The retail landscape continues to evolve at breakneck speed, and Shoptalk Fall 2024 offered a front-row seat to some of the industry’s most innovative strategies.
From leveraging generative AI to transforming stores into experiential destinations, the conference spotlighted how leading brands adapt to meet customer demands in a tech-driven, highly personalized era.
In Part 1, we explored how brands like Lowe’s, Target and Michaels are reshaping customer experiences with data, technology and human connection. This installment dives into fresh insights from iconic names like Build-A-Bear, Old Navy, McDonald’s and Ulta Beauty.
Each offers a unique perspective on how to create stronger customer connections, foster loyalty and deliver experiences that resonate beyond the transaction.
For mattress retailers, these lessons are more than inspirational — they’re actionable. Applying these strategies will help turn your store into a destination customers seek out for moments that inspire and delight, not just for products.
Build-A-Bear: Personalization meets profitability
Build-A-Bear Workshop has mastered the art of blending nostalgia with personalization, creating in-store experiences that drive loyalty and profitability. With an 85% in-store data capture rate, the brand demonstrates how emotional connections motivate customers to share information willingly. As Dara Meath, senior vice president and chief technology officer, explains, “It’s much easier for our customers to offer up their data when they’ve just had a fabulous time.”
Nostalgia is central to Build-A-Bear’s strategy, with adults now accounting for 40% of sales. Whether it’s rekindling childhood memories through a custom teddy bear or collector’s items tied to cultural phenomena like blockbuster films, Build-A-Bear taps into emotions that resonate across generations. “There’s no silver bullet,” Meath says. “You have to break apart every link in the value chain — from leases to operations to pricing — to ensure profitability while delivering exceptional customer experiences.”
For many mattress retailers, in-store events that evoke nostalgia while engaging families and the community remain an untapped opportunity. Hosting workshops or family-friendly events like sleep-themed story hours, craft nights or “pillow forts and popcorn” movie evenings in your showroom can create moments and memories that matter to families. These experiences help position your store as a welcoming, community-centered destination.
Old Navy: Transforming culture and experience
Old Navy has redefined its brand by embracing inclusivity, storytelling and cultural relevance, forging meaningful connections with customers. Through campaigns that celebrate diversity and joy, Old Navy builds relationships that go beyond the transaction. “Our goal has been to ensure that every customer feels seen and celebrated in our spaces — both online and in-store,” says Behnaz Ghahramani, chief marketing officer.
As with Build-A-Bear, nostalgia plays a significant role in Old Navy’s branding, from playful marketing campaigns that recall simpler times to the integration of joy-filled in-store experiences. “Our brand has always been about creating moments of joy and connection,” Ghahramani says. “Whether it’s through storytelling or experiences, we want customers to feel that sense of belonging and delight every time they engage with us.”
From pop-up activations to social media challenges that bridge generations, Old Navy brings its brand story to life in creative ways. At the same time, it ensures the warmth and inclusivity customers feel in-store seamlessly extends online.
Old Navy’s transformation proves that leading with purpose and joy creates loyal followers. Use storytelling to emotionally connect with your customers by sharing real-life stories about better sleep or family milestones tied to your products.
Equally important is bridging online and in-store experiences, so invest in tools like virtual consultations or augmented reality to replicate personalized showroom service and help customers visualize products in their homes.
McDonald’s: Building loyalty through data and personalization
McDonald’s has redefined loyalty by blending transactional rewards with emotional connections, creating programs that strengthen customer relationships. “Our goal is to meet customers wherever they are in their journey, offering them value and recognition in a way that feels seamless,” says Wei Manfredi, vice president of global architecture, data and generative AI at McDonald’s Corp. By leveraging technology and customer-centric strategies, McDonald’s loyalty program has become a cornerstone of its success.
Generative AI and centralized data platforms are key to this approach, enabling McDonald’s to anticipate customer preferences and deliver personalized experiences. “Generative AI allows us to be predictive rather than reactive, delivering offers and experiences that feel personal to every customer,” Manfredi says. This technology powers tailored promotions through the McDonald’s app and personalized menu suggestions in-store, creating a consistent experience across all touchpoints.
The benefits of data extend beyond personalization — it drives efficiency across McDonald’s global operations. “Centralized data platforms give us the ability to identify patterns, improve processes and empower our teams to serve customers better,” Manfredi says. These insights streamline franchise decision-making and help McDonald’s respond quickly to shifting customer needs.
How can you leverage these learnings? Create a loyalty program that rewards your customers for returning to your store. For example, offer discounts on accessories after repeat purchases or give exclusive early access to new product launches. Next, use customer data to personalize their experience, recommending products based on purchase history or highlight items that align with their preferences.
Remember, loyalty is about more than points or discounts. It’s about making your customers feel seen and valued. When you invest in data-driven loyalty programs, you can turn occasional shoppers into lifelong brand advocates.
Ulta Beauty: Technology empowering associates and customers
Ulta Beauty has set a high bar for combining technology with human expertise, investing in tools that enhance both customer engagement and associate training. “Our approach is simple: Empower our associates with the tools they need to provide exceptional service while ensuring our customers have access to experiences that are personal and seamless,” says Kecia Steelman, president and chief operating officer of Ulta Beauty.
A standout example of this strategy is Ulta’s use of AI-driven tools like skin analysis technology, which offers customers personalized recommendations both in-store and online. “Technology like AI isn’t just about efficiency — it’s about creating deeper connections,” Steelman says. Gamification features in Ulta’s app further engage customers, encouraging them to explore products and better interactively understand their unique needs.
Ulta’s focus on training its associates is equally impressive. Through digital learning platforms, the company delivers micro-learning modules that keep staff informed on products, trends and customer service best practices. “Our associates are the heart of our brand, and investing in their growth ensures they feel confident and empowered to deliver outstanding customer experiences,” Steelman says.
What does this mean for you? Explore ways technology can enhance your team’s ability to serve customers. For example, augmented reality apps can help customers visualize furniture in their homes, while guided selling platforms can provide staff with real-time product recommendations.
Pair these tools with bite-sized training modules to keep your team educated about product updates and trends, ensuring they deliver expert service.
Ulta Beauty’s success shows the power of blending innovative technology with a focus on staff development. By equipping both your team and customers with the right tools, you can create personalized, engaging experiences that drive satisfaction and loyalty in your store.
The insights from Shoptalk Fall 2024 reveal a powerful message: The future of retail lies in blending data, technology and immersive experiences to create lasting customer connections.
From Build-A-Bear’s nostalgia-fueled loyalty programs to Old Navy’s emotionally driven storytelling, McDonald’s AI-powered personalization and Ulta Beauty’s focus on empowering associates, these brands illustrate the value of innovation that feels personal and purposeful.
For mattress retailers, the path forward is clear. Personalize your customer interactions, create immersive in-store experiences and equip your teams with the tools and training they need to deliver exceptional service.
By adopting these strategies, you can transform your store into a destination where customers come to connect, build relationships and create memories — not just to shop.
