Juggling between reading my marketing book and finding an appealing concept to blog about, I stumbled upon the following article:
Hudson’s Bay Revamping Restaurants at 24 Locations
Having just read about Coca-Cola’s efforts to expand their empire, many of Hudson’s Bay and Coca-Cola’s actions paralleled each other.
As the textbook explains, Coke wanted to create a product that didn’t coerce men away from the “diet” stigma of Diet Coke, so they created Coke Zero, a more masculine, aspartame-infused drink. Similarly, in the revamping of Hudson’s Bay, the company is trying to rebrand itself as a more upscale department store.
With the recession in the past and the purchasing power of consumers increasing, Hudson’s Bay has timed this renovation skilfully, however is the company trying to capitalize on the growing purchasing power of their current customers, or are they targeting a new market of Canadians?
Reading through the Globe & Mail article, it appears as if the retail-giant is attempting to maintain their current customers, while attracting people with different, more expensive tastes. Additionally, through the renovation of even their in-store restaurants, they can appeal to a crowd that is simply interested in a relaxed, yet chic meal.
In my opinion, change is great and as a consumer I am attracted to anything that is new-and-improved. Nevertheless, I believe that any company that is attempting to re-establish itself must be careful not to cut ties between what it is and what it wants to be.
Although I don’t think Hudson’s Bay will be on par with Saks anytime soon, I believe that this direction is the right one for the retailer to take.
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