conference for apparel and shoe retailers is getting conspiracy theorists all hot and bothered.  Outside press is banned from the confab, which reportedly offers tantalizingly creepy ways to spy on innocent spenders at stores like American Eagle. AE says no way they're putting this program in place, but that hasn't stopped the Orwellianingly-paranoid anti-spy superheroes from getting all lathered up about it.  Thankfully, current POS offerings seem to be missing the camera needed for the 30-second facial-recognition thing. 

Oh, if you purvey footwear or apparel and tell us super-secret stuff from the conference, there's a Diva goodie-bag in it for you.

-- Doug Hope

Designer gourmet

At last, new Manhattan restaurants that are NOT designed by David Rockwell. Diva could hardly believe it. For the past several years, it seems as if almost every great-looking restaurant in the city has been designed by Rockwell. Don’t get me wrong--Diva is a big Rockwell fan--but it is nice to see some other talent having an impact on Manhattan’s dining scene. 

Diva dined at Morimoto one night, then Buddakan the next: what a visual and gastronomic treat. This pair of new restaurants, located very near each other, are two of this season’s hottest, in-demand reservations. Both are projects of Stephen Starr of Philadelphia restaurant fame. Morimoto, 88 Tenth Ave., is serene and calm, an oasis of contemporary Zen sensibilities. It is designed by Japanese architect Tadao Ando.

Buddakan, at 75 Ninth Ave., is highly theatrical and demonstrates the new, big-box restaurant trend. Buddakan was designed by Christian Liaigre. The decor is a bit over-the-top; one critic describes it as “Louis XVI meets Buddha.”
So, make a reservation, and tell them Diva sent you. The food is good, but the design is even better.

--Diva

Photos: Morimoto (top) and Buddakan (bottom); David Joseph, New York

Very Gehry

For all you designers out there looking for some inspiration, don’t miss the movie “Sketches of Frank Gehry,” directed by Sydney Pollack, and now playing. It is a documentary, but it is visually thrilling. The film follows the entire career of Gehry, featuring most of his significant works of architecture, and delves into his private life as well. He puts himself out there, by allowing his personal therapist to be interviewed and talking about tough periods of his career and personal development. Gehry makes a point that his works always begin with sketches that evolve into working scale models, which he then manipulates like sculptures until each project takes on a life of its own. The film is visually rich with forms and shapes that seem like frozen music that springs into spontaneous arias, as color and light play across the intricate surfaces. Gehry’s contributions are significant—the Walt Disney Concert Hall in Los Angeles and the Guggenheim Museum at Bilbao, foremost among them. His biggest retail project, Santa Monica Place, helped launch his early career. He has brought about major changes in architecture, breaking out of the box, with never-before-seen organic and sculptural shapes and designs and by using humble, industrial surfacing materials--mostly metals--in innovative ways. It’s a feel good movie, and you’ll walk out inspired and happy to be a designer. It’s not mentioned in the film, but recently, Gehry has designed a collection of jewelry for Tiffany that captures the spirit of his design philosophy.

--RoxAnna Sway

Photo: Walt Disney Concert Hall at the Music Center of Los Angeles County by Henry Salazar, County of Los Angeles.

A New Attitude: Finding Food for Customers

I confess: I really don't like supermarket shopping. That's a task I turned over to my coupon-clipping husband years ago. I believe the timing coincided roughly with the day my youngest headed off for college, and I no longer had to stock up on instant macaroni and cheese and Sugar Pops cereal.

Of course, I will make an exception for Whole Foods and The Fresh Market, and I eagerly await Trader Joe's arrival in Atlanta. Seth Godin's description of what sets Trader Joe's apart--"Trader's finds foods for its customers, not customers for its foods"--has captivated me.

No Diva fan will be surprised to learn that the major traditional supermarket chains are scurrying to compete with Trader Joe's and the other niche marketers on the high end, while also keeping Wal-Mart at bay on the low end.

Last week, Pathmark hired Colemanbrandworx to develop a new prototype for both new stores and retrofits. The new vision will be centered on the concept of "fresh" (scary that fresh should be a new concept in food retailing, don't you think?).

And Safeway is well on its way to a chainwide makeover, with 550 of its 1,772 stores sporting a new format that includes new product offerings, subdued lighting, faux wood floors and new fixtures. CEO Richard Burd recently told shareholders that the remodeling program will be complete by late 2009. With remodeled stores showing sales increases averaging 23 percent higher than older formats, it looks like the program is making a significant difference.

In the meantime, supermarket giant Kroger is working the market at both ends, fending off Wal-Mart with Food 4 Less, while opening Fresh Fare stores focusing on service, more specialized foods and wine.

There's no doubt that the world of food retailing is changing dramatically. Where will it all lead? Just as with other forms of retail, it's pretty clear that the traditional middle ground is most threatened, as we head for a more universal focus on "finding food for customers," and "fresh." That's a good thing, don't you agree?

--Karen Schaffner

An Apple, A Dell