In-Store

Retailers to focus on reducing in-store friction in pursuit of “5-star” customer experiences

The vast majority of retailers say that they need to reduce in-store friction in order to attract and keep customers on the high street, according to new research from Qmatic.

The survey found that factors such as stock availability, waiting in line too long, congestion caused by other customers, and not being able to locate staff assistance, could drive existing and new customers away if retailers cannot improve the in-store experience.

The research, commissioned by Qmatic and conducted by Vanson Bourne, found that 98% of retailers agree that their stores need to reduce friction along the customer journey, with 82% stating that customers demand a “five-star” experience, and will shop at a rival if the retailer in question cannot provide it.

When it comes to friction points, sometimes customers are frustrated enough to make formal complaints. Most complaints centred around the volume of people in-store, or the individual not being able to find something they wanted. 51% of retailers said that more customers would return if they were able to remove these common friction points, with half (50%) saying that it would also produce happier employees. Just behind this, 48% said that a smoother in-store customer journey would attract new customers.

Further, 40% of retailers thought that reducing friction would persuade more customers to buy, and 30% believe it will encourage consumers to buy more than they had intended to.

Vanessa Walmsley, Managing Director of Qmatic UK Ltd, explains: “A seamless service means a competitive edge, and this was acknowledged by those who took part in our survey. As consumers, we all feel friction points in the shopping journey; friction when searching the store for what you want, or when there’s high volumes of other customers at peak times, including long lines to pay, return items and click and collect. This can all negatively impact your day. The more that retailers can do to make it easy for consumers to self-serve product information in-store, connect to the help they need, and reduce waiting times – or at the very least the perception of waiting times – will reduce this source of friction and increase customer satisfaction.”

Most respondents (40%) said that they had received a complaint about a lack of a desired type, size or colour of item in-store, with 37% saying they had received complaints about waiting too long in queues, and 32% of stores had complaints about the store being too busy and congested. Finding staff to talk to was also a common issue, with 32% of retailers stating that the customers could not find a helpful member of staff when needed, 29% said that complaints focused on a lack of product/service knowledge from employees, and 27% said grievances had been raised against waiting too long to speak to a member of staff.

 

Walmsley adds: “Somewhat ironically, congestion also affected the ability to improve the customer experience, as stores getting too busy at peak times to think about the customer experience was voted the biggest challenge, with 41% of the sample agreeing. There is also a challenge around a lack of support from the top. 27% said the budget wasn’t enough to improve the customer experience, 23% admitted that business leadership is not prepared to invest, and 17% said that staff are not trained to use the in-store technology solutions designed to help manage the customer journey.”.

This is all backed up by a Fujitsu study –  Forgotten Shop Floor study – which found that customers will spend more with more technically adept retailers. Heather Barson, Director of Retail and Hospitality, Fujitsu UK, explains: “With the figures from Visa’s latest consumer spending index confirming 2017 to be the worst year for consumer spending in four years, one thing is still clear: consumers continue to be conscious of where and how they spend their money. Despite the difficulties of operating in what is such a turbulent market, it’s vital for retailers to safeguard their success for the future by identifying ways to keep ahead of trends so that they can meet changing consumer’s demands.

“As the UK continues its journey towards a digital future, technology has a crucial part to play in transforming the way retailers differentiate their online and in-shop experiences from their competitors. And in times of ever-increasing customer expectations and desire for instant gratification, if retailers want to really stand out, it’ll be more important than ever to make the in-store experience as seamless as shopping online. This is where smart use of in-store technology can come into its own.

“Retailers must be visionary in their use of tech and give shoppers what they want, before when they want it. With consumer confidence plunging, competition is fierce and both customer loyalty and shopping experience are weighing in. And with customers and competitors poised to move forward, those standing still face a worrying prospect – being the next generation of retailers to be pushed out of the high street for good.”

Walmsley concludes: “Ultimately, removing sources of friction are a priority for retailers, and not only can it make stores more profitable, but it can open up a whole world of opportunity for technology enablement, such as self-service kiosks for click and collect or returns, or simply stock checking, and leveraging smartphone use for a smoother, personalised service. With 58% of total sales coming from the bricks and mortar store, and 40% saying that their stores will be just as important, or more important in 2030 as they are now, it is the right time for boardrooms to get behind the high street.”

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  1. Pingback: Retailers to focus on reducing in-store friction in pursuit of “5-star” customer experiences - LDC Knowledge - UK Retail and Leisure Industry News

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