More of the same
In the Netherlands, we have approximately 80,000 physical retail locations. In 2010, there were still 97,000. A steady decline for which online shopping is partly responsible. According to the latest figures, nearly 80% of twelve-year-olds or older shopped online in 2019. That was 64% in 2012.
This makes it even more important to pay attention to one’s own image, the brand, advertising, customer contacts, etc. This can be achieved, for example, through more targeted communication to (potential) customers, pricing, appearance, discounts, and promotional items. After all, if all competitors in the industry have the same store formats, there is no targeted choice for the customer. It then no longer matters from whom the customer buys something. Consequently, the customer notices no difference. Therefore, it must be ensured that the customer does see a difference and finds that difference attractive, so that they buy at that store. Thus, the challenge is to ensure that the company can distinguish itself from the competitors. This is difficult because it also requires financial investments, the market is more fragmented, and communication via the internet is time-consuming.
To separate
Permanently demonstrate that you are present as a company. Coca-Cola and Heineken have been doing this for decades. The customer cannot forget them. It makes no difference which industry the company is in. Basic principles are the same for all. But what are the components that can ensure that differentiation has an effect?
Mark positioning
Customers need a motive to buy a specific product, as well as from whom they will buy it. Generally, the sales price is the deciding factor, but terms and conditions, warranty provisions, the company’s image, and quality are also factors that play a role in the purchase, whether consciously or unconsciously. However, it is important for the company to be clear about what the target group thinks and wants. This requires a great deal of information, which can be gathered via, for example, social media. Strengthening these components can contribute to brand positioning. Show the customer that the company stands for something and ensure that this aligns with what customers think and want. Consistently communicating such a message then takes on an increasingly fixed form of experience for the customer.
Brand experience
The customer may well buy the product and have a certain experience with it, but it doesn’t stop there. There is more for the customer to experience. After all, the customer enters the store. There is customer contact. The customer experience begins right there, even before anything has been bought. This is where the trust the customer will place in the company begins. After the purchase, the customer will experience the brand experience alongside the customer experience. And if that is good, it will be communicated to third parties multiple times.
Customer retention
Get started with collecting data. Define it and create links between the customer and that data. Subsequently, the customer must be able to see that there are important similarities between that customer and the company/brand. Individualize the customer characteristics to the product/brand/company. Live up to the brand promise and thereby create a loyal customer. A loyal customer, by the way, must be earned. That costs money, time, and effort, but it certainly increases revenue. And if a customer does indeed return, recognize that customer. Recognition is then acknowledgment of the customer as a loyal customer.
The marketing investment
(Online) marketers can do more than their capabilities allow. Finances or budgets are usually the reason they are less effective than desired. But because the unknown breeds contempt, proper financing of marketing is of paramount importance. Here the saying applies: “Expenses precede benefits.”
Brand message
The message regarding an integrated marketing approach must be that the same message and imagery are always used in communication. It is better to have a well-thought-out message via fewer internet channels than a broad message across all internet channels. The customer knows very well what the company/brand projects, and if that is different or inconsistent in the media, it does not inspire confidence. A consistent policy on this is of vital importance, and this message must be repeated regularly. This also makes things easier for the Marketing department.
Customer contacts
Once the (regular) customer is identified, cherish them. Verify the data. Analyze the information. Know what that customer does, wants, and knows about the company/brand/product. To measure is to know. Schedule regularity for conducting analyses.
Cooperation
Work closely with the IT department. The data collected by them can be analyzed in consultation, and the results used for marketing. By applying the basic principles, significant gains can be made in effectiveness and revenue increase.
