Many brands that typically have large stores, including Sephora and Nordstrom, are creating smaller-format stores embedded in neighborhoods. These stores feature less inventory, since customers can order items to be delivered to their homes, and store managers curate the products available on shelves to meet the needs of the specific community.

Walk into Lululemon’s new Chicago flagship and you might wonder if you’ve stumbled into a wellness resort.

The logic is simple enough. Amazon demolished traditional retail’s convenience advantage years ago. Physical stores had to find a new selling point or die trying. Their answer? Theatre. From Samsung’s product-testing playgrounds to Canada Goose... See more