Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to

Page created by Beatrice Davidson
 
CONTINUE READING
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Smarter Stores: The Insider’s Guide to

Connecting with Customers
and Cost Savings
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Technology is transforming the retail industry, making
store owners ask, “How can I make the shopping
experience experiential?” Mobile devices and content
marketing have changed the game, promising the
greatest rewards to those who create meaning
beyond merchandise. Intelligence is also reshaping
infrastructure, creating connected systems and the
opportunity to seize control of overhead costs. Where
brands go from here remains to be seen, but clearly the
future belongs to the ones who bring it all together.

Learn new ways to engage shoppers and drive efficiencies
 •   Discover how data is changing store management
 •   Test your knowledge and take a look at the latest trends
 •   Browse a complete catalog of LED lighting options
 •   Hear from others who are building for the future
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Table of Contents
Chapter 1:
State of the Industry. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 4-13

Chapter 2:
Lighting’s Impact on the Customer. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 14-19
Chapter 3:
Energy Savings for Your Store .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 20-29
Chapter 4:
Considerations When Choosing a Solution.  .  .  .  .  .  .  .  .  .  .  . 30-43
Chapter 5:
Why GE? .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 44-50
Chapter 6:
What Does the Future Hold? .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 51-61
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Until recently “Open for Business” meant unlocking the door each
           day and little more. From the first general goods depot to the
           last turn-of-the-century department store, from small market
           shops to sprawling modern megamalls, the retail location was the
           destination—until digital changed everything.

           After all, with a world of merchandise now just     building performance. From tracking inventory
           a couch and a click away, why go anywhere?          levels, to learning shopper preferences, to
           What will keep customers coming in when it’s        identifying the most trafficked aisles, intelligent
           easier to check out online? And where can store     LEDs are enabling entirely new possibilities.
           owners turn for savings when faced with cutting
           costs, or closing shop?                             Smarter stores also promise smarter
                                                               spending. Data analytics are driving dramatic
           It’s a new retail world, one at the intersection    improvements in lighting, heating and cooling
           of intelligence and infrastructure, where the       efficiency as more and more machines and
           shopping experience has come home, leaving          devices are connected to the cloud. For
           many to wonder what role brick-and-mortar           operations managers, this connectivity will
           buildings will play now that consumers can          make it easier to identify patterns, adjust to
           browse, compare and pay anytime, anywhere.          trends, and improve energy strategies across
                                                               multiple facilities.
           Certainly storefronts are here to stay, but how
           brands connect with guests to bring value and       Moving ahead, “Open for Business” will mean
           build loyalty will part from past approaches. And   unlocking the door—and much more. Is
           incredibly, as many are learning, the answers       inventory enough, or will crafting memorable
           may come from above.                                experiences be the key to capturing more sales?
RE TAI L

                                                               And who will learn to better manage costs with
           Indeed, intelligent lighting can form the           the better tools available? Surely, the greatest
           framework of the connected store of the future.     rewards await those who bring it all together to
           LED fixtures fitted with sensors and transmitters   connect with customers and cost savings.
           have the potential to capture contextual data
           that delivers new insight into buyer behavior and
                                                                                                                     www.currentbyge.com/intelligententerprises
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Chapter 1:
State of the Industry
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
5 Transformative Trends
                                    What factors are reshaping
                                    retail? How is store design
                                    different? We go around the
                                    industry for answers…

                                    1 | Enter Analytics                                       3|T
                                                                                                  he Future Fulfillment Center                            5 | Branding (While Saving) With Light
                                        With technologies such as Wi-Fi , Bluetooth
                                                                        ®          ®
                                                                                                  Employees must now juggle the needs of in-store             As stores create more immersive shopping
                                        and video analytics entering the market, retailers        customers and those outside the store, explains             experiences, space design—and lighting especially—
                                        are starting to leverage these platforms to gain          the National Retail Federation. Increasingly,               must accommodate these concepts. Retail lighting
                                        a deeper understanding of customer behavior               consumers want to receive merchandise on their              in particular is moving toward more flexible designs
                                        in the store, cites Forrester research. Intelligent       terms. As a result, retail brands in every category         that align more closely with the architectural vision
                                        platforms can provide insights that were previously       are challenged to help their stores sell, ship,             of a space, reports The Institute at GE’s Nela Park.
                                        available only in the e-commerce channel and can          transfer and return merchandise for transactions            Store owners want efficient and inconspicuous light
                                        affect many aspects of the business, including loss       that originated in channels and locations outside           sources without sacrificing color and quality, and LED
                                        prevention, marketing and merchandising. Of course,       the four walls of the store.                                options are proving popular.
                                        the deployment of in-store analytics presents
                                        challenges, from a lack of clearly defined uses, to    4 | L ess Is More
                                        the difficulty of marrying analytics with enterprise
                                        data, to customers’ privacy concerns.                     “More retailers are looking for ways to do more with
                                                                                                   less—less energy and less budget,” observes Neil
CH 1

                                                                                                   Maldeis, an engineer with Trane indoor comfort
                                    2 | Info Is “In”
            State of the Industry

                                                                                                   solutions. And it’s little wonder, considering the
                                        New research from Google suggests the relationship         U.S. Energy Information Administration’s findings
                                        between digital and in-store shopping is more              that of the almost 5 million commercial buildings
|

                                        nuanced and interconnected than many realize.              in the U.S., retail buildings account for the largest
                                                                                                   energy costs—nearly $20 billion each year—and are
R E TA IL

                                        Foot traffic is down, online research is up and
                                        smartphones are increasingly important to the              also responsible for the second largest percentage                                Watch 10 Examples of
                                        shopping journey. With two in three consumers              of greenhouse gas emissions. “Clearly, there’s keener                             Augmented Reality in Retail.
                                        not finding the information they need in-store—and         interest today to know how buildings are performing
                                        with 43 percent of those leaving frustrated—digital        and where improvements can be made in HVAC,                       Source: CreativeGuerillaMarketing.com

                                        experiences present an opportunity for retailers to        lighting, plumbing and insulation.”
                                        improve the shopping experience.
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Catalog of Terms
As we explore how intelligent infrastructure can impact retail operations,
here are some key terms to know:

Big Data                                                    Energy Modeling                                              LED
A broad term for data sets too large or complex for         Using operational data and simulation software to            Short for light-emitting diode; as light sources LEDs act
traditional database management tools                       analyze a building’s mechanical and electrical systems       as semiconductors similar to silicon chips; illumination
                                                            to help project energy use and determine the most            is achieved by the movement of electrons through a
Big Data Analytics                                          efficient strategies                                         semiconductor material, rather than by sending an
Examining big data sets to uncover hidden patterns,                                                                      electrical discharge through an ionized gas
unknown correlations, market trends, consumer               Industrial Internet of Things (IIoT)
preferences and other useful information                    The integration of industrial assets (machines,              Luminaire (or Fixture)
                                                            equipment, devices) with Internet-enabled software           A complete lighting unit consisting of a lamp (or lamps)
Building Automation System (BAS)                            to create powerful outcomes for business; brings the         and ballast or driver (when applicable) together with
Automatic central control of lighting, heating, cooling,    concept of the Internet of Things and Big Data together;     the parts to distribute the light, position and protect the
ventilation and other building systems with the goal of     a term coined by GE                                          lamps, and connect to the power supply
increasing efficiency and ensuring occupant comfort
                                                            Integrated Controls                                          Omni-Channel
Cloud Computing                                             Where control of lighting, HVAC and other building           Where the brick-and-mortar and online stores are
Using a network of remote Internet servers to store,        systems is networked to a single platform; allows facility   seamlessly integrated, allowing customers easy access
manage and analyze data, rather than a local server         management to be more seamless and strategic                 to otherwise unavailable items
or a personal computer; offers scalable IT services
                                                            Intelligent Environments (or Enterprises)                    Variable Air Volume (VAV)
Daylight Harvesting                                         Where interconnected smart devices, including                A system where air delivery volume varies directly with
Using daylight to offset the amount of lighting needed      intelligent LED light fixtures, collect and exchange data    the changing cooling or heating load, thus saving energy
to adequately illuminate a space; achieved with lighting    within a specific environment, such as a building or city,   at part-load conditions
controls for the purpose of reducing electricity use        to drive operational efficiencies
                                                                                                                         Variable Frequency Drive (VFD)
Demand Controlled Ventilation (DCV)                         Internet of Things (IoT)                                     An electronic system that provides infinitely variable
The automatic adjustment of ventilation needs to meet       Describes a world where machines and computers—              speed of three-phase AC induction motors, controlling
occupant demand using sensors and controls                  including objects like light bulbs, appliances and other     the flow of air and water in HVAC systems to save energy
                                                            electronics—are connected and can interact with each
Dimming                                                     other and their environments                                 Visible Light Communication (VLC)
Adjusting lumen (light) levels over a set or linear (step                                                                Wireless communication technology using ordinary
or continuous) range with the goal of setting the           Lamp                                                         lamps; transmits visible light pulses over the air as
atmosphere or reducing energy use                           The term used to refer to the complete light source          opposed to through optical fiber
                                                            package, including the inner parts as well as the outer
Edge Analytics                                              bulb or tube
The preprocessing or filtering of high volumes of data
closer to its source (“the edge”), rather than having it
stream back to (and possibly overwhelm) networks and
data centers

                                                                                                                                                www.currentbyge.com/intelligententerprises
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Analyze This!                                                                                         How digital is making broccoli better
                                                                                                                                          Jeff Bisberg, Chief Strategy Officer
                                                                                                                                          for Current, powered by GE

                                    And That?!
                                    Digital is changing the world again. The information age         Smarter about shoppers                                       Others, like The Home Depot, are using indoor
                                    is entering an era of hyper analytics as our physical and        Analytics can benefit merchandising and marketing,           positioning to add a layer of customer service to the
                                    virtual realities merge, making it possible to aggregate,        provided the data helps make shopping fun or                 in-store experience. The home improvement retailer
                                                                                                     convenient again, so that people want to visit stores        recently partnered with Google to produce indoor maps
                                    analyze and act on new data in new ways. Intelligent
                                                                                                     and spend more time there. The exciting news is that         that include turn-by-turn walking directions as a tool
                                    devices and deployments, it seems, are everywhere from                                                                        to help customers navigate their local store. Google
                                                                                                     opportunities to personalize or improve the consumer’s
                                    industrial plants to manufacturing facilities to offices and     experience are everywhere.                                   Maps™ for Android™ users can opt-in to a “My Location”
                                    yes, retail stores, though the industry remains early in its                                                                  feature and find their way by zooming in on a labeled
                                    adoption of the latest tools and techniques.                      U.S. retailers, including Nordstrom and Family Dollar       floor plan or by letting a live “blue dot” icon guide them
                                                                                                      have all experimented with indoor positioning, reports      to the right department.
                                                                                                      MIT Technology Review. Some of these systems use
                                    For store owners, the prize is insight into virtually all
                                                                                                      video cameras, sound waves or magnetic fields to track      Likewise, Mall of America’s mission is to spread indoor
                                    aspects of store performance, from which departments                                                                          map information to visitors across many levels in
                                                                                                      shoppers, though most leverage Apple’s iBeacon™,
                                    saw the most foot traffic to which cooling units are              a low-power Bluetooth® radio signal emitter that can        order to keep them from feeling overwhelmed by the
                                    operating least efficiently. Be it a problem or possibility,     “sniff out” smartphones.                                     expansive space. Prior to indoor mapping, Minnesota’s
                                    if it can be quantified it can be converted to contextual,                                                                    four-story, 5.6 million-square-foot tourist attraction
                                    executable intelligence at the store level or enterprise-wide.   Triangulating this signal can pinpoint a shopper’s           had relied on directory kiosks, customer service agents,
                                                                                                     position to within meters. Retailers can further collect a   an information texting service and a mobile directory
                                                                                                     unique identifier, called a MAC address, for each phone,     application to help orient visitors. However, each of these
                                    There are obstacles of course, starting with new
CH 1

                                                                                                     allowing brands to build behavioral models around            methods had shortcomings; if not due to usefulness,
                                    investments in technology infrastructure and crossing
            State of the Industry

                                                                                                     repeat customers, such as where they go in the store,        then by virtue of having a limited scope of accessibility.
                                    into consumers’ privacy concerns. And what does                  when, and for how long.                                      Now, technology is bridging the information gap
                                    one do with all this information, anyway? Assuming a                                                                          between shops and shoppers.
|

                                    spreadsheet holds the clues, who can decipher it?                Forest City Enterprises triangulates cellular signals to
                                                                                                     monitor foot traffic in many of the shopping centers         Better data can also mean better video surveillance as
R E TA IL

                                    Most important, how will ROI be measured?
                                                                                                     it owns or manages. It says the data helped it decide        advanced tools and algorithms have the potential to
                                                                                                     where to move an escalator that was interfering with an      improve loss prevention by helping identify patterns
                                    Despite these questions, many brands are actively                entrance. The company also measures how long visitors        of fraudulent activity. A connected store layout using
                                    seeking answers…                                                 stay after a fashion show or concert.                        strategically placed sensors and transmitters can even
                                                                                                                                                                  allow retailers to conduct shelf-specific A/B testing or
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
determine which displays draw the most interest.                  The “Broccoli Cam” is an invention of the British multinational      building energy use. On average, 30 operating parameters
Each insight can add up to offers or incentives that reach        grocery and general merchandise retailer. It can analyze             of a chiller can be monitored. If captured and recorded every
the customer at the right time, in the right place, in a way      when a produce tray is empty, which triggers a notification          15 minutes, these parameters would generate more than
that he or she finds meaningful.                                  to a store associate to restock it. This keeps customers             1 million records a year for a single chiller.
                                                                  on-the-go and employees focused on the task at hand,
Of course, shoppers have had concerns, mainly privacy, since      rather than checking on inventory throughout the day.                Over time, pattern recognition and correlation between
the first rumblings of “big brother” in retail. In one episode,                                                                        cause and effect issues allow analytical models and energy
Nordstrom ended its efforts to collect data about customer        Unique as one grocer’s use of analytics may be, it demonstrates      strategies—such as those governing the operation of chiller
foot traffic when shoppers worried their personal information     the difference a simple solution can make and how data can           units—to be optimized.
was at risk, which prompted a CBS news story. Despite posting     impact customer satisfaction and operational excellence at the
signs at store entrances explaining the technology, the lesson    same time. For most retailers, however, the first aim of analytics   Of course, success will be defined not by the sheer amount
the retailer and others learned was to always ask consumers’      will be to dial in on efficient energy use across stores.            of data mined, but by how store operators create value from
permission before tapping their information.                                                                                           it, including:
                                                                  As GreenBiz.com cites, the traditional approach to
                                                                                                                                           • Benchmarking building/asset performance against
Such instances aside, a new study by GE suggests individuals      defining an energy baseline was to correlate total building
                                                                                                                                              industry standards
are less concerned about privacy today than many might            consumption with outside air temperature and (possibly)
think, with only 21 percent of shoppers noting they distrust      occupancy level and level of operations. However, with                   • Better budgeting based on better models of future
brands to handle their information in a safe and secure           today’s more sophisticated technologies comes a much                        energy needs and operating expenses
manner. Still, there is no doubt transparency is critical         deeper understanding of the performance of specific
                                                                                                                                           • Stronger cross-function collaboration (virtualization
to implementing in-store analytics—brands must clearly            building systems and industrial assets.
                                                                                                                                              of building systems brings experts together as a
communicate the types of data being collected, by which
                                                                                                                                              connected community)
methods and to what ends.                                         As machines and equipment equipped with sensors and
                                                                  transmitters are connected to the cloud, it enables operational
                                                                                                                                       Whether connecting with a customer or connecting
Smarter about stores                                              and historical data to be captured to predict potential
                                                                                                                                       lighting and HVAC, digital devices, data analytics and smart
Analytics can also benefit everyday operations, provided          problems, conduct preventative maintenance, and push
                                                                                                                                       infrastructure will soon be the reality for many retailers.
the data is aligned with strategic goals such as curbing          new analytics back to all assets simultaneously.
                                                                                                                                       The technology is already in our homes, our businesses and
energy use, managing maintenance cycles, optimizing staff
                                                                                                                                       increasingly our stores, as brands shop for the best and
efficiency, evaluating marketing tactics or—in the case of        Chiller units are one example. A typical HVAC system
                                                                                                                                       brightest solutions.
Tesco—keeping the broccoli bin full.                              consumes about 60 percent of a building’s energy
                                                                  requirement, 35 percent of which is used by the chiller, notes
                                                                  GreenBiz.com. This translates to 20 percent of the total                                       www.currentbyge.com/intelligententerprises
Connecting with Customers and Cost Savings - Smarter Stores: The Insider's Guide to
Cool-tech
                                    Many store owners find themselves at a digital
                                    crossroads, puzzling over the latest technologies
                                    and which paths lead to innovation. Below,

                Cross-up!           we’ve identified 10 of the top trends in retail and
                                    the benefits each can bring. Challenge yourself!
                                    Can you connect these terms using the clues?
                                    (Answers below)
CH 1
            State of the Industry

                                    2 ACROSS | Electronic Shelf Label – ESL       1 DOWN | Retail Merchandising Unit – RMU

                                    4 ACROSS| Smart Badge                         3 DOWN | Endless Aisle
|

                                    6 ACROSS | Augmented Reality – AR             5 DOWN | Beacon
R E TA IL

                                    8 ACROSS | QR Code                            7 DOWN | RFID

                                    9 ACROSS | Virtual Shopping

                                    10 ACROSS | Indoor Positioning System – IPS

                                                                                                           www.currentbyge.com/intelligententerprises
1

     2

                                      3

4                          5

                                                      6                                      7

                                                                 8

9

                                                                     10

ACROSS:
2   A module using an LCD display that shows the current                  9   Website using high-resolution panoramic       3   Providing in-store customers with
    product price; prices can be updated instantaneously                      images, 3D software and "point, click,            enhanced online access to even more
    across a store, saving considerable time                                  zoom" functionality to simulate the in-           goods or services
                                                                              store experience on a customer's computer
4   Small, wearable, electronic devices designed to help store                or smartphone                                 5   Small, inconspicuous transmitter that can
    associates immediately answer customer questions 		                                                                         communicate with smartphones and other
    about price, availability and more                                    10 A way to locate people or objects indoors          connected devices in close proximity
                                                                             where GPS cannot operate; uses Wi-Fi® or
6   Technology that overlays computer-generated inputs                       Bluetooth® to actively locate mobile devices   7   System that uses radio frequencies to read
    (sounds, graphics, video) on a user's view of the real                                                                      tags or labels embedded with a computer
    world; used by retailers to bring products to "life" to                                                                     chip; can provide many details about a
    capture customer attention                                            DOWN:                                                 single item or drastically reduce the time it
                                                                          1   A module using an LCD display that shows          takes to count inventory
8   Trademark for a type of matrix barcode first designed                     the current product price; prices can be
    for the automotive industry in Japan; links shoppers to                   updated instantaneously across a store,
    digital content when scanned with a smartphone                            saving considerable time

                                                                                                                                           www.currentbyge.com/intelligententerprises
Wanted:
                                    Actions to Support Innovation
                                    “Don’t like data? You won’t like the future.                                            Disruptive Forces
                                                                                                                            Several forces are shaping how executives approach innovation, creating
                                     Many new jobs will require being equally                                               opportunities for internal and external disruption. These forces include
                                     adept at hardware and software.“                                                       collaboration, big data and the Industrial Internet.
                                             —Beth Comstock, Vice Chair, GE
                                                                                                                            Collaboration is now mainstream. The risk associated with the lack of IP protection
                                                                                                                            was a prime concern in 2013, leaving just 38 percent wanting to increase
                                    Innovate or sink. In short, that’s the key takeaway from more than 3,200
                                                                                                                            collaborative efforts; 77 percent now believe that risk is worth taking. At the same
                                    business executives from 26 countries who took part in GE’s latest Global
                                                                                                                            time, two-thirds of those who collaborate have seen associated revenue grow
                                    Innovation Barometer. Yet as we enter a new age of business disruption driven
                                                                                                                            as a result.
                                     by unprecedented numbers of startups and game-changing technologies,
                                    the path to success remains challenging.
                                                                                                                            Meanwhile, big data has evolved from a buzzword to an important tool in the
                                                                                                                            innovation process, albeit one that poses certain difficulties. While 70 percent
                                    Embracing Innovation
                                                                                                                            of businesses see big data as critical to optimize business efficiency, 61 percent
                                    Back in 2011, the Barometer’s first year, executives agreed that innovation was
                                                                                                                            believe it will be a real challenge to implement. For those who utilize it, 69 percent
                                    necessary, but nine out of 10 were shy about moving ahead in a sinking economy.
                                                                                                                            see added value for the innovation process.
                                    In 2013, many experienced “innovation vertigo”: anxious over global economic
                                    instability, they were unsure how to move forward with disruptive ideas, products
                                                                                                                            The Industrial Internet is an emerging concept but also positively received,
                                    and services.
                                                                                                                            with half agreeing that it will drive innovation success in the future. But only
                                                                                                                            one in four feels prepared to use it.
                                    A significant majority now say they want to embrace innovation that disrupts
                                    markets—even if that deals a blow to their own established business models.
                                    They are using data and analytics to better understand customer and market dynamics.
                                                                                                                            The Future Workforce
                                                                                                                            These forces are also shaping the future workforce. Talent is a bigger priority;
                                    And they are searching for the new kinds of talent, technology and partners that they
                                                                                                                            79 percent of global executives say it is a crucial asset for successful innovation—
                                    need to gain a competitive advantage and become “disruption ready.”
                                                                                                                            six points higher than in 2013. However, only a third believe their company
                                                                                                                            excels at acquiring and retaining the right talent.
                                    Two-thirds of executives surveyed believe businesses have to encourage creative
CH 1

                                    behaviors and must disrupt their internal processes in order to do so. They are
                                                                                                                            To aid here, executives clearly expect their governments and policymakers to
                                    taking action, embracing the need to transform and adapt to an unprecedented—
            State of the Industry

                                                                                                                            better align students’ curricula with the needs of business. This is viewed as a
                                    and at times undefined—reality.
                                                                                                                            critical priority for 85 percent of respondents. These types of workers—those who
                                                                                                                            can marry the physical and digital worlds, and who can extract and translate
|

                                    Though many confess they have yet to find the perfect business model,
                                                                                                                            analytic insights into actions—will come at a premium to businesses wanting
                                    executives concur that efficient and successful innovation hinges on three
R E TA IL

                                                                                                                            to drive change.
                                    factors: understanding customers and anticipating market evolutions (84 percent);
                                    attracting and retaining the most talented and skilled employees (79 percent);
                                    and quickly adopting emerging technologies (67 percent).
                                                                                                                            Conclusion
                                                                                                                            Innovation executives are enthusiastically taking action to harness and capitalize on
                                                                                                                            the disruption occurring throughout the global marketplace. Once overwhelmed by
                                                                                                                            options, executives are now showing clear determination to gain control—actively
                                                                                                                            seeking the talent and technology necessary to make innovation more than an idea.
What Shoppers Want
While some contend the rise of digital commerce could make the local retail store obsolete,
new research from Google, conducted with Ipsos MediaCT and Sterling Brands, suggests the
relationship between digital and in-store shopping is far more nuanced than that. Foot traffic
may be down, but are customers willing to deepen their connection with stores? Put your
perceptions to the test! Guess below, then learn what Google found:

1. ___ of 4 consumers is/are more likely                       3. ___ percent of consumers say           5. ___ percent of consumers are more
to visit their local store after finding                       they’d be more likely to shop in places   likely to shop in stores that make
helpful information in an online search.                       that offer personalized coupons and       specific product recommendations:
a. 1		          b. 2                                           exclusive offers in-store.                a. 50		        b. 64
c. 3		          d. 4                                           a. 85		       b. 67                       c. 33		        d. 20
                                                               c. 30		       d. 55

2. ___ percent of shoppers search for
information online while in the store.                         4. Shoppers find this information to      Methodology:
                                                               be the most helpful in search results     Google, Ipsos MediaCT and Sterling Brands research
a. 28		       b. 15                                                                                      study from March to May 2014. Survey conducted
c. 60		       d. 42                                            for an item:                              among 6,000 smartphone users aged 18–54 who
                                                               a. If the item is in stock                have influence in the purchase decision-making
                                                               b. Photos/video/more detail about         process of retail, CPG or tech products and have used
                                                                  the item                               the Internet to look for shopping-related information.
                                                               c. A map to locations with the item
                                                               d. The price of the item

Answers:
1) C - Despite the myth search results only send consumers to e-commerce sites
2) D - Nearly half, making retailers’ search results, mobile site and app increasingly important
3) A - A strong indication that customization matters to customers
4) D - Price remains the first consideration for 75 percent of shoppers
5) B - More than 6 in 10, proving shoppers still look to retailers for their expertise
                                                                                                                           www.currentbyge.com/intelligententerprises
Data for Discounts?
                                    Would you be willing to trade your data for discounts? The full
                                    results of the survey are available in a downloadable report.

                                    In today’s digital society, the interaction between consumers          only are consumers far happier to share private data such as
                                    and brands is becoming ever more complex. Over-the-counter             their mobile phone location than previously imagined, but that
                                    purchases were once a relatively simple transaction, but               there is a real desire for the kind of in-store connected services
                                    bargain-conscious shoppers are increasingly moving online              this information could support.
                                    where a wealth of product information is available at the touch
                                    of a button.                                                           The research, which was conducted by Current, powered by
                                                                                                           GE, in partnership with Retail Week, revealed that 79 percent
                                    The growth of mobile technology enables consumers to                   of shoppers were willing to share their data or willing to share
                                    research, compare, purchase and review products anywhere               it with some reservations, suggesting that concerns about
                                    and at any time—often without going anywhere near a physical           privacy and information sharing may have been overstated.
                                    store. For retailers, this has presented some real challenges,
                                    as competing with the level of interaction and personalization         The survey asked 1,000 consumers across a variety of age
                                    offered online is problematic.                                         ranges about their opinions of indoor positioning systems (IPS)
                                                                                                           within their retail experience. This type of system works by using
                                    However, despite the increase in online and mobile spending,           technology such as Bluetooth® beacons, cameras or Visible
                                    it seems that the brick-and-mortar store’s reign is far from           Light Communication (VLC) to communicate with customers’
                                    over. Rather, many shoppers are growing to expect a more               phones. Normally integrated into existing infrastructure,
                                    interactive relationship with retailers throughout all stages of the   such as the lighting fittings, IPS enables retailers to pinpoint
                                    purchasing journey, with a shifting focus toward omni-channel          the customer’s location within one or two meters accuracy.
                                    customer experiences both online and in-store.
                                                                                                           Not only were the majority of respondents happy to share
                                    This requires retailers to think more creatively about how they        information, 75 percent of shoppers commented that retailers
                                    interact with customers, by leveraging existing mobile behavior        could actually do a better job of providing navigation support
                                    to drive engagement. Intelligent data-gathering technologies           around the store. Increasingly, it seems that customers are
CH 1

                                    that can be integrated into the store’s infrastructure have            quite happy to engage with brands, as long as they receive
            State of the Industry

                                    created a host of new channels for customer communication—             something in return. For retailers, this can provide a vital means
                                    capitalizing on a growing willingness from customers to interact       of clawing back some of the revenue lost to the Internet.
                                    with brands in-store through their smart devices.
|

                                                                                                           Illuminated Minds promotes energy-efficient lighting’s
                                    This raises some pertinent questions about the level of privacy        contribution to sustainable business practices by bringing
R E TA IL

                                    consumers are willing to give up in exchange for personalized          together leading thinkers and practitioners to demonstrate,
                                    promotions and the value they would need to receive in return.         educate and challenge.
                                    Interestingly, a major piece of research has indicated that not

                                                                                                                                                                            www.currentbyge.com/intelligententerprises
Chapter 2:
Lighting’s Impact
on the Customer
Retail Lighting 101
                                                Light touches all corners of your environment­­—and it pays to know the basics.
                                                This resource discusses technology, terminology and different lighting
                                                applications to help you better understand your lighting systems and make
                                                the best decisions for your facility.
            Lighting’s Impact on the Customer
CH 2
|
R E TA IL
It pays to know lighting. In the parking lot, up and                     • Appraisal. Customers make a flurry of buying decisions from the
                                                                           time they walk through your doors;―does your lighting give you the
down aisles, and even behind the scenes; from                              best chance that these decisions will result in sales?
warehouse storage to employee work areas—lighting                        • Atmosphere. Lighting can elevate your store’s brand and image,
touches all parts of a major retail facility. It affects                   and can leave a positive impression that lasts.

employee mood, energy use and the consumer’s                            These principles can help answer the most critical questions when it
perception of your product, necessitating important                     comes to lighting and can pave the way to a clear set of goals for your
                                                                        lighting system to accomplish, including:
decisions and questions to ask when it comes to the
                                                                         • Lighting that meets basic visibility requirements while satisfying
lighting inside your store.                                                aesthetic and economic concerns at the same time.

                                                                         • High-quality light that provides uniform illuminance and
Does my merchandise truly look its best? Do my customers feel secure       minimizes glare.
when shopping at night? Is my store environment properly aligned with
the brand image? How efficient is my lighting system, really?            • Lighting that is optimized for the current structure but that
                                                                           can easily adapt to the changing needs of a growing business.
No two retail facilities are the same, but there are three guiding
principles every retail lighting decision maker should know:

 • Attraction. The lighting throughout your store should be
   enticing, guiding customers to special displays and throughout
   the entire space.                                                                                                     www.currentbyge.com/intelligententerprises
Are You Leaving
                                                Lighting Options
                                                (and Sales)
                                                on the Table?
            Lighting’s Impact on the Customer
CH 2
|
R E TA IL
Despite the current fashion for neuromarketing (the study of
techniques that, either consciously or unconsciously, influence
consumers’ behavior through their senses), the retail sector has yet
to take full advantage of lighting (or the lack of it) as a resource.

According to experts in retail visual merchandising and lighting,
stores are already switching traditional, incandescent lights for
LEDs in the search for economy, but they have yet to change
the number of spotlights or redesign their layouts.
Both large department chain stores and smaller outlets            •   The color temperature of the lighting can also             Shopping centers are normally plain and well-lit. This
usually fail to take advantage of the different options         		    enhance a product’s characteristics. Bright lights         general lighting allows the stores and brands to play with
for interior and exterior lighting. Changes in brightness,      		    and cold hues are associated with cleanliness and          their own lighting strategies to make their products stand
filters, and the temperature or positioning of lights can       		    are used in jewelry stores, for example, where a           out. A prime example is the case of Carolina Herrera
increase sales by emphasizing one product above others,         		    cold LED would enhance the brightness or                   whose sections within large department stores have their
or highlighting its color characteristics. Different lighting   		    properties of a diamond.                                   own furnishings and lighting, emphasizing the unique
causes consumers to feel different emotions: feelings of                                                                         personality that the brand wants to transmit.
comfort, perceptions of freshness, etc. Spatial perception      In Europe, one example of a fashion store that has
can be altered using variations in the color temperature,       embraced the benefits of good lighting is Desigual, whose
brightness and intensity of lighting. The same factors          distinctive clothing has clear personality that emphasizes
can also be used to create different emotions, inviting         different colors and styles and requires flexibility from one       This article was previously published in LED Inside.
consumers to buy.                                               season to another. Desigual uses specialized lighting
                                                                in all its stores, in line with the image it wants to portray,      Lisardo Mendo is a visual merchandiser who has been
Playing with the illumination can create different              therefore giving the store character and making the                 designing windows for 30 years. Owner of the company
atmospheres, feelings and perceptions, and in turn:             brand easily recognizable all over the world, either from           Vitrina in Barcelona, he has created spaces for such
                                                                the inside or the outside.                                          prestigious brands as Levi´s®, Dockers®, Tommy Hilfiger®,
  • Certain products can be showcased to assist the 		                                                                              Nike® and Montblanc™ among others.
		 sale of surplus stock before the change of season 		         Another part of the retail sector, which is paying more
		 in the fashion trade or during a sales period…               attention to lighting, includes supermarkets and large
  •   Although in general, corridors and passageways            department stores. Large supermarkets, such as
		    should have lower intensity lighting in order to          Carrefour or Sainsbury’s, are compartmentalizing their
		    ensure there are no distractions, specially designed      product zones more and more, differentiating clothing
		    lighting can create specific routes for customers to      from pharmaceuticals from food, emphasizing the
		    follow, leading to particular areas or products…          positioning of furnishings and products by the use of
                                                                lighting. The aim is to draw customers in and make them
                                                                feel that they are really in a clothes store or pharmacy.

                                                                                                                                                       www.currentbyge.com/intelligententerprises
Is LED Disruptive in Retail Design?
                                                By James Fleet,
                                                Retail Sales Leader for Current,
                                                powered by GE. Prior to joining
                                                GE in 2002, he ran his own
                                                lighting business.

                                                      LEDs have often been described as a disruptive            able to devise tightly optimized layouts that greatly   case clarity, supplier confidence and board/director
                                                      technology, but to what extent has the growth in          reduce the number of fittings required. Reducing the    engagement. Capital expenditure constraints can
                                                      LED popularity challenged conventional thinking           luminaire count delivers on two fronts: lowering the    be eased through funding agreements (where
                                                      in retail lighting schemes? I would say that while        capital expenditure while simultaneously boosting       repayments are based on expected monthly energy
                                                      great progress has been made, there are still some        the energy savings.                                     savings, for example), providing a cost-effective
                                                      challenges to be overcome. However, as we move                                                                    means of delivering the required upgrades.
                                                      toward the second half of the decade, I believe           However, to answer the question of how much LED
                                                      the rate of change is going to accelerate rapidly         lighting technology has disrupted the status quo        LEDs have certainly shaken up conventional thinking
                                                      as retailers rush to meet their 2020 sustainability       in the retail lighting sector, we must break down       when it comes to lighting design, and while they may
                                                      commitments.                                              its adoption into two distinct camps. Within the        not have completely displaced traditional light sources
                                                                                                                new build portion of the sector, LEDs are very much     just yet, the ever-expanding scope of LED technology
                                                      A disruptive technology is one that changes               displacing traditional lighting solutions. Retailers    means the future is bright for retail lighting.
                                                      the status quo in a market by providing a more            are under strict pressure to achieve extremely
            Lighting’s Impact on the Customer

                                                      effective solution that eventually displaces an earlier   high levels of sustainability within their new build    Illuminated Minds
CH 2

                                                      technology. As a highly energy-efficient choice, LEDs     property portfolios, so energy-efficient LED lighting
                                                      are certainly gaining ground on traditional lighting      has been the mainstay of new store designs for some
                                                      sources, but it’s not just the energy savings that        time now. Within the retrofit portion of the sector,
                                                      makes them popular with retailers.                        progress has been somewhat slower, but there has
|

                                                                                                                certainly been a move toward incorporating LEDs
R E TA IL

                                                      One of the key benefits is the versatility of LED         into existing property portfolios.
                                                      lighting, which has enabled retailers to work smarter
                                                      in the way they apply lighting schemes to their           Proactivity and capital expenditure availability are,
                                                      properties. LEDs deliver an extremely directional         unsurprisingly, the two biggest drivers to retrofit
                                                      light, so with a bit of creative design, retailers are    adoption. Proactivity is enhanced through business

                                                                                                                                                                                               www.currentbyge.com/intelligententerprises
Chapter 3:
Energy Savings
for Your Store
Innovations in HVAC
Xcel Energy, a major U.S. electricity and natural gas company, shares energy-saving innovations
that can help you cut the operating costs of the HVAC equipment your building uses. Following are
four emerging technologies worth investigating:
#1 – Demand-Controlled Ventilation (DCV)                       #2 – Direct Digital Control (DDC) Systems                    the air handling unit, chillers and boilers to run a partial
During a building’s operating hours, the airflow (or           A DDC system is a control system that uses digital           load, they enable better overall energy efficiency.
ventilation) provided to spaces is the amount required for     processors to directly control HVAC equipment. This kind
fully occupied stores, whether or not traffic is light. When   of system may be specific to the equipment controlled        A retail store is a good application for a VAV system,
you install a DCV system, you can alter your ventilation       with preset programs; it can be a separate system that       where pressure concerns are not critical and
needs to fit your occupancy levels. Demand-controlled          has customizable programs. For multizone systems, the        temperature needs vary around the clock. The ability to
ventilation can save the most energy in colder climates,       DDC system must “report to a central control panel” or       grant independent temperature control also makes VAV
where ventilation air requires more heating.                   bring together information from each zone. Direct digital    systems a good fit for multizone facilities.
                                                               control systems ultimately provide users enhanced
Reducing the speed of the fans to match the number of          abilities for monitoring and manipulating their HVAC         #4 – Variable Frequency Drives (VFD)
occupants in ventilated spaces can save a lot of energy,       equipment, resulting in more appropriate use of systems      A VFD is a device that reduces motor speed to match a
and there are a few ways you can do this. Carbon dioxide       and better energy efficiency.                                driven load by controlling the frequency (Hz) and power
(CO2) sensing is the most common method. Such systems                                                                       (Volts/Hz) ratio supplied to the motor. They’re a good idea
have a CO2 sensor in each space or in the return air and       DDC systems can be paired with software that lets            for HVAC systems where motors do not need to run at
adjust the ventilation based on CO2 concentration.             operators monitor, control, alarm and diagnose building      full speed for optimal performance.
People breathe out CO2, so the higher the level, the more      equipment remotely. Some DDC systems are accessible
people it detects that are in the space relative to the        via the Internet, meaning users can log in to their HVAC     In addition to their energy-saving benefits, VFDs offer
ventilation rate. Other occupancy sensing techniques           dashboard from any Web-enabled device.                       improved process controls, protection from overload
use lighting or dedicated occupancy sensors to detect if                                                                    currents and extended motor equipment life. For more
anyone is in the space or if the space is vacant.              #3 – Variable Air Volume (VAV) Systems                       information about VFDs, visit the Motor Decisions
                                                               VAV systems supply a fluctuating rate of airflow to HVAC     Matter website where you’ll find helpful tools, including
According to a report by researchers at the Department         systems that keeps the air temperature constant. By          their motor planning kit or sponsored calculator to
of Energy’s Pacific Northwest National Laboratory,             regulating the volume of air delivered, a VAV system can     estimate annual energy cost, capital investment,
sensors are now being developed that will be able to           control the temperature of a space without changing          payback and more.
count the number of people in a space to control the           the temperature of the supply air. The system monitors
rate of airflow. The report projected that, on average,        the heat gains or losses within a space and adjusts          Xcel Energy conducts regulated operations in
large buildings across the country would save 18 percent       accordingly. This provides several benefits over constant-   eight Western and Midwestern states, providing a
of total energy consumption by making this change, with        volume systems, including more precise temperature           comprehensive portfolio of energy-related products
a small portion of that savings tied to occupancy sensors      control, reduced compressor wear, lower energy               and services to 3.5 million electricity customers and
to also turn the building’s lights on and off.                 consumption by system fans, less fan noise and additional    1.9 million natural gas customers. It is headquartered
                                                               passive dehumidification. Because a VAV system allows        in Minneapolis.
Energy-Saving Ideas for Retailers
                               E Source has been providing objective research
                               and advisory services to over 300 utilities and
                               large energy users for more than 25 years.

                               Interested in boosting your bottom line while
                               elevating the shopping atmosphere of your
                               store? E Source offers retailers these tips to save
                               significant amounts of energy while maintaining
                               or even improving customer comfort…

                                         1 | Turn things off                                           3 | Maintain your HVAC system                       direct light downward. Even with less total light output, a
                                           According to the U.S. Department of Energy,                  Making sure that your HVAC system is regularly     retail store often can safely use fewer lamps if this choice
                                           lighting accounts for more than 50 percent                   cleaned and serviced can help to prevent costly    is made. For all applications, have a lighting consultant
                               of all electricity consumption in retail buildings, so it’s   heating and cooling bills. Two simple ways to improve         review your layout to ensure it provides appropriate light
                               a great idea to turn lights off when they are not in use.     the efficiency of your system are to change your filters      levels, light quality and energy performance.
                               When properly installed, occupancy sensors and timers         regularly and to check your condenser coils for any
                               can help to achieve this. A no-cost option is to simply       debris that they may have collected. If your system uses                  5 | Commission your building
                               train staff to include turning off lights as part of store-   an economizer, have a licensed technician check, clean,                   Commissioning is a process in which engineers
                               closing procedures. In addition to lighting, many retail      calibrate and lubricate it about once a year, as economizer               systematically check and tune up building
                               stores have electronic displays that are left on even         failure can increase heating and cooling costs by up to       systems to ensure that they are operating appropriately
                               when the store is closed. At the end of the day, these        50 percent.                                                   and efficiently. Studies have shown that commissioning
                               displays can be shut off manually or with simple timers.                                                                    a building’s energy systems can lead to reductions of
                                                                                                       4 | Improve your lighting                           around 16 percent in annual energy bills. In addition to
Chapter 2: Lighting’s Impact

                                         2 | Change HVAC settings                                       Proper display lighting is critical for gaining    providing energy savings, commissioning often increases
                                         HVAC is one of the biggest sources of energy                   sales and preventing returns. LED, compact         comfort for occupants because the majority of problems
     on the Customer

                                         consumption in retail buildings. During closed      fluorescent and metal halide all are efficient alternatives   identified tend to concern HVAC systems. If your building
                               hours, turn temperature settings down in heating seasons      to quartz halogen track and spot lights. Don’t forget         was previously commissioned, consider investing in
                               and up in cooling seasons. You can automate these             about T12 fluorescent lamps—relamping with modern T8          recommissioning every three to five years.
                               settings with programmable thermostats. Additionally,         tubes and electronic ballasts can reduce lighting energy
                               make sure that HVAC settings in stockrooms, offices and       consumption by a third. Meanwhile, most parking lots are      Source:
                                                                                                                                                           © 1986-2014 E Source Companies LLC. All rights reserved.
                               other peripheral spaces are at minimum settings.              designed with far more lighting than is necessary. When
                                                                                             designing for a new lot, consider low-wattage fixtures that

                                                                                                                                                                                     www.currentbyge.com/intelligententerprises
Confessions of an LED Convert
                                            (and other energy-saving admissions)
                                                                               Q&A with Brookshire Brothers’ Eric Johnson, Director of Store Planning & Efficiency

                                                                                 LED was unproven to      were doing everything they could to cut costs, to cut       replace a couple of lights. These were real issues.
                                                                                 Eric Johnson when        expenses, and with us being the little guy, we had to       Parking lot lights combined with ongoing exterior sign
                                                                                 he was determined        keep up. We were going through several remodels, so         maintenance made it clear we’d reached the point we
                                                                                 to make Brookshire       everything was on the table, and that’s when lighting       needed to make a significant improvement.
                                                                                 Brothers’ supermarkets   stood out in terms of potential savings. But we needed
                                                                                 more energy efficient    the confidence that when we chose a path, it was going      Why did you consider LED?
                                                                                 several years ago.       to be right, because when you’re going against the big      Well, I think at first, like many others, we were most
                                                                                 Faced with cutting       brands, the money isn’t there to fix mistakes.              comfortable with what we knew. That included
                                            costs or falling behind the competition, the long-time                                                                    fluorescent tubes over the aisles and in refrigerated
                                            Director of Store Planning & Efficiency set a long-term        Why did lighting stand out?                                cases, your standard HID fixtures outside and a lot of
                                            lighting strategy to bring savings to more than 100 stores     For example, my electrical contractor once told me,        neon in signs. Updating our stores gave us opportunities
                                            throughout Texas and Louisiana.                               “You wouldn’t believe how much of the work we do for        to look closely at lighting and, through research, learn
                                                                                                           you to repair fluorescent lighting in frozen food door     where the market would be in five to 10 years. What we
                                            Like so many facility managers, Johnson had concerns           cases.” He was right, because I could walk into too        found was that everything was pointing to LED. Back
            Energy Savings for Your Store
CH 3

                                            about LED and questioned the impact it could make.             many stores and find at least a few doors that weren’t     then, we had heard about some good experiences, and
                                            Over time, however, he discovered the technology had           lit for one reason or another.                             some not so good, but we felt we needed to learn more.
                                            grown integral to his goals. Today, enterprise-wide,
                                            Brookshire Brothers is a model for retail lighting and        Another of my pet peeves was the cost we had when           How did you learn?
|

                                            other energy improvements with a focus on the future.         parking lot lights went out. In some places, we don’t       We have fantastic partners that help educate us.
                                                                                                          have an abundance of lights to begin with, and if you       The representative from our local distributor, Elliot
R E TA IL

                                            When we met, a lot was going on—take us back.                 have only eight fixtures and just a couple go out, that’s   Electric, is tremendous, does incredible legwork and
                                            It was several years ago that we launched a facility-         a pretty substantial ratio of your total lighting. So you   works his tail off for us to explain the technologies and
                                            wide energy program, and that included a lighting             can’t sit there and just let it go, you have to send the    what our options are. I think it’s invaluable to have a real
                                            update with LED in parking lots, exterior signage and         bucket trucks, and being rural, they’re not nearby, so      expert you can turn to anytime. We depend on the Elliots
                                            refrigerated door cases especially. Our competitors           you rack up a lot of mileage and a lot of expense to go     of the world for the knowledge they have on staff.
How does that knowledge help?                                      optics still improving over what we bought four years ago,
A company our size has many of us who wear multiple hats           there’s no doubt about that. We made a smart choice.
and have a full plate at all times. What Elliot Electric does
in particular is, if we have an issue at a store, they will go     Is LED always the answer?
to that location, examine the lighting and develop a plan          Not in all spots.―I’ve done studies in the past year where
for what is needed. They are very good at assessing the            I’ve compared stores to converting to LED or remaining
situation and recommending a solution. Actually, a lot of          fluorescent. An existing fluorescent store is usually more
things would go undone or wouldn’t happen as soon,                 cost-effective to stay fluorescent with the right lamp
but they’re able to assist in order to expedite things.            and ballast. The 28-watt extended life lamp being used,
                                                                   combined with the high-efficiency ballast, is driving the          Refrigeration is a key component of our energy usage.
Where are you ahead today?                                         payback, and going to LED just isn’t there yet. But when
We have replaced 400- and 1,000-watt fixtures in many of           buying new fixtures, LED can be justified.
our parking lots with LEDs. We also use wall packs on many
buildings because we like having the extra visibility around the   You looked at more than lighting—what else did you learn?
building. Much of the neon in our signs has been swapped out       With HVAC, I keep an eye on what our industry and our
for LED too, so that’s not as much the same concern it used        regional market in particular does. A lot has to do with
to be. And in our refrigerated cases of course, that’s where we    the building type, which may dictate what you can handle
started with LED and where we’ve seen the biggest benefit.         at that location. A lot of our buildings are in rural, smaller
The cases look amazing, and we’re actually saving as a result;     towns, are metal, and may not have the structure for roof-
because shoppers can see clearly inside, they’re not opening       top units. Most of these stores have single, large units in
the doors as much, which keeps the cold air in, which means        the back, which require a lot of duct work, but fit the need.      One lesson learned is that LEDs really like the cold.
the compressors don’t have to work as hard.                                                                                           For refrigeration, they’re low maintenance and thrive in that
                                                                   A lot of this is by observation and paying attention to what       environment. The quality and dependability of the lighting
When you add it up, we’ve cut our lighting energy requirement      the trends are. For instance, multiple smaller roof-top units      is far superior to what we had in the past. Our customers
by about 2.4 million kilowatt hours, which saves us close          tend to cost less than the larger tonnage ones we’ll use,          can see much better now, and many have actually thanked
to $250,000 a year. On top of that, you have maintenance           but are more disposable and may be not quite as efficient.         us for that.
savings that are harder to quantify, but when I’m not sending      These also may be replaced sooner than our large units,
trucks or service crews out, I know that’s money we can            which are expected to have a longer service life. One thing        Have any last advice for store operators?
better spend elsewhere. It’s not just energy efficiency that       we’ve been doing for a few years now is using a lot of variable-   Competition for project funds is something most deal
LED has brought but reduced maintenance too.                       speed equipment to make them as efficient as we can.               with. You have to make good strategic choices in order to
                                                                                                                                      make the most impact. Our corporate culture and upper
So LED was the answer?                                             What other concerns did you have?                                  management is positive about doing the right thing while
About six years later, I can say that converting to LED is a       Refrigeration is the heartbeat of the whole store.                 achieving business goals. Adding a couple of LED light
success for Brookshire Brothers. We looked at long-term cost       There’s a lot going on with the ongoing phaseouts of               poles and some wall packs to a rural store is positive for
of ownership relative to performance, and in most cases,           refrigerants. What refrigerant is the norm today typically         the community and our image while contributing to our
it met our value threshold. With LED you get the consistency       already has an expected lifespan, and the next one to              business goals. One store at a time, one parking lot in
and the reliability. It doesn’t go out, and to be honest has       replace it is being developed. On the case side, lighting has      this case, enables us to chip away at the long-term goal
affected our electrical contractors. The repair business           been huge. We have been using vertical LEDs in door cases          of converting all stores and accomplishes multiple goals.
is down, but at the same time, money saved is being                for just over six years and horizontal LEDs in multideck
reinvested in converting other locations away from the old         cases the past three years. To meet DOE efficiency                 You may not be able to outspend the other guys, but you
lighting, so they stay busy. For me, it comes down to putting      requirements, most new cases come standard with LED                can try to outsmart them.
those dollars into something constructive rather than repair.      now. Also, extensive use of glass-door cases in medium-
                                                                   and low-temp applications, whether in a new store or
The bottom line is we’re getting more compliments on our           an equipment upgrade in a remodel, greatly reduces
lighting than ever before, and that really says it all. The        horsepower requirements, ultimately, reducing our energy
savings are there, and we see the product efficiency and           usage and expense.
                                                                                                                                                              www.currentbyge.com/intelligententerprises
You can also read