A Retailer's Challenge: Securing Customers in Today's Market
Updated: Jul 22
It is important to keep existing customers close, investing resources in reviewing their loyalty and offering rewards for their devotion. By retaining a loyal customer base, it is evident that the company is delivering a great customer experience that will catch the eye of potential customers, drawing them to make purchases. However, the simple rewards systems of the past are no longer enough to retain the existing customer base. Today’s shoppers are looking beyond singular rewards plans and are more likely to remain loyal when rewards extend to convenience, or other factors, in addition to savings or loyalty points.
What Shoppers Want
In today’s challenging competitive environment, it is critical for retailers to secure their customer base, beginning by addressing shoppers’ needs. Shoppers are looking for a seamless shopping experience that solves multiple pain points such as a difficult checkout process, high prices, or products out of stock.
According to the FMI U.S. Grocery Shopper Trends in 2022, 45% of shoppers determine where to shop based on ‘having the products I need’ for each trip. Shoppers feel satisfied at checkout knowing that they have everything to fulfill their needs.
Searching for deals and couponing are common ways that shoppers are navigating the rising grocery prices. Digital deal-hunting helps shoppers to control value regardless of shopping online or in person, according to FMI. A great way to secure customer loyalty is to ensure they receive the best prices offered across all categories.
How the Market is Reacting
Competition is increasing as Amazon has already begun strategizing its plans for the upcoming future. Known as perhaps the most customer-centric retailer, and after facing one of its most challenging times, Amazon is focused on the fundamentals. After reporting their first quarterly loss since 2015, Doug Herrington, Amazon’s CEO of consumer business, plans to bring a significant focus to under-penetrated retail categories, such as grocery. Amazon reviewed their shopper's loyalty and behavioral trends, deciding to shut down their bookstores as well as pop-ups and shops carrying toys and home goods as they were not deemed important to their customers. They are tackling the checkout shopper pain point by concentrating on ‘Just Walk Out’ technology and Amazon Go locations.
Amazon’s Whole Foods has new and improved dash carts rolling out into their stores in the coming months. The ‘Just Walk Out’ technology eliminates pain points regarding the dreaded checkout process as well as offers convenience for the shoppers during their trip with images of suggested items nearby on the digital screen.
Solving Primary Shopper Pain Points
Seamless checkout is available through Replenium’s Auto-Replenishment Platform, as shopping lists are automatically replenished based on a personalized replenishment schedule that works best for the needs of the shopper and their household, eliminating the question of “will the products I need be in stock”? Savings are offered, drawing customers to be loyal due to the satisfaction they receive in knowing they’re receiving the best offers. Through machine learning, Replenium’s platform understands and adapts to the evolving needs of today’s shoppers in order to deliver the most effective repeat shopping automation customer experience.
Contact Replenium today to learn more about how your organization can be up and running with a full-basket, auto-replenishment program in the next 90 days.
Written by Audrey Furphy, Marketing Project Specialist Intern. Audrey is currently studying marketing at Washington State University and has spent the summer working with the Replenium team.