What Customers Are Thinking About

• 60% feel positive about the future but 55% feel worse off than prior to the recession.
• They are concerned about inflation and the economy. Therefore they are looking for ways to cut back including:
• Buying less impulse items
• Stockpiling
• Paying closer attention to prices driving less
• Making things, such as clothes, last longer
• Taking advantage of sales and coupons
• Shopping at discount stores
• Eating out less or eat at cheaper restaurants

Values
75% of Canadians are buying from brands that have similar values to their own.
Entrepreneurism
57% of Canadians are more opportunities for individual businesses to compete with big businesses.
Betterment
People are looking to improve themselves. 60.5% of Canadians agree that they are interested in learning more skills so they can be more self reliant and independent.
Thrift and Adaptability
72.5% of Canadians say they are happier with a more down to earth lifestyle. They are less materialistic in many ways and feel better for it.
Local and Artisanal
72.3% of Canadians will pay a premium for products and services that come from companies that contribute to the local community.
Cooperative Consumerism
71% of Canadians believe they can change behavior by supporting companies that do the right thing.
(From John Gerzema, author of Spendthrift)

What Retailers Need to Think About

Adopting Technology for the Customer to Interface with.
Mobile Interfaces, QR Codes, Digital Messaging etc. will all contribute to the shopping experience. Smart phones are growing at a phenomenal rate and are replacing the PC as the individual’s technology of choice. Customers want to use these devices in retail settings to source information, pricing and more. In fact 77% of them are already using them in the retail space in some capacity, they just need retailers and vendors to help facilitate.

Shift From Selection to Solution
Where customers wanted lots and lots of selection, they now look to retailers to seek out products that offer the best value and then make their choice.

Embracing social media at a pace consistent with the customer.
Canadian businesses have been slow to embrace social media and they are lagging behind customer behavior. Consider that Facebook claims to have provided more referrals to a retailer than Google and 1 in 3 Canadians access Facebook each day (the avg. Canadian has 190 friends, well above the world avg. of 130)

Consider the Social and Cultural Fit
Retailers must consider values and community in planning their brand activities. They need to consider how they will make things better and tell the story.
They must also develop strategies for being part of a smaller catch basin of customers and the local conditions that are required to succeed.

Creating a great retail experience
In a world of increasing commoditization, the in-store experience is the most critical customer touch point for a retailer and it therefore differentiates a retailer’s brand from competitors.

Trying hard not to sound redundant, but it is true that in our big world, there are a lot of people. Here in Canada, we are fortunate that our expanse of space per person is generous. Even in a large city, we can sometimes find ourselves walking a street and be the only person on it. The early mornings I spend dog walking are often solitary, but a quick ‘Good Morning’ is all it takes to acknowledge another person when you find yourself meeting up with them. Having that greeting returned is like receiving a hug. Some people I have shared the side-walk with, have hung their heads down, inspected their shoes or looked in the opposite direction to avoid acknowledging me.

Though it does sting a bit, I know that there will be someone else around the next corner that will wish me a good morning when I say it to them, and may even beat me to it. We just happened to be in the same place at the same time, and I would certainly not push a good morning on anyone.

But in retail, it is a completely different situation. This is about your clients. They have come into your store, either because they like the way it looks or because they have previous experience with your brand, they’ve chosen to come to you. You already have their attention. Give them yours!

Paco Underhill, of Envirosell Inc., a research and consulting company which specializes in retail, agrees with greeting everyone. Just don’t do it in the customer decompression zone. This is the place where the shopper is in transition, and they need time to adjust to their new surroundings.

He also says, never ask anyone if they need help, as this gives them the opportunity to say no.

Paco Underhill’s research has found that the average shopping mall stay is now down to approximately one hour, with 11.27 minutes spent in a store if the person is a buyer. This goes down to 2.36 minutes for non-buyers. This result is greatly affected by store design and displays. 60% to 70% of purchases that are made are unplanned.

Keep communication friendly, and easy. Staff should make sure that they do greet everyone as soon as they are able to, without the appearance of snubbing a person that they may currently be assisting to greet a newcomer.

“Could you please wait a moment, I’ll be right back?” Any reasonable person will say, “Yes.” And will appreciate your good intentions towards them, as well as toward another shopper when they hear you say, “Good morning! While I’m with another customer, please feel free to look around and I’ll be right back if you need any assistance.” No reasonable person will be offended by this. Each person has been greeted personally, and knows that they are important, and that they will be looked after.

Bob Phibbs, the Retail Doctor, says, leaving a customer alone can cost your company big money. 80% of customers never return to a business where they have perceived indifference from staff. 80% want to be noticed……and 100% want a friendly greeting.

This ain’t no dog walk.

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