One of the biggest challenges in retail is to move beyond the ‘I’m just looking’ phase. The next step is to get the base sale and then the upsell. There are never-ending selling strategies and tactics to implement to improve revenue. However, the one thing overlooked is the power of delivering excellent CX.
So often as a consumer, we experience the pressure sales tactics and the almost desperation to get our credit card. The pressure on retail businesses to achieve sales targets is extreme, and the opportunities are shrinking against global players and online. What if there was a secret weapon to assist in hitting the revenue targets?
What Do You Like?
The ability to deliver excellent standards of CX has a powerful impact on the sales process. Rather than having to focus on the upsell, a unique CX process has you choose when to upsell. Think of your own retail experiences with the businesses you are extremely loyal. Rarely will they been seen to upsell you, instead the trust you have in them and the faith you have they will do the right thing often as you ask them questions like ‘is this the best option, what else would you recommend for me, what else would complement/work with this, etc’.
The results of delivering excellent CX creates an environment where the customer sells themselves, and you have to be the person who points them in the right direction while being genuine with high integrity. You must ensure you put the customers best interests; first, this helps to build trust in you and trust is everything if you want repeat customers. Never focus on your interests over the customer, if you do it will cost you dearly in reputation and loyalty.
It’s also about protecting the future
So many retailers make the mistake of focusing only on this sale. They should always be focusing on the next sale with the customer. Deliver excellent CX, and the results are huge; it massively increases repeat business rates, increases the average dollar sale, creates referrals, greater awareness of your products, and has a significant impact on the need to discount. Think about who you know is #1 in their retail sector, now think about how they sell, how they have built a reputation on service and trust, standing by their guarantees and removing all risk of doing business with them. They have a loyal following, and they can send out special offers and upcoming releases and create their own demand. Now think about the others, they are left to fight it out on price and cheap gimmicks. They also have a following of customers, but most of them just want price and loyalty is one transaction at a time.
Create Your Own Value
Achieving the highest standards of CX is in effect, creating your own customer currency, this is what ends up on the balance sheet known as goodwill. Goodwill is rarely focused on and is the most valuable currency your business has. If I want to buy your company, I want to know your team’s ability to deliver service excellence, and I want to know the impact this has on the future transactions of your customer base. If your CX isn’t optimal, then you have definitely underleveraged your opportunities and possibly burnt a lot of repeat business along the way.
Do the Basics
To ensure you optimise your upsell opportunities here some basics to have in play. Measure the conversion rates of your team, and if their sales conversions are under what they should be, then there’s a fair chance your repeat business will be affected. An excellent CX process results in delighted customers who will return with a very high probability ratio. Over time they learn more about the business, and if you deliver an exceptional experience, they will keep coming back for it. The great hidden benefit of this process is the unexpected referrals that walk in and buy as they are trusting their friend that you will do the correct thing by them.
Always obsess over your customers and NOT over your competition and operate your CX process with the golden rule of: Different isn’t always better, but better is always different. Just make your CX the best, and this will make you different and generate massive returns.
Darrell Hardidge is a customer experience strategy expert and CEO of customer research company Saguity, specialising in driving revenue growth from customer appreciation. Darrell is the author of The Client Revolution and The 10 Commandments of Client Appreciation. To find out more, visit here.
In the lead up to the 2020 Gold Coast event, Retail Global holds smaller workshops and conferences for those who are after specific details on up and coming trends. At the Road to CX Success event, hosted by Retail Global, retailers are given the tools they need to improve overall CX, and how they can incorporate new tech to close the gap between retailer and consumer.
For more information, and to register for a spot, be sure to check out the three locations that Retail Global will be visiting.
Register for Sydney
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