Featured in My Total Retail.
With the onset of Covid-19, the world changed. As a result, businesses had to efficiently (and swiftly) pivot their planning to adapt to the new lifestyle everyone was now experiencing. During this period, retailers that could quickly and effectively shift strategies rose to the top. Additionally, those that enhanced their customer experience stepped into the spotlight and gained an increase in customer loyalty and retention.
While we saw smaller, lesser-known brands achieve kudos and attention, we also saw big-name retailers take a hit in reputation (and in some cases, their stocks) if they couldn’t adapt fast enough, while maintaining customer service expectations.
We’ve compiled a few key lessons business owners can take away from the pitfalls of certain retailers. They can use these mistakes as fuel for exceeding customer expectations.
The pandemic took everyone by surprise and forced the world—businesses in particular—to stop and rethink their strategies. Due to this colossal industry pause, retailers everywhere experienced delays at every point of their business. From supply chain issues and manufacturing hiccups, to chaotic last-mile deliveries, companies typically known for smooth operations suddenly found themselves with a metaphorical line of peeved customers asking why their products were taking so long to arrive. While customers may have been understanding at first, like any pot on a hot stove, what simmers will eventually boil. This was especially true for customers who waited nearly six months to receive home furniture and décor.
With quarantining and transitioning from office jobs to work-from-home offices, certain industries, such as lumber, experienced an unfathomable increase in demand. With more time at home, home owners started (or completed) the renovation and DIY projects they hadn’t previously had time for. These home facelifts led to a significant demand—and as a result, a shortage—in materials like the above-mentioned lumber. Not only did the lumber industry experiencing a shortage, their retailers also found it difficult to accurately quote rates to consumers. With such a flux in lumber prices that could change on a whim, businesses were battling over-quoting prices and losing potential customers, or under-quoting prices and losing money.
These are just a few of the difficulties companies have faced during the pandemic. While massive, sudden, and heightened shifts in user shopping habits are rare, in unprecedented times like these, business owners should have a backup plan. At the very minimum, retailers should know how to effectively foster their customer experience in the face of subpar logistics.
Boosting Your Customer Experience
Communication is Key
While every business will have stories of upset customers, these same customers can, in general, be surprisingly understanding—as long as they receive communication. Delays in shipping aren’t anyone’s favorite. Yet it does happen on both the consumer and retailer sides. When they do happen, it is the job of the business to notify the consumer. Whether your company is dealing with shipping lags, product returns, or simple back-and-forth emails, communication can defuse and, in some cases, positively increase your customer’s experience. On the flip side, without proper communication, the frustration the customer experiences on his or her end can lead to boycotting your business altogether. Not to mention, unhappy customers can unleash negative reviews on social media or other online platforms, turning their personal experience into a public matter.
Appreciation Goes A Long Way
Do not underestimate the power of appreciation. In a world that moves at the speed of light, it is always nice when a person, or even better, a business, takes the time to truly recognize their customers. A simple thank you note or a funny GIF in an email that lets the consumer know you are grateful for their support can automatically increase your likability and reputation. This positive feeling associated with your company can encourage one consumer to tell others about their impressive experience, thus increasing your chances of exposure and, as a result, sales.
On an adjacent note, appreciation can also include a sincere apology. If communication has been less than ideal, a genuine apology can mend relationships with irritated customers. Consumers want to know that when things go wrong, the company sees the issue and understands the customer’s frustration. It’s important for retailers to acknowledge that something went wrong in the process and are doing everything they can to make it right.
Streamline Your Business
Smart business owners know when they can do things themselves and when they need help. Large-product retailers that streamline processes by outsourcing to third-party vendors can ease the strain of the development and fulfillment of operations.
Whether you want reliable shipping or need help with a customized reverse logistics plan, companies like Dolly work with you to transport large products or inventory without the hassle. With additional aspects such as convenient scheduling and on-demand delivery tailored to suit your company’s goals and preferences, you can not only boost, but exceed, your customer experience.
The takeaway here is that retailers with plans were flexible enough to meet the demands created by COVID-19. Those that did not provide lessons about how businesses can—and should—handle similar crises in the future.
Jay Sackos is an experienced supply chain sales professional dedicated to exchanging value through creative, client-centric solutions. Jay is a natural leader who empowers teammates through clear communication and collaborative objective setting while fostering accountability.