The Early Learning Centre

The background

The Early Learning Centre (ELC) is a British chain of retail shops selling toys aimed at pre-school children. They retail products which are designed to be primarily about play, with a focus on education, developing key skills and building self-confidence. Their toys not only help children get off to the best possible start, but are also good fun. Although ELC recognised impulse toys as an important area of sales, it was performing poorly, with low basket value and low profit. They knew impulse toys needed to remain part of their offering, but were struggling to see a return on their investment.

So, they decided to work with Keycraft to turn things around.

Our analysis

We spent time with ELC, getting to know how their business worked, familiarising ourselves with their store environments and gaining a good understanding of their customers. We listened to the company’s perception of the current situation. We then analysed all the data to identify the challenges they were facing, which included:

• Poor performance in impulse sales

• Low basket value

• Ranges were not carefully curated to suit their audience

• Display solutions were not tailored to suit the accessibility needs of different customers

• Low profit was the result of low quality toys and low sales volume

The solution

“Working with Keycraft on this project was really exciting and it allowed us to create something new, with a high engagement level for our customers.”

Store Designer, ELC

Realising the expertise that Keycraft could bring, ELC selected us as their pocket money transformation partner. Keycraft’s visual merchandising team immediately began working closely with ELC’s store designers to envisage a solution that would quickly turn around the pocket money sales in-store. Working through the Science of Impulse process with Keycraft injected new life into the ELC pocket money selection. Using this proven methodology, Keycraft were able to bring insights specifically designed to ramp-up retailer profit. After ensuring the ELC’s requirements were clearly defined and incorporated, our strategic advisory team was then able to translate all findings, insights and aspirations into a working proposal.

By working to the Science of Impulse’s clearly defined, proven process, decisions were made on concrete findings, rather than supposition; mutual knowledge transfer happened easily, and changes were quickly and efficiently implemented.

The results

“Our pocket money sales rose by 220% in the first week, the figures really do speak for themselves!” 

Head Buyer, ELC

The end result saw a tailored selection of bespoke display solutions implemented across ELC’s stores, nationwide, with a carefully curated range based on the ELC’s customer base and their family-friendly ethos. The display solutions were set into planograms, making the range easy to implement and manage in all stores across the UK.

Improvements included:

• A fine-tuned toy collection that reflected target demographics

• Detailed analysis of ELC’s core business, including: environments, demographics, buying habits, etc.

• Toys positioned at the right height for each age group, to ensure they were not ‘out of sight, out of mind’

• Bespoke display solutions were designed for accessibility and to complement the in-store environment

• Price points were pitched so as to drive volume and increase profits

• Within one week of the display fixtures being installed, pocket money toy sales increased by a phenomenal 220% across all stores.

• The ELC reported that the change of their selection to incorporate well-thought-out, quality products made it easier for parents to say a guilt-free ‘yes’ to the impulse demands of their children.

Benefits reported by ELC include:

• 220% increase in impulse sales across all stores within 1 week of implementation

• Bespoke display solutions creating an impulse-driven area in-store

• Good quality, nicely packaged toys, fitting into their retail environment and family-friendly ethos 

• Carefully curated range of toys created