'Retail is the only real democracy'

Q&A: Rodney Fitch, Founder, Chairman and CEO, Fitch

He's on record saying shopping is the purpose of life. So it's not surprising that Rodney Fitch is deeply involved with the retail industry. But not at the front-end. Fitch is the founder, chairman and chief executive of the global retail design firm that bears his name (it was acquired by communication conglomerate WPP in 2001). Having worked with clients like Vodafone, Levi Strauss, L'Oreal and Hewlett Packard, Fitch is now working with Reliance Retail in India. And India is top of mind for both Fitches "" the company and the man.

While Fitch says India has "more design than any other place in the world", the company believes the country will be Fitch's second-largest global operation in just five years: the India studio will open next month. In an exclusive interview with Rashmi Hemrajani and Prasad Sangameshwaran on a recent visit to India, Fitch spoke about how design can help turn tins and packs in large-format stores into a memorable and vivid experience. Excerpts:

What extras do design houses like yours bring to the table?

In retailing, so many customers actually touch and experience the brand. For instance, in the UK, creating the experience of supermarket shopping in Tesco helped establish it as the preferred supermarket.

There are two aspects to shopping. One is the supply chain and the logistics, which is the retailer's responsibility. The second is how a retailer turns tins and packets into an exciting, memorable experience. That's where design houses come in. We help create the in-store experience.

But how do you demonstrate the value of design to your clients?

Design is not only about how things look. There's also a commercial aspect. We measure whatever we do to understand the effectiveness of design and the return on investment. We often ask potential clients what kind of return on investment they would prefer. Some clients measure higher footfalls, some an increase in, say, 10 per cent in revenue, and some want to establish the store as the preferred shopping experience.

You are a frequent visitor to India. What is your view on organised retail here?

There is a long way to go. Many stores in India have multi-levels, but not every retailer knows how to plan the store and facilitate customer circulation. If you can't get shoppers to the third level of the store, it is a waste of space. Any fool can make the front three metres of the store successful and choose pretty colours. But to make the back-end and the top floor of the store work, retailers should understand customers.

But most Indian stores are quite small. How important would design be to them?

About 95 per cent of the stores in India are around 500 sq ft and most of them look and feel the same. Design gives an advantage to a small store when it is better-lit, has an identity and looks better than its competitors. Design is as important for a small store as it is for a large format retail store.

How often should retailers revisit the experience offered by their stores and go for a revamp?

Nothing is forever. Refurbishing the store depends on what kind of business the client is in. For instance, Top Shop is the world's best young store brand. We have re-made the brand five times in the past 15 to 20 years.

In the case of Tesco or a furniture store, we would not refurbish the store every two or three years. But where the client is in the style business, an update in the design format is important, since you need to demonstrate that you are stylish.

Change in advertising, packaging and retail design make the brand exciting. You need to have a triple-headed strategy: improving the product, improving stores and creating a dramatic advertising campaign.

Retail design is still nascent in India. What challenges do you foresee?

There are several challenges for the Indian design industry. One would be to help new retailers understand what major retailing is. Also, what makes for "good design" in the West may not be "good design" in India. It would not necessarily have to be different since I have been told that the components of a good food store in India would be the same as a food store in London.

Retailing is a very special activity. It is the only real democracy in the world as it is all about choice. And the moment competition increases, retailers have to do more than just provide goods at a cheaper rate and put up posters. They need to work a lot harder, have good presentation skills and good design skills.

What is the future of design in India?

There is more design in India than anywhere else in the world. The visual and innovative culture of India is stronger than in most other places in the world. This culture manifests itself in areas other than the commercial area. Lots of people can unlock this and put it to good commercial use on the retail front.

The ingredients of better and well designed formats are present in the country. Design is an integral part of any successful business in the modern world. Can you imagine the iPod without design?