Barneys NY Digital Transformation Fuels Sales Gains

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Barneys NY Digital Transformation Fuels Sales Gains

By Nicole Giannopoulos - 10/01/2013
With seven flagships, 13 outlet stores and two websites, Barneys NY was on a mission to update its luxury store experience through a digital transformation. During the transformation the retailer rolled out mobile point-of-sale on tablets and iPod touches as well as "the River", a digital table top in the cafÉ that allows customers to place orders, shop and blog while relaxing. The advantages of mobile include cost and space as well as sales gains – the retailer has seen a 10.9% increase in items per transaction, a 14.3% increase in dollars per transaction and a 12.5% increase in productivity, according to Artie Byrne, director of financial and store systems for Barneys New York at the recent RIS Cross-Channel Retail Executive Summit in Dallas, Texas.
 
Through the digital transformation, the Beverly Hills store was able to reduce the number of registers from 24 to four, allowing for more selling space. During the Oscars, Barneys New York was also able to create a pop-up store in the Beverly Hills Hilton to save stylists on last minute items they may need such as wardrobe changes and makeup emergencies.
 
Overall, the store associates are excited about the new technology in stores, viewing it as a great opportunity, according to Byrne. The mobile devices provide accessibility to additional colors and sizes as well as extend floor coverage with the ability to be where the customer is, creating a better relationship due to side-by-side interaction. "The associates love that it's more interaction than transaction now," says Byrne. This also expands associates ability to market items to clients that do not live in the area.
 
"Associates can store their little black book of contacts on their individual devices," explains Byrne. "With this information at their fingertips, including sizes and style preferences, associates can then send pictures to clients of items they may be interested in, creating a sale for those not in the area."
 
Moving forward, the retailer will add analytics, metrics, dashboards, CRM and clienteling abilities to the mobile devices to provide associates with everything they need in the palm of their hands.
 
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