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Hot Concepts & coming attractions

4/30/2015

From international brands dropping anchor on U.S. shores and online players expanding in the physical space to familiar names with new formats and traditional start-ups, there is no lack of new concepts in the brick-and-mortar arena. Here’s a look at some with the biggest buzz.



TreeHouse



An Austin, Texas-based home improvement retailer with a green conscience and niche positioning is ready to branch out. TreeHouse opened in late 2011 in Austin’s Westgate Shopping Center, and has been thriving ever since. Co-founded and headed up by environmental consultant Jason Ballard, the start-up boasts a veteran retailer — one who knows a thing or two about niche retailing — as its chairman: Garrett Boone, co-founder and former CEO of The Container Store.



The company took its time in perfecting its model. But following 10 straight quarters of growth (and 60% year-over-year revenue growth from 2013 to 2014), the retailer recently announced that it is securing a new round of financing for expansion. It is exploring options in California, Colorado and the Pacific Northwest, as well as additional cities in its home state.



TreeHouse bills itself as a first-of-its-kind improvement store, and in many way it is. It does not aspire to be a big-box retailer. Instead, the retailer offers a carefully curated selection of products and services that promote healthful and sustainable living spaces, with an emphasis on performance and design. It scores every product it sells based on health, performance, corporate responsibility and sustainability.



TreeHouse’s Austin store is airy and inviting, with skylights and an open feel. There are lots of displays, product vignettes and graphics that explain how things work and tout the benefits of non-toxic paint and the like. Associates receive 110 hours of training annually to ensure they remain current on products and services.



TreeHouse’s business model has shifted from pure retail to a hybrid of retail plus home solutions and services, which is the strategy it will use as it expands. Customers, for example, can buy a single LED light bulb or bird feeder off the shelf, along with such things as full kitchen design and installation, turnkey flooring solutions and solar programs.



The store has evolved into a 25,000-sq.-ft. hub for everything to do with smart building. And if the company can’t find an off-the-shelf solution for a particular need, it will take matters into its own hands:



TreeHouse just developed the first fully equipped, delivered, and installed rainwater harvesting system that consumers can buy all at once.



RunBase



Athletic footwear and apparel giant adidas has opened its innovative RunBase store format in the United States, and dedicated it to the world’s oldest annual marathon.



The 2,000-sq.-ft. Boston Marathon RunBase is located on Boylston Street in Boston, close to the finish line of the famed competition. Part retail store, part museum and part runners clubhouse, RunBase is designed for shoppers, runners and tourists alike, and sells adidas footwear, along with seasonal and official marathon apparel and accessories. Interactive 3-D display cases are outfitted with transparent touchscreens.



The space immerses visitors in the history of the Boston Marathon, with exhibits and historic photos from the past 119 years, including race bibs, medals, trophies, jackets and inspirational displays. Interactive screens replay key moments of the race’s history. Visitors can even “run” the race on a treadmill that simulates every step of the famed 26.2 mile course, complete with the corresponding visuals and terrain. There is also a 10-ft., 3-D topographic animated race map.



At its core, the RunBase concept is intended to serve as a community hub and resource for runners, and the Boston store remains true to that mission, hosting events, seminars and clinics. The space includes a changing room with lockers and showers, allowing runners to use the facility as a base for informal runs.



Adidas currently operates six RunBase stores around the globe, including Tokyo, London and Moscow. Although Boston is the first U.S. site, several additional U.S. locations are in the works, and the concept is expected play an important role in increasing its presence in key U.S. cities.



Frank & Oak



Shoppers can get a coffee, a shave and buy some stylish new threads at Frank & Oak, the popular Montreal-based online menswear brand that is also expanding in the physical space.



Founded in 2012 on a members-only model, the vertically integrated company has accrued a loyal following, attracted by its accessible prices, on-target fashions and such human touchpoints as live online chats with style advisers. It puts a big emphasis on personalization and sends members a curated monthly newsletter with customized product suggestions (culled from its monthly collections). They also receive “lifestyle content,” including playlists of streaming music and magazine-style fashion articles. Members (reportedly 1.6 million strong) can choose up to five items to be shipped free of charge, returning what they don’t want and paying only for what they keep. Every package comes with a handwritten note.



Frank & Oak opened its first brick-and-mortar location in fall 2013, followed a year later by a Toronto flagship. It has since opened four pop-up stores throughout Canada, using the temporary (12 to 18 months) locations as a test as it works to expand its footprint. Showcasing the company’s monthly collections, the spaces blend commerce and technology, and shoppers can book one-on-one appointments with associates for help with styles and fittings. The online experience is integrated in-store, allowing shoppers and associates access to order histories and online style profiles.



The stores have a cool, hip vibe and function as community hubs, offering classes and events. The permanent ones come complete with a cafe and a full-service barber shop.



With some 70% of its sales coming from the United States, Frank & Oak recently announced plans to open six U.S. pop-up shops, which will operate under leases that last at least a year. In a twist, the company is leaving it up to customers to decide where the locations will be. Twelve cities are in the running, including Manhattan, Chicago, Boston, Seattle and San Francisco, and consumers can vote for their city by ordering a gift card. The first six cities that achieve a designated target amount, will get a pop-up. (Customers in cities that don’t get the store are eligible for a full refund.)



Nasty Gal



Trendy teens aren’t the only ones sweet on Nasty Gal, the online retailer that specializes in edgy fashions, served up with lots of attitude. Former J.C. Penney chief and Apple guru Ron Johnson led the company’s recent round of financing, which increased total outside funding in Nasty Gal to $65 million, and joined its board.



Nasty Gal is coming off a busy 18 months. It opened its first physical store in fall 2014, on Melrose Avenue in Los Angeles. In January, founder Sophia Amoruso announced she was stepping down as CEO and handing over the reins to a more seasoned retailer, company president and chief product officer Sheree Waterson, formerly of Lululemon. (Amoruso remains as executive chairman, overseeing creative and brand marketing). The company was upfront about its intent, announcing that Waterson would partn

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