For the second year in a row, First Impression hosted House of Retail—the event where the future of physical retail takes center stage. The theme The Future is Phygital is more relevant than ever. As e-commerce blends into commerce, the customer journey keeps shifting between online and offline. It’s never linear, and never fully digital or physical. Just ask keynote speaker Ian Scott. These were the three key takeaways from this edition.

Tech should enlighten the shopping experience

Retail influencer Ian Scott shared a refreshing perspective on the evolution of stores. His message? There’s no such thing as a ‘new normal’—just normal. Shopper habits didn’t fundamentally change during COVID. They were merely paused.

As tech and social media reshape the retail landscape, journeys become more dynamic. From social to webshop, brand site to store, then back to Google and the webshop again—consumers switch freely between touchpoints. They don’t think in channels. They just follow whatever works best. Ian calls this symbiotic retail.

House of Retail

From his global visits to stores, Ian sees how digital tools can elevate the customer experience. But it goes both ways. At NEXT, for example, the company chose to keep 195 loss-making stores open. Why? Because those locations still served the brand, supported online sales, and acted as return hubs.

His core message: tech should always serve the customer. It’s not about making your job easier, but about improving the experience. In fact, done right, your staff might have to work harder.

Take QR codes. Only 3% of shoppers actually scan them in-store. Just because you can use tech, doesn’t mean you should.

And then there’s Gen Z. Ian made it clear: you can’t define them by age alone. Customer behavior changes constantly—by week, by location, even within the same person. If your strategy is too generic, you’ve already missed the mark.

Ads are 7x more effective when time and place are right

John Molendijk, co-founder of Streaem, introduced the audience to the power of retail media. His opening line set the tone: “It’s tough to be a retailer.” Many struggle. Some don’t survive. But retail media can be a lifeline.

As retail grows more digital, it opens new touchpoints—and with that, new media opportunities. In 2022, 89 European retailers offered online retail media. That number keeps climbing. But the real growth? It’s happening in and around physical stores.

Displays, hand scanners, window screens—these are prime spaces for brand messaging right before the point of purchase. It’s proven: ads shown at the right moment and location are up to seven times more effective.

House of Retail

In the US, retail media is already massive. Amazon’s retail media revenue now exceeds YouTube’s. In Europe, 2024 is expected to be a breakthrough year. Media agencies are paying attention. Retailers need to follow suit.

To succeed, you need the right setup. Think like a publisher. Structure your data. Break down silos. Allocate your budget wisely.

Retail media works best for multi-brand retailers with either mass reach or highly targeted niches. The value lies in your first-party data. If you can turn customer insights into advertiser value, you’ve built a retail media network that works.

75% of buying decisions are emotional

Heidi Kriz, architect, designer and ‘POS doctor’, took the audience on a sensory journey. With a portfolio that includes Nike, Apple and Levi’s, she knows how to design for emotion.

Her point was clear: three out of four buying decisions are driven by emotion, triggered by the five senses.

Sight is the most powerful. Lighting alone can stir emotion. But touch comes in second—think of how a store floor feels underfoot.

Scent is directly wired to the brain. It’s why you feel calm in a hotel lobby with the right fragrance. Taste can trigger emotion too, though it’s harder to use in retail. And then there’s sound. Music can shape your brand perception and even influence dwell time. Slower rhythms slow shoppers down. More time in-store, more opportunity to connect.

This year’s House of Retail ended with a quote from Cathy Sparks, VP of Global Stores at Nike, brought by Ian Scott. It summed up the day perfectly:

“Retail is not dead. Boring retail is dead.”