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July 07, 2009

The Secret That Makes You More Valuable to Customers!

A friend of mine does $200,000 a week in a spot that was the graveyard of two trendy restaurants in Fort Lauderdale.  The previous places were well capitalized, had great menus and were given good reviews by critics, yet after a few years they failed.

Asked about his ability to reel in customers despite the stigma of the "bad location," and in a sour economy, he said that he has focused on the "customer experience".  He didn’t fall back on customer service, or the quality of food, or the dramatic décor… he knows that you have to do those things right.  What is driving his success is the ability to understand that every interaction from the greeting at the door to the final goodbye is important to the customer.

He's on to something.  Known also as touch point marketing, your customers obtain many impressions about your business from each point of contact that add up to the "customer experience". Service, selection and product knowledge are often trumped by what may be considered minor issues.  Shopping carts in the parking lot, trash, window signs that are crooked, a burned out light in a sign, scuff marks on the floor, disheveled displays, staff in rumpled uniforms, and no prices on merchandise contribute to how your customers feel about shopping at your store.

Why is a philosophy of "customer experience" important to specialty retail?

First, impulse shopping is dead and probably will be for the near future as customers buy what they need. Second, competition is more diverse than ever.  (A chain of drive-through convenience stores in Florida now sells $1 million a year in fresh baked French baguettes!).  Thirdly, people are aware of their importance to retailers.  Fourth, savvy companies in all sectors of retail are improving the "customer experience" in their establishments thereby increasing customer expectations.

By focusing on "customer experience" you also improve staff morale and instill a sense of pride in all aspects of the store.  Everyone likes to work and shop in a good environment!

Ron Jakubisin

Ronald Jakubisin & Associates.

Advertising | Marketing | Package Design

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