The holiday season is always a stressful time for retailers, especially the ones that make the majority of their revenue in the short window between Thanksgiving and Christmas. Within this window is Black Friday, which, along with other “big holiday sales events” are going to look a lot different this year. Retailers must accommodate COVID-19 mandates that enable social distancing, minimize surface touching and actually restrict foot traffic in their facilities — all while trying to optimize sales.
While there’s no single answer to this challenge, here are five tips retailers should keep top of mind as they make the best of these difficult times.
Enabling social distancing in stores may require having less merchandise on display, but who’s to say retailers must limit selling to their brick-and-mortar stores?
Some retailers are expanding their footprints by setting up tents in their parking lots or other business locations. While going outdoors may be simpler for those located in warm southern states, even merchants in the northern states can make this work by renting sturdier tents and portable heaters. There may be empty business buildings available for short rental periods during the holiday season as well that a retailer could use to set up additional holiday merchandise.
With any changes, it’s critical to communicate with customers ahead of time, so they understand why they should visit one location vs. another. Retailers also need to have reliable mobile POS strategies in place so customers can check out quickly from any location.
2.Focus on in-store efficiency
With the pandemic-related mandates, merchants can’t do anything about the fact they’ll need to restrict foot traffic in their stores. But they can focus on making each customer’s visit as efficient as possible. Here are a few options to consider:
3.Look for new ways to fulfill orders
One of the biggest bottlenecks for retailers (especially during the holiday season) is the checkout line. The more ways merchants can enable customers to checkout without going through the regular checkout lines, the better. Here are some ideas for additional order fulfillment options:
4. Make the returns process easier
With more customers being unable (or unwilling) to handle merchandise (e.g., trying on clothes) before making a purchase and more customers shopping online, retailers can expect more post-holiday returns. For online sales, keep in mind that shortsighted strategies like charging restocking fees or requiring customers to call a help desk to complete a return will backfire long-term.
One reason Amazon continues to dominate in online sales is that they take the friction out of the buying — and return — process. Besides two-day shipping, they’re offering customers free returns via their partnership with Kohl’s.
5. Personalized experiences still matter
Creating a shopping environment that tries to minimize human contact and touch naturally lends itself to an impersonal experience — not to mention everyone wearing masks that hide smiles and other personable traits.
To counteract some of these impersonal practices, retailers should look for ways to stay engaged with customers digitally. Here are a couple of suggestions:
For example, several months after purchasing a camping tent, the same customer may receive a message about hiking boots and backpack tents, which an outdoor enthusiast who liked to camp wouldalso be likely to enjoy.
6.Keep traditions alive. Many of the shows and other activities people enjoyed in the past won’t be available this holiday season. Not only are these traditions important to customers, but some retailers have counted on these performances to bring customers to their stores afterward.
With a little outside-the-box thinking, retailers may still be able to keep some of these traditions alive by sponsoring online performances, for example, and tying their sponsorship to special in-store merchandise or in-store experiences. For instance, if “The Nutcracker” play is moved online or canceled, a retailer could decorate its store with items used in the play or even have a meet-and-greet with some of the performers at its store.
Preparation and planning remain the top two assets retailers need for a successful holiday shopping season. In addition to applying the tips above, it’s essential to show customers their safety is a top priority and empathizing with them that this isn’t the time for business as usual.
Even if a retailer has to work out a few imperfections during the execution of these programs and services, customers will be far more forgiving if they feel that the merchant has their best interest in mind.
Sean Gunduz is interim director product management, business systems at Epson. Prior to joining Epson in 2010, he held several product marketing roles with ViewSonic Corp and product management and account management responsibilities with BenQ.
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