Downloaded 214 times
Uploaded byHeleen Mills
Customer Service in Retail Marketing
This document discusses the importance of excellent customer service for retailers. It notes that customer service cannot be easily copied and helps create positive word-of-mouth referrals. Understanding changing customer needs is key, and data from loyalty programs and social media can provide insights. The document also covers challenges like showrooming and how retailers can combat it through exclusive offerings, same-day pickup, and better customer service experiences overall. Excellent customer service is highlighted as non-negotiable for retailers.
More Related Content
Similar to Customer Service in Retail Marketing
Customer Service in Retail Marketing
- 1.
- 2. EFFECTIVE DIFFERENTIATION. • Increasinglydifficult with merchandise (inventory turnover, merchandise, private brands) • Nearly impossible with prices. • What remains is… excellent customer service.
- 3. CUSTOMER SERVICE. • Cannotbe as easily copied or matched. • Creates positive word of mouth • Creates referrals. • Keeping existing customer is cheaper than sourcing new ones.
- 4. LOSING SUCKS. And sois losing customers.
- 5. LOSING CUSTOMERS. • Negativeword of mouth. • Losing out on customer life time value.
- 6.
- 7. HOW NOT TOLOSE YOUR CUSTOMER?
- 8. ADAPT TO THEIR CHANGINGNEEDS.
- 10.
- 11. CHANGING CUSTOMER NEEDS. •Understand who your customers are. • Know what they want.
- 12. CHANGING CUSTOMER NEEDS. •Understand who your customers are. • Know what they want.
- 13. CHANGING CUSTOMER NEEDS. Getto know your customer: • Scanner data • Loyalty programs • Insights from Facebook
- 14. CHANGING CUSTOMER NEEDS. Getto know your customer: • Scanner data • Loyalty programs • Insights from Facebook “We always value your feedback, ladies. Do you have any suggestions for how we can improve HomeChoice?”
- 15.
- 16. “Malls have toadopt to what people want” Hyprop CEO, Pieter Prinsloo.
- 17. PROFIT / SQUAREMETER. Shuffling of stores - some will close & replaced by stores that better suit the market.
- 18. PROFIT / SQUAREMETER. Shuffling of stores - some will close & replaced by stores that better suit the market. • CNAs are getting smaller. • Music stores: People rather download music than buy cd’s. • Cinemas: Occupy a lot of space. Pay less rent.
- 19. INNOVATION IS NEEDED. Cinemas,music stores, book shops: • Be a while before they disappear. • Have to find new ways of enticing consumers. • Try new things to become more profitable. • Can you think of any?
- 20. • Redefine CEOMarc Wainer says South African shoppers are: “clothes crazy” • Even lower LSMs love to shop designer brands. • Increasing number of South Africans are seeking branded goods which are popular in EU and US. SOUTH AFRICANS LOVE CLOTHES.
- 21. Trend opens doorfor more clothing brands to enter SA.
- 22. EUROPEAN RETAILERS. • SouthAfrica is a foothold for growth in Africa. • They have marketed themselves through TV & movies: head start before they even get here. Already pop culture. • Hyprop: long list of international retailers awaiting space in malls.
- 23. FACILITIES & VACINITY. SandtonCity. • Developments in precinct. • Gautrain Station and OR Tambo. • Vein pumping tourists with fat purses straight into Sandton. • Particularly popular with African tourists – Angola, Nigeria, Ghana.
- 24. Ever increasing needfor WiFi. Strategy to pull consumers.
- 25. Online shopping iscompeting with land based shopping.
- 26. ONLINE vs OFFLINESHOPPING. • Visible trend that consumers much rather shop for clothes in store – feel try on and experience it. • More likely to shop/buy gadgets online. • High tech brands still have a place in malls – repairs and advice. But they need less space.
- 27. ONLINE vs OFFLINESHOPPING. • Hyprop is rolling out wifi across all malls • Experience product in store, then go sit at coffee shop (in mall), visit website via wifi. • Apps to find good deals in mall, then go that that store.
- 28. SHOWROOMING. • Examining merchandisein a traditional brick & mortar retail store without purchasing it. • Then shopping online to find a lower price for the same item. • Online stores often offer lower prices: different & lower overhead costs.
- 29. SHOWROOMING. • Online retailprices for consumer electronics are up to 11% lower than in- store prices. • Half of all online shoppers check products out in traditional stores first.
- 30. SHOWROOMING: DOWNSIDE. • Costlyto offline retailers: –Loss of sale. –Damage to store’s floor samples of a product through constant examination by customers. • Particularly popular for electronic items (iStore). • Target discontinued Amazon Kindle.
- 31. SHOWROOMING: COMBAT IT. •Certain items exclusive to brick&mortar. • Avoid shipping costs by picking up online purchase in store on the same day (Wal- Mart). • Fitting Fee refunded when customer makes a purchase. • Customer service experience!
- 32. SHOWROOMING: COMBAT IT. •Online competition waits in the space between aisle and checkout. • Special coupons to mobile phones & ePOS • Use of splash pages to get in front of show roomer and promote special offers. • Other location based promotions – GEO targeting, NFC loyalty.
- 33.
- 34. Customer service experienceto differentiate your store.
- 35. SERVICE APPROACH: CUSTOMISED vsSTANDARDISED. • Inconsistent • Expensive • Relies on performance of staff. • Consistency. • Relies on policy, procedures design layout.
- 36. TYPES OF SERVICESOFFERED BY RETAILERS. • Assortment. • Convenience. • Financial Services. • Delivery. • Returns & Repairs. • Complimentary Services.
- 38. EVALUATE YOUR SERVICE •Mystery Shoppers. • Surveys. • Social Media.
- 39. RECOVERING FROM SERVICE FAIL. •Listen to complaints. • Provide reasonable solution. • Resolve the problem quickly.
- 40.
- 41.
- 42. It is notjust about being nice to the customer.
- 43.
- 44. ‘We are livingin the moment of great change…it’s important to create an experience that’s magical and memorable.’
- 51. WARBY PARKER. • Shoppingenvironment. • Assortment. • Staff. • Repairs. • Complimentary services (photo booth). • Stakeholders.
- 53.
- 59. EXCELLENT CUSTOMER SERIVCE ISNON NEGIOTIABLE.
- 60.