Casetify unveils its first flagship store in Japan

Casetify is considering opening more Flagship locations, but likely not within the year, according to Ng. Casetify is planning, however, to grow its Studio footprint in America and Europe and will have more locations by the end of 2023. As far as building 100 stores by 2025, “We are on a good track, but we are not obsessed over a number,” Ng said.

“It’s more like a horizon we’re constantly walking to,” he explained. “It is okay if it takes a bit longer than that. We focus a lot on profitability per outlet location in order to ensure we keep remaining strong and healthy as a private company. So as long as we are achieving that and growing steadily, I’m satisfied.”

Any company looking to build more stores around the world needs to be aware of how brick-and-mortar is viewed in different markets, Michael Felice, associate partner at Kearney, told Modern Retail. “You can’t just lift and shift a product,” he said.

Felice said that Japan, where Casetify is launching its first Flagship store, is unique because its consumers are digitally savvy, but that the country’s businesses rely more on brick-and-mortar than direct-to-consumer. With that in mind, “you need to be offering a different level of service and quality and innovation in your store,” he said. Felice added that consumers in Japan tend to value quality and connection, and that retailers need to cater to those preferences.

Overall, retailers “need to ensure that you’re matching the levels of service and innovation that are expected to win in the market better,” Felice added. “I think [a good idea is] customizing each market entry. And that may mean curating with local creatives, that may mean changing your levels of service, that likely means changing your packaging.”

Casetify’s Flagship stores, which vary based on location, can help accomplish these goals. But there’s a bonus in personalizing a business: Attracting highly-coveted young audiences, Barry Thomas, senior global thought leader at Kantar, told Modern Retail. “Localizing stores is so paramount for consumers, especially Gen Z and Millennial consumers,” he said. And the success of those stores are crucial, as Kantar expects 75% of sales to be offline or in stores by 2027.

When it comes to Gen Z and millennials, “Their preferences, their interactions, their experiences are all customized,” Felice added. “I think the idea of allowing them to express that with local creative into a product is one that we haven’t seen much of and likely [has] an experiential aspect that ties closely to brick-and-mortar.”