Many retailers took the COVID-19 crisis as a time to reevaluate their current strategies. Some decided it would be best to spend less of their budgets targeting new customer acquisition and spend more on current customer retention. This is largely related to new findings that indicate retailers have a 5% to 20% chance of achieving a sale with a new customer compared to a 60% to 70% chance of selling to an existing customer again. Are these retailers going to be more successful than those seeking new customers at every whim over the long term? It’s hard to say. However, it is a strength to be able to continue connecting with existing customers to maintain their spend at your retail locations. This post will dispel any confusion regarding how retailers should go about targeting their customer segments effectively.
Despite organizations understanding that their success is largely derived by their ability to increase their revenue and decrease their operational costs, it’s very challenging to find ways to do this in an industry that operates so tightly around the margins. Some helpful tips and tricks can be found within the resource accompanying this post, but, it will take much more than that for retailers to get a leg up on the competition.
The most common form of omnichannel marketing today is seen through retailers Integrating the online and in-store experience for their customers. Through this method, customers are capable of interacting with retailers through different online channels after they leave their retail stores. This is a great way to encourage these retailers to further improve their digital marketing strategies, while also fine-tuning their sales tactics to improve the physical retail experience as well.
Those tactics are extremely important when considering the average customer’s visit to a retail store. The 15 minutes to an hour in a retail location is rarely ever enough to truly satisfy a customer. Without a fully fleshed out online presence, that’s the last time a retailer has a chance to interact with that customer until they return to the store. However, with a fully fleshed out online presence, customers can continue to interact with a retailer long after they leave. Through text offerings, digital alerts or even specific in-store promotions exclusive to digital users retailers can draw in more customers to physical retail locations.
No retailer will ever be expected to master the way of an omnichannel marketing approach overnight. That’s not to say they can’t make the necessary changes to both retain their existing customers and continue attracting new ones, because they absolutely should. For more information on how to ease that process, be sure to take a minute and check out the infographic Courtesy of IDL Displays.