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Shop-in-shop: benefits for retailers and brands

Shop-in-shop concept could be defined as a designated space within a host retailer that is dedicated to a specific consumer brand, allowing it to sell goods under its own brand name. The best known examples from the Polish market relate to clothing stores as well as drugstores , where under the umbrella of one brand you can buy the products of other companies. The selection of products is mostly determined by complementarity between brands. What are the advantages of “shop in shop” concept?

1. If you’re opening up a shop-in-shop in a store which is already popular, you will have existing foot traffic from people who are loyal to the bigger brand. A walk around the shop is the best way to introduce new brand to the audience, which have already declared confidence in products of another brand located in the same store.

2. A shop-in-shop is much friendlier on your wallet than renting out an entire space to yourself.
Shop-in-shop arranges non-committal meeting with new products, offering more favorable financial terms for the client. This way often turns out to be more effective.

3. Opening a shop-in-shop is a low-risk opportunity to test out the area and see if your product sells in the neighborhood. Observing customer behavior help to find and answer for the question whether the location of the shop correlates with customers’ needs.

It is important to remember about the complementarity of products offered in shop-in-shop model. For example, if customer is looking for trousers and socks, and our shop offers pants, we can recommend other products from “shop in shop” located nearby in the same store. This way client will receive a comprehensive service, and we can expect the gratitude from the representatives of friendly brands – it may be the beginning of building the brand community.

Ergo Store is succesfully introducing shop-in-shop models – in Poland and abroad. This year we designed and manufactured over 74 “stores in store” with a total area of 3 675.4 m2 equipped space and a year before in Europe we prepared 38 shop-in-shop with a total area of 1 956.40 m2 equipped space. Our projects are located in England, Spain, Denmark, Holland, Germany, Switzerland and other countries.

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