David Diaz, CEO, Davenport Laroche

The last few years have not been kind to most large-scale U.S. retail stores. From department stores like Sears to discount stores like Kmart or big box specialty stores like hhgregg, the retail segment is in flux, thanks to shifting consumer habits. That means existing brands have to be smarter and more aggressive in keeping their current customers, and effective in attracting new customers, both online and to their brick-and-mortar stores.

The latest market segment taking a beating appears to be home goods and housewares. Increased competition from big box discount retailers like Walmart and Target, and home improvement stores like Home Depot and Lowes, as well as online sales, are putting the squeeze on dedicated home goods brands like Bed, Bath and Beyond or Crate & Barrel.

These stores are paying much closer attention to which items are moving faster, tightening up shelf space and ousting products that aren’t selling at a faster rate in order to respond to current consumer demand. So, what does that mean for home goods and housewares brands that depend on retail space to stay in the black?

So, how can home goods and housewares brands build a firm foundation to manage any shifts in the market?

Be visible — If you’re blending into the pack, you’re going to get lost, especially when people are searching online. Brands should consider re-imaging, celebrity sponsorship, and high-level visibility campaigns to put their name in the minds of customers. These campaigns should be unilateral and cross-platform in print, online, broadcast, and, especially, on social media.

Be bold — To stand out, you have to take risks, try new things and, sometimes, step way outside the box. Engage in CSR, support a high-profile charity, sponsor a reality show … do something positive and exciting you aren’t already doing. Sure, you run the risk of polarizing some consumers, but run the numbers. Managed properly, a bold campaign can definitely be worth the risk.   

Get better at social media — At this point, there’s really no excuse for a brand to have a substandard or counterproductive social media presence. The importance of social media should be a given… But shortsighted engagement and missed opportunities happen every day. Consider two examples of recent social media PR successes: Actor Ryan Reynolds largely used social media pressure to cajole a major studio into producing his dream project, Deadpool, and it became a huge hit. This is a guy who had already been the lead in a “failed” super hero film. But he got another chance at the same game, something very rare in Hollywood. Then there’s Wendy’s, which continues to woo fans through a clever and sharp-witted Twitter feed that has translated into more popularity for the fast food brand.

Deliver a better experience — When it comes to home goods and housewares, experience matters. People pay more for better products, because they have a direct impact on how good they feel in their home. This isn’t just about product quality. This is about listening to customers and meeting their wants and needs by delivering exactly what they are looking for.

Never lose sight of who’s really buying your products, as well as why they’re buying them. As consumer habits get more specialized through online interactions, understanding your market will get even more important. Once you start assuming, you get left behind.

Stay nimble — As Ken Kurson wrote recently,  If you had asked most people just a few years ago, they would have never predicted Toys R Us would be closing up shop nationwide, leaving countless toy brands, large and small, scrambling to adjust their business model. As the home goods and housewares segments continue to shift and tighten, brands in that market should consider contingency plans for what might happen if their market shifts as it has for toys, books, consumer electronics, clothing, and many other retail segments. Change is happening, and more change is coming. If you want to weather the storm, you have to be ready, and you have to be nimble enough to shift before it’s too late.