Home Retail Rethinking retail post-COVID-19

Rethinking retail post-COVID-19

By  
SHARE

In what felt like an overnight shift, the way that small businesses traditionally interacted with their customers stopped, changed or morphed. Among those most vulnerable are the smaller retailers without an online presence that depend on their customers to walk through their doors. While many states are beginning to reopen, a lot of uncertainty still exists around the health of the retail industry. Will capacity be capped to 20 percent, 50 percent or 75 percent? If stores are allowed to be open, will people feel safe walking in, trying on products and exchanging money with staff members?

Rethinking retail post-COVID-19

A recent survey found that 90 percent of shoppers were hesitant to shop in stores because of concerns. Having a thoughtful digital presence has been important to staying afloat for many smaller retailers throughout the last few months. As most brick-and-mortar stores selling non-essential items had to close their doors in March, people turned online. There was a 50 percent up-ticking US online sales in April from the year prior. While digital transformation will play a part in many businesses’ survival, it doesn’t mean that physical stores won’t be around in one year. What it means is that their reliance on a singular channel of interaction will multiply. This is key.

The COVID-19 era has introduced an opportunity for smaller retailers to rethink how they do business, gain new revenue, engage with existing revenue and create efficiencies. For a business that is looking to build a digital presence from scratch, revamp an existing presence or is still unsure about going digital at all, here are some avenues to consider when looking to get closer to the customers.

Look Inward & Take Stock

Retailers who are considering e-commerce should not use it as a dumping ground to showcase everything they have available to sell. Just as business owners need to be strategic about how items are presented in their stores, they need to consider the answers to questions to better understand how an online presence will make the most impact. Once you understand how customers use your product, you can fundamentally look at an approach that’s different.

Consider a Subscription Service

Right now, more than ever, people are looking for a convenient way to get what they want and need. Subscription services are a preferred option for consumers now as they can get their favorite or necessary products delivered directly to their homes without even needing to think about it. The benefit for the retailer is that you get a steady revenue stream each month. If you sell consumable or household items, consider the ‘subscribe and save’ service as an alternative to one-time transactions. This is a quick and simple way to introduce a new subscription service to your store.

Engage Your Happy Customers and Build Testimonials

As business moves to the digital space, consumers actually become more skeptical of brands. As things are slower now, this is the best time to reach out to your customers and offer incentives in the form of discounts or coupons in return for reviews on your website, app, social platforms, Google, Yelp and more! Additionally, it is critical right now to keep your customers in the loop – about whether you’re open, closed, have revised hours and capacity limitations, are hiring, having sales or promotions – the list goes on. If you have a website or an app, create a news or updates section for this information. Additionally, now would be a good time to build your social presence such as a Facebook group or an Instagram page if you don’t have one, to keep your customers in the loop.

If You’re Going Digital, Choose Your Platform Wisely

From what we’ve seen from our customers, apps are more impactful to a business than websites; and according to a recent study, e-commerce apps have a conversion rate that’s 3 times higher than mobile websites. Apps are proven to push more people down the purchase funnel, with 1.5 times more conversions per session than through desktop. In-app sales are growing 46 percent year-on-year, and as the world accelerates to its digital future, these numbers are only going to rise. Whether the transformation leads to something completely new – like a subscription service or an app, the COVID-19 era has introduced an opportunity. As tough as it is for us to use that word to describe the current circumstances, small and medium
businesses around the world should feel encouraged and empowered to rethink and reshape how their businesses move forward.