A chain store or retail chain is a retail outlet in which several locations share a brand , central management and standardized business practices. They have come to dominate many retail markets, dining markets, and service categories in many parts of the world. A franchise retail establishment is one form of a chain store. In 2005, the world's largest retail chain, Walmart , became the world's largest corporation based on gross sales.
45-619: Félix Potin is the name of a French businessman and his eponymous mass-distribution retail business, founded in the mid-nineteenth century. While the business was bought out and then collapsed in the second half of the twentieth century, the brand has been revived by a contemporary distribution network. Jean-Louis-Félix Potin was born in 1820 in Arpajon , in what is today the Île-de-France region surrounding Paris. He died in 1871. Félix Potin opened his first shop at 28 rue Coquenard in Paris in 1844, at
90-718: A billboard for the store, often employing large display windows that allow shoppers to see into the space and the product inside. In the case of a retail chain, the individual spaces must be unified in their design. Retail design first began to grow in the middle of the 19th century, with stores such as Bon Marche and Printemps in Paris , "followed by Marshall Fields in Chicago, Selfridges in London and Macy's in New York." These early retail design stores were swiftly continued with an innovation called
135-540: A chain of teashops which became a staple of the High Street in the UK, and at its peak, the firm numbered around 200 cafes. The displacement of independent businesses by chains has sparked increased collaboration among independent businesses and communities to prevent chain proliferation. These efforts include community-based organizing through Independent Business Alliances (in the U.S. and Canada) and "buy local" campaigns. In
180-559: A new type of retail design building known as the shopping centre came into being. This type of building took two different paths in comparison between the US and Europe. Shopping centres began being built out of town within the United States to benefit the suburban family, while Europe began putting shopping centres in the middle of town. The first shopping centre in the Netherlands was built in
225-537: A news vending business in London that would become a national concern in the mid-19th century under the management of their grandson William Henry Smith . The world's oldest national retail chain, the firm took advantage of the railway boom during the Industrial Revolution by opening news-stands at railway stations beginning in 1848. The firm, now called WHSmith, had more than 1,400 locations as of 2017. In
270-523: A retail space. Circulation is important because it ensures that the consumer moves through the store from front to back, guiding them to important displays and in the end to the cashier. There are six basic store layouts and circulation plans that all provide a different experience: Once the overall structure and circulation of the space has been determined, the atmosphere and thematics of the space must be created through lighting, sound, materials and visual branding. These design elements will cohesively have
315-443: A standard business model was to receive loads of goods from a manufacturer, then label and package them in store. By contrast, Félix Potin shops sold products produced and prepackaged at the chain's own factories, then sold them at standardised, publicised prices. Potin aimed to sell large volumes at reduced profit margins. Potin was thus a pioneer of the chain-and-branch, bulk-buying model of retail, unifying distribution and sales under
360-417: Is a creative and commercial discipline that combines several different areas of expertise together in the design and construction of retail space. Retail design is primarily a specialized practice of architecture and interior design ; however, it also incorporates elements of industrial design , graphic design , ergonomics , and advertising . Retail design is a very specialized discipline due to
405-435: Is at this stage that logistics must be determined, structural features like columns, stairways, ceiling height, windows and emergency exits all must be factored into the final design. In retail one hundred percent of the space must be utilised and have a purpose. The floor plan creates the circulation which then directly controls the direction of the traffic flow based on the studied psychology of consumer movement pattern within
450-408: Is the last remaining music chain store in the United States and has shrunk from over 1,000 at its height to 270 locations in 2018. In 2019, Payless ShoeSource stated that it would be closing all remaining 2,100 stores in the US. A restaurant chain is a set of related restaurants in many different locations that are either under shared corporate ownership or franchising agreements. Typically,
495-416: Is to install functional lighting such as clear exit signs. Ambiance can then be developed within the atmosphere through sound and audio, the music played within the store should reflect what your target market would be drawn to, this would also be developed through the merchandise that is being marketed. In a lingerie store the music should be soft, feminine and romanticized; where in a technology department
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#1732923813082540-602: The chain store . The first known chain department stores were established in Belgium in 1868, when Isidore, Benjamin and Modeste Dewachter incorporated Dewachter frères (Dewachter Brothers) selling ready-to-wear clothing for men and children and specialty clothing such as riding apparel and beachwear. The firm opened with four locations and, by 1904, Maison Dewachter (House of Dewachter) had stores in 20 cities and towns in Belgium and France, with multiple stores in some cities. Isidore's eldest son, Louis Dewachter, managed
585-441: The developed world . This rise made retail design shift to compensate for increased customers and alternative focuses. Many retail design stores redesigned themselves over the period to keep up with changing consumer tastes. These changes resulted on one side with the creation of multiple "expensive, one-off designer shops" catering to specific fashion designers and retailers. The rise of the internet and internet retailing in
630-565: The 1950s, as retail design ideas began spreading east. The next evolution of retail design was the creation of the boutique in the 1960s, which emphasized retail design run by individuals. Some of the earliest examples of boutiques are the Biba boutique created by Barbara Hulanicki and the Habitat line of stores made by Terence Conran . The rise of the boutique was followed, in the next two decades, with an overall increase in consumer spending across
675-492: The U.S. Supreme Court in 1931. Between then and 1933, 525 chain-store tax bills were introduced in state legislatures, and by the end of 1933 special taxes on retail chains were in force in 17 states. A chain store is characterised by the ownership or franchise relationship between the local business or outlet and a controlling business. While chains are typically "formula retail", a chain refers to ownership or franchise, whereas "formula retail" or "formula business" refers to
720-653: The U.S., trade organizations such as the American Booksellers Association and American Specialty Toy Retailers do national promotion and advocacy. NGOs like the New Rules Project and New Economics Foundation provide research and tools for pro-independent business education and policy while the American Independent Business Alliance provides direct assistance for community-level organizing. A variety of towns and cities in
765-479: The U.S., chain stores likely began with J. Stiner & Company, which operated several tea shops in New York City around 1860. By 1900, George Huntington Hartford had built The Great Atlantic & Pacific Tea Company , originally a tea distributor based in New York, into a grocery chain that operated almost 200 stores. Dozens of other grocery, drug, tobacco, and variety stores opened additional locations, around
810-676: The US), or as exceeding municipal zoning authority (i.e., regulating "who owns it" rather than the characteristics of the business). Non-codified restrictions will sometimes target "chains". A municipal ordinance may seek to prohibit "formula businesses" in order to maintain the character of a community and support local businesses that serve the surrounding neighborhood. Brick-and-mortar chain stores have been in decline as retail has shifted to online shopping , leading to historically high retail vacancy rates. The hundred-year-old Radio Shack chain went from 7,400 stores in 2001 to 400 stores in 2018. FYE
855-415: The United States whose residents wish to retain their distinctive character—such as San Francisco ; Provincetown, Massachusetts and other Cape Cod villages; Bristol, RI ; McCall, Idaho ; Port Townsend, Washington ; Ogunquit, Maine ; Windermere, Florida and Carmel-by-the-Sea, California —closely regulate, even exclude, chain stores. They don't exclude the chain itself, only the standardized formula
900-645: The Villette factory and opened a boutique on the Boulevard Malesherbes . In 1870 he started a home-delivery service. The business continued to grow after its founder's death, with a second factory in 1880 and a second large shop on Rue de Rennes in 1904. Félix Potin factories employed 1,800 workers in 1906, growing to 8,000 by 1927. By 1923, the Félix Potin name counted 70 branches, 10 factories, 5 wine stores and 650 horses. The business survived in more or less
945-549: The age of just 24. This was followed by numerous other branches operating under the same name. In 1860, he opened the first two-level, large-area retailer on the Boulevard de Sébastopol in Paris. The following year he constructed a Félix Potin factory in La Villette , in the northern outskirts of Paris. The Félix Potin network experienced remarkable success during the late Second Empire and early Third Republic . In 1864 he expanded
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#1732923813082990-399: The cashier is located. The branding should reflect what the merchandise is and what the target market would be drawn to. The final element of a well-executed retail space is the staging of the consumer's perspective . It is the role of retail design to have total control of the view that the consumer will have of the retail space. From the exterior of a retail store the consumer should have
1035-419: The chain at its peak and also became an internationally known landscape artist, painting under the pseudonym Louis Dewis . The first retail chain store in the United States was opened in the early 20th century by Frank Winfield Woolworth , which quickly became a franchise across the US. Other chain stores began growing in places like the UK a decade or so later, with stores like Boots . After World War II ,
1080-511: The chain uses, described as " formula businesses ". For example, there could often be a restaurant owned by McDonald's that sells hamburgers, but not the formula franchise operation with the golden arches and standardized menu, uniforms, and procedures. The reason these towns regulate chain stores is aesthetics and tourism. Proponents of formula restaurants and formula retail allege the restrictions are used to protect independent businesses from competition. Retail design Retail design
1125-466: The characteristics of the business. There is considerable overlap because key characteristic of a formula retail business is that it is controlled as a part of a business relationship, and is generally part of a chain. Nevertheless, most codified municipal regulation relies on definitions of formula retail (e.g., formula restaurants ), in part because a restriction directed to "chains" may be deemed an impermissible restriction on interstate commerce (in
1170-420: The company, while his brothers split the remaining 49%. Under Isidore's (and later his son Louis') leadership, Maisons Dewachter would become one of the most recognized names in Belgium and France with stores in 20 cities and towns. Some cities had multiple stores, such as Bordeaux, France . Louis Dewachter also became an internationally known landscape artist, painting under the pseudonym Louis Dewis . By
1215-438: The consumer to purchase goods and interact with the space. The success of their designs are not measured by design critics but rather the records of the store which compare amount of foot traffic against the overall productivity. Retail designers have an acute awareness that the store and their designs are the background to the merchandise and are only there to represent and create the best possible environment in which to reflect
1260-448: The consumer will be given a thematic experience that entices them to purchase the merchandise. It is also important to acknowledge that a retail space must combine both permanent and non permanent features, that allow it to change as the needs of the consumer and merchandise change (e.g. per season). The structure of retail space creates the constraints of the overall design; often the spaces already exist, and have had many prior uses. It
1305-487: The early 1920s, chain retailing was well established in the United States, with A&P, Woolworth's , American Stores, and United Cigar Stores being the largest. By the 1930s, chain stores had come of age, and stopped increasing their total market share. Court decisions against the chains' price-cutting appeared as early as 1906, and laws against chain stores began in the 1920s, along with legal countermeasures by chain-store groups. State taxes on chain stores were upheld by
1350-601: The first fish and chips restaurant (as opposed to a take-away) in London, and its instant popularity led to a chain comprising 22 restaurants with locations around London and seaside resorts in southern England including Brighton , Ramsgate and Margate . In 1864, the Aerated Bread Company (ABC) began operating a chain of teashops in Britain. ABC would be overtaken as the leader in the field by Lyons , co-founded by Joseph Lyons in 1884. From 1909 Lyons began operating
1395-401: The greatest impact on the consumer and thus the level of productivity that could be achieved. Lighting can have a dramatic impact on the space. It needs to be functional but also complement the merchandise as well as emphasize key points throughout the store. The lighting should be layered and of a variety of intensities and fixtures. Firstly, examine the natural light and what impact it has in
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1440-501: The heavy demands placed on retail space. Because the primary purpose of retail space is to stock and sell product to consumers, the spaces must be designed in a way that promotes an enjoyable and hassle-free shopping experience for the consumer. For example, research shows that male and female shoppers who were accidentally touched from behind by other shoppers left a store earlier than people who had not been touched and evaluated brands more negatively. The space must be specially-tailored to
1485-406: The kind of product being sold in that space; for example, a bookstore requires many large shelving units to accommodate small products that can be arranged categorically while a clothing store requires more open space to fully display product. Retail spaces, especially when they form part of a retail chain , must also be designed to draw people into the space to shop. The storefront must act as
1530-432: The latter part of the 20th century and into the 21st century saw another change in retail design to compensate. Many different sectors not related to the internet reached out to retail design and its practices to lure online shoppers back to physical shops, where retail design can be properly utilized. A retail designer must create a thematic experience for the consumer , by using spatial cues to entertain as well as entice
1575-462: The merchandise to the target consumer group. Since the evolution of retail design and its impact on productivity have become clear, a series of standardizations in the techniques and design qualities has been determined. These standardizations range from alterations to the perspective of the structure of the space, entrances, circulation systems, atmospheric qualities (light and sound) and materiality. By exploring these standardizations in retail design
1620-405: The music would be more upbeat and more masculine. Materiality is another key selling tool, the choices made must not only be aesthetically pleasing and persuasive but also functional with a minimal need for maintenance. Retail spaces are high traffic area and are thus exposed to a lot of wear this means that possible finishes of the materials should be durable. The warmth of a material will make
1665-430: The restaurants within a chain are built to a standard format through architectural prototype development and offer a standard menu and/or services. Fast food restaurants are the most common, but sit-down restaurant chains also exist. Restaurant chains locations are often found near highways , shopping malls and densely populated urban or tourist areas . In 1896, Samuel Isaacs from Whitechapel , east London opened
1710-543: The same brand. Frank Winfield Woolworth 's eponymous five-and-dime chain in the US was, to some extent, a revival and development of Potin's model. The architect Paul Auscher (1866–1932) designed several buildings for Félix Potin. The distinctive turrets bearing Félix Potin's name can still be seen on the Boulevard de Sébastopol (now a Monoprix ) and Rue de Rennes (now a Zara ). Chain store In 1792, Henry Walton Smith and his wife Anna established W.H. Smith as
1755-654: The same form until 1956, when the 1,200 shops became minimarkets , which were bought out by Greek-French entrepreneur André Mentzelopoulos in 1958. After a period of poor management, this business collapsed and was liquidated in 1996, with the Promodès chain buying a few of the points of sale. In 2003, the Société Philippe Potin acquired the right to use the Félix Potin name for its distribution network in South-East France . When Félix Potin founded his business,
1800-969: The same time, so that retail chains were common in the United States by 1910. Several state legislatures considered measures to restrict the growth of chains, and in 1914 concern about chain stores contributed to passage of the Federal Trade Commission Act and the Clayton Antitrust Act. Isidore, Benjamin and Modeste Dewachter originated the idea of the chain department store in Belgium in 1868, ten years before A&P began offering more than coffee and tea. They started with four locations for Maisons Dewachter (Houses of Dewachter): La Louvière , Mons , Namur and Leuze . They later incorporated as Dewachter frères (Dewachter Brothers) on January 1, 1875. The brothers offered ready-to-wear clothing for men and children and specialty clothing such as riding apparel and beachwear. Isidore owned 51% of
1845-434: The selling areas. These lights should be direct but not too bright and harsh. Poor lighting can cause eye strain and an uncomfortable experience for the consumer. To minimize the possibility of eye strain, the ratio of luminance should decrease between merchandise selling areas. The next layer will complement and bring focus onto the merchandise; this lighting should be flattering for the merchandise and consumer. The final layer
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1890-404: The space more inviting, a floor that is firm and somewhat buoyant will be more comfortable for that consumer to walk on and thus this will allow them to take longer when exploring the store. By switching materials throughout the store zones/ areas can be defined, for example by making the path one material and contrast it against another for the selling areas this help to guide the consumer through
1935-469: The space. Natural light adds interest and clarity to the space; also consumers also prefer to examine the quality of merchandise in natural light. If no natural light exists, a sky light can be used to introduce it to the retail space. The lighting of the ceiling and roof is the next thing to consider. This lighting should wash the structural features while creating vectors that direct the consumer to key merchandise selling areas. The next layer should emphasize
1980-466: The store ensuring that they will want to return. The key factor is consistency exterior branding and signage should continue into the interior, they should attract, stimulate and dramatise the store. To ensure consistency the font should be consistent with the font size altering. The interior branding should allow the consumer to easily self direct themselves through the store, proper placement of sales signs that will draw consumer in and show exactly where
2025-433: The store. Colour is also important to consider it must not over power or clash against the merchandise but rather create a complementary background for the merchandise. As merchandise will change seasonally the interior colours should not be trend based but rather have timeless appeal like neutral based colours. Visual branding of the store will ensure a memorable experience for the consumer to take with them once they leave
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