Are You Ready for the New Retail Reality?

"The times they are a-changin" is what Bob Dillon told us over 40 years ago. He was right then, and his message is right today. No one knows everything about everything that will happen in the months and years ahead, but we all know that things will never be the same after the economic crash of 2008.

My consulting is aimed at helping my clients develop and execute strategic initiatives for engaging consumers in these new way, and changing company psyches to imbed new ideas and practices in their company cultures.

Consumer Profiles

Baby Boomers, who have driven our economy and our industry for nearly four decades are coming into their retirement years at a rate of over 3 million per year. Coming along are those Generation X and Y people who have a totally different foundation as consumers, being internet-wise and deeply involved in the sometimes mysterious world of social networking. They communicate and interact in places like Facebook, YouTube, LinkedIn, and others.

The 2008 crash has accelerated changes that might have taken far longer to become anchored in the collective psyche of consumers. Profligate spending is now politically incorrect. Saving is the new socially acceptable life-mode. The large baby boomer society has been burned financially, and the younger generations have, hopefully, learned from this experience. Spending will never be the same. The "deal" will be more important than ever, but having beautiful, comfortable, functional homes will remain the core issue.

Customer Engagement in the New Retail Reality

While the way people shop and buy has changed with the ascendance of the World Wide Web, more changes are in line. Where and how you engage with your customers and potential customers has to change accordingly.

"The way you think about the problem, is the problem", as Steven Covey told us in the 1990's. Too many independent furniture retailers have stubbornly held to the traditional methods of advertising, and communication with their customers and prospects, seemingly not interested in what I believe is the single most important sales purpose they can hold to retain customers. I think the purpose of engagement has to be to hold on to every customer forever, and while the reality will be less than "every customer," that has to be the driving purpose of your sales strategy.

Creating a Seamless Shopping Experience

From your website to your store to the delivery to your customer's home, the experience has to be seamless one continuous stream of customer-centric service. This will require a strategic plan that includes all aspects of website design and content, communications methods that begin at the website and continue forever with your customer's consent, in-store engagement strategies that deal with the things your customers want you to deal with, and services that keep you engaged forever.

Your level of help has to improve and be crafted to match each customer's level of need. Your salespeople must take on the role of "customer relationship managers" being your first-line of engagement and retention. That responsibility has to be corporate in nature, being everyone's first priority. You have to have and live a sense of "ownership" of your customers and make your store their first stop for every home furnishings need forever.

Selling on the Web

It's coming whether you like it or not, and the way you think about this problem is the problem. The traditional thinking has been that for our products, people need to see them, touch them and interact with them in person, yet we know that companies such as Pottery Barn and Crate & Barrel have sold furniture through their catalogs for years. Making your website a selling site requires a new and different strategies, and you'll soon see industry giants like Ethan Allen and La-Z-Boy begin selling direct to consumers from their websites.