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In the world of retail, the importance of customerretention cannot be overstated. As businesses focus on attracting new customers, it’s equally crucial to invest in keeping existing ones. Retaining customers not only ensures consistent revenue but also fosters brand loyalty and advocacy.
A person can be anywhere at any time, search your online shop, press a button, and magically a shipment arrives at their door. What happens next, by way of return experience, most certainly impacts whether they will purchase from your business again. Think of things like rental car collision protection at the rental car counter.
According to a study commissioned by AI voice solution Tenyx and conducted by Centiment, seven out of every 10 consumers are frustrated with current virtual agents, and 55% of respondents said they would either stop doing business or go with a different company if faced with the automated customer service technologies in use today.
Picture this: You’re about to buy something online, but the site doesn’t remember who you are, so you go buy your item elsewhere, or just not at all. If your customers have to deal with an annoying login process at the end of their shopping journey, they’ll just abandon their cart. times per day on average.
For some, however, this trade-off comes at the price of navigating frustrating and, at times, confusing return policies. With return policies differing from brand to brand, it can be exhausting for customers to keep track and often leads to more hassle than reward.
Long viewed as a necessary evil, the retail returns process is emerging as an unexpected avenue for growth and customer engagement. In the rapidly expanding ecommerce market, projected to reach $3 billion in 2023, a significant 20% to 30% of online purchases end up being returned. Speed-to-restock is key in the returns cycle.
In today’s competitive online retail market, customerretention is just as important as customer acquisition. By optimizing your website to meet the needs of your customers and search engines, an eCommerce SEO agency can help you boost customerretention and grow your retail business.
The customer journey starts off linear, but it should end in a cycle of repurchasing. Getting the returns experience right is one of the most critical parts of that cycle — 95% of shoppers say that how returns are handled affects their decision of whether to purchase again. Return Rate and Negative Reviews.
How Bis transforms consumer understanding into innovation and growth Speaking of knowing how to tap into the power of the creative community, few brands are as adept at understanding their customer as Bis. Lowes Bailey stated that it is important to know your customer and know who you have a right to win with.
It’s is more than just making a simple purchase; it’s about providing an effortless, engaging experience that keeps customersreturning to your business. Focusing on the online customer journey is more important now than it has ever been, with more and more consumers preferring digital stores to physical ones.
During the opening weeks of Eggslut, there were queues of people who wanted to try it because it was the hot new restaurant that drew strong social media buzz, Dr Guy Llewellyn, assistant professor at EHL Singapore Campus, told Inside Retail. However, sustaining that momentum is a different challenge altogether.
Tara Daly, senior director of product marketing at Loop Returns , shares with Inside Retail advice on getting started in the US market, some tips on cross-border shipping and logistics – including managing returns in a way that builds customer loyalty – and how to drive repeat business.
For most retailers selling online, returns generate their greatest customer service challenges and inevitably drain profitability. Leaders in the industry understand they need to strategically address the post purchase journey and optimise for cost at each step while continuing to deliver a seamless customer experience.”
For most retailers selling online, returns generate their greatest customer service challenges and inevitably drain profitability. Leaders in the industry understand they need to strategically address the post purchase journey and optimise for cost at each step while continuing to deliver a seamless customer experience.”
The positive vibe of the show was largely driven by retail executives’ obvious eagerness to explore which new technologies would help them maximize customerretention and business growth in 2024. I love the phrase at Levi’s: Driving profits through principles. Michelle Gass, President of Levi Strauss & Co.,
Lets explore how they enhance customer-brand relationships and create lasting value. Incentivising Repeat Business At its core, a loyalty program is designed to incentivise repeat business, and when executed correctly, it does so very effectively.
Given current economic conditions impacting both shoppers and retailers, focusing increasingly on customerretention over acquisition is key to driving better outcomes and returns. Many loyalty programs are ineffective and their returns are unknown at best, and margin erosive at worst.
In order to understand where the future of retail is headed, we’re going to take a look at how the pandemic has impacted the retail industry and how it has already started to adapt to pandemic challenges. . Simultaneously, data and analytics were at the forefront of retailers’ minds as stores sought to anticipate their consumers’ needs.
“For the back-to-school season, 42% of consumers say they are spending more, but 57% are trading down for lower prices,” said Caila Schwartz, Director of Consumer Insights and Strategy for Retail and Consumer Goods at Salesforce during an Aug. Shorter return windows generally mean more sales taking place in December.”
Returns present a complex challenge for retailers of all sizes, not only contributing to their carbon footprint, but also eroding their profit due to the cost of managing and paying for reverse logistics and, in some cases, leading to fraud. Meanwhile, the use of returns by customers continues to grow in popularity.
This suggests there is still space in the budget for life’s little luxuries, opening up opportunities for savvy retailers,” says Shaun Broughton, MD, Asia Pacific and Japan at Shopify. This highlights the value of knowledgeable staff and how they bolster customer experience.
Scheduled for the 27th and 28th of February at ExCeL London, the Smart Retail Tech Expo is the UK’s leading expo for bringing digital innovation into the retail sector. Register today to learn how to elevate your digital platform and create the ultimate customer journey to transform your business!
Naturally, he started his career in fashion there, followed by stints at other major fashion brands including John Varvatos and Michael Kors. When Molnar decided to launch his own brand he turned to Andrew Codispoti, a childhood friend who at the time was a trader on Wall Street, for funding. “I
Retailers frequently ask customers to enroll in a loyalty program at point of sale — especially during the holiday shopping season. According to Clarus Commerce data, 28% of consumers say they enroll in loyalty programs for immediate benefits, with the intention of unsubscribing at a later time.
For example, a grocery store may hand customers “scratch and save” cards at checkout, capturing customers’ attention through the thrill of winning free or discounted items that will guarantee their return to that store. Focus on customerretention. Be authentic. Make it fun.
Consumers are returning more purchases than ever, especially with the growing convenience of online orders, but it is becoming an increasingly expensive problem for retailers. Last year alone, retailers lost $218 billion to ecommerce returns. Shoppers Already Expecting to Return Gifts. Shoppers Already Expecting to Return Gifts.
While more retailers are handing off these tasks to other companies, presumably as a way to cut costs (rising shipping costs were identified as the top challenge among retailers, at 56% ), nearly as many ( 55% , up from 38% in 2022) worry about customer expectations around delivery times.
Research shows that nearly 30% of businesses lacking appropriate multilingual support have lost customers. On the other hand, businesses providing multilingual support see tangible benefits, like bolstered loyalty that improves overall customerretention. In today’s hyper-connected world, customers have unlimited options.
We saw this at the start of the pandemic when food store sales shot up by 21%. still plan to cook more at home. Grocers that convince customers to become loyalty card holders, for example, will achieve levels of customerretention that restaurants don’t often see. Matt Hopkins is Global Retail Director at Board.
What is customerretention? Customerretention refers to a company’s capacity to convert purchasers into repeat customers, preventing them from purchasing from a rival. Why is customerretention crucial for businesses? Enhanced client retention often leads to improved financial performance.
In fact, experts and practitioners across the retail spectrum largely agree that the store is a crucial vehicle for customerretention, engagement and loyalty. Even once-digital only brands like Warby Parker have doubled down on their store investments. 24-25 at McCormick Place, Chicago, Illinois.
To drive customerretention and loyalty, most brands and retailers continue to rely on purchase discounts ( 77% ) and loyalty program points ( 61% ), according to Retail TouchPoints research. At a bare minimum, they will expect businesses to keep that data safe and use it responsibly. A major reason for this drop?
Customer communications: Perhaps the most defining trait of the digital consumer of today is their expectation of transparent, real-time communications. From order placement to shipping notifications, consumers demand regular updates about their orders or returns. But like many aspects of our industry, customerretention still exists.
While it may not be entirely realistic to have zero complaints, the aspiration drives companies to proactively identify and manage issues before they become a point of friction for the customers. It costs more to attract new customers than to retain current ones. Customerretention isn’t just about keeping one customer.
Last year, the average family with K-12 students spent $848 on return to school items, while families of college students spent an average of $1,200, according to the National Retail Federation. Regardless of your customers’ age demographic, it’s a smart idea to offer digital wallet payment options at checkout.
Ecommerce has grown exponentially over the last two decades, albeit at a fairly steady pace. With the onset of the COVID-19 pandemic in 2020, paired with renewed restrictions and stay-at-home orders approaching the holidays, that steady pace of online shopping growth has gone out the window.
Customer acquisition costs online have reached unprecedented levels, which means marketing leaders are trying to diversify their toolkits. Even fewer respondents have access to social media activity related to the company (33%), customer referrals (23%) and customer lifetime value (22%).
Shoppers expect both in-person and online options, faster delivery, real-time tracking notifications, and simpler returns. Returns should be convenient and flexible Ensure your returns process is straightforward and accommodating to maintain customer satisfaction. Offering such insurance can improve customerretention.
Guest Blog by Sarah Hughes , Co-founder & Director at Datitude. Awareness, appeal and adoption remain low overall and squeezed tech and marketing budgets are likely to be directed towards excelling at the fundamentals – having the right product at the right price, in the right channel at the right time for the right customer. .
Smart Retail Tech Expo brings digital innovation to the retail sector across two days on 27th & 28th February 2024 at ExCeL London. Experts will be covering all topics from AI and VR tools, to virtual try-ons and chatbots, to help you stand out against competitive retail landscapes and secure increased customerretention.
This compelling data highlights the critical importance of adopting omnichannel strategies for Australian retailers striving to stay at the forefront in an ever-evolving market. Returns – once viewed as a friction point – now emerge as a loyalty catalyst. Returns – once viewed as a friction point – now emerge as a loyalty catalyst.
This technique utilizes technology to deliver personalized ads that specifically target potential customers, gently reminding them of the products they have already shown interest in. The goal is to motivate customers to return to the website and complete their purchase. The next step involves segmenting the audience.
While AI presents vast possibilities to enrich this journey, it also ushers in significant challenges that could negatively impact customerretention and a brand’s bottom line. Why Shoppers Should Care: The Hidden World of Post-Purchase Imagine the moments after you complete an online purchase.
Consumers demanded the ability to purchase online and return in-store, and retailers responded by putting processes in place that offered those options. Buying online and returning in-store is only one of many possible combinations of the online/offline shopping journey. Attracting and Engaging Customers. Service and Support.
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