Lifestyle: The next big thing Nov 1, 1998 12:00 PM
, CATALOG AGE STAFF
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In the late '80s, "niche marketing" was the name of the game; in the '90s,
"branding" became the magic buzzword. As we approach the 21st century, look
for "lifestyle marketing" to become the latest merchandising strategy
catalogers use to captivate their customers. n Lifestyle marketing is
hardly a new concept-in fact, "lifestyle" has been bandied about by
marketers for more than a decade as a demographic tool to help better
define customers. But we're seeing more catalogs that rely less on highly
defined niches or strong brands and more on selling goods across several
product categories under one title to suit a customer's taste and style
preferences.
The Sundance catalog is one of the earliest examples of a lifestyle
marketer. Launched in 1989, Sundance promotes Robert Redford's viewpoint in
its hand-crafted home decor, apparel, and accessories with traditional
Southwestern themes and earth-friendly values. Through its merchandise
selection and creative presentation, Sundance evokes a sense of being in a
particular locale-in this case, Utah's Sundance Valley-which is the
aspirational quality most definitive of a lifestyle book.
Three years ago, Tzabaco introduced its lifestyle catalog, which targeted
the gay male community with products spanning several merchandise
classifications: apparel, gifts, and home goods. This past March, apparel
and home decor catalog Anthropologie (an outgrowth of the Anthropologie
stores owned by Urban Outfitters) arrived on the scene, targeting upscale
young women. Anthropologie's eclectic product mix includes merino wool
sweaters, hand-beaded Victorian lampshades, Italian leather sofas,
undergarments, a variety of costume jewelry, and antique doorknobs. With
products inspired by the cultures of Europe, India, and the Far East, the
book reflects a high-end yet very hip lifestyle.
Even upscale cataloger/retailer Abercrombie & Fitch is shedding its
conservative image to create a younger lifestyle brand with its A&F
Quarterly magalog, which launched in July 1997. Peppered with editorial
about campus trends, A&F Quarterly captures the college student lifestyle.
Brand backlash?
After years of conventional wisdom dictating that catalogers must target a
specific niche to develop a strong brand, why would some mailers risk
diluting their punch by selling customers everything from pea coats to
pillowcases?
Blame it on a brand backlash.
To be successful in the early '90s, a catalog had to speak with authority
to its market segment via a clearly defined merchandise mix. Catalog
marketers such as Williams-Sonoma and The Sharper Image started out as mail
order distribution channels, but evolved into brands. For example,
Williams-Sonoma's Catalog for Cooks has come to be synonymous with the best
in each category of kitchen tool it offers, while high-tech cataloger/
retailer The Sharper Image touts innovation and product development to
reinforce its brand as a purveyor of cutting-edge technology.
On the other hand, high-ticket apparel mailer J. Peterman started out in
the '80s as a lifestyle marketer of "hard to find" garments and accessories
that have a "factual romance" to them, and has since become a brand. The
cataloger defines its brand through its catalog creative, which uses a
distinctive voice and design approach.
But while branding has been key for many catalogs-including launches from
Disney and Coca-Cola-it's no longer the bellwether of catalog success. For
one, developing a brand is no longer unique, but rather a strategy employed
by most savvy catalog marketers. Even start-ups are looking to create
instant brand awareness. For instance, Logical Living, a housewares book
launched this year, takes a branded approach to marketing. From its opening
spread promoting commercial-grade, multifunctional products to its
inclusion of useful household tips and schematics to help readers organize
their homes, the catalog fulfills the promise of its tag line "Products to
Make Your Home Run Better" with a branded authority.
Moreover, the overemphasis on branding has brought about the evolution of
the "antibrand." There's evidence of a brand backlash in the "buy global,
think local" school that speaks to patronizing your local coffee shop
rather than Starbucks, or a neighborhood bookstore instead of Barnes &
Noble. Certainly the brand name on a pair of jeans hasn't nearly the same
impact as a decade ago.
Witness the birth of the Simple athletic shoe, a retro sneaker introduced a
few years ago at the Atlanta Sporting Goods Show. In an environment replete
with brand names like Nike and Reebok, Simple sold 20,000 units of its '70s
style sneaker. Likewise, cataloger The Territory Ahead has built a $30
million-plus business in menswear based on a sense of style and a quality
product without touting anyone else's label. True, the company has
developed its own brand of clothing, but the merchandising, creative, and
editorial promote the goods as quality casual apparel in which to enjoy the
great outdoors, pushing lifestyle rather than label.
Keeping ahead of competitors
In a marketplace rife with choices, the definition of a catalog-appropriate
product-an item that is hard to find, is appropriately priced, fits well
with the product that surrounds it, and is appealing in a photograph-is
still valid. But a catalog built on this product premise alone may well
struggle today.
Moreover, the intense competition for market share has driven traditional
retailers to improve their offer-be it through point-of-sale database
development, the advent of increasingly compelling catalogs to drive store
traffic, or the creation of destination retail locations, such as
Recreational Equipment Inc.'s and The Discovery Channel's flagship stores.
Category killers such as Home Depot and Office Max, as well as outlet malls
and discounters, are also vying for market share. And with the advent of
infomercials, direct response TV shopping, and the quickly evolving world
of Internet shopping, the novelty and convenience of mail order shopping
are no longer unique.
Indeed, today's consumer is bombarded with a vast selection of product
offerings available through a variety of shopping channels. But as we are
able to learn more about our customers through database marketing, we can
get a better idea of how they live their lives-what they like to wear to
parties, hang on the wall for decoration, give to others as gifts-and we
can put together product offerings in creative presentations that suit
those needs. For instance, running lifestyle segmentation on your house
file can reveal your customers' hobbies, sports preferences, vacation
choices, and other useful information.
The adage of not trying to be all things to all people still applies-the
demise of Sears's "big book" catalog and the ongoing troubles of general
merchandise cataloger Spiegel are proof of that. But as it gets harder to
find customers and more expensive to prospect, it makes sense to market a
lifestyle and sell the merchandise your customer wants through a single
catalog title.
Indeed, in the 21st century, you may find that lifestyle is the defining
factor that keeps you one step ahead.
