Retail
National Presence and Timing
National retailers typically schedule remodels to their sales environment every few years to keep their look fresh and interesting. Retailers should consider lighting remodels as an on-going, multi-pronged project rather than a massive, all at once initiative. Technology changes rapidly in the lighting industry and new solutions may mean a huge difference in energy savings and aesthetics at any given time. For retailers with many stores, in many different energy-using regions served by multiple utilities and widely varying rebate/incentive programs, it becomes cumbersome and unmanageable to try to coordinate efforts of multiple local and regional lighting service providers. SES has a national presence and a central management system to assist national retailers with the management and tracking of all of their lighting energy efficiency projects.
Impact on Merchandise
Appealing and attractive visual merchandising of products can be just as important as the overall layout and selling environment. Knowing which lamps, fixtures and focus or angles can create the most dramatic effect, while maximizing savings, will bring a smile to both customers and accountants.
Merchandise and Displays
Retail selling space is typically a maze of fixtures, bins, cash wraps and displays, and there is lighting both above and within that selling space. Installing lighting requires work space and can generate debris. The utmost care must be taken in the construction and building phases of any lighting project in the retail environment. Protecting the merchandise and displays ensures the investment in inventory and fixtures remains at current values. Implementation teams may have to move fixtures and display units while protecting the selling floor with drop cloths. Altered areas must be restored to their original layout and cleanliness before the next day's shoppers arrive on the scene.
Project prioritization
When prioritizing energy savings projects, the top consideration is the ROI and pay-back period associated with the initiative. While these variables are also important in the store environment, the unique metrics and information systems of retailers require other considerations to enter into the design and payback analysis. Other variables include market share of the specific store, sales per square foot, geographical variances in energy costs, rebate availability differences and if the space is owned or leased.
Case Study - JCPenney
A renowned retailer with a strong national presence, JCPenney is known for high standards and dedication to their customers, employees and share holders. Not unlike many Fortune 100 companies, they also have a dedicated department for energy management with strict requirements and parameters. In their search for a design-build energy efficiency lighting partner, they chose Eco Engineering/SES because of their ability to serve JCPenney on a national level, reducing coordination time and management involvement. Additionally, SES provided a comprehensive skill set capable of handling both design and implementation requirements in accordance with rigorous financial controls and approval processes.
This retailer understands the importance of lighting to create a pleasant store and selling environment and an outstanding customer experience. But just as important, Penney's fully comprehends the impact lighting has on the visual presentation of the merchandise. With SES as a partner, common challenges faced in the retail environment are approached from an experienced perspective. The need to create brighter lighting, within code compliance, while reducing total energy costs is a unique balancing act that SES understands and has been able to achieve in many retail projects. The need to work around the store, always at night, without disturbing or destroying the merchandise and visual displays is an SES guarantee. The trust and extra care associated with sensitive documents and equipment in the office spaces is something SES has substantial past experience in handling. And for stores that have been remodeled, there is often the challenge of dealing with antiquated lighting from previous years that was not properly disposed. SES and JCPenney addressed each of these challenges in a comprehensive, fully planned and monitored approach to ensure that the lighting upgrade met objectives and achieved JCPenney's financial thresholds for payback.
Over the last several years, the SES and JCPenney partnership has been one of mutual trust, benefit, respect and satisfaction. The quality of the work and the resulting energy savings speak for themselves - JCPenney continues to plan for future upgrades to their stores, warehouses and distribution centers in 2007 and beyond. SES remains one of their preferred partners.
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The Next Generation of Lighting Efficiency