The key to customer loyalty: The total shopping experience. These days consumers are watching their pennies and considering purchasing decisions more carefully than ever, and that makes it increasingly difficult for businesses to drive growth, earn profits, and secure their customers' loyalty. Delivering a distinctive, brand-defining customer experience is a powerful solution.
According to Susan M. McPartlin, U.S. retail and consumer leader at PricewaterhouseCoopers, and Paul M. D'Alessandro, principal at PwC you can win your customers' long-term devotion by creating unique and memorable buying experiences for them rather than relying on price as a prime motivator.
A recent study by PwCâ€”the first in a series exploring customer experience in a range of industriesâ€”examined this strategy in the retailing industry. The findings suggest important lessons for businesses across industries. The study was based on PwC Experience Radar methodology, which helps businesses identify often hidden sources of value that lead to exceptional, differentiating customer experiences.
The study found that retail consumers' loyalty is strengthened by shopping experiences that forge powerful psychological connections, and not by points or rewards programs alone. To create such experiences, you first need to understand the "experience attributes" your customers value most. These may include ease of accessing and using an offering, ease of obtaining service support before and after a purchase, a product's quality or aesthetics, and a sense that an offering enhances a customer's personal brand or connection with others.
Once you've segmented customers according to their most valued experience attributes, you must develop and deploy an action plan to deliver a matchless customer experience. Get it right, and you attract profitable new customers, keep your best customers, boost your profit margins, and command a price premium over competitors. Get it wrong, and your savvier rivals will swiftly pull ahead of you.
To learn how to create an unforgettable customer experience, rewards programs, shopper experience, loyalty programs and customer retention, check it out the upcoming Loyalty World USA event in Las Vegas, October 29th-31st.
The world's leading B2C brands will be presenting case studies and their strategies, so if you're looking to refine your customer experience, loyalty and customer retention campaigns, you need to attend.