Pop-ups-only center debuts on the street in Chicago
Nearly every research study of consumer shopping habits reports that many people initially investigate merchandise online and then go to stores to purchase.
But a company called Live Launch has reversed that concept. In a 7,136-sq.-ft. store in Chicago’s Fulton Market district, the developer has placed 11 modular storefronts that allow digitally native brands to meet customers in person and have them make purchases online — thereby establishing a physical presence minus build-out costs and long-term leases.
"There are so many incredible brands out there that people have never had the chance to hold, try on, or discover in person due to the high costs of traditional retail,” said AJ Weinberg, founder of LiveLaunch. “We want to help brands bypass making the tough choice between staying invisible online or signing an expensive lease they can't afford.”
LiveLaunch’s first tenants include the WNBA’s Chicago Sky, the fitness tech company Surreal Cycling, Lux & Nyx handbags, and a clothing shop run by “Project Runway” alum Michael Drummond.
For brands accustomed to testing new channels through digital spend, LiveLaunch offers the equivalent of a paid social campaign, according to Weinberg.
“It’s a low-risk way to drive brand discovery, minus a point-of-sale system or backstock inventory,” he said.
With a five-year lease in place, Weinberg intends to track LiveLaunch’s first year to evaluate success through data collection such as tracking customer traffic and the scanning of stock keeping units. Early data, he says, indicates that customers are scanning multiple shops and items rather than just browsing a single brand.
“By acting as an intermediary between online shopping and physical retail, the space allows customers to see, touch, and try on products,” Weinberg said. “This reduces the uncertainty of online shopping and minimizes the likelihood of returns.”
Other initial tenants at LiveLaunch include jeweler Rob Bacon, luxury accessories retailer Beltshazzar, and the New York-based fashion label Inspr.
