This document discusses the importance of customer experience in retail, emphasizing that successful brands view customers as users rather than just buyers. It highlights the need for personalized experiences and effective engagement across various touchpoints, as well as the significance of both physical and online environments in shaping customer perceptions. Additionally, it emphasizes the importance of adapting marketing strategies to meet evolving consumer expectations and leveraging customer feedback to enhance overall brand experience.

1. Mary Aviles
Principal, Connect 4 Insight
Designing the
Customer Experience
September 26, 2018

2. 2
What is customer experience?

3. 3
“As consumers, we expect everything to be
tailored to us, whether we’re searching
online or visiting a store. But according to
a study by PwC and SAP, just half of
retailers are meeting these expectations.”
Source: https://www.fastcompany.com/90177301/from-muji-to-ikea-why-the-best-retailers-think-like-ux-designers

4. 4
CUSTOMER SERVICE =
what happens when customer
experience breaks down...
feelings, emotions,
and perceptions
Ex: making a purchase,
using the product, paying
the bill, calling support,
visiting the website, etc.
Σ the interactions a
customer has with a
company
Source: http://www.brandquarterly.com/journey-maps-action-designing-better-customer-experience

5. 5
On average, customers of usage brands are :
Today’s most successful brands think of their
customers as USERS NOT BUYERS
...They look beyond the one-time sale to inspiring gratitude
7%
premium
8%
less likely
to switch
2x
as likely to make
a spontaneous
recommendation
Willing to pay a
Source: https://hbr.org/2018/02/the-most-successful-brands-focus-on-users-not-buyers

6. Position brands in the minds
of their customers
Position brands in the lives
of their customers
Prioritize spending on marketing
campaigns and lead generation
Elevate customer service and
loyalty, no longer cost-centers
Measures awareness, impressions
(values winning advertising awards)
Measures engagement
(prefer 5-star reviews)
Create demand to buy product,
customer = one-time buyer
Create demand for use of product,
thinks of customers as members
Emphasize promotion Emphasize advocacy
Worry about what they
say to customers
Worry about what their
customers say to each other
Reach prospects through
advertising and traditional media
Discovered via social media
and word of mouth
Shape what people think
along the path to purchase
Strive to influence how customers
experience brand at every touchpoint
Critical "Moments of Truth“ –
just before the transaction
(purchase drivers)
Critical "Moments of Truth" –
just after the transaction
(delivery, service, education, sharing, etc.)
6
The most successful brands focus on users, not buyers
Buyers Users
Source: https://hbr.org/2018/02/the-most-successful-brands-focus-on-users-not-buyers

7. 7
“It used to be that
we HAD to shop,
but now we must
WANT to shop.”
– design:retail forum, 2018
Greg Buzek, IHL Services

8. 8https://www.thinkwithgoogle.com/feature/search-intent-marketing-funnel/#/
Pop ups give you the opportunity to
“interrupt”
the decision-making process
Every customer journey is unique—even within the
same category

9. 9
Active evaluation
touchpoints come from
consumer-driven
activity like friends
and family WofM,
online reviews,
in-store interactions,
and past experience
Source: The Consumer Decision Journey, McKinsey & Company, June 2009
66%
2/3
Passive consumers
are open to messages from
competitors that
Give them a
reason to switch
Make comparison
shopping easy
give consumers reasons to leave, not
excuses to stay

10. 10Source: https://www.impactbnd.com/blog/word-of-mouth-marketing-strategies-infographic
Pre-visit goals = drive awareness, overcome
threshold barrier

11. 11
Visualize the customer journey

12. 12
24% of Amazon retail
sales are from
shoppers who went to
a physical store FIRST
Source: Greg Buzek,IHL Services, design:retail forum, 2018

13. 13
Use Amazon rather than cower before them

14. 14
84%
of Americans are
shopping for
something at any
given time and in
up to
6
different categories
Mobile searches for
shopping lists have
grown by over
150%
In the past two
years
200%
Increase in mobile
searches for “open”
+ “now” + “near
me”
Source: https://www.thinkwithgoogle.com/intl/en-ca/consumer-insights/consumers-are-always-
shopping-and-eager-your-help/
https://www.thinkwithgoogle.com/intl/en-ca/consumer-insights/near-me-searches/
Customer engagement starts with being quick
and in stock

15. 15
Mystery shop your customer’s journey starting from when they search for you
on their cell until they get home with their bag of goods from your store and
(put on the dress, eat the cheese, etc.)
Understand what they’re trying to achieve when:
Chatting with
your staff
Walking into
your store
They’re browsing
your website
They’re searching on
their mobile device
Document the journey along the way
FROM YOUR CUSTOMER’S POINT OF VIEW

16. Are you incenting user-generated content
(word of mouth)?

17. Implied v. Explicit

18. Featured (expressing gratitude)

19. 19
Involve & reward or entertain

20. 20
Overcome threshold barriers

21. 1. Examples of compelling,
funny, misdirected signage
2. “What is that face?”
3. Little details that might
otherwise escape notice
4. Reposts of #DetroitLocals
I admire or clients doing
cool stuff
5. Interesting, accessible
#dataviz examples
6. Books I recommend (covers)
21
Use deliberate types of posts to reinforce branding,
inspire sharing
v Consider posting at least one time
per day
v Choose posting time aligned with
when targets are engaged in
relevant activity
v Event-related posting should align
with event timing
v Vary content on Instagram and
Facebook
v Continue to use personal social to
recruit brand ambassadors and
drive brand page engagement

22. ID and nurture
top customers
Use as referral
channel
Crowdsource
feedback for support
& product/service
suggestions
Automate analysis
of reviews
22
Social Media for Customer Relationship Management
(CRM)

23. 23
Create a shareworthy experience

24. 24
“During the holidays, consumers are
often drawn into stores that they haven’t
been to or otherwise might not visit. This
presents prime opportunities for retailers
to acquire new, and potentially long-
term, customers.”
Source: 2017 Holiday Planning Playbook, National Retail Federation

25. 25
We are visual/tactile animals, so use the physical experience to
close the sale, delight the customer, incent word of mouth
Source: The Consumer Decision Journey, McKinsey & Company, June 2009
40% of consumers
report changing their
minds because of the
in-store experience
(packaging, placement,
or interactions with
sales people)

26. 26
80%
of consumers
would pay
+25%
to ensure a superior
experience
80%
of consumers will
stop doing business
due to bad
experiences
Source: Experience Design Is The New Imperative, Russ Klein, Marketing News, September, 2018
Experience outweighs product or price
80%
of consumers will
share bad
experiences
(warning,
discouraging,
venting)

27. 27
“We realized we need to have stores if we’re
going to grow on a national and global scale.”

28. 28
Key Messages:
Find the perfect pair—let our
stylists guide you through our
entire selection
Pop in or book an appointment—
Drop in anytime or plan ahead
and we’ll have all your favorites
(and a glass of bubbly) waiting
for you
Visit any of our fit shops to try
things on for size. See something
that you love? Enjoy them
delivered to your door (for free)
just a few days later.
M. Gemi Fit Shops

29. 29
Outdoor Voices

30. 30
Pop ups can be used
strategically to:
• Introduce new
products/services
• Test market
• Provide exclusive access to
products/services in their
“natural environments”
• Establish and further
relationships

31. 31
Pop up apartment
Pop up art installation

32. 32

33. 33
Consider your brand
attributes when you build
out or renovate your space
Apple Store

34. 34
Physical environments allow you to activate the senses…
Margaux & Max
Castalia at Sfumato

35. 35
Umpqua Bank
Source: https://thefinancialbrand.com/33026/umpqua-bank-san-francisco-flagship-branch/

36. 36
Physical environments...allow you to reinforce brand values.
Source: Trendwatching, December 2017 RETAIL INDUSTRY UPDATE | BEST OF 2017

37. 37
Physical environments...
allow you to create truly, one-of-a-kind experiences.
Source: Trendwatching, December 2017 RETAIL INDUSTRY UPDATE | BEST OF 2017

38. 38
What are your Branded Pleasures?
IKEA’s mission: to make quality
furniture that everyone can afford
Brand values reflected by their
Branded Pleasures:
• Price
• Product
• Product display and trial
• Cafeteria
• Ice cream
Branded Pleasures: The core element of every branded experience; a memorable branded
experience must offer significant branded-pleasures—i.e. pleasure peaks that reflect your
brand values.
Source: https://www.linkedin.com/pulse/stop-trying-eliminate-customers-effort-sampson-lee/

39. 39
IKEA ”sweats” or Good Efforts
Pain Point #1 Pain Point #2 Pain Point #3
What are your Good Efforts?
The existence of Good Effort is to support Branded Pleasure.
Source: https://www.linkedin.com/pulse/stop-trying-eliminate-customers-effort-sampson-lee/

40. 40
Mirror the physical experience online, use online to
drive in-store

41. 41
32% of respondents agree that,
“It is important that the retailers I
shop at have both a store I can visit
and an online site.”
Source: 2017 Deloitte Holiday Survey, Retail in Transition

42. 42
won’t recommend
a business if it has
a poorly designed
mobile website
Source: FORMSTACK via Marketing News, September 2018
57%

43. 43
Online retailers that opened physical
stores experienced five- to eight-fold
sales increases
Why do people Webroom
47% I don’t want to pay for shipping
46% I like to go to the store and
feel a product before I buy it
42% I want to check an item’s availability
online before I purchase it in store
37% I like the option of being able to return
the item to the store if I need to
36% I will ask the store to price match
the better price I found online
23% I don’t want to wait for the product
to be delivered
14%
36%
49%
56%
2013 2014 2015 2016
U.S Digital-Influenced In-Store Retail Share
(% of total in-store sales)
Source: https://www.slideshare.net/scottmonty/the-direct-brand-economy
https://www.fastcompany.com/90177301/from-muji-to-ikea-why-the-best-retailers-think-like-ux-designers

44. 44
* Findings from 28 retail formats
Note: The above chart depicts findings related to top 3 of 28 retail formats and 5 of 18 store attributes
evaluated in Deloitte’s 2017 holiday survey. In-store retail formats include traditional department stores,
mass merchant department stores, warehouse membership clubs, supermarkets, etc.
Online is winning by outperforming in-store venues in
five key areas
Key Store Attributes Driving
Retail Format Preferences
(% very/extremely important)
Internet/Online
Only Retailers
In-store
Retail Formats
Ease of searching
Products - high quality/trusted
Variety of products/styles available
Availability of hard-to-find/unique products
Variety of delivery options available
79%
76%
76%
57%
56%
64%
64%
62%
41%
31%

45. 45
• Inspiring landing pages
• Cool calls to action
• Delightful cart and checkout experiences
• Creative convincing copy
• Reimagined ecommerce
• Transparency
• Reflective of your brand values
How do you deliver a Branded Experience online?
Source: https://www.kaushik.net/avinash/web-design-branding-digital-marketing-experiences/

46. 46
App that allows a virtual experience
Image: IKEA
Source: https://www.fastcompany.com/90177301/from-muji-to-ikea-why-the-best-retailers-think-like-ux-designers/

47. 47
Clever landing page that delights
Can you
explain
your value
proposition
in nine
words?
Source: https://www.kaushik.net/avinash/web-design-branding-digital-marketing-experiences/

48. 48
Reduce cart and checkout abandonment rates
Source: https://www.kaushik.net/avinash/web-design-branding-digital-marketing-experiences/

49. 49
Don’t undercut your in-store experience with an
inconsistent online experience
Source: https://www.kaushik.net/avinash/web-design-branding-digital-marketing-experiences/

50. 50
What are your “moments of truth”?

51. 51
72% of respondents will take
advantage of Free Shipping;
Free Shipping is more
important than Fast Shipping
Source: 2017 Deloitte Holiday Survey, Retail in Transition

52. 52
Act on consumer insights
Source: National Retail Federation, 2017 Holiday Planning Playbook

53. When you deliver your brand
promise, customers
remember the pleasure
peaks. On the other hand,
when you fail to deliver on
promise, they recall the pain
peaks.
– Sampson Lee
53Source: Don’t spread yourself too thin, focus on what makes your brand memorable, Marketing Week, 1/28/2018
“
Focus on the lasting last impression
Isolate a single moment in the customer experience,
ideally at the end, and make it exceptional
Peak-end Rule:

54. Capture
satisfaction
as close to
the experience
as possible

55. 55
Capture
reviews
as close to
the experience
as possible

56. 56
“I bought and returned something
online from a large home furnishing
brand in the States, without
question. In fact, once the parcel
was placed at UPS for return, I
noticed that my credit card was
refunded the money. The brand
didn't even wait to get the goods (or
check them upon return). Flawless.
Painless. Customer-centric (great
work, Restoration Hardware!).”
Your policies should reflect your brand values. Price
transparency and ease of return are table stakes.

57. Gratitude is reciprocal
Defined...
A readiness to show
appreciation for and
return the kindness
https://hbr.org/2015/10/why-customer-gratitude-trumps-loyalty

58. 58
Consumers are savvy
Brands that are
inconsistent
between stated
values and action
will be punished
Brands that
demonstrate
consistent
authenticity and
character win
vs.

59. Thank You!
59
C O N T A C T
Mary Aviles
mary@connect4insight.com
www.connect4insight.com
248.633.5135
@connect4insight