The supermarket that grows and the supermarket that cannot run up-to-mark are evaluated by customer retention. The more customers you can keep, service them, and continue to sell, the more likely you are to achieve your business goals. Let’s take a look at strategies to gain customer retention for a supermarket.
According to the record, we have seen that most retail businesses never see 45% of their customers for a second time. This means that a retailer is lacking in its business strategy whether it is related to their product or customer service or both. Companies are constantly spending to try to attract new consumers and earn good revenue. But somehow they forget about customer retention. Also, they forget to occupy areas where they get more and more customers and establish long-term relationships with them.
The idea behind this blog is to make retailers aware of the strategies used to promote their brand or supermarket business.
Why it is important to have high customer retention for supermarket business
Attracting new customer arrays is time-consuming and expensive but quite easy. But maintaining a relationship with them for a longer period becomes more important. This is because supermarkets have a wide variety of stocks and related brands that run solely by the customer’s choice or demand. Therefore, it becomes necessary for retailers to keep up with the current market trend and update their stocks with market demand. Failing to do so, customers switch to other shops for their needs.
So, it has to be important for any retailer to focus on providing customers with reasons to return and stay. Additionally, you need to provide them a comfortable shopping with you that can lead to better conversion rates and higher profits for you.
Some facts on customer retention
- According to Marketing Metrics, the success rate for selling to an existing customer is 60–70%, while the success rate for selling to a new customer is only 5–20%.
- Gartner Group figures show that 80% of your company’s future revenue will come from just 20% of your current customers.
- According to Bain & Company, attracting new customers will cost your company 5-25 times more than retaining existing customers; While only a 5% increase in customer, retention can increase the profitability of the company by 75%.
- Studies show that repeat customers spend 33% more than new customers.
Strategies to implement better customer retention in the supermarket business
The biggest challenge for many companies is where to begin. This blog gives you an idea of customer retention strategies that you can use to keep your existing customers happy over the long-term and increase your profits.
A.) Update your Stocks, do not follow Old Business Patterns
Supermarket business is based on the consumer’s demand. Thus, it is the responsibility of supermarket retailers to provide their customers trendy stuff that attracts them. It gives customers a better experience without facing any stock-out or old stock scenario. This way, the consumer feels that they purchase the latest product with you, and you gain trust. This way, you enhance your customer retention.
If you integrate with the system that gives you real-time information about your stocks, then you will be capable to compete with other competitors. It also helps company employees better serve customers. If an item is out of stock, a retailer gets pre-alert about it. In this way, you can even purchase the product and have informed the customer about product availability.
B.) Focus on increasing services, not just selling products
A successful relationship with customers is not just based on the product or its frequent availability; your service programs also matter. Services include many things –
- What are you selling?
- Does your product fit your sales pattern?
- How does your staff treat customers?
- Do your employees have enough expertise to handle customer curiosities?
- Have you updated your service pattern as per the current market trends? (As the COVID-19 scenario emphasized the adoption of contact-less service patterns)
Thus, there are many areas in a supermarket business that need to be improved daily. Proper focus on improving services can enhance the shopping experience of customers. It leads to more sales in your supermarket business and gives way about how to retain customers who are leaving.
C.) Track customer data and enhance their experience
Every business owners/retailers need to keep an eye on the target market. It is important because it shows the products that most consumers are interested in. In this way, you better monitor the buying patterns of consumers and know what is popular at that particular moment and keep a healthy stock for it.
In this way, you serve customers better and gain trust for a longer period. For this, the use of a tracking system gives a new way to the business. It gives you accurate information about the customer about his buying history.
D.) Streamline your service so that customers keep their friends and family safe
If a supermarket business has a strategy that streamlines almost all the business activities, then, definitely, it will bring a happy customer list. Such customer retention strategies for supermarket facilitates customers with smooth services like managed & organized shelves, trendy products, ordered service, easy checkouts. Your loyal behavior sets positive psychology to customers. They send your business reviews to others and automatically call them to visit your supermarket store.
In this way, a retailer increases the retention of customers and causes them to drive profits. A software solution helps businesses in this regard and provides functionality to streamline the processes involved.
E.) Demonstrate values and ethics
This is also an important strategy that you take to increase your customer list. Every company has its values and ethics that it shares with its employees to work properly, and to achieve ultimate business goals. Do not hide it with customers.
When you share your ethics directly with your consumer, they will understand your service more closely and know how serious you are to give them the best service. This strategy does not lead to more sales from existing customers, but it helps those who feel better about your purchase. This increases customers’ loyalty to the brand.
F.) Always provide quick reply and service to the customer
If you are running a brick-and-mortar business, you need to make sure that you have a strategy or system that gives your customers a quick response to their questions based on sales, purchases, billing, rearranging, or more. You need to provide a personal touch to your customers or visitors. Even if they do not find the desired product, they should not feel ignored. They should re-visit your shop according to the support given by you.
G.) Keep a customer loyalty program and reward points
Loyalty programs are one of the other proven methods to improve customer loyalty and increase their visits. It helps businesses get to know their shoppers and deliver relevant value through a customer loyalty program. It offers exclusive coupons, deals, gifts, and discounts that inspire their valued and regular customers. It inspires an emotional connection and makes customers feel special. These programs provide deep insight into your customers and also help you stay your business on the top of your mind.
H.) Use technology- supermarket software and billing system
Long queues at billing counters are one of the biggest fears every customer wants to avoid. For the next purchase, they think twice whether they go to the same shop or visit another shop where they find less busy billing counters. In this way, supermarket stores require an effective technology system that provides effective inventory management along with managing billing processes. POS-based supermarket software solutions are the only way to streamline your supermarket processes. It provides your customers with a healthy and responsive shopping/billing experience.
Thus, it is recommended for every supermarket retailer to integrate smart supermarket solutions. These solutions meet the current and future market requirements. Also, it gives a way to establish a business as a brand.
How Your POS / Supermarket Software / Billing Software Can Help Customers Stay Forever
When it comes to software solutions, you know why it becomes more necessary in today’s era. It provides you with the tools to help manage your business management and activities around customer engagement to improve customer retention.
Now all supermarket store owners use robust supermarket software. The supermarket business includes large grocery items that provide a wide variety of foods and household products. Therefore, it is necessary to organize them and provide better management functionality to the customer.
Let’s have a look into some benefits of having a supermarket busines software
- The software comes with a POS feature that better provides businesses with a prompt and quick billing system.
- It provides inventory management that facilitates real-time data on fast selling and slow-selling products.
- It helps retailers for managing multiple deliveries from multiple vendors.
- It plays a big role in streamlining the entire accounting process and achieving maximum efficiency.
- It provides real-time insights that accelerate business growth.
- It minimizes the supermarket owner’s time on schedule and enforcement.
- It enables customers to ease in payment with multiple payment options.
- It provides complete & precise sales reports through which retailers better plan their business strategies.
Final Words
Customer retention in retail plays an important role. In this digital era, where everyone wants quick service and contact-less service, it becomes essential to have supermarket business software to gain more profits. Regardless of getting strategy, the supermarket software solution automates everything. It helps you save time and stay top-of-mind with your customers.
For more details and assistance, we recommend you to connect with the Softworld India team at +91 95299 13873.
