Funny thing happened during my family's recent visit to the mall yesterday: the sales help noticed that we were alive.They said "hello," offered us a coupon and --- get this -- thanked us for stopping by. My wife and I were shocked to get this level of service from our local mall where like many shopping emporiums customer service was an after-thought. Truth be told, I wonder how many sales people working at malls can even spell "customer service."
I guess you can call it the upside of declining retail sales. Companies are scrambling for every customer they can get because holiday sales this year are expected to be godawful. Michael Nemira, chief economist of the International Council of Shopping Centers, recently lowered his forecast for holiday sales growth for November and December period to 1 percent growth from 1.7%, according to the Los Angeles Times.
Retailers ranging from Gap Inc. (NYSE: GPS) to Neiman Marcus have posted terrible sales. Even Wal-Mart Stores Inc. (NYSE: WMT), which has posted better-than-expected results, remains nervous about the consumer. Circuit City Stores Inc.'s (NYSE: CC) filing for bankruptcy protection today only heightened these fears.
That's why retailers need to pay even closer attention to the customer than ever before. Given the precarious state of many household budgets, shoppers will have less tolerance than ever for rude or incompetent retail staff. They are putting up with enough troubles in their own lives. Retailers who do not understand this reality will have an even less joyous holiday season.
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Reader Comments (Page 1 of 1)
11-10-2008 @ 3:05PM
Kristen said...
My favorite comment regarding this phenomena: Customer service is the new marketing. Having a reputation for being appreciative of and helpful toward customers is the best way to drive sales in today's economy.
11-10-2008 @ 6:06PM
Leonardo1971 said...
Except at Aeropostale & Abercrombie. They could care less if you stopped by or not.
11-10-2008 @ 7:43PM
Ashley said...
I work in retail, and I have to say I love customers. I love helping them find clothes that make them look and feel great and just talking to them in general. That said, remember that in these tough retail times most of us are operating on a skeletal staff and the customer should have the expectation of being patient. Also your customer experience will always be better if your an experienced customer. Meaning if you have coupons read the fine print, or ask an associate about any exclusions when you enter the store, not when your going to pay only to find out everything you picked is excluded (the associate didn't just change the fine print to ruin your day).
Read your receipt or ask about the return policy. Whenever you return something anywhere just keep the card you charged it to with you!!! I know that some larger stores have it in their system but thats not true for all of them. Not putting your return on any old card is for the customers protection.
And while it is never okay for an associate to be rude to a customer remember, the person at the register is probably making way less than you so they are very aware of household budgets tightening but they also have a job to do and shouldn't have to tolerate rude customers who can't read.
11-10-2008 @ 7:42PM
Sumedh said...
It's really sad that potential customers aren't treated more like royalty considering that they are the ones giving employees their paychecks. Unfortunately, it's going to take more than a smile and a thank you to get US out of this recession and urge Americans to start spending. It's not that consumers are retreating to competitors; they're just not spending as much.