One statistic regarding existing customer sales versus new customer sales may alarm you. As the infographic coupled with this post points out, retailers have anywhere from a 60% to 70% chance of selling more of their products to existing customers. Whereas they have anywhere from 5% to 20% chance of selling to customers who’ve never shopped with them before. Even though experienced retailers are aware of these likelihoods, they continue to invest countless dollars of marketing budgets into developing strategies focused on new customer acquisition.
Why would these businesses overlook the customers that are more likely to purchase from them again then?
The truth is, developing strategies to produce new and dynamic revenue growth is difficult. Even focusing on existing customer retention won’t net retailers all that they’re looking for. The infographic paired with this post does provide a few ideas regarding these strategies, though. Namely the weaving of online and in-store techniques known as upselling and cross-selling.
The integration of the online and in-store experience is made possible through omnichannel marketing. While it’s been a driver of the industry for some time, countless businesses fail to see how it can benefit their business. The infographic provides a couple examples of how it can enhance an in-store retail experience. This post will detail a few of those examples.
First, let’s focus on how long a customer spends in physical retail locations. On average, most customers shop for 15 minutes to an hour in any given store. With an omnichannel strategy, though, even when customers leave a store they remain able to interact with the business. Social media profiles, a website that supports online shopping, text message notifications for sales in store and even e-mail coupons are just some of the extensions provided through this strategy. Digital alerts are the perfect way to bring customers into the store again.
The level of personalization that these alerts reach is just as important. Personalization can be hard to provide in-store as most customers don’t spend much time in retail locations. Providing a personalized experience is much easier online as the suggestions are predicated on previous purchases.
Finally, digital techniques in-store are just as successful in enhancing the customer experience. For example, stores that utilize screens to display information such as price, customer reviews, or features regarding specific products give more of an insight when representatives aren’t available. This sort of functionality is also found in tablets in certain retail locations.
The purpose of an omnichannel strategy is to continue bringing existing customers back into a store after their initial purchase. It also provides opportunities for new customers to engage with a business when they would otherwise never had the chance to. For more information regarding omnichannel strategies and how they’re executed, be sure to review the infographic coupled alongside this post. Courtesy of IDL Displays.