| Catalogs |
Even during this recent economic downturn, the catalog business has been growing steadily. People like the convenience of being able to shop 24/7 and appreciate access to products not available in their local stores. But it takes more than good products to make a successful catalog; it is essential to establish credibility through design.Consider these statistics: In the U.S. some 10,000 catalog titles are currently being produced, with a total annual print run of 17 billion copies, according to the Direct Marketing Association (DMA). This year the catalog industry is expected to take in $133 billion in sales, up from $126 billion in 2002. So the dot-commer prediction that e-tailing would cause the demise of paper-based catalogs and bricks-and-mortar stores was premature. In fact, it's been the Web-only merchants who have had the harder time producing profits-partly due to the difficulty of luring shoppers to their site. The five-year survival rate of Web-only retailers is low. In the same way that the introduction of television did not cause the predicted demise of radio, Web retailing has not hurt printed catalogs or stores. It has merely opened up a new channel for reaching the customer. The Web is the third leg of the merchandising tripod. Today most catalogers and retail stores also sell through their websites, and are increasingly using email to alert customers of promotional offers. A recent DMA survey shows that catalog companies now generate about 30% of their sales through the Web. People see the item in the catalog, then go online to order or to the local store to buy. Catalogs offer numerous advantages over other sales channels, including the ability to target likely buyers on a national level and put the sales pitch literally in their hands. Catalogs reach a broader audience than an individual bricks-and-mortar store and, when thoughtfully presented, they provide an interesting and enduring sales piece that customers can peruse and consider at their leisure before placing their orders. The vehicle used to sell with-i.e., the catalog-is also an effective direct mail advertising piece to draw business into stores. These advantages make this marketing channel seem like a no-brainer -except for the monumental challenge of competing against the 10,000 or so catalog titles currently filling mailboxes across America. So what makes certain catalogs stand out when others are tossed immediately in the trash bin? Why do some catalogs inspire confidence and convince you that it is safe to buy their products based solely on a photo and written description when you cannot touch or test it in person, or talk to a real salesperson? The reason seems to have little correlation to the type of products sold, years in the business or where the cataloger is based. Some catalogs simply look trustworthy, even if the name is unfamiliar. Here we profile four successful and distinctly different catalog retailers: Neiman Marcus, a 95-year-old company whose brand epitomizes luxury and sophistication. Flor, a 7-month-old residential modular floor covering division of Interface, the world's largest commercial carpet manufacturer. Planet Dog, a small, 4-year-old manufacturer and retailer of earth-friendly pet products. Design Within Reach (DWR), a 4-year-old retailer of high-end designer furniture. Flor, Planet Dog and DWR all launched their businesses via catalog, then quickly added a Web component. DWR has since opened more than a dozen retail studios in major cities, and Planet Dog expects to open its first store late next year. Neiman Marcus, of course, has long had a presence in metropolitan cities. As different as they are, they share a few traits in common: They are keenly aware of the needs of their target customers and adept at speaking to them in a compelling voice and manner. Importantly, they have made effective use of design to communicate the integrity of their brand.
Neiman Marcus' The Book
Interface Floor
Planet Dog
Design Within Reach |