LIVINGSPACE
CHALLENGE
Livingspace is a high-end retailer of modern European designer furniture in Vancouver. It carries a number of well-known international brands. Their clientele consists of interior designers, architects, and individuals who may well spend $50,000 and up on furniture for a home or office.

Livingspace experienced steady growth and success for most of the 90’s and into the first part of the new decade. This growth was fueled in part by the condo building boom in Vancouver, as well as the high tech boom in the city and in Seattle. It was further aided by the strong exchange on the US dollar. Smart clients in the States could save considerably on designer furniture by buying from Livingspace in Canada.

Because of the boom in construction and high-tech locally, Livingspace had grown accustomed to having customers come to them. Their furniture was perfect for modern environments. The store needed to do very little in the way of marketing and communications to be successful during these years. When the market began to slow, and the exchange rate dropped, they did not have any programs in place to reach out. Furthermore, the advertising they did was not well-branded: It looked similar to their competitors and to some of the brands they carried. These problems were exacerbated by the fact that their principal competition in the field of designer furniture was becoming increasingly aggressive in the marketplace. Livingspace realized that they needed to approach things differently, and hired us to develop a new marketing plan and new communications for them.
OBJECTIVE
Our task was to maximize awareness of the store and its location, clearly differentiate itself from the competition, create a leadership position within this segment, and get on the “shopping list” of high-end consumers.

Creatively, we developed a distinct look and new positioning line for the store. We extended this look through a multi-layered leadership image and tactical campaign that included vertical magazine, direct mail to the store’s customer base and potential customers, a website redesign, in-store POS and aggressive pursuit of manufacturer co-op funds. Certain tactics were designed to drive short-term volume, others reinforced the stores’ market leadership while others helped build and sustain store traffic.
RESULTS
Livingspace now enjoys a positioning which clearly separates it from the competition while returning the store to its historical market leadership. Traffic has significantly increased, and the proactive plan put in place has kept things moving forward resulting in double-digit sale increases year-to-year.
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