7 Retail Recovery Tips: How to Get Customers Back in Stores
Retailers everywhere are eager for shoppers to visit in-person. The question is how to get customers back to the store.
While online shopping continues to be popular, retail spending is increasing as businesses are leveraging tactics to reward in-store spending. Despite the growth in e-commerce, Forrester predicts in their recent five-year forecast that by 2028, 76% (or $21.9 trillion) of global retail sales will still occur offline. Therefore, it is essential for retailers to keep investing in omnichannel strategies that ensure a smooth shopping experience both online and offline.1
Robust marketing, new payment option acceptance, and loyalty programs are vital considerations for retailers hoping to increase foot traffic. Personalized service and customer attention can build loyalty and increase the average ticket value. But how can businesses help ensure that consumers will visit their stores? Here are seven tips retailers should consider to attract customers into their brick-and-mortar locations and recover a retail experience that promotes customer loyalty and spending.
1. Market to current customers
Customers have their favorite stores, and loyal customers should be recognized and catered to by businesses, as they can be an advocate for a brand and promote it to like-minded individuals. Positive customer experiences result in word-of-mouth marketing, one of the most powerful forces driving purchases today. Beyond relying on friends and family, consumers often turn to online reviews either to leave comments or seek guidance. 50% of consumers trust online reviews as much as personal recommendations from friends and family, and 31% trust online reviews as much as professionally written articles by topic experts.2
2. Make checkout quick and easy
Today’s customers are in a hurry and want to avoid a lengthy checkout experience. Whether on the busiest shopping day of the year or during off-peak hours, merchants have a tangible opportunity to reinforce customer satisfaction when they are in-store, so it’s crucial to make the checkout process seamless. Providing a checkout option without requiring a membership card or account makes for a quick and easy transaction for new customers or those who are not yet loyal members. Having well-trained employees and up-to-date mobile options, even in-store, can help minimize long waits in the checkout process and is a great way to gain loyal customers.
3. Build loyalty
Who doesn’t love a deal? Offering special discounts or loyalty programs to store visitors and incentivizing online shoppers to visit in person are great ways to increase the average ticket value. Loyalty programs rewarding or attracting new shoppers while offering in-store coupons and gifts is an allure that promises to save customers money, which may incentivize increased spending. While money-saving offers are a great way to build loyalty, so is merely recognizing the value that the retailer places in the customer relationship.
4. Offer “try before you buy”
Discounts are great, but shoppers also love to taste, smell, and sample products before buying. The “try before you buy” shopping experience can add excitement and provide a sense of engagement. It offers the hands-on experience people crave and helps ensure that customers will be satisfied with the product.
5. Provide “buy now, pay later” options
Buy now, pay later (BNPL) alternatives have been gaining in popularity, especially with younger generations that want flexible payment options while still having access to clothing and electronics. BNPL allows shoppers to take products home immediately while spreading out payments and lets them take advantage of in-store coupons and sales. In a recent survey, 48% of millennials and 36% of Gen Z worldwide reported using BNPL as a payment method in the past 90 days.3
6. Expand customer service
58% of consumers prefer a contactless form factor when making an in-person payment.3 Using payment devices to capture transactions is critical to an improved shopping experience. Self-checkout kiosks or mobile points of sale (mPOS) are also digital tools that have swept the globe and can save retailers money long-term. Indeed, mPOS options are being installed worldwide as merchants respond to customers’ desire for convenient and faster checkouts. Global transaction value processed via SoftPOS is projected to rise from $1 billion in 2023 to $11.8 billion by 2028.4
7. Increase store hours
Customers have varying schedules and busy lives, and while some people like to shop during the hustle and bustle of peak hours, others prefer to come when stores have fewer shoppers. Extending business hours or promoting additional times that allow people to choose to shop in-store when it’s convenient for them is a powerful way to increase traffic. This can mean that businesses need to hire more staff to cover extended hours or consider investing in technologies like self-checkout kiosks if available staff is difficult to secure. With these seven tips, merchants can be better positioned to attract customers into visiting by meeting today’s service level expectations—a proven way to overcome the challenges presented by the popularity of e-commerce and start moving toward retail recovery.
References
Forrester, May 2024. Global Online Retail Sales to Grow 8.9% Annually, Reaching $6.8 Trillion In 2028. Viewed 28 June 2024.- BrightLocal, March 2024. Local Consumer Review Survey. Viewed 28 June 2024.
- 451 Research S&P Global Market Intelligence Global Consumer surveys, commissioned by Discover Global Network, Q1-Q2 2024.
- *n=5,030 consumer respondents in Brazil, Canada, mainland China/Hong Kong, Germany, India, Mexico, Singapore, the UK and the US.
- *n=2,258 merchant respondents in senior payments/finance and strategy roles, headquartered in Canada, China, Germany, India, Japan, Mexico, the US and UK.
- Discover Global Network and TSG, April 2024. SoftPOS & Point of Sale Solutions: A TSG Collaboration. Viewed 28 June 2024.
The information provided herein is sponsored by Discover® Global Network. It is intended for informational purposes, and is not intended as a substitute for professional advice.