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Lucas Dynamic Work Optimization (DWO) uses
mathematical models and AI to slash travel 30-70%,
without changing your DC layout or WMS.
Learn more at lucasware.com/dynamic-work-optimization
Join us at MODEX 2020 for a DWO demo and to hear
from our customers.
Details at lucasware.com/modex-2020
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Comparison
Path Optimization 305.2 feet - 33.3%
Location Sequence 457.7 feet 0.0%
Pick Location
Pick Path
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9619
dients—the technological choices,
the physical architectural choices,
and the human service design ele-
ment that you put into that space.
It is all three of those things work-
ing in concert and how you mix
that cocktail depending on your
brand, price promise, and product
assortment as well as your delivery
capabilities.
Q Can you give us an example?
AA company that’s doing a great job of that is Lululemon
Athletica. I just read an article that
called Lululemon “the next Nike.” I
would almost go a step further and
say Lululemon is the next Disneyland,
where what you have is a retailer that
is not just selling a product—
Lululemon is not just selling yoga
pants—but also selling a healthy life-
style, which is very attractive to the
younger generation.
The company recently unveiled its
new “experiential store” concept at the
Mall of America in Minneapolis. Not
only do these stores have a great product that is highly differentiated from a
brand perspective and can command a
premium price relative to others, but
they also continue to augment their
offerings. They put in a full-fledged
yoga studio, so you can come in and
take a yoga class. You can actually try
the product on while you’re there and
take the class, and if you like it, you
can buy it. They also have cafés, so you
can get a meal or a smoothie before
or after class. So, they’re making it
much more of a social—and wellness—
experience.
Q So, in some ways, is it repackaging the brand?
AYes, absolutely. I think when you hear about the retail apocalypse,
the places where you see physical retail
dying are places where either the retailers or the business models haven’t
allowed for the flexibility to try to do
those types of things that matter. It is
not the malls that are dying; it is the
things within the mall that are dying.
There is no reason to go to a specialty apparel store or a department store
that just has racks and racks of clothing. I can get that very easily online if
I know that I want those items. And
I can also discover them much more
easily via Instagram, Facebook, and
other social media. Back in the 1980s,
it made a ton of sense. The local mall
was great because it made going shopping more convenient than it had been
in the past. That is not really valuable
anymore. Therein lies the problem.
It is about how you re-imagine the
answer to the question of why a consumer would actually go there.