Retailers who were lucky enough to continue operating through their online presence had to manage their supply chain, manage peak demand and had to implement retail marketing strategies as a new way of interacting with customers.
Unfortunately, many of them, from large chains to independent businesses, have been forced to close or have been deeply affected by the situation. Retailers across all sectors not only had to cope quickly with this crisis, but also had to ensure the sustainability of their activity to cope with long-term uncertainties regarding consumer confidence, the maintenance of delivery services and the management of the economic downturn.
So, what are the retail challenges they are facing? How can they manage these challenges and reduce the impact on the sales? Which actions can a retailer make to increase their sales and win the adversity?
What are the challenges they are facing?
Today’s situation has had a huge impact on retailers and even made some of them quit the business. The closing of shops have turned the gaze of customers towards online shopping. However, could all retailers keep up with this ever-growing business.
Retailers who tuned into online commerce have found it difficult to drive traffic and sell their products. It goes without saying that it takes years to build a customer base online and get your products out there.
This has impacted the sales greatly and made retailers more likely to buy small quantities of products which in turn can be more expensive than bulk orders.
How can they manage these callenges and reduce the impact on their sales?
As retailers begin to return to normal, many have used the information they have to learn about the buying behavior of customers online during the lockdown. Most customers have indeed turned to online shopping during this time, providing retailers with a wealth of data to create a more personalized customer experience, both online and in-store.
Until now, most retailers optimized their performance of each of their channels separately. Over the past few months, many retailers turned into social media by creating stores on various websites. They have also resorted to advertising their products on Instagram, Facebook and even Youtube. The experience of Covid-19 has shown them the importance of an online presence.
Many retailers have also noticed behavioral change in customer loyalty. It has been found that consumers are now able to buy from everywhere in the country, leaving only the time of delivery as the aspect they would work on. If a retailer makes sure to provide express delivery, his or her customers will surely keep buying the products.
Using data to understand when and how online products sell is also important in today's world. Defining who their customers are and how they like to shop helped retailers deliver tailored offers, increase engagement, and increase sales.
In these times, it is even more crucial to engage with customers at the right time and through the right social media and retail marketing channels. Data enables retailers to optimize their marketing spend by keeping in mind, which channels and campaigns drive the most traffic.
Which actions can they make to increases their sales and win the adversity?
In order for retailers to overcome retail challenges posed by Covid-19, there are several methods that can prevent your sales from going down. Whether you are looking to make the most of a positive momentum or trying to stem declining sales, Here are some tips you should implement in your retail marketing strategy to overcome the big actual challenges of the retail sector:
Focus your efforts on the customer experience in your online store. Start making a client focused strategy.
Make your store a popular destination through advertising it on social media platforms.
Renew your in-store merchandising
Reduce wait times to improve your customer expectations
Use social media to improve your online visibility with collaborations and discount strategies.
Offer a loyalty program to maintain your actual customers and transform them into brand specifiers.
At Cerdá we know the importance of these hard situations and for this reason we hope that these tips will help your business. Try it know!
At Cerdá we are manufacturers and wholesalers specialized in licensing products and children's characters for more than 40 years. Our products help create unique moments of happiness and that is our greatest motivation. In Cerdá we strive every day to make the dreams of our children and clients a reality. Join the Cerdá family!