The researcher of this essay will attempt to examine advantages and disadvantages of pop-up stores. The origin of pop-up stores can be traced back in 1999. The company accredited with the emergence of pop-up stores is Vacant of Los Angeles…
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ispensable tool for real estate firms and property owners who are now prospecting to let their property for a short period in the wake of an economy down town pending its recovery (Vacant.com, 2011). A pop-up shop is a temporary venue. For instance, the space can be used for merchandise activities while on the following day hold a cocktail party. The tendency entails popping-up one day or week, then vanishing the same duration later. These shops, although they are small and temporary, have the capacity to build up interest through consumer exposure. Pop-up shops enable a firm to create a unique environment that involves its consumers, and develops a sense of significance and interactivity (Smith, 2009). The retail environment of pop-up stores in most cases is highly experiential, transporting emotions in an event-oriented type of atmosphere. While pop-up stores can also serve as retail events to sell special offers, they often serve as retail avenues to present and introduce product innovations or even conduct market tests. As such, locations are usually in city centres, or the trendy neighbourhoods of big cities (Townsend, 2010). With the strategy of pop-up stores being the creation of a climate of scarcity, retailers try to build a higher willingness to pay among their customer because there no option for price comparison and offers are only available for short periods of time, which can increase desirability. In particular, temporary stores that sell special offers are consumption events for customers and their main objective is to get discounts. In some cases, pop-up stores of this type are used to give special offers to long-term, high value customers. In these events, the scarcity effect is reinforced as there is not only a temporary limitation of the offers but...
Center of discussion in this paper is Vacant of Los Angeles as the first company that developed the idea of pop-up retail. This was after the company had toured Tokyo on a business trip. The company was puzzled by the manner in which customers would literally line up to buy limited edition products from place retailers. When the products were all sold out, an exercise that took place in a matter of hours, the store closed down until its owner had brought in another stock, and then reopen it. This concept fascinated Vacant, who though to closing the store permanently after the stock had been sold. The company also thought of moving to another targeted destination because customers used to travel for long distances in order to buy products from niche retailers. Vacant picked up this idea and even today, the company still provides retailing alongside marketing for businesses. The company opened its second shop in NYC2003 through the sponsorship of Dr. Martens. Later in the same year, Song Airlines opened their pop-up shop in the same city. In 2004, Comme Des Garcons opened up a pop-up shop known as the Guerrilla Shop, which lasts for a one-year term. Since then, the trend of pop-up shops has grown to become an indispensable tool for real estate firms and property owners who are now prospecting to let their property for a short period in the wake of an economy down town pending its recovery. Although pop-ups began as a way of artists to make use of disused space in urban areas, this has since changed modern entrepreneurial activity.
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