Can Chanel, one of the world’s ultimate luxury brands, have fun in its stores?

Last Christmas, a group of Bearbricks, Japanese figures suggestive of cuddly ultramodern bears, romped through Chanel's SoHo boutique in animated splendor. The collectables enjoy increasing popularity with skate boarders and techno music lovers, not exactly Chanel’s core market. So what were they doing in the store?

It all began some months before the holiday season when Karl Lagerfeld, in an effort to add some spice to the waning summer, sent his version of Bearbricks to a number of friends and notable New York fashion aficionados, with enough left over for a fall display of small accessories in all Chanel stores. As Christmas approached, 80 of the figures were consolidated into Chanel’s SoHo boutique. What started as an expression of summer good cheer evolved into a celebration of joy and a defining Christmas moment at Chanel.

The Bearbricks were emblazoned with all that is Chanel, including the signature suit, the ever-present pearl necklace and the super-sized black sunglasses, but also with the surprise and amusement that is Lagerfeld’s inimitable sense of humor. It did not take long before the flippant side of Lagerfeld was imbued into Chanel's elegant boutique.

But the store’s visual merchandising director, Paul Baglio, had a challenge that surmounted visions of wonderment: to remain true to the Chanel brand, respectful of Paris and the memorable and recognizable Chanel tradition.

To meet the challenge, he created theater: stories within a story, each filled with energy and inspiration. “I selfishly wouldn’t let anyone else touch or place the Bearbricks,” Baglio says. “As they were unpacked, I grabbed and placed. My staff let me have my fun.”

As Baglio brought them to life, articulating their every movement, the Bearbricks seemed to interact with their audience and the fine Chanel merchandise. Baglio soon found that every animated posture and position he imparted on the loveable creatures triggered another equally compelling point of view. One of the fashion-forward bears, complete with camellia in her hair, playfully broke out of a hatbox. Two others toasted in the New Year. Some kissed under the mistletoe, others marched in their own holiday parade. Merchandise was deftly used as props. One bear tugged on a Chanel belt, others danced with a string of cultured pearls. In a gesture of good cheer, another offered a bottle of Chanel No. 5 while yet another got tangled in a wayward web of ribbon and lace.

A Lagerfeld drawing of a Bearbrick was the highlight of the installation. Tactically positioned, serving as the anchor for a grouping of mannequins, the humorous drawing displayed a subtle but definite resemblance to the artist himself. Evoking the flavor of the brand and the lore of the legend of Lagerfeld, the drawing put an exclamation point on holiday fun in a luxury boutique.

The store’s grand birdcage, a focal point both inside and from outside, became the perfect playground for the ebullient Bearbricks. The hands of the bears fit precisely around the bars of the birdcage and were made to reach, grab and hang from every corner. As the strategically placed bears seemed to tumble about, remaining cautiously out of reach, children in the store clamored to join the fun.

And then something unexpected happened (though, of course, quite appropriate for a retail establishment). Customers yearned to purchase the Bearbricks. But Chanel decided they were not for sale. Rather, they would await another possible appearance somewhere in the Chanel world.

Eric Feigenbaum, VM+SD’s New York editor, serves on the faculty of both the Fashion Institute of Technology (FIT) and the Laboratory Institute of Merchandising (LIM) in New York. He is a veteran of retail design and a founding member of PAVE.

Photography: Richard Cadan, Brooklyn, N.Y.