The upcoming closure of House of Fraser’s flagship Oxford Street store marks once again the dangers that face retailers who are slow to adapt.
Though the growing importance and convenience of online shopping is not denied, admittedly it’s a shame to see a flagship store go.
Traditionally, flagship stores have offered customers that extra special experience. With sales assistants for dedicated floors, from beauty to consumer electronics, customers could access invaluable tailored help choose the right product and make their purchase.
The challenge that retailers have today is figuring out how to replicate sales assistants online.
Interestingly, KPMG’s new Customer Experience Report has revealed that although customer experience in the UK has dipped for the first time since 2017, digital-first brands are bucking the trend.
According to the report, 56% of brand interactions are now taking place using technology, but the technology needs to be humanised. You need to find ways to pinpoint customer motivations and guide them through their shopping journey, just like a sales assistant would in real life.
In fact, the leading digital brands on KPMG’s ‘top 100’ list are those that have “succeeded in making digital connections feel human and emotional”.
While we thought we were starting to see light at the end of the tunnel, the pandemic is not over just yet. Countries everywhere are implementing additional restrictions this winter, and many will be forced to shop and seek personalised guidance online this Christmas.
Our recent research reveals that in the lead up to Christmas, the majority of consumers in the UK (51%) plan to shop online for gifts, so anyone looking to cut through that noise and connect with customers scrambling for presents online needs to take action immediately.
Needless to say, an impersonal chatbot doesn’t cut it but with the right technology, brands can simulate the in-store experience, providing the tailored help and guidance consumers need to discover and choose products.
Through problem solvers and surveys, retailers can get to the heart of customers’ needs, guide them to relevant products, and give them the confidence to make their purchase online.
Timing is everything here.
Your technology-led interactions will become more human if you engage with customers at the right time – it’s all about replicating the moment an attentive sales assistant catches the eye of a customer on the shop floor.
You need to understand the best time to prompt your customers, so you only offer timely help without disrupting their journey.
Shopping behaviours have changed, and consumers are more comfortable than ever buying online, but there is still a desire for the in-store customer service experience. Adaptable retailers are recognising that customer service needs to stand up in both worlds equally.
It needs to be human first and foremost, no matter where it’s taking place. With the right tools, retailers can recreate the magic of the bespoke in-store experience online, so there’s no reason for consumers to miss in-person customer service.
If you would like to find out more about how technology can help your brand humanise interactions with customers online, get in touch with our team today. You can also read more about how to inject empathy into your digital experience here.
Online Sales Index
The latest ONS Retail Sales Index has shown that pent-up demand created during lockdown is being released as many consumers welcome the easing of lockdown restrictions, and the opportunity to visit many of their favourite shops.
But while there has been a 35.7% year-on-year increase in overall sales, a very positive step in the right direction, footfall is still down by 40% in comparison to the pre-pandemic period.
Shopping behaviours have changed, consumers are more comfortable than ever shopping online, but there is still a desire for the in-store shopping experience. The retailers that realise their offering needs to stand up both in the digital and physical world, will be the ones set to win consumer loyalty as we ease out of lockdown.
Don’t fall short on customer service
Customer service has long been a pull factor for physical stores. Consumers looking for personalised help, advice, and recommendations have traditionally opted to go in-store.
Think about the invaluable advice your grandma seeks from the sales assistant when purchasing a gift for her thirteen year old grandchild, or when you’re making a considered purchase like your first washing machine. In a digital world, it’s only natural that shoppers still want that tailored and personalised service.
Though there are scenarios where online can’t compete with the in-store experience, such as when consumers want to touch and feel products, it doesn’t have to be this way with customer service.
Online retailers need to make sure they’re not falling short here and letting customers revert back to in-store shopping in pursuit of a more personalised experience.
With technology, brands can explore how to connect with customers and intelligently serve their needs online, as they would in real life. So how can brands do this well?
Well, it’s about finding ways to pinpoint customer motivations and guiding them through their shopping journey, as a sales assistant would in real life.
Engage just at the right time
Problem solvers and surveys are a great place to start to understand your customer’s motivations or problems and can be used to guide shoppers through their journey to purchase. These work especially well when shoppers are browsing for considered purchases and require bespoke guidance.
For example, if a shopper is browsing for a laptop, a problem solver survey that instinctively appears asking how they intend to use the laptop (e.g. for work, gaming, editing photos) can direct them to relevant devices, assisting them to make their decision.
The key to getting this right is knowing when to engage with the customer with help and advice, just like an attentive sales assistant who catches your eye at the right time. Understanding when to prompt your customers while they browse your website ensures you offer considered and timely help.
Consistency online and in-store is key
Granted, there will be times when consumers simply want to touch and feel products in-person and revert to in-person shopping. But with online sales in May 2021 higher than in May 2020, when online shopping was the only available option, it’s likely that consumer habits forged in lockdown are going to stick.
We’re also seeing a powerful trend at play with physical stores evolving to become a place where you go to browse and get up close to products, with the transaction itself migrating online.
Therefore, it’s never been more important for brands to offer a consistent experience both in-store and online, so a customer who migrates to digital channels later in their journey isn’t disappointed and decides to shop elsewhere.
Adaptable retailers are recognising that customer service needs to stand up in both worlds equally, if they are to compete. With the right tools, retailers can recreate the magic of the bespoke in-store experience online, so there’s no reason for consumers to miss in-person customer service.
This post was updated with data in 2021
