Gradient immersive retail activation with Kiehl’s proves experiential strategy drives sales (Photos)

Date:

Share post:

In the ever-evolving world of retail, one agency, Gradient, is proving that immersive, experience-led design isn’t just a branding exercise—it’s a revenue engine.

Pauline Oudin, CEO of New York-based creative agency Gradient, recently discussed a bold pilot project with heritage skincare brand Kiehl’s, aimed at testing the power of experiential retail. And the data? “This activation gave us hard proof that immersive design pays off,” said Oudin.

Pauline Oudin
Pauline Oudin

Gradient partnered with Kiehl’s to reimagine one of the brand’s retail locations in New York’s Hell’s Kitchen. The goal: turn half of the store into a fully immersive brand experience while keeping the other half in its traditional retail format. “This particular store was performing like all the others,” Oudin explained. “But it had an underutilized, even unused section. They asked for help to transform that space into an experience—something more lasting than a typical pop-up—and to promote their winter product line.”

A Two-Sided Store Becomes a Live A/B Test

Gradient’s design effectively created two stores in one. On one side: classic Kiehl’s retail—shelves, products, testing counters, and knowledgeable staff. On the other side: a fully experiential concept, complete with transformed locker room aesthetics, surprise-filled interactive lockers, and shower installations covered in educational brand messaging.

“It became a very Instagrammable space—just like you’d see with pop-ups—but this stayed in place for three months, from late December to the third week of March,” said Oudin.

The Results Speak Volumes

Gradient, which prides itself on data-driven creativity, leveraged tracking tools to gather insights into shopper behaviour across both sides of the store. Using technology from LiveGauge, which tracks unique mobile device signals without extracting personal data, the team was able to measure dwell time and store engagement.

Among the standout metrics:

  • Shoppers who entered through the immersive side were 2.6x more likely to check out
  • Average dwell time clocked in at 13.4 minutes—55% higher than the beauty retail norm
  • Store transactions outperformed Kiehl’s national average by +8 points
  • Customers not only stayed longer—they bought more
Photo: Gradient
Photo: Gradient

“Our research confirms what retail’s sharpest minds have long felt,” said Oudin. “Engagement isn’t just nice to have, it’s a revenue driver. Today’s shopper wants more than transactions, they want to feel something. When they spend more time in a space, they absorb more. And when that experience resonates, conversion follows naturally.”

From Square Footage to Time Spent

Oudin pointed to an example from Coach stores in Asia, where retail success was no longer measured in sales per square foot, but in dwell time per customer—a metric that’s becoming increasingly relevant in the post-eCommerce era.

“If you think about it, consumers can buy almost everything online now—except maybe ultra-luxury,” she said. “So what is retail for? It’s for creating strong, memorable, emotional connections between the consumer and the brand.”

That kind of connection, she argued, demands longer, deeper interactions. “Retailers need to at least test this kind of experiential approach. Create spaces where people can truly fall in love with the brand.”

A Strategic Shift Toward Measurable Experience

Gradient itself has undergone a transformation. Once a traditional event production company, it now operates as a strategic experiential agency with a laser focus on metrics and brand impact. “When I joined seven years ago, my mission was to go from being a cost for brands to a strategic solution,” said Oudin, who previously led the U.S. office of French agency Sopexa and had hired Gradient as a client before taking the reins as CEO.

Her vision? Build experiences that generate not just buzz but data. “We’ve built internal tools that provide clients with specific metrics: how many people attended, how long they stayed, how many walked by… We’ve always wanted to integrate that into retail.”

The Kiehl’s project, she said, was a rare chance to do just that. “We’d already been working with Kiehl’s for over a year on experiences, so when they brought us the concept store idea, we jumped at the chance.”

While Oudin typically stays out of day-to-day project work, she was hands-on with this initiative. “Normally, as CEO, I’m not deeply involved unless we’re talking strategy or analytics. When data is central—that’s when I step in.”

Photo: Gradient
Photo: Gradient

The Takeaway for Retailers? Experience = Revenue

This activation, Oudin emphasized, isn’t just a case study in creative storytelling—it’s a proof point. “Every Sydney Sweeney post is worth a lot of money,” she noted, referencing Gradient’s recent work with the actress at a beauty brand event. “So if instead of two posts you managed to get her to post four or five times, you’ve bought yourself a lot of media value.”

The same principle holds true in-store. “If you can get people to stay, to explore, to post and to buy—then you’ve created a retail space that’s more than a store. It’s a platform for advocacy.”

Related Retail Insider stories:

Photo: Gradient
Photo: Gradient
Photo: Gradient
Photo: Gradient
Photo: Gradient
Photo: Gradient

RELATED ARTICLES

Subscribe to the Newsletter

Subscribe

* indicates required

RECENT articles

Retail Insider Releases Q3 2026 Canadian Retail Reports

Retail Insider has released 18 Q3 2026 reports examining Canadian retail sectors, consumer behaviour and the businesses supporting the industry. The collection brings together reporting and data on store investment, real estate, technology, supply chains, marketing, security and policy.

Entertainment Becomes a New Anchor for Canadian Shopping Centres

Entertainment operators are taking larger positions in Canadian shopping centres as landlords redevelop former department stores and add attractions designed to extend visits. JLL is tracking a 16.5-million-square-foot North American pipeline as concepts including Playdium, Activate, Splitsville and Forever Young expand.

Kidfresh Expands to More Than 300 Canadian Stores as Kids’ Frozen Meal Category Grows

The brand is adding Metro Ontario and Pattison Food Group locations while making and packaging its Canadian lineup domestically.

Imaginaire Targets National Expansion with 2–3 New Stores Annually

Quebec-based hobby and collectibles retailer Imaginaire is prioritizing Ontario as it plans two to three new stores annually beginning in 2027 and builds toward a national footprint.

Canadian Travel Brand Monos Plans Retail Expansion as Tariffs Reshape U.S. Strategy

CEO Victor Tam says the Vancouver-based company is deepening its presence in existing Canadian markets while balancing growth between Canada and the U.S.

Replacement Tenants Now Identified at All Former Nordstrom Stores in Canada

More than three years after Nordstrom exited Canada, replacement tenants are now known at all six former full-line stores. From SportChek, Winners and Old Navy in Calgary to Simons, Aritzia, Eataly and Splitsville elsewhere, the former department-store boxes are taking on very different configurations.

Most Canadian Small Businesses Haven’t Felt AI’s Impact: Zensurance

Second-wave findings from Zensurance’s 2026 survey show three-in-five small business owners remain outside the AI conversation.

Calgary Retail Investment Hits $522 Million in H1 2026, Led by $154M Northland Village Sale

Investor demand in Calgary is strongest for grocery-anchored, neighbourhood and convenience-focused properties, as buyers seek resilient retail assets amid population growth and limited supply.

EB Games opening North America’s first Nintendo store-within-a-store experience in Toronto

New permanent Nintendo space coming to EB Games' flagship Toronto location October 17

Canadian Consumer Spending Tracks 2.6% Growth in Q3 as FIFA World Cup Provides Modest Boost: TD

TD data show spending on travel, groceries and home-related purchases remained resilient, while World Cup activity lifted select categories in Ontario and B.C.

Costco expands on-demand delivery across Canada through DoorDash

Costco members across Canada can now order groceries, household essentials, electronics and other products from Costco warehouses through DoorDash.

Daily Synopsis: October 6, 2026

Wild Fork retreats from Ontario after closing four stores, contrasting with Jollibee's rapid Canadian growth and MINISO's launch of a larger store format in Mississauga. Their differing strategies reflect varied approaches to scaling retail operations in competitive markets.

Wild Fork Exits Canada, Abandoning Ambitious Ontario Expansion Plans

Wild Fork is exiting Canada and closing four Ontario stores after once planning nearly 30 locations and broader national expansion.

VIDEO: What consumers can do during an affordability crisis

Bruce Winder, a retail analyst, shops this way and offers the following advice.

Crate & Barrel Holdings partners with Affirm for flexible payment options

Crate & Barrel Holdings has partnered with Affirm to offer flexible biweekly and monthly payment options to eligible shoppers in Canada and the U.S. across its brands.

Skip, Instacart partner to expand grocery, restaurant delivery options for Canadians

Skip customers will gain access to Instacart’s grocery and retail marketplace, while Instacart users will be able to order from more than 50,000 Skip restaurant partners.

Vaughan Mills Turns 10,000-Box Pasta Tumble Into Mall-Wide Community Activation

Vaughan Mills staged a 1.7-kilometre chain reaction using 10,000 pasta boxes before donating them to Vaughan Food Bank, extending the initiative through the weekend with its After-Tumble activation combining community programming, entertainment and retail promotions.

Sleep Protein Expands Across Canada Through Loblaw Retail Rollout

Canadian wellness brand Sleep Protein is expanding across Loblaw banners as founder Marc Boudreau targets pharmacy, natural health and future U.S. growth.

George Sully Reflects on Building Canadian Fashion Brands, Retail and Resilience

Canadian designer George Sully discusses his memoir Designing in the Dark, lessons from building fashion brands, working with major retailers and the challenges of scaling in Canada.

Jollibee Sees Potential for Hundreds of Restaurants in Canada as Expansion Accelerates

Jollibee sees potential for hundreds of Canadian restaurants as 26 franchised locations are committed in B.C. and Edmonton.