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‘Tis the Season for Clientelling

BY CSA STAFF

This holiday season, New York City-based Brooks Bros. is featuring a new clothing line called Black Fleece. While the line, created by designer Thom Browne, was introduced during Labor Day, the chain is relying on a clientelling solution to spark further interest for the new label among loyal shoppers this holiday season.

Personalized service is part of Brooks Bros. corporate culture. Owned and operated by the $1.4 billion holding company Retail Brand Alliance, Enfield, Conn., Brooks Bros. operates approximately 200 retail locations in the United States, as well as 100 stores across Asia.

The upscale retailer, which specializes in men and women’s apparel, has been delivering a top-notch customer experience throughout its 185 years of operation. The only way to consistently achieve this level is to understand its customers’ needs. This becomes especially important as frenzied shoppers begin flooding stores to find the perfect holiday gift.

“November is when we expect our holiday rush to begin,” Stefano Gaggion, senior VP of IT, Retail Brand Alliance, told Chain Store Age. “The biggest challenge during this time is how to maintain a high-level of personalized, one-on-one care. This factor intensifies as we serve more customers through more channels.”

Brooks Bros.’ main concern used to be getting the right product to the right stores at the right time. Last year, it created a new supply chain initiative that added efficiency as merchandise was allocated for its retail channels.

“However, adding efficiency was not enough,” Gaggion said. “We wanted to incorporate the needs of shoppers, across all stores and direct channels, and use this data to properly allocate merchandise for each channel.”

However, sending the right goods to meet its customer demand “was a huge challenge,” noted Patrick Walsh, senior VP of retail operations, Brooks Bros. “We had no sophisticated way to mine data and react to customer demand.”

That is, not until the company began using the SAS Enterprise BI Server business-intelligence solution from Cary, N.C.-based SAS last year. This analytics suite measures store, regional and category performance, promotional effectiveness and marketing response rates. The solution also enables the company to profile each individual store location and capitalize on specific customer needs and channel opportunities.

By adding a clientelling solution from Delray Beach, Fla.-based Escalate Retail to the mix in August 2006, Brooks Bros. has upped the ante.

It is commonplace for the retailer to create profiles on each customer that shops with the chain. However, each Brooks Bros. sales associate used to manually record information about customers in their own “Black Book.”

The new solution enables store-level employees to enter customer information into an electronic database that is shared with all sales associates. Now if a customer visits when their primary associate is off duty, another sales associate can easily tap into that customer’s data and fulfill their shopping needs.

More importantly, the electronic solution is helping the chain solidify relationships and proactively cross-sell to its loyal shoppers. For example, as new merchandise lists apprise associates about incoming merchandise, associates can use Escalate to tap the customer directory and reveal who might be interested in the new arrivals.

“Then associates can personally contact these shoppers to let them know the merchandise is coming in, giving them the first crack at getting their size,” explained Walsh.

Besides allowing Brooks Bros. “to extend our relationship with the customer, we are proactively increasing the turns of merchandise once they hit the sales floor,” he said. “We are also increasing margins since we are selling stock as it enters stores vs. selling merchandise during sales periods.”

The solution will play a major role as the chain markets its Black Fleece label this fall. “The line caters to shoppers who are partial to tailored clothing styles. We expect the line to engage a new generation of customers for Brooks Bros.,” Walsh said. “Clientelling will help us identify shoppers who may be most partial to the line and build that customer base.”

At presstime, the chain was completing its training, “so our entire employee group will be ready to embrace clientelling and take full advantage of the solution for the holiday season,” Gaggion said.

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Judge revokes LeNature, Giant Eagle deal

BY CSA STAFF

PITTSBURGH The LeNature bottling facility in Latrobe, Pa. will go to Cadbury Schweppes Bottling Group Inc. instead of Giant Eagle Inc., following a federal bankruptcy court decision that Giant Eagle acted in poor faith throughout the bidding process for the plant.

Bankruptcy court judge M. Bruce McCullough ruled that Giant Eagle behaved in bad taste during the process, by threatening not to carry 15 Cadbury Schweppes soft drinks, teas, and bottled waters at its stores.

Although the judge awarded the plant to Cadbury Schweppes for $19 million, the company said that it no longer wanted the plant, and according to reports, Giant Eagle plans to appeal the decision.

LeNature was forced into Chapter 7 bankruptcy (later Chapter 11) last November after a former ceo was found to have inflated sales figures for 2005.

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BJ’s veteran promoted to chief marketer

BY CSA STAFF

NATTICK, Mass. BJ’s Wholesale Club has promoted Edward Gillooly to the new position of evp, chief marketing officer. Gillooly was most recently serving as senior vp, director of marketing.

Gillooly joined BJ’s in 1991 as assistant vp, marketing director. In 1992, he became vp of the marketing department. In September 2002, he retired from the company. In January 2007, he came back to BJ’s to head its marketing department.

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