How to impress without breaking the bank
By Jared Birkholz, AVB Inc.
How important is the way your customers feel when they step into your store? Much more, as it turns out, than you might think.
Daniel Abramson, managing lead of HRSource, AVB’s HR solutions initiative, talked about the importance of customer experience for independent retailers during his sessions at last month’s 2024 BrandSource Convention.
“We all work too much in the business rather than on the business,” he said. “We’re in the people, relationship, trust and referral business. It matters what the customer thinks, not what we think.”
CS vs. CV
There is a big difference between customer experience and customer service, Abramson said, and it’s vital that retailers know the difference.
Helping customers solve problems and answering how-to questions are customer service. It’s what your staff does all day long, and it’s important work.
Customer experience, in contrast, is the overall vibe shoppers get during the sales journey, he said. It starts as soon as the customer pulls into the parking lot and opens the door, and lasts until they make their purchase and leave the building.
“We need to hire the vibe,” Abramson said. “Customer experience is regarded as the No. 1 brand differentiator, according to a 2024 Amex survey.”
By the Numbers
Statistics back up the importance of customer experience. Check out these examples of how customer experience can be shaped:
- People think at 450 words per minute and speak at 150 WPM.
- Body language accounts for 55% of what customers “hear.” Voice tone accounts for 38% of communication and words only 7%.
- 50% of customers leave because of a poor customer experience.
- 20% leave due to a lack of personal attention.
Great employees are 80% attitude, 20% technique, Abramson said. “We need to make customers in our store feel good. It matters what the customer thinks, not what we think,” he said.
The Right People
Abramson stressed that nothing is more important to providing a great customer experience than skilled employees, boiling it down to “head count vs. head content.”
In fact, 75% of business is done by word of mouth, he said.
“People do business with people they like, so we need to hire engaging and authentic people,” he said. “Hiring A-players is your most important job. We have to get the hiring process right because it’s all connected to what we do. Great service is free. It all starts with consistency with the staff.”
See: How to Land that A-Player
Soft skills and the ability to communicate are more important than technical know-how, he said.
“Hire smart people — someone who gets it and has good intuition,” he said. “Make sure your salaries are in line.”
Four Levels of Service
There are four levels of service your store could provide, and the vast majority don’t make the effort to reach level four, Abramson said. The first is basic, which is getting products or services into the customer’s hand. The next two are expected and acceptable, which is where most companies stop.
The fourth level is “wow,” which requires a higher commitment to making customers happy and earning their loyalty.
- Offer to train customers on how to use their new appliances after they’re installed.
- Make sweeping behind new appliances a routine part of delivery service.
- Go to the customer’s house and take measurements to ensure fit.
- Send personalized thank you cards.
- Call the day before to confirm deliveries, service or other appointments.
Your delivery and installation people are vital in the effort to delivery level-four service, he said.
“Delivery people are some of the most important people in your operation,” Abramson said. “When something happens, it’s usually a delivery team that is there. Make sure they are hygienic, dressed well and professional.”
Unique Selling Proposition
Abramson asked attendees to share two adjectives their customers would use to describe their company. Members’ answers included “friendly,” “honest,” “knowledgeable,” “experience,” “happy,” “helpful” and “professional.”
He encouraged them to think beyond the obvious and come up with a way to describe what sets their store apart. Each business has a unique selling proposition, or USP, that makes it special.
“What makes your company different?” he asked. “Because the perception is you guys are all the same. What’s your special sauce or points of differentiation? What’s your 10-second commercial? A USP creates value in the customer’s mind. Good service elicits a positive feeling.”
Abramson urged members to look at their stores and their operations with new eyes to see how they are coming across to customers, and then to build on that to create great customer experiences.
“If perceptions are reality, what are customers thinking about you?” he said. “We have internal and external customers. Internal are more important — why? Hiring good people, training good people and making sure they have a consistent message for your customers. We’re in the people business.”
Jared Birkholz is general manager of business operations for YSN publisher AVB BrandSource, the nation’s largest merchandising and marketing co-op for independent appliance, mattress, furniture and CE dealers.