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Customer centricity can mean the difference between success and failure in business. Here’s how to make the shift.

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How much do you know about your customer?Do you know their ages, locations, needs and wants? The types of products and services they are most – and least – likely to buy?If you answered yes, then it’s likely that your business values customer experience; if you answered no, it may be time to delve into the topic of customer centricity.

<h2>What is customer centricity?</h2>Customer centricity means putting your customer first, and at the heart of everything you do as a business. Customer centricity is about truly understanding your customer, so you can anticipate their wants, needs and communication preferences.“Being customer centric means knowing the most valuable customer for your business, and configuring your business to serve them well,” says retail and digital expert Terrence Teh, strategy director at<a href="https://www.pitcher.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Pitcher Partners</a>, a Melbourne-based firm that works with retailers to improve customer centricity.

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"Being customer centric means knowing the most valuable customer for your business."

Over the past decade – as sales and marketing technology has offered increasingly in-depth insights into shoppers and their buying habits - many brands have moved from product-centric to customer-centric models.In other words, instead of creating a product or service and then selling it to as many customers as possible, more and more brands are increasingly putting their customer first, and creating or selling products or services that are suited to them. That's customer centricity.

<h3>Why does customer centricity matter?</h3>Customer centricity is good for business. A<a href="https://www.bain.com/insights/are-you-experienced-infographic/" rel="noopener noreferrer" target="_blank">&nbsp;2015 Bain &amp; Company study</a>&nbsp;found that brands that excel at customer experience grow at four to eight per cent above the market.

<h3>How to measure customer centricity</h3>There is no single, standard way to measure customer centricity. What works for one business won’t necessarily be right for another. After all, every business is different and so is every consumer. For example, speed of service might be important to a florist, but it isn’t as important for a wedding dress business.&nbsp;However, there are a range of ways to identify customer needs and measure customer satisfaction.

<h3>Measure customer centricity with Net Promoter Score</h3>This is a widely used market research metric that surveys consumers on the likelihood that they would recommend your business, product or service to a friend.First developed in 2003 by global management consultancy Bain and Company, a Net Promoter Score measures the loyalty of customers to a company. It is determined using a single-question survey and reported with a number from -100 to +100. A higher score is desirable.&nbsp;Best for:&nbsp;internal measurement of customer loyalty and customer service; determining whether customer loyalty is improving or worsening.&nbsp;For more information or to get NPS-certified, visit<a href="https://www.netpromoter.com/know/" rel="noopener noreferrer" target="_blank">&nbsp;Net Promoter Score.&nbsp;&nbsp;</a>

<h3>Check customer centricity with Customer Lifetime Value</h3>Measuring Customer Lifetime Value (CLV) is one another way to judge customer satisfaction, customer centricity and customer loyalty.CLV is the total worth to a business of a customer over the period of their relationship. It costs a lot<a href="https://www.outboundengine.com/blog/customer-retention-marketing-vs-customer-acquisition-marketing/" rel="noopener noreferrer" target="_blank">&nbsp;less to keep</a>&nbsp;existing customers than it does to obtain new ones, so increasing the value of your existing customers is a cheaper way to drive growth in your business. The higher your CLV, the more likely that your customers are returning to shop.

<h3>Use Trustpilot to measure customer centricity </h3>Founded in 2007, Trustpilot is a digital platform that hosts reviews from customers that have shopped with you.Trustpilot allows customers to score businesses from one to five and leave <a href="https://www.afterpay.com/en-AU/business/access/customer-service/seek-customer-feedback" rel="noopener noreferrer" target="_blank">feedback</a> about their experience. The resulting reviews can be an excellent insight into customer focus and customer centricity.Best for:&nbsp;producing social proof and displaying positive reviews to customers; offering customer insights and identifying specific issues that require attention.For more information, visit&nbsp;<a href="https://au.trustpilot.com/" rel="noopener noreferrer" target="_blank">Trustpilot</a>.

<h3>Customer loyalty programme data and customer centricity</h3>One way to measure customer satisfaction and centricity is to monitor the proportion of customers in your ‘most loyal’ top tier.These customers might shop with you, say, four or more times with you per year. Divide this by the total number of customers in a year to determine and monitor your customer loyalty rate.

<h2>How to become a more customer-centric business</h2>

<h3>Increase customer focus by mapping your customer journey</h3>Start by mapping out the customer journey to understand what it’s like to do business with you from the customer’s side of the fence.Take the time to understand what it’s like for customers to purchase from you, both online and in-store, and how the customer seeks advice and information about your products and services.When mapping your customer journey, consider mapping one complete consumer lifecycle – from initial brand awareness to loyal customer – as well as processes such as a first-time customer journey, a repeat purchase, <a href="https://www.afterpay.com/en-AU/business/access/email-marketing/what-is-email-marketing" rel="noopener noreferrer" target="_blank">email subscription</a> or <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">loyalty programme</a> sign-up.This process will help you understand customers needs and expectations, and whether your store, product and employees are meeting those needs.When it comes to customer needs, consider practical needs such as convenience, information and price, as well as emotional and social customer needs, such as friendliness, control and fairness.

<h3>Surprise and delight customers</h3>Another way to boost customer centricity? Surprise and delight them. It’s worth considering as it’s often the little things that count when it comes to customer experience and customer centricity.Leading Australian cosmetics retailer Adore Beauty<a href="https://www.afr.com/companies/retail/the-best-500-that-adore-beauty-s-co-founder-ever-spent-20210622-p58347" rel="noopener noreferrer" target="_blank">&nbsp;includes a Tim Tam</a>&nbsp;in each and every order, which customers have grown to love as an element of the shopping experience.&nbsp;In the US, another business with a customer focus is Starbucks. The<a href="https://www.forbes.com/sites/blakemorgan/2020/12/21/25-most-customer-centric-companies-2020/?sh=1684be8c884b" rel="noopener noreferrer" target="_blank">&nbsp;Starbucks mobile ordering app</a>&nbsp;and personalised rewards program makes it easy for customers to order what they want and pick it up without the wait.<a href="https://www.starbucks.com.au/Starbucks-Australia-Mobile-App.php" rel="noopener noreferrer" target="_blank">&nbsp;This customer centric app</a>&nbsp;has earned the company a fiercely loyal following among customers.

<h3>Do the basics well</h3>Customer expectations have gone back to basics since the pandemic, with product range, availability, and cheerful staff and employees proving to be paramount, according to<a href="https://home.kpmg/au/en/home/media/press-releases/2020/09/research-reveals-australias-top-brands-cx-during-covid19-17-september-2020.html" rel="noopener noreferrer" target="_blank">&nbsp;research</a>&nbsp;by KPMG.For example, IKEA<a href="https://home.kpmg/au/en/home/media/press-releases/2020/09/research-reveals-australias-top-brands-cx-during-covid19-17-september-2020.html" rel="noopener noreferrer" target="_blank">&nbsp;won praise</a>&nbsp;from customers in the KPMG research, for its easy to navigate website as digital shopping became the norm during the pandemic.Customers who were used as survey respondents also noted that Afterpay enabled the transition to e-commerce as seamlessly as possible.

<h3>Communicate clearly</h3>There’s a lot to be said for simple language that targets your customer segment. “Focus on identifying and knowing your customer by figuring out who you want to serve, and where the effort should be spent in creating the desired customer experience for them,” Teh says.

<h3>Check your language</h3>One secret to real customer focus? Language. It's important that the way you communicate with customers is consistent. Businesses that market themselves as exclusive or personable need to ensure all channel touch points reflect that by providing exclusive offers, early access and previews to products before the rest of the market, Teh notes.If your aim is to provide simplicity for customers, the processes in place for ordering, receiving and returning products should reflect that. It’s about making sure you’re true to your word.

<h3>Be available</h3>Being customer centric is now more important than ever, and using digital channels to engage with your customers is crucial. Offer at least three communication points for customers, such as a chatbot on your website, an email address, and active social media contact points, suggests Teh.&nbsp;After all, there's nothing more frustrating for customers than being unable to reach you – whether that's regarding questions, feedback or complaints – when they need to.

<h3>Survey your customers&nbsp;</h3>Want to determine whether you're meeting customer needs? Ask them. <a href="https://www.afterpay.com/en-AU/business/access/customer-service/seek-customer-feedback" rel="noopener noreferrer" target="_blank">Seek feedback</a> by surveying shoppers about why they buy from you, and what makes them choose you over your competitors.Ask customers if you were to make improvements to make your business better, what they would be, Teh says.

<h3>Be seen</h3>A strong online presence on social media and other digital platforms is also critical for maintaining your business image and brand throughout the pandemic – so it’s not a case of out of sight, out of mind.Make sure you’re responding to customer questions promptly – if someone wants to buy from you, it's important that you're responding to their queries, so they don’t decide to purchase elsewhere. After all, your input could be what secures the sale. Customer centricity is all about putting customers and customer service at the heart of your business. Following these steps should help you make the shift.

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Customer centricity can mean the difference between success and failure in business. Here’s how to make the shift.

Customer Centricity: How to Create a Customer Centric Business

Award-winning pharmacist Karen Brown shares her formula for success

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It didn’t take Karen Brown long to realise her dream of opening her own pharmacy. At just 25, soon after graduating from university, she bought the&nbsp;<a href="https://www.terrywhitechemmart.com.au/" rel="noopener noreferrer" target="_blank">TerryWhite Chemmart</a>&nbsp;in the regional Queensland town of Samford.The next step? Winning over the locals.“Samford is an extremely tight-knit community, and the lady we bought the pharmacy off had owned it for 30 years,” she recalls. “So, we were seen as the people from the ‘big smoke’ coming to take over. I thought if I could just get out in the community and show them that I was one of them, then that’s how I would win them over and get them to support our pharmacy."Then, as now, Brown knew that success would come down to three things: investing heavily in your community, your staff and your instore services.&nbsp;

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<h2>Reaching out to local sports clubs</h2>So as a first step, Brown drew on her experience as a former professional netballer with the Queensland Firebirds (she played with the team from 2000 to 2002) and made contact with the local netball club. “I knew that if I went to them and introduced myself and offered my services, whether that be helping with coaching or consulting, it was a way to get in with those netball families in this local community.”It proved a good game plan for Brown, who ended up becoming patron of the club, as well as sponsoring the local soccer, rugby league and swimming teams. She then turned her attention to education, giving health talks at the local schools.

<h2>Offering health advice in the community</h2>“To be the true health hub of your community, you need to step outside of your four walls,” says Brown, who has now lived in Samford for nine years. “I’ve never been a proponent of just opening your doors in the morning and closing them in the afternoon. I think you need to give back to the community, as much as they give to you.”

For Brown, that meant organising a community health expo for five years, which also gave her the opportunity to share information and socialise with other health professionals in the town (“from a business perspective, they would end up referring patients to me and vice versa”).

<h2>Launching new mums' groups</h2>She also launched Carers’ for Kids, a regular meet-up for new mums, featuring a guest health speaker and morning tea. “We’d get about 40 mums and bubs each month,” says Brown, a mother of two herself. Additionally, she runs regular health talks at the pharmacy – with one back-to-school presentation on healthy lunch box choices in 2017 attracting 100 people into the store.&nbsp;&nbsp;For Brown, these community events add up to a more fulfilling job – and increased foot traffic and sales. “It’s really about community engagement and the fringe benefits you see back in the pharmacy,” she says. “That’s how you breed loyalty that is rock solid – and then you’ve got them as a lifetime customer.”It’s a business model that’s paid off, with Brown buying into another pharmacy, at Arana Hills, in 2018 – the same year she was named TerryWhite Chemmart Pharmacist of the Year. She has since won multiple awards, including a local Australia Day honour this year for Small Business Person of the Year.

<h2>Investing in instore services</h2>Brown cites her partnership with&nbsp;<a href="https://www.afterpay.com/en-AU/business" rel="noopener noreferrer" target="_blank">Afterpay</a>&nbsp;as an example of a successful instore offering. “We were one of the early stores who were part of the [Afterpay] pilot, and it has been great,” she says. “Sometimes people need help budgeting for expensive medicine, so they’ll put it off. They can now use Afterpay to help them access medication that can help them now, rather than having to wait due to finances.”&nbsp;&nbsp;Brown points out it also gives her an edge over competitors. “For us, [Afterpay] has created a point of difference when it comes to customers choosing which pharmacy they’ll go to,” she explains. “If you have to pay $150 for a medication and you need to break up the cost, you’ll go to the pharmacy where you can put it on Afterpay.”

<h2>Investing in staff</h2>When it comes to managing her team, Brown often calls upon the lessons she learned as a professional netballer. She coaches her staff to reach their own personal best through staff programs, such as leadership workshops and conferences.&nbsp;As a woman at the top of her industry, who is set to speak at a forthcoming International Women’s Day event, Brown believes that the key to succeeding as a female business leader is, first and foremost, to find what you’re passionate about.“And then it’s all about balance,” she says. “You lean into whoever needs you the most – whether that’s your business and team or husband and children – you lean into whoever needs you the most in that moment.”

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Pharmacist Karen Brown shares how she created a community of loyal, lifetime customers.

Pharmacist Karen Brown shares how she created a community of loyal, lifetime customers

How to build loyal, lifetime customers: pharmacist Karen Brown

How this pharmacist creates loyal, lifetime customers

They say the customer is always right, but how closely are you listening to what they're actually saying?

Seeking – and acting on – customer feedback should be a priority for any brand, says Anastasia Lloyd-Wallis, head of consumer insights at the<a href="https://www.retaildoctor.com.au/" rel="noopener noreferrer" target="_blank" style="font-size: 20px;">&nbsp;Retail Doctor Group</a>. Whether negative or positive, having a chat with a client to learn more about your business's customer service and customer satisfaction is essential when it comes to gaining long-term insight that will ultimately help your company grow.“It’s so important for retailers to listen to their customers and understand what they want and why they want it. From analytical feedback like five-star reviews to personal recommendations shared on online forums, retailers need to tap into that knowledge to shape best practice.”

With so many different ways to source customer feedback, we’ve rounded up the top five methods on how to collect customer experience feedback and put together a cheat sheet on each one.

DO:&nbsp;“Offer incentives like a 20 per cent discount code, a free gift or $5 off their next purchase. Not only do customers respond well to incentives, the offers will encourage them to interact with you again,” she advises.

DON’T:&nbsp;“Make the survey longer than 10-minutes. Customers have a limited attention span, so they lose interest quickly. Keep your questions short and make the survey as interactive as possible – with fun graphics and visual components – to keep the customer engaged,” Lloyd-Wallis adds.

<h2>Customer surveys</h2>

When it comes to customer feedback methods and finding where and how to improve your business, timing is everything, says Lloyd-Wallis.“Retailers need to ask themselves at what point in the sale journey after purchase should you request feedback. For example, if you’re selling a piece of furniture, you want to give the customer enough time to unpack it and try it out,” she explains, adding that email surveys often produce more accurate insight and more honest feedback because there isn’t the pressure of standing at a cash register and looking a salesperson in the eye.

“Retailers need to ask themselves at what point in the sale journey after purchase should you request feedback.”

For immediate gratification and data, Lloyd-Wallis recommends using a Net Promoter Score (NPS) survey, which asks the respondent to rate how likely they would be to recommend a company, product or service to a friend or colleague. NPS-related feedback can not only inform what's working but what shoppers would like to see in the future. This could include free shipping, greater customer support services like live chat or an online support team, <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">loyalty programs</a> or exclusive offers for newsletter subscribers.&nbsp;&nbsp;For more in-depth feedback, it’s worth enlisting the support of a professional, who can help you create the perfect survey templates and and customer feedback questions to ensure you’re not putting answers into your customers’ mouths.

<h2>Mystery shoppers</h2>For decades, the spectre of mystery shoppers struck fear into the hearts of retail assistants in shopping malls worldwide, and now mystery shoppers have gone digital.“Whether it’s in-store or online, mystery shoppers can test a brand’s customer experience journey to find where the holes are – and fix them,” says Melisa Molini of mystery shopping specialists<a href="https://retailreality.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Retail Reality</a>.“For brick-and-mortar businesses, mystery shoppers critique the in-person service, including how long a purchase took, what policies and procedures were followed, if the customer felt valued and whether add-ons – like Afterpay – were offered."For online shopping, we test the website experience, how long deliveries actually take, if the chat function adequately answers questions, whether incentives – like <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">loyalty programs</a> – are offered at the checkout, and what the return policy involves.”The customer feedback reports produced by mystery shopping companies, which can be found online, can then be used to inform training programs, price guides, merchandising displays and long-term customer experience planning.Ultimately, the success of mystery shoppers comes down to how the retailer chooses to use the insights they supply. “It’s what businesses do with that data that counts. If you get a negative review, the shortcomings need to be addressed. And likewise, if there’s positive feedback, the team should be praised.”

“For online shopping, we test the website experience, how long deliveries actually take, if the chat function adequately answers questions, whether incentives – like loyalty programs – are offered at the checkout, and what the return policy involves.”

DO:&nbsp;“Mystery shop your competitors,” says Molini. “We can go through the exact same process with your competitor to find their strengths and weaknesses – and compare them to your own. That data can be even more important for getting an edge in the competitive retail market.”

DON’T:&nbsp;“Just rely on in-house mystery shoppers because their findings are too easily skewed. When assessing your own brand, you can either be too easy or too hard on yourself, so it’s best to trust an independent reviewer who fits your target demographic,” Molini adds.

<h2>Social media feedback</h2>The rise of social media has created a unique opportunity for brands to communicate directly and in real-time with both existing and potential customers.The trick to getting the most insight out of your social media followers is understanding that different customers interact with different platforms, says Lloyd-Wallis. “Each platform varies, so it’s important for retailers to check their analytics and understand what kind of customers follow them on Facebook and how they’re different to their Instagram, TikTok, Twitter or Snapchat followers.”For example, Instagram Stories offers a dedicated polling feature for quick, simple feedback, as well as the opportunity for followers to type short responses. Facebook offers similar polling features, and it goes without saying that all social media channels can also be used to promote or amplify customer surveys on other channels. Using different platforms to collect customer service feedback - negative and positive - is a great way to learn more about customer expectation and how to satisfy those expectations in the long run.

DO:&nbsp;“Gamify your surveys with online polls,” says Lloyd-Wallis. “Social media users are often driven by a challenge, so you can catch their attention with an online poll via Instagram Stories, for example. Doing a quiz, poll or emoji barometer on Stories is a quick, easy and fun way to get feedback.”

DON’T:&nbsp;“Underestimate the power of flattery. Some customers want to be the centre of attention, so you can approach them to say they’re one of your top supporters on social media and encourage them to write more reviews. Don’t just like and share comments, go a step further and interact with your customers to boost engagement,” she adds.

<h2>Online forums and reviews</h2>For hotels, there’s TripAdvisor. For beauty brands, there’s MakeupAlley, and for everything else there’s Google Reviews. Online content review forums can be a wealth of knowledge for retailers to collect feedback – as long as they are willing to respond and address any negative feedback promptly.

One trick? Set up a Google Alert to track brand mentions and customer feedback.

DO:&nbsp;Make the most of positive customer feedback. Positive reviews or endorsements offer valuable social proof, which can be an effective acquisition tool. Received feedback from a happy customer or user? Post it on social media to highlight your customer service prowess and influence and attract more customers.

DON’T:&nbsp;“Let negative feedback get you down. If someone leaves a bad comment, you should ask yourself if they’re your target customer and, if not, remind yourself you don’t have to be everything to everyone. If they are, look at what you can do to improve their experiences,” says Lloyd-Wallis.

<h2>CRM systems</h2>A Customer Relationship Management (CRM) system is data-driven software that helps businesses manage and maintain customer relationships by tracking sales leads, automating marketing content and delivering actionable data.There are a number of different systems available to retailers – including Microsoft Dynamics 365, Insightly and Salesforce. Choosing the right one for your business is vital as a CRM will store and track customer activity, which will offer valuable insights into customer satisfaction and customer reviews. Most CRMs will also store customer contact information, which is crucial for seeking information on customer satisfaction.

DO:&nbsp;“Get personal. Retailers should consider what they want to know about their customers so they can create a truly tailored experience for them. Once you’ve answered that question, you can find a platform that gathers the information in a way that’s easiest for you to interpret and utilise,” she suggests.

DON’T:&nbsp;“Solely use CRM systems to push a product,” explains Lloyd-Wallis. “You should use that database to help create a relationship with your customers, which will instil their loyalty. If a customer has an emotional connection to a brand, they will walk past a competitor and go straight to them. Brands can use CRM platforms to help foster that connection and evoke emotions.”

They say the customer is always right, but how closely are you listening to what your clients are actually saying?

With so many different ways to source customer feedback, we’ve rounded up the top five methods and put together a cheat sheet on each one.

How to seek customer feedback | Afterpay

How to seek customer feedback. And why it’s important

Want to boost both customer loyalty and revenue Here’s how to personalise your business’ customer experience

There’s little doubt that we’re living in an era of information overload, in which consumers are constantly bombarded with sales messaging.One way to stand out – and drive more sales – is through personalisation, whether that’s with a customer relationship management (CRM) tool that can track customer activity, segmented email lists, chatbots or even artificial intelligence.“It’s not enough to deliver the right message to the right people at the right time,” says<a href="http://www.reloadmedia.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Reload Media</a>&nbsp;senior account manager Jane Magoffin. “In today’s marketing clutter, your message and its delivery need to be as unique as the person reading it.”

“In today’s marketing clutter, your message and its delivery need to be as unique as the person reading it.”

Ian Hammond, managing director of<a href="https://www.hamma.digital/" rel="noopener noreferrer" target="_blank">&nbsp;Hamma.digital</a>, agrees. “The growth of tech within retail and e-commerce has created a level of expectation from users that now means you can’t thrive without personalisation,” he says.In fact, numerous studies have found that failing to personalise customer experience can turn shoppers off.<a href="https://smarterhq.com/millennials-where-they-shop-how-they-shop-why-it-matters" rel="noopener noreferrer" target="_blank">&nbsp;One study</a>&nbsp;showed that 70 per cent of Millennials – who have grown up with the convenience of personalised services such as Spotify and Netflix – are frustrated with brands sending irrelevant emails, for example.Personal experiences have also been shown to drive more<a href="http://grow.segment.com/Segment-2017-Personalization-Report.pdf" rel="noopener noreferrer" target="_blank">&nbsp;impulse purchases</a>&nbsp;and increase the likelihood that shoppers will become repeat customers.&nbsp;Yet McKinsey<a href="https://www.mckinsey.com/industries/retail/our-insights/personalizing-the-customer-experience-driving-differentiation-in-retail" rel="noopener noreferrer" target="_blank">&nbsp;Research</a>&nbsp;reveals that most retailers are still working out exactly how to personalise their offering, with just 15 per cent reporting that they’ve&nbsp;fully implemented personalisation strategies.<h3>How to get started with personalisation</h3>Retailers can start by mapping out a plan to better understand their user and identify all the opportunities to improve customer experience with their brand, Hammond says.“We tend to follow a basic formula of diagnosis, strategy and tactics, covering the brand, it’s positioning and its platforms/ channels,” he says.This includes taking the time to sit down and look at a basic customer journey with anecdotal data points in order to measure success. Turning this anecdotal data into something that’s validated and usable will make a big difference to sales, he says.“Meeting customer expectations might keep things ticking over, but exceeding expectations will take your business to the next level.”

<h2>Nine ways to help retailers personalise the customer experience:</h2>

<h2>1. Use CRM software to track customer activity</h2>A retail CRM tool will help business owners gain product insights and build customer loyalty to further develop and grow sales.Features vary, but CRM programs can include inventory management, marketing tools, register integration and support services, so it’s worth doing your homework to find one that works for your business.Australian skincare brand<a href="https://amperna.com/?utm_campaign=11819746030&amp;adgroupid=117811776951&amp;utm_content=485448829167&amp;utm_term=amperna&amp;gclid=Cj0KCQjw7pKFBhDUARIsAFUoMDaAeSIf10eYcmToiYaEpJN1nSyocGvOerrLG0pGmp3P8xdUEtsyxXwaAssbEALw_wcB" rel="noopener noreferrer" target="_blank">&nbsp;Amperna</a>&nbsp;uses CRM software to keep up-to-date records about customers that the whole team can access in order to personalise the brand experience.Founder Kiri Yanchenko says when a customer signs up to her newsletter, they are automatically sent a discount code for their first purchase. If they don’t make a purchase in 30 days, they are sent another code with a larger discount.“When the customer travels further down the conversion funnel and this relationship is fostered by ongoing marketing and advertising – tracked by our CRM as well as Google analytics – it encourages customers to become brand advocates.“When customers leave a review on our website or provide a Facebook recommendation, we then provide them with a discount code as a ‘thank you’, which has an 80 per cent uptake,” she says.

“When customers leave a review on our website or provide a Facebook recommendation, we provide them with a discount code.”

<h2>2. Capture customer data with point-of-sale software</h2>Point-of-sale (POS) software is like a digital cash register, allowing business owners to process sales and take payments. It also allows other functionality, such as inventory management, stock control, customer <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">loyalty programs</a>, reporting and employee management.Melbourne gift and homewares store<a href="https://spoilt.com.au/?gclid=Cj0KCQjw7pKFBhDUARIsAFUoMDa5S5RDq8jUdE4MNFMNu2Msq234erLQC7QhQw1Ypg5klRGjne7U538aAv9bEALw_wcB" rel="noopener noreferrer" target="_blank">&nbsp;Spoilt</a>&nbsp;has been using&nbsp;<a href="https://www.vendhq.com/au/" rel="noopener noreferrer" target="_blank">Vend POS software</a>&nbsp;since last year, after pivoting to an online store during the pandemic. The customer profile function enables Spoilt to capture customer data each time a purchase is made. This includes spend amounts and product purchasing history, enabling segmentation to target content that is personalised and relevant.

<h2>3. Segment your email lists</h2><a href="https://www.afterpay.com/en-AU/business/access/email-marketing/what-is" rel="noopener noreferrer" target="_blank">Email marketing</a> remains one of the most popular marketing channels for retailers. Not only does it enable you to promote and sell your products, but it also fosters lasting relationships that build brand loyalty.Regardless of which email platform you use, personalised emails<a href="https://www.experianplc.com/media/news/2014/experian-marketing-services-study-finds-personalized-emails-generate-six/" rel="noopener noreferrer" target="_blank">&nbsp;deliver</a>&nbsp;up to six times higher transaction rates, while birthday<a href="https://www.experian.com/assets/marketing-services/white-papers/ccm-birthday-emails-best-practices-guide.pdf" rel="noopener noreferrer" target="_blank">&nbsp;emails generate</a>&nbsp;a massive 342 per cent more revenue than a standard promo email, according to retail strategist<a href="https://salenaknight.com/" rel="noopener noreferrer" target="_blank">&nbsp;Salena Knight.</a>“Retailers can no longer afford to send out email blasts with generic content to all subscribers. Customers make it clear that they’re more likely to open an email that’s personalised, and more likely to purchase if the products they’re served up are relevant to them,” she says.&nbsp;

<h2>4. Offer instant service with chatbots</h2>Chatbots that pop-up on the screen while shoppers are browsing your website can help get sales over the line. Chatbots can answer questions, offer product recommendations and provide support, any time of the day or night.Kayla Mossuto, founder of reusable coffee capsule retailer<a href="https://www.cremajoe.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Crema Joe</a>&nbsp;uses a chatbot on her website that incorporates a quiz directing customers to the most suitable products for their needs. This helps customers assess their requirements and directs them to the most appropriate products, which in turn provides Kayla with a stronger working relationship with her customers.

<h2>5. Use geo-fencing to target customers</h2>Geo-fencing is a strategy used by retailers to increase footfall in physical stores. The term refers to the use of GPS technology to create a virtual boundary around a particular location, which can trigger a response if a customer enters the area.Grant Arnott of Power Retail likens geo-fencing to the futuristic scenes in the US science fiction blockbuster&nbsp;Minority Report&nbsp;starring Tom Cruise.&nbsp;&nbsp;“There are scenes where Tom is walking through a futuristic shopping centre. His eyes are scanned [as he is moving] and tailored advertising messages appear to him.“Geo-fencing is the current day version of that experience, allowing retailers to offer consumers rich, personalised experiences and offers via their mobile devices in the context of their shopping experience,” he says.

<h2>6. Try personalised text messaging</h2>A simple text message can be a great way for retailers to reach their customers. Given that 99 per cent of SMS campaigns are read, this is an extremely effective marketing channel to reach new and existing customers.In fact, 78 per cent of<a href="https://www.tatango.com/blog/78-of-consumers-believe-sms-is-fastest-way-to-reach-them/#:~:text=As%20reported%20in%20their%20Transactional,consumer's%20computer%20or%20tablet%20device." rel="noopener noreferrer" target="_blank">&nbsp;shoppers say SMS</a>&nbsp;is the fastest way to reach them, which is why texting is the perfect medium for sharing time-sensitive promotions and alerts. It’s also a great way to welcome new subscribers.Understanding the law is crucial here, however. Be sure you have consent from recipients, identify yourself as the sender and include an opt-out option at the end of the message to comply with<a href="http://aana.com.au/content/uploads/2015/09/6.-Legislation-and-Regulation.pdf" rel="noopener noreferrer" target="_blank">&nbsp;regulatory standards.</a>

<h2>7. Try artificial intelligence for smart predictions</h2>Artificial intelligence (AI) is reinventing the retail landscape, allowing retailers to connect with their customers and operate more efficiently.Providing retailers with better future predictions about sales, as well as delivering improved inventory management, AI analytics can help retailers create intelligent display ads, develop smart self-checkouts, and enhance inventory control, for example.This information can then help retailers stay ahead of customer demand and improve stock levels, thereby streamlining supply chain management. In turn, this can help drive revenue and boost the bottom line.

<h2>8. Augmented reality can deliver unique shopping experiences</h2>Increasingly, retailers are also turning to augmented reality (AR) to create personalised shopping experiences.Many beauty brands, for example, now offer virtual ‘try-on’ services that allow shoppers to visualise how make-up will look on their faces. In Australia, The Sheet Society offers a ‘<a href="https://www.thesheetsociety.com.au/pages/bed-builder" rel="noopener noreferrer" target="_blank">Bed Builder’ tool</a>&nbsp;that allows shoppers to superimpose different bedding combinations on to an image of their own bed.Rug retailer Miss Amara offers a similar<a href="https://missamara.com.au/pages/virtual-rug-styler" rel="noopener noreferrer" target="_blank">&nbsp;‘Virtual Rug Styler’</a>&nbsp;for shoppers that enables them to upload a photograph of their living space and visualise how various rugs will look in situ.<h2>9. Get to know your customers</h2>For smaller retailers, an old-school approach can work best. Carol Haffke owns<a href="https://www.shoegarden.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;The Shoe Garden</a>, a women’s shoe store that exclusively stocks longer-than-average sizes. Pre-Covid, approximately 25 per cent of sales were online; that figure now sits at 60 per cent thanks to the time Haffke took to get to know her customers and their preferences.&nbsp;&nbsp;“In store, it’s all about mirroring the customer’s behaviour. If they’re chatty, I spend time talking with them. If they’re quiet, I leave them in peace to browse. The focus is always on the customer and their way of communicating. It’s their experience, and everyone has a different interpretation of what that is,” Haffke says.She also watches which shoes customers are drawn to online, creating reports that show which products each customer favours. To her, this is true personalisation. “If someone has a query, I’m the one to respond to their email with honest advice, not an automated bot. I do so out of hours, too.“I also regularly engage with my customers on social media and in-store before I buy a season’s range, asking what they’re looking for so I can try to find something suitable. Nothing can match human connection and interaction.”

Want to boost both customer loyalty and revenue Here’s how to personalise your business’ customer experience.

How to offer a personalised customer experience - to drive sales

How to use personalisation to grow your business

Identifying and understanding your target audience is the first step towards more sales

Do you know who your target customer is? According to retail strategist<a href="https://thetemplargroup.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Debra Templar</a>&nbsp;any retailer without a clear understanding of their target consumer is “flying blind”.And while you might be hoping to simply woo anyone who enters your store, Templar says a successful retailer can’t be all things to everyone.Here’s how to pinpoint your ideal customer, in order to get the right people through the door (or into your online store).<h2>Research existing customers</h2>How well do you know your existing customers? Understanding who’s already buying your products or services offers important clues about who to target next – and where to place any advertising.Mellissah Smith, founder of<a href="https://www.marketingeye.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Marketing Eye</a>, says there are plenty of ways to better understand your audience.“If you have an e-commerce site for your retail store, it’s easier to understand who your customer is by using a technology plug or simply<a href="https://www.hubspot.com/" rel="noopener noreferrer" target="_blank">&nbsp;HubSpot</a>,<a href="https://www.preezie.com/" rel="noopener noreferrer" target="_blank">&nbsp;Preezie</a>&nbsp;or any other automated tool that collects customer insights,” she says.You could also comb through social media data; Facebook and Instagram analytics, for example, offer information about followers’ ages, gender and location.<h2>Go in-depth</h2>Once you’ve gathered basic information about your existing customers, start crafting a more detailed “target persona”, taking into account age, buyer habits, geographic location, occupation and income. “The next level is capturing their online habits, likes and dislikes – which is where the fun in getting to know your customer really is,” says Smith.Often the life stage of your customers, and their interests, can be more important than targeting a specific age group, explains Templar.Are they single or married, do they have young kids, teenagers? What do they do for fun?“For example, don’t ever send anything to me about babies and children – I don’t have any, I’m not interested,” says Templar. “But if you send me something about books or stuff I’m interested in, I’m going to open it.”Focus groups and customer surveys can help uncover this type of information, and if you do want to know your customers’ ages, a birthday club – including a discount – is one way to find out, says retailer Carly Flecknoe.<h2>Consider your product and price point</h2>When Flecknoe opened her high-end fashion, skincare and lifestyle store,<a href="https://dotandfrankie.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Dot and Frankie</a>, in the Grampians last March, she already had an ideal customer in mind.She wanted to work with ethical, sustainable brands, and knew that because she was opening in a tourism destination focused on nature, her customers would probably care about the environment.While an 18-year-old might share her ethos, it is unlikely they’d have the money to spend, say, $380, on a pair of pants made through slow fashion. So, Flecknoe targets educated professionals.“I would say my target customer would be women aged probably about 28 through to 45, generally Melbourne-based, or from an affluent rural background,” she says.“It’s what we would classify as SINK, which is single income no kids, or they’re double income no kids, so you tend to look at someone who individually is probably making about $80,000 or $90,000-plus.”And she has used this information to decide on everything from website design to the aesthetic of her store.<h2>Don’t forget COVID-19</h2>Smith warns that the global pandemic has upended many shoppers’ habits – and, as a result, retailers should consider revisiting their customer personas.Templar gives the example of one shopping strip that effectively targeted its marketing to reach locals within 15 kilometres.“This is the year to really concentrate, I think, on local, on your state, on your country because that’s who your market has to be,” she says.

All references to any registered trademarks are the property of their respective owners. Afterpay does not endorse or recommend any one particular supplier and the information provided is for educational purposes only.&nbsp;

Discover how to identify and understand your target audience to drive more sales on Afterpay Access.

Discover how to identify and understand your target audience to drive more sales on Afterpay Access

How to Find Your Target Customer in 2021

How to find your target customer in 2021

This story is part of our special series on improving customer service. You can also head straight to:<a href="https://www.afterpay.com/en-AU/business/articles/customer-service/personalised-customer-experience" rel="noopener noreferrer" target="_blank">How personalisation can grow your business</a><a href="https://www.afterpay.com/en-AU/business/articles/customer-service/seek-customer-feedback" rel="noopener noreferrer" target="_blank">Why you should seek customer feedback (and how to do it)</a><a href="https://www.afterpay.com/en-AU/business/articles/customer-service/customer-loyalty-programmes" rel="noopener noreferrer" target="_blank">Customer loyalty programmes that really work</a>

Great customer service creates brand loyalty and sales, but too many businesses still struggle to deliver the level of service that consumers have come to expect. In fact, according to<a href="https://www.pega.com/about/news/press-releases/new-research-uncovers-customer-service-inflection-point-sparked-pandemic" rel="noopener noreferrer" target="_blank">&nbsp;a survey</a>&nbsp;released this month, 27 per cent of consumers surveyed felt that bad service had ruined their day; it had even brought one in 10 respondents to tears or nearly tears.Part of the issue is the rise of omnichannel retailing, which accelerated during the pandemic. Retailers who may pride themselves on great customer service in-store can find it difficult to maintain those standards on other channels (the same report found that two-thirds of consumers thought businesses needed to improve service on non-traditional channels such as on a mobile app and virtual assistance to predict problems before they arise).But with omnichannel and AI support here to stay, it’s crucial for retailers to focus on their customer-service experience at every touchpoint.

<h2>Research current expectations</h2>To build a great customer experience, known as CX, you need to know how the experience actually looks and feels for your customers. Retail consultant and managing director of<a href="https://www.retaillife.com.au/" rel="noopener noreferrer" target="_blank">&nbsp;Retail Life</a>, Marguerite Ball, suggests analysing customer reviews and any other data or <a href="https://www.afterpay.com/en-AU/business/access/customer-service/seek-customer-feedback" rel="noopener noreferrer" target="_blank">customer feedback</a> to gain an insight into their current engagement with your business.Mystery shoppers and surveys [link to other story] can also be effective. “From there you can develop actions based on your research, <a href="https://www.afterpay.com/en-AU/business/access/customer-service/seek-customer-feedback" rel="noopener noreferrer" target="_blank">feedback</a> and data to help you better connect with existing and target customers,” she says.<h2>Consider the customer journey</h2>McKinsey research has found that<a href="https://www.mckinsey.com/business-functions/operations/our-insights/the-ceo-guide-to-customer-experience" rel="noopener noreferrer" target="_blank">&nbsp;mapping consumer journeys</a>&nbsp;is more effective than just measuring customers’ satisfaction at individual touchpoints, like onboarding or making a change to their account. A consumer’s interaction with a company spans a progression of touchpoints, from social media to online or app-based interactions. Tracking that progress helps you really understand how to deliver better CX at every stage. It also pays to be <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-centricity" rel="noopener noreferrer" target="_blank">consumer-centric</a>, and ask yourself what the<a href="https://hbr.org/2021/05/designing-customer-journeys-for-the-post-pandemic-world" rel="noopener noreferrer" target="_blank">&nbsp;customer needs</a>&nbsp;rather than what you’d like them to do.<h2>Train employees to take them on the journey</h2>The best customer experience strategy will fail without buy-in from staff, Ball explains. “Develop a customer-experience mantra your staff respond to,” she says. “Implement regular customer-experience training sessions, and short, sharp team meetings to keep staff informed, focused, and motivated. Recognise positive customer delivery [and consider] incentive programs, which are great.”

“Implement regular customer-experience training sessions, and short, sharp team meetings to keep staff informed, focused, and motivated.”

Ensure that staff are knowledgeable when it comes to your products and services, and train them to handle complaints and concerns from customers with empathy, patience and consistency. Even negative feedback can be beneficial to your business as it offers valuable insights into how to improve.<h2>Create a seamless path to purchase</h2>Simplicity is key when it comes to customer service. Whether you’re a bricks and mortar retailer or an e-commerce brand, it’s important that shoppers can easily navigate to the products they’re looking for and then quickly and efficiently proceed to the checkout.In store, this means ensuring that there’s adequate signage or staff assistance to help customers find products easily; online, it’s about a straightforward user experience (UX). After all, there’s little point in having a beautiful site if the pathway to conversion is forbiddingly complex.With mobile-first usability in mind, each<a href="https://www.thesheetsociety.com.au/products/bedding-terracotta" rel="noopener noreferrer" target="_blank">&nbsp;product page</a>&nbsp;on&nbsp;<a href="https://www.thesheetsociety.com.au/" rel="noopener noreferrer" target="_blank">The Sheet Society</a>’s website has been customised to allow for many order variations. As co-founder Hayley Worley explains, “Every SKU in the company’s product line can be purchased from the one page, in any size, without the user needing to navigate around the site to find matching products, or being forced to purchase a fixed ‘set’ in a particular size.”This smart user-interface strategy has resulted in an average order value of $236, and increased conversion rates (2.36 per cent in 2020, up from 1.78 per cent in 2019).<h2>Take advantage of tech</h2>While it could be argued that nothing beats old-fashion one-on-one service, a new array of tech tools is offering compellingly effective alternatives. Augmented reality (AR), customer relationship management (CRM) systems, chatbots and smart email platforms are delivering insights and experiences that significantly enhance the customer experience.&nbsp;Take The Sheet Society’s<a href="https://www.thesheetsociety.com.au/pages/bed-builder" rel="noopener noreferrer" target="_blank">&nbsp;AR Bed Builder</a>, a global-first online shopping experience that enables users to mix and match countless bedding combinations. “Customers can see their colour, style and fabric choices on their bed at home before they commit to purchase,” Hayley explains. “It was designed to use the inbuilt Quick Looks functionality of Apple and Android devices, removing the friction of downloading additional apps.”<h2>Play to each channel’s strength</h2>Every service channel (in-store, website, social media, eDM, catalogue, etc.) should deliver on its purpose, whether that’s to educate, inform, socialise, or purchase. “Customers are time-poor, and they value ease, convenience and speed,” says Ball. “They rate the delivery of these expectations as part of their retail experience. Customers want to shop with retailers that not only meet their needs but also make them feel good to the point that they want to re-engage.”

“Customers want to shop with retailers that not only meet their needs but also make them feel good to the point that they want to re-engage.”

<h2>Reward loyal customers</h2>﻿There’s a reason that countless businesses – from airlines to beauty brands – offer rewards programmes: they work. In fact,<a href="https://cdn2.hubspot.net/hubfs/352767/Loyalty%20Report%202018%20Files/Bond_TheLoyaltyReport%202018%20US_Exec%20Summary.pdf?__hstc=20629287.9baff9b886da5e2fe655b4113897e76d.1580934235534.1585683608724.1586982181323.7&amp;__hssc=20629287.3.1586982181323&amp;__hsfp=3576519970" rel="noopener noreferrer" target="_blank">&nbsp;71 per cent&nbsp;</a>of customers say that <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">loyalty programmes</a> are a meaningful part of their brand relationship. Why? <a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">Loyalty programmes</a> reward repeating purchasing behaviour, and they create an ongoing relationship between brands and customers. Whether you launch a loyalty programme or simply find meaningful ways to recognise and reward your high spenders, identifying your top customers should be a core part of your customer-experience strategy.

How to build consumer loyalty in the omnichannel age

6 ways to supercharge your businesses customer service

6 ways to supercharge your customer service

Discover how to navigate tricky situations with practical scripts you can use

No one enjoys being on the wrong end of a frustrated or irate customer.However, dealing with complaints or customer concerns is just part of being a business owner,&nbsp;says customer experience consultant Aileen Day,&nbsp;who has led customer experience at Bunnings and Officeworks. “It doesn’t matter how big or small you are, as soon as you’re dealing with a human being, there’s the likelihood that someone’s going to muck up.”Day says that for every person who comes forward with a complaint, there’s likely to be another two dozen dissatisfied customers who’ll leave without a word – to you anyway…you can be sure they’re telling everyone else about their poor experience.For that reason, Day encourages retailers to view unhappy customers as an opportunity to learn and improve their business. In other words, complaints are a great way to identify flaws, improve your business and recover that customer.&nbsp;&nbsp;Here are six common complaints or concerns that you may encounter, and how to respond.<h2>Concern 1: Poor product or service</h2>If products or services aren’t what customers are expecting, they’ll inevitably complain.Staff training expert Justin Herald of<a href="https://customerculture.com/" rel="noopener noreferrer" target="_blank">&nbsp;Customer Culture</a>&nbsp;has written a number of books about customer service, and recalls a customer once complaining that one of his books had arrived in the post in subpar condition.“The packaging was torn, the book was wet when it got the customer,” says Herald. “My customer] sent an email saying what had happened. Now it wasn’t my fault - but it was my problem.”<h2>How to respond</h2>Herald says that when products arrive in poor condition, it’s up to the retailer to rectify the situation. For his part, Herald decided to redeliver the book – and throw in two more books for free.&nbsp;&nbsp;“Adding something extra as an ‘I’m sorry’ is a great way to get [customers] back onside again,” says Herald, who went one step further. “I actually got on my motorbike on a Saturday, rode out there because it was a nice day, and hand-delivered it to the lady. She was quietly shocked.”Suggested script:Thanks very much for letting us know about the delivery problems with your book. We are sorry this happened – so please accept two free books, along with your original order, as a token of our appreciation for your patience and understanding.<h2>Concern 2: Poor customer communication</h2>Day says complaints commonly arise when the customer and the business have a different understanding of what’s being offered – or businesses have failed to communicate properly.“Let’s say a florist offers free delivery over $50. But what happens is a customer on the other side of town goes and buys a bunch of flowers and expects free delivery, but then the business says it’s only up to 20 kilometres.”<h2>How to respond</h2>First, take some deep breaths. “As business owners we can get very, very defensive because [our business] is the thing that we put our heart and soul into and we don’t like being told that we’re wrong,” says Day.Listen carefully and empathetically, and respond with fact, not emotion. If the conversation is happening on social media, Day points out that you’re not just speaking to one customer – but their followers and friends, too. In that case, she recommends acknowledging the issue, before apologising and encouraging the disgruntled customer to reach out via direct message.Suggested script:Thank you for bringing this to attention. We’re sorry if our delivery guidelines aren’t as clear as they could have been (we’re now working on this!). On this occasion, we are happy to offer free delivery to make up for any confusion. We hope to help you with some beautiful flowers again soon!<h2>Concern 3: Long wait times</h2>When it comes to online shopping, no one enjoys waiting longer than necessary for their parcel to arrive – and shipping delays emerged as a common issue during COVID-19 as postal services struggled to keep up. Fail to keep your customers in the loop, and you (and social media) are sure to hear about it.<h2>How to respond</h2>Respond quickly. The first step might be for the business to offer a tracking number for the delivery or service, and then ensure that the customer isn’t forced to repeat their case to multiple customer service staff. “What customers hate doing is repeating themselves.”Where it’s impossible to hasten the delivery process, “the least you should do is apologise and thank them for their patience”, says Day.

“Customers hate repeating themselves.”

Should the situation drag on further, consider offering a future discount or gift card by way of apology - a much cheaper alternative than running the risk of losing a customer.Suggested script:Thank you for your patience, and we’re really sorry this is taking longer than expected. We have escalated your concern, and will be back in contact with you as soon as possible. Here is your tracking number, should you need to get in touch. Again, we appreciate your understanding.<h2>Concern 4: Concerns around ethics or sustainability</h2>It’s increasingly common for shoppers – particularly<a href="https://www.afterpay.com/en-AU/business/articles/social-responsibility/conscious-consumer-retail" rel="noopener noreferrer" target="_blank">&nbsp;socially conscious millennials</a>&nbsp;– to want to know more about how your products are made, says Kim Honor, lead trainer at the&nbsp;<a href="https://www.csia.com.au/" rel="noopener noreferrer" target="_blank">Customer Service Institute of Australia</a>. Are you prepared if shoppers have customer concerns and want to know if your products are vegan, organic or cruelty-free?<h2>How to respond</h2>If your products are not ethically made or you’re not sure of their provenance, don’t just ignore the customer concern. If someone’s passionate enough to ask detailed questions about your products, view it as an opportunity to build a deeper relationship with your customer – and undertake customer research to inform future decision-making.“Sometimes when they’re asking questions that we’re not comfortable with, we get awkward and run away from it, instead of really embracing it, and approaching it with curiosity,” says Honor, who recommends asking probing questions to find out what’s most important to the customer.Honor also suggests using positive language, and focusing on what you are doing to solve this problem, rather than what you’re not. For example, don’t just say ‘sorry, we don’t stock vegan leather shoes’.Suggested script:Thanks for getting in touch. We’re finding that more customers are interested in vegan leather, which we agree is a great idea. To that end, we’re currently speaking to a number of vegan leather suppliers, and hope to have something more to report soon. In the meantime, we’d love to hear about the kinds of footwear you’d be interested in.<h2>Concern 5: Concerns about diversity&nbsp;</h2>Consumers increasingly expect brands to be transparent about the make-up of their executive team and staff – and whether they are tackling issues of diversity. So, what should you do if someone emails with consumer concerns about diversity? Or confronts you on social media about a lack of diversity in your advertising campaigns?<h2>How to respond</h2>Small businesses – especially those with only two or three employees – may struggle to achieve the level of diversity on staff that consumers demand, says Honor.However, it’s important to look at all the ways in which your business can address diversity – from the casting of models in marketing campaigns to your own hiring policies, supplier arrangements and stocked ranges.If you don’t have diversity policies and you’re being called out by customers, be honest, advises Honor, who adds that if you approach the conversation with a genuine interest in learning more, you can transform that transaction into a relationship.Suggested script:It’s fantastic to hear that you feel so passionately about this issue. Many of our customers share your way of thinking, and in fact, so do we. However we agree we could have done better this time. As such, we are currently working on a new campaign that focuses on diversity. It will be released in June, and we hope you’ll be excited as we are to see it. Thanks again for bringing this to our attention.<h2>Concern 6: Queries about your supply chain</h2>Supply chain issues and workers’ rights have been in the spotlight since the 2013 Rana Plaza disaster, where more than 1000 workers died after a garment factory collapse in Bangladesh.&nbsp;So, if you’re an online retailer, particularly in fashion, expect this question to pop up from increasingly aware consumers. They’ll likely want to know that the clothes they’re wearing, or the products they’re buying, match their own ethics. And the more transparency the better.<h2>How to respond</h2>Again, be honest in any communications with your customers. If you’re massaging the truth, expect to be called out on it, says Honor.If you do have a supply chain code of conduct or a map, she suggests embedding it in your website and your social media, and referring customers to it. If you don’t have this information at hand, frame your response positively and commit to providing an answer within a certain timeframe, says Honor.And if you don’t have all your ducks in a row just yet, don’t panic. “Sometimes it’s just acknowledging that that’s something that we hadn’t considered, or that we’re still in the process of implementing, or wherever you’re at, but framing it from a point of action,” says Honor.Suggested script:Thank you for getting in touch about our supply chain ethics. This is something we are constantly working to improve, and as you can imagine, it is an ongoing process. We would love to hear about any specific areas of concern for you, and how you think we might be able to help.&nbsp;

Customer complaints are an opportunity to address issues in your small business. Here's how to deal with them.

Customer complaints are an opportunity to address issues in your small business Here s how to deal with them

6 Common Customer Concerns - And How To Handle Them | Afterpay Access

6 common customer concerns

Want to improve – or even transform – your customer experience and drive more sales? It all starts with understanding your consumer – and every step of their journey.

Every customer who uses your products or services is trying to solve a problem.To deeply understand that problem, it’s vital to know as much as possible about that customer; their point of view, needs, wants, likes, frustrations, and (most importantly) how they engage physically and emotionally with your brand.&nbsp;&nbsp;The best way to do that? Take a walk in their shoes – and map their journey.&nbsp;<h2>What is a consumer journey?</h2>A consumer or customer journey maps out the process that your customer follows to achieve a business goal, and records every touchpoint they have with your brand along the way.&nbsp;In today’s ever-evolving, increasingly digital world, this journey is likely to be a multichannel process, with myriad possible interaction points – from social to <a href="https://www.afterpay.com/en-AU/business/access/email-marketing/what-is-email-marketing" rel="noopener noreferrer" target="_blank">email</a>, website, display ads, out-of-home marketing and good, old-fashioned word-of-mouth. It’s rarely, if ever, linear.&nbsp;<h2>Why is mapping a customer journey important?</h2>Most businesses find that their consumer journey goes in cycles, or back and forth. In other words, shoppers move from one touchpoint to another and sometimes backwards.&nbsp;While this lack of linearity makes it difficult to map, it also highlights why creating customer journeys is so crucial.&nbsp;

“that’s the way customers actually experience your company!”

“It’s important to be able to see the end-to-end journey; to understand the experience from start to finish, rather than just spot points along that path,” explains Celia Romaniuk, managing director at Fjord and Accenture Interactive.“This is for two reasons: firstly, that’s the way customers actually experience your company! They might dip in and out at various points, but it needs to feel like one joined experience to them – so we need to design it that way.“Secondly, it helps your company come together to see the whole experience rather than focusing too narrowly on their own department. After all, again, this is what the customer&nbsp;actually&nbsp;experiences.

<h2>What’s the difference between a consumer journey and the customer experience?</h2>Simply put, you use the consumer journey to improve and transform your user and customer experience. Look at it this way:

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“You can’t design a good user experience without understanding and mapping out the customer journey,” says Philippe Hong, founder of UX agency Raw.Studio. “It’s an essential part of the discovery.”

<h2>What is included in a consumer journey map?</h2>“There are different types of customer journeys – it depends on your business [objectives] and how you attract your customer,” explains Hong.You could map one complete consumer lifecycle – from initial brand awareness to loyal fan – or multiple consumer journeys based on key business goals. For example:<ul><li>A first-time customer journey&nbsp;</li><li>A repeat purchase&nbsp;</li><li>Upgrading in some way</li></ul>Keep in mind, if you’re only focusing on the ‘purchase journey’, you could be missing valuable moments. Brands that strive for loyal fans, rather than simply one-time customers, go deeper with their customer journeys and consider key moments such as:<ul><li>Subscribing to <a href="https://www.afterpay.com/en-AU/business/access/email-marketing/email-marketing-tips" rel="noopener noreferrer" target="_blank">emails</a></li><li>Joining a membership/<a href="https://www.afterpay.com/en-AU/business/access/marketing/customer-loyalty-program" rel="noopener noreferrer" target="_blank">loyalty program</a></li><li>Lodging a complaint</li><li>Communicating with customer service</li></ul>

Whichever journey you map, it’s important to include:The conversion process, including all touchpoints&nbsp;– from when they hear about your brand to when they book or make a purchase. Don’t forget organic interactions, such as seeing your shopfront on their way to work.User actions and key events. Include all actions a customer takes during each stage of the journey, such as asking a friend, searching for reviews online, following you on social media, comparing you to a competitor. Plus, include the key events, like making the final decision, what type of payment they’ll use and whether they call or complete the process online.&nbsp;Emotions and motivations.&nbsp;Customers have a reaction at every single touchpoint, even if they’re blasé. However, negative emotions create friction, while positive emotions drive engagement. It’s important to consider emotions at every step as these encourage – or discourage – a sale.Pain or friction points.&nbsp;Anything that makes it difficult for the customer or could lead to frustration – website 404 errors, glitches with your website contact form, difficulty getting through to customer service – should be included.&nbsp;Opportunities and threats.&nbsp;Is there an earlier point in the journey where you could convert them, such as offering a first-time discount? Or, vice versa, is there something that threatens to turn them off your brand for good, like a bad review?<h2>Quick reminder: what’s a customer touchpoint?</h2>A touchpoint is any interaction a customer (or potential customer) has with your brand where they could form an opinion – from your marketing to organic interactions.&nbsp;&nbsp;Deliberate touchpoints, like social media or TV advertising, are easy to identify, but you should also consider less-obvious ones such as Google Business Reviews

<h3>So…&nbsp;how&nbsp;do businesses put themselves in their customers’ shoes?&nbsp;&nbsp;</h3>“Start with the customers you know about already,” suggests Romaniuk. “Who are the people actually using the business, product or service? And if you don’t have direct contact with them, who are the people closest to them? For example, sales people or customer service teams – what are customers saying to them?”Collect as much voice of customer (VoC) data as possible and use it to build your personas and map your journey – we’ll explain.

<h2>Understanding&nbsp;voice of customer (VoC) data</h2>VoC data is a research strategy that helps uncover what customers think of your business, product or service, using VoC surveys.&nbsp;&nbsp;“VoC surveys are extremely useful to gather and collect <a href="https://www.afterpay.com/en-AU/business/access/customer-service/seek-customer-feedback" rel="noopener noreferrer" target="_blank">feedback</a> from the customers,” explains Hong. “It’s the best way to understand what they like; what they don’t like.”&nbsp;VoC data informs your consumer journey. For instance, if customers repeatedly complain that your website booking system never retains their information – that’s a friction point in your journey.&nbsp;But, as Romaniuk points out, “Surveys themselves are not enough. They are great, and tell us lots of things, but they don’t really illuminate the ‘why’.&nbsp;“Why was something good or bad? Why is something not good enough, or better than expected? Think of yourself having a conversation with customers – like any conversation, a quick interaction might get you good top-level insight, but it’s only after a longer discussion over time that you can really understand someone else’s perspective.“It’s seeing the customer perspective, in a deep way, that opens the doors for new kinds of innovation.”

<h2>Understanding customer&nbsp;personas</h2>Customer personas are fictional but accurate archetypes that represent your target consumers. They include demographic information such as age, gender, job, education, family status, hobbies, communication preferences (the more info, the better), as well as why that person interacts with your brand.&nbsp;The more lifelike you make your persona the better; use photos and give your personas a name.For example, a beauty brand might have ‘Ruby the Regular’, who is 25 years old, works full-time in retail, and buys a product from them every week.

<h2>How to physically map a customer journey</h2>“It depends on your time, budget and skills,” says Romaniuk. “You can start very simply by just doing it on the wall with post-its and butcher’s paper. You can put it in a spreadsheet, or visualise it in a more sophisticated way and make it into a beautiful poster.”However you do it, Romaniuk advises that it’s more important “to think about what you want the journey to show, and how you will represent it”.

<h3>The key? Ensure it makes sense to the people in your business who will use it to create solutions – and solve your customer’s problem.&nbsp;</h3>

Improve your customer experience and drive more sales by creating a consumer journey