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Pop-Up Culture: How Far Will Consumers Go for Free?

Pop-Up Culture: How Far Will Consumers Go for Free?

When Owala launched its new coffee mug in September, the Utah-based company known for its colorful water bottles created a buzz with a pop-up in Los Angeles’ trendy Silver Lake neighborhood. With the promise of a free tipple and access to Owala’s temporary cafe, fans emerged well before morning coffee. According to Owala, more than 3,500 people attended the pop-up on September 14, with some reserving their place in line as early as 3 a.m. At its peak, the line reached a mile long, and visitors waited up to five hours to access the pop-up.

Such engagement is not uncommon for free pop-ups in 2024. When beauty brand Fresh held a pop-up in New York City’s Meatpacking district in June to promote its Rose skincare line, more than 4,500 visitors showed up, some of whom also stopped by as early as 5 a.m. Skincare brand Tatcha previewed four hours There was a line of visitors at the opening of their Say I Dew pop-up in February, where more than 2,000 samples were handed out. Rhode, Hailey Bieber’s skincare and makeup line, has turned its mobile photo booths into a TikTok sensation, with consumers waiting in line for up to seven hours for a free lip gloss and photo roll.

“This is an opportunity to show the consumer: This is what we do for you,” said Austin Connor, vice president of experiential and creative services at Autumn Communications, which designed the summer Fresh pop-up. “We are creating this connective opportunity that allows you to enjoy the white glove experience [the brand] and feel like we actually care about you.”

And brands are spending more to curate this type of experience. According to PQ Media, global experiential marketing spending is expected to reach $128.35 billion in 2024. This represents a 10.5% increase over 2023 and marks the first time that experiential marketing spending has exceeded pre-pandemic levels.

In a crowded market for consumer products like beauty products, experiential marketing and free pop-ups are increasingly valuable channels because they offer concrete opportunities to build real relationships with consumers – that is, when they successfully give consumers something they like in exchange for their hard work appreciate. deserved time. This can take the form of an exclusive experience, limited edition items, or engaging social content. But brands can also leave a lasting negative impression if they fail to make the hours spent in line seem worth it.

“If you’re just handing out schwag, it’s not going to be worth your time,” said Caitlin Starke, head of strategy at brand design agency Pearlfisher. “If you give them an incredible experience, something they’ve never tried before or been able to try before, [that’s] something with lasting value.”

While experiential marketing can appeal to any consumer, brands often design pop-ups to specifically reach Gen Z consumers. “Our Gen Z cohort in particular is really hungry for real experiences,” Starke said. “That was kind of robbed from them at a very pivotal moment in their lives.”

This was the case with Fresh’s summer pop-up. For the activation, the brand collaborated with creators Brooke Miccio and Danielle Carolan of the “Gals on the Go” podcast to spark Gen Z consumer enthusiasm for the Rose franchise. But with Generation Z already the target of so much experiential marketing, event organizers need to be creative in how they attract these consumers.

“Everyone has made a charm bracelet now, everyone has done some kind of screen printing. “So how do you change these things so that they feel fresh and elevated to the individual?” said Connor.

From both a creative and logistical perspective, producing these pop-ups and managing crowds of thousands of people is no easy task. One of the biggest logistical hurdles when hosting a pop-up in a high-traffic area like the Meatpacking District can be obtaining city permits, Connor said. They are often only deregistered a week before an event. “The public can be very destructive without realizing that they are being very destructive,” he said, noting the potential impact on the host neighborhood.

Connor said his team would ideally have at least six weeks to two months’ lead time to organize a weekend pop-up, with a budget of around $250,000 to $300,000. And even if brands don’t expect to recoup these costs through direct pop-up sales, the return in return can be even more valuable.

“Our elementary school [ROI]From a pure eventing perspective, it’s consumer data collection,” he said. “An email [address] can sometimes even be more impactful than $1 in the bank for some of these brands because it allows for an ongoing conversation with the consumer.”

And the pop-up experience will invariably spread far beyond the few thousand IRL attendees. According to Autumn Communications, Fresh counted 3.75 million social media placements for its Rose popup. And Tatcha reported that Instagram engagement rates increased 98% during their New York City Moisture Match Up pop-up in August.

But participants might as well present their negative experiences when the reality doesn’t live up to the hype, especially since an immersive experience can leave a lasting impression on customers – for better or worse. “This impactful moment will have a greater impact on customer lifetime value or brand awareness,” said Melissa Gonzalez, consulting team leader and principal at architecture and design firm MG2. “Really pay attention to how you perform because this is your opportunity to please them or disappoint them.”

A pop-up in Glasgow in February linked to the Timothée Chalamet film Wonka made headlines when children were reduced to tears after discovering that the immersive chocolate factory experience advertised instead consisted of a few props and a Cup of gummy bears consisted. The organisers, House of Illuminati, promised to refund the £35 tickets. Even supposedly free events can disappoint. Rhode fans at the brand’s Miami photo booth shared their frustration on TikTok and Instagram this summer when some attendees fainted in the Florida heat and came away empty-handed after waiting for hours.

Virginia Tijerino, a student at Florida International University, said she learned about the Rhode Miami pop-up through her high school-aged aunt and cousin. She and her family stood in line from about 1 p.m. to 8 p.m. and left without a photo when the photo booth stopped working.

“I think it’s worth the wait if you meet the person doing the pop-up, or if they’re handing out things that are limited edition or just for the pop-up, and if the line isn’t crazy long Tijerino told Glossy. But her experience at the Rhode stand dissuaded her from attending more of the brand’s pop-ups. “I had such a bad experience. … It’s just not worth it.”

Long lines can often be a sign of success, but Gonzalez said event organizers need to proactively deal with consumers’ long wait times, such as sending ambassadors to entertain those in line or handing out free samples. “They keep the positive energy while being there for you,” said Gonzalez, whose company has created experimental pop-ups for companies like shoe brand Sorel and the Amazon Prime show “The Marvelous Mrs. Maisel.” “That way, standing in that line becomes part of the experience in a positive way, too.”

But for some consumers, the hassle of arriving early and staking out a spot in line for hours is a feature of the pop-up experience, not a flaw. This is especially true for those who now spend a large part of their lives – be it at school, at work or at social gatherings – in a digital experience.

“It almost feels like you’ve been deprived of sensory experiences for so long and are just stuck on the screen,” says Matt Sia, creative director at Pearlfisher. “There are people waiting in line because they want to document it, post about it and share their opinion about it. And then there are other people who are there just for the thrill of doing something extraordinary.”