According to recent research from McKinsey, 75% of US consumers tried out different stores, websites or brands over the past 18 months. 60% of those consumers expect to stick with those new options. As I have mentioned a number of times, it is even easier for customers to switch their loyalty and the above research simply highlights that fact.
The new currency is ease, along with values and trust and these are key areas that every retailer has to get right. Retention of customers is vital and new customer acquisition is a massive opportunity for retailers who invest in customer experience.
Great customer service is directly linked to loyalty and it’s even more important in today’s ultra-competitive world of retail. Amazon is constantly investing huge dollars in research and technology, all designed to continually focus on improving the customer experience. While it’s impossible to get anywhere near the spend of a company like Amazon, retailers have to invest to stay ahead of the pack.
Here are 5 areas, retailer have to focus on and get right:
1) The service experience is the frontline for customer engagement, get this right and customers will stay with you. This experience has to replicated across all channels that customers use and has to be seamless.
2) Empathy is a key part of engagement – A positive customer experience comes down to making a customer feel valued in the moment. Empathy has always been a key skill for team members and 71% of customers say businesses that have shown empathy over the past 18 months have earned their loyalty.
3) Arm team members with the right technology so the experience is easy for them and the customer. Technology is a game changer but has to adopted and integrated into the service process.
4) Reimagine service to drive lifelong loyalty – this is all about showing the customer you value their time and their effort. Are you investing in relationships beyond just marketing and sales?
5) Double down on training to ensure your team are offering a great experience and are armed with the technology and product knowledge to do so. It often comes down to a conversation between a customer and a team member, whether it be on chat, phone or face to face, well trained team members have the ability to always create and maintain a great service experience no matter the situation.
I would suggest most retailers have work to do in all of these areas. Failure to do so will just make it easier for customers to disappear to your competition!
Roger Simpson – CEO, The Retail Solution and Author of “The Ultimate Retail Sales Experience” With over 35 years’ industry experience, Roger Simpson is recognized as Australia’s #1 Authority on customer ROI in the retail industry and as a global expert on staff coaching, customer service, and selling skills.
