Retailers might find themselves a bit alarmed after reviewing some of the statistics shared within the infographic accompanying this post. Of those included, the most alarming statistic considers a retailer’s chance of selling to new and existing customers. A 5% to 20% chance of selling to a new customer compared to a 60% to 70% chance to sell to an existing one is a fairly shocking disparity. What’s even more shocking is that a majority of retailers continue to insist on dedicating their marketing budgets to attracting new customers rather than catering to their existing customers. Can prioritizing new customer acquisition be a sustainable marketing strategy?
After all, most organizations are after improving their dynamic revenue growth. Wouldn’t focusing more on their loyal and regular customers be better suited for those goals? It can be a challenge for these retailers to identify ways to satisfy both their existing customers while simultaneously appealing to new customers. With some help from the infographic accompanying this post, retailers may have an easier time solving that challenge. A first step for the retailers struggling with this is finding the most optimal way to incorporate online and in-store selling techniques that improve the customer shopping experience. Strategies such as cross-selling and upselling are great at targeting both new and existing customers.
Integrating the online and in-store experience through these tactics is very similar to the way in which most retail businesses are approaching their marketing strategies. Known as omnichannel marketing, as more and more customers are capable of interacting with retailers through different online channels, retailers are expected to adapt. Failure to do so could end catastrophically for these retailers. Not only do they have to strengthen their digital marketing strategies, they also have to be equipped with the necessary sales tactics to improve the physical retail experience as well.
Digital marketing has become increasingly important as the amount of online exposure retailers can receive has skyrocketed. Think about it, most customers don’t spend all that long shopping in physical retail locations. On average, a customer will spend anywhere between fifteen minutes to an hour in a retail store. A strong digital presence allows retailers to continue to engage with their customers long after they exit their physical locations. In fact, a number of the strategies retailers use digitally are meant to attract customers to physical retail locations.
Improved connections with customers is only part of what a strong digital strategy provides. Another strength of retailers’ digital strategies comes in the form of personalization. This is largely seen through a customer’s account on any retailers’ website. With the right amount of sophistication, retailers are capable of tailoring a customer’s entire experience based on their activity on the site, their previous purchases and even their wish lists. Some shoppers may even have an easier time finding the right product for them from home, especially those who are hoping to remain safe amidst lockdown restrictions.
How can a strong digital strategy impact the in-store experience though? Well, one method that has become fairly standard in most retail locations is digital signage. Whether that be an interactive tablet that allows customers to browse the items in-stock in a particular retail location or signage meant to display important details about a particular set of products. Digital techniques are capable of simplifying the customer’s process in-store when utilized correctly.
Correctly integrating these strategies into your retail locations can be challenging. For more information on how to ease this process, e sure to check out the infographic coupled alongside this post. Courtesy of IDL Displays