Plus, it'll highlight areas you've been slacking on or could stand a little improvement to help make your business stronger, more profitable, and more likely to garner customer loyalty.
Let's get started!
Why your customers aren't buying
You thought it was a done deal, and then, dammit, you lost the sale again. Why is this?
Take a look at the top factors that dissuade customers from making a purchase:
- Long lines -- 40%
- Too much traffic -- 26%
- Not enough variety of inventory -- 25%
- Slow checkout -- 24%
- Too far away -- 19%
- Lack of parking -- 16%
- Item/sizes often out of stock -- 16%
- Gas prices -- 13%
- Inconvenient store hours -- 10%
- Limited number of sales associates -- 6%
- Store associates lack of knowledge/inability to assist 5%
What to do about this:
Establish a strong ecommerce presence -- Once you do this, you completely eliminate the majority of in-store complaints: long lines, too much traffic, too far away, lack of parking, gas prices, inconvenient store hours, and so on. Make it simple for your customers to buy your products - and ecommerce is the easiest way to do this.
Train your sales associates well - (and listen to how they speak to your customers.) If your sales associates can't answer questions and aren't offering top-notch customer service, you need to fix this situation immediately. Train them thoroughly, make your expectations clear, and audit their interactions with your customers regularly.
Keep your inventory levels locked and loaded - This is important both online and off. Know what you currently have, and what you'll need to get more of, before you run out. Ensure you or your team are keeping shelves stocked, and/or updating your online shop or ecommerce site's inventory if you've run out of an item completely.
Streamline your checkout process - During the busier shopping days, especially during the holiday season, you may find that customers are waiting much longer than they should to make a purchase. Again, selling your products online will divert some traffic, but mobile checkout options like iPads are a fast and easy way to help make long lines move faster.
How to increase the odds that your customers will make a purchase
All is not lost! Even if you're guilty of some of the above complaints, you can still make it right by checking out the top reasons customers would make a purchase, and then implementing some changes to your business to ensure you're giving them what they want.
Features that may increase the likelihood of a purchase:
- Knowledgeable store associates -- 48%
- Self service/mobile checkout -- 24%
- Barcode scanners to confirm product prices and features -- 23%
- Personalized coupons/offers through a smartphone -- 21%
- Personalized coupons/offers through a social networking site -- 17%
- Wi-fi access for comparison shopping -- 17%
What to do about this:
Train those associates! -- With almost half of respondents citing knowledgeable store associates as the number one reason they'd be more inclined to make a purchase, it's clear just how important it is that your associates know their stuff. Stress to your staff that educating shoppers about who made a product, where it was made, how it was made, what it was made with --- basically telling its story - is a persuasive way to get that sale. And make sure they know price points, sales and specials you have going on, warranties, your return policies, etc. These are essential components that can make or break a customer's experience.
Offer discounts - Throughout each year, offer discounts and specials both in-store and online. Post a secret word online that in-store shoppers must recite to receive a percentage off. Email printable coupons to customers. Tweet out promo codes to entice online shoppers.
Upgrade your technology -- As you can see, self-service checkout and mobile checkout options have been mentioned repeatedly as an asset. This is especially important if your store tends to get longer lines. Nordstrom Rack has an associate or two go through long register lines with an iPad and checks people out right then and there -- if they can pay with a debit or credit card. It's fast, easy, and super efficient -- and a fairly cost-effective upgrade for your small business. Offering Wi-Fi is another great option. Why give a customer a reason to leave your store? Let them price compare right then and there and it'll also give you more time to tell them exactly what it is about your products/customer service/warranties/etc., that makes them so great.
How being a local business can make all the difference
Reasons why consumers want to shop local:
- To support the local economy -- 62%
- To find one-of-a-kind gifts -- 53%
- For the convenience -- 43%
- For the excellent customer service -- 38%
- Because it is critical to the overall health of the U.S. economy -- 30%
- Because of greater loyalty to the local retail store -- 30%
- For special offers or deals from these local retailers -- 25%
- For free services (e.g., gift wrapping) -- 18%
- Because of a personal relationship with store owner -- 18%
What to do about it:
Highlight your localness -- Yeah, you're a local business, but do your customers know that? Tell your story in the 'about us' section of your website, put 'proud to be a local business' stickers in your store, say 'thank you for supporting an independent business' every time you make a sale, email customers a receipt that thanks them for shopping local, shout it from the rooftops, etc. Make it known every chance you get to help increase sales.
Sell your products online -- Customers want convenience. Period. And while it used to be that the majority of businesses online were large brands and retailers, that's far from the case anymore. Get your products out there and show your customers that, yes, they can shop your store 24/7 now, while supporting a worthy local business.
Give them what they expect -- (And want.) Local businesses are often associated with the kind of friendly, personable customer service you'll never get at a chain, so don't underestimate the importance of that. Warmly greet customers when they come in. Send 'thank-you' notes to online customers. Show your customers that your local business is one that truly appreciates their loyalty - and it'll be much more likely they'll return.
Tell your customers that they're doing a great thing -- Some of your customers may not realize just how important shopping local is - or what it actually does for the economy. Share facts on your Facebook page. Post a sign in your store. Write a blog post and email it out to your customers. Educate them on a regular basis to show them that shopping local means so much more than shopping at a chain ever could.
Catering to Your Customers
Knowing what your customers want is half the battle. And now that I've armed you with these great stats, start implementing a few changes each month to better cater to what your customers want, expect, and need from your business.
Going above and beyond (including that crucial element of surprise) is a largely untapped part of customer service that can help your small business stand out from the competition.