The Retailer Winter Edition 2023

THE RE TA I L ER

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THE VIP CODE: EMBRACING PERSONALISED SERVICES FOR CUSTOMER LOYALTY

Sarah Friswell CEO Red Ant

B uilding consumer trust and competitive edge with personalised and curated customer engagement

But it’s not just tech that retailers will need to deliver in 2023. Store associates that can effectively hand hold a customer through their browsing and buying experiences are vital to provide these truly personalised services. Despite the availability of self-service features, customers strongly prefer support from human agents. A survey by Capterra revealed that receiving customer support via the phone is the preference for 42% of customers, followed by 39% saying live chat with a human agent via a website or apps such as WhatsApp. Clienteling, the tech-based retail strategy of pro viding one-to-one customer support through customers’ purchases, both in-store and online, can enable brands tomeet consumers’ changing purchase expectations based on social respon sibility, inclusiveness and environmental impact. The role of clienteling in building customer loyalty Adopting a clienteling solution as part of an omnichannel strategy allows retailers to empower store associates with the right product and customer information to create better customer experiences as well as boosting their productivity. RedAnt’s OnePoll survey of 1,000 store associates with access to clienteling tools reveals that 63% say the tools have helped them increase sales. With the harnessing of customer and prod uct data at the core of game-changing retail strategies, brands can share relevant products, support questions around sustainability and other product details, communicate progress of a delivery, and cross- and upsell suitable products through in-app communication. Clienteling can also help optimise the retail er’s stock management and prevent inventory distortion, where under- or overstocking of products can result in loss of profit.

Streamlining conversational commerce with a unified chat screen allows a brand to send messages via each customer’s preferred channel, including video calls, push notification, email, text andWhatsApp. New collections and inspi ration boards can be shared through 1-to-1 or group communications, and customers can build wish lists for in-store appointments and virtual consultations. Integrated video consul tations allow in-store retailers to connect with customers wherever they are. Retailers that effectively adopt clienteling can transform their brands and elevate their CX within a short space of time, for long term benefits. This might reap rewards such as a 400% increase on repeat purchases or up to 250% year on year growth. Interactions must be seamless as customers pivot from smartphone to online and chatbot to human advisor. But success is about far more than being reactive. Reaching out to engage customers using dedicated technology such as artificial intelligence (AI) and data analytics is becoming essential. As a market sector, AI in retail is anticipated to reach $24.1 billion globally by 2028, increasing by a compound annual growth rate of 24.4% - the majority (83%) of leading retail executives surveyed by ResearchManagement Group had “substantial plans” to adopt and leverage AI. Using AI for proactive customer engagement

As the retail tech capabilities of digital-first retailers have accelerated customer expecta tions, consumers nowexpect brands to engage with them in a highly personalised way – to make them feel special. This includes relevant product recommendations and broader choices for payment, delivery and return. Hyper-personalised shopping experiences are not only the secret to making sales, but to effectively cross-sell, upsell and build brand loyalty. In fact, a staggering 91% of consumers are more likely to shop with brands who rec ognise, remember, and provide relevant offers and recommendations. The most advanced customer experiences are being presented by brands in exclusive desti nations, such as the UAE, where the luxury ‘VIP treatment’ has become an everyday commodity accessible to everyone. Influenced by global travel and technology, first class experiences are no longer the domain of designer brands, but a universal expectation for all brands to attract, engage, and retain customers. Central to this, effective store associate engage ment has become vital to store reputation. Customers expect the store associate to be proactive in their communication, with the right information to hand while advising. In today’s terms, true personalisation isn’t just targeted advertising – it means being able to share a lookbook via email to customers, allowing them to join the product waitlist on the website or recommending products which are suitable in a video consultation. Or it could be enabling shared baskets which allow a cus tomer to complete their purchase once they’ve left the store, or to choose how they pick up their purchase with BOPIS or BOPAK. All of these scenarios are now table stakes for a high performing brand. What personalised services means in 2023

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AI-driven insights are defining a new era for retail, where retailers can truly understand their customers and what makes them tick to boost customer loyalty and increase revenue.”