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Retail is changing. Here's what merchants need to know...

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Retail has always been trend-driven and fast-paced, but the past few years have been more tumultuous than ever. After a global pandemic, a surge in e-commerce, and a subsequent swing back to in-store shopping, retailers are facing historically high inflation rates.As we enter a new year, many retailers may well be wondering: what’s next?To help retailers chart their path towards success in 2023, Square worked with Wakefield Research to survey 500 US retailers and 2,000 nationally representative consumers over the age of 18 for its annual <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-commerce" rel="noopener noreferrer" target="_blank">Future of Commerce report</a>. Square sellers also shared insights from their point of view on steps they're taking firsthand or plan to take to navigate the future of their retail store and the needs of their customers.

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Here are the 2023 retail trends that merchants and retailers need to know…<h2>Delivery demands will rise</h2>As online shopping becomes more entrenched, expectations around delivery are also maturing. In 2023, consumers will only expect faster, more convenient shipping and delivery.For retailers, this means offering more shipping options, from standard shipping to express and same-day delivery options, as well as buy online, pick up in-store if possible.Retailers should consider staggered pricing options to avoid being stung by higher delivery fees and implement strategies to reduce returns, says Shippit CMO Brett Chester. When returns do happen, <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">over 55%</a> of shoppers across all generations prefer to shop with brands who allow online purchases to be returned in-store.As part of the larger Future of Commerce report, the Square Future of Retail report found that consumers are increasingly open to and even looking for efficiency in their shopping experience. In fact, <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">41% would choose tech when making pickup or delivery arrangements</a>. Don't forget to keep Gen Z shoppers in mind. A <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">2022 Afterpay report on Gen Z</a> found that 48% of Gen Z consumers reported shopping in-store to avoid delivery fees.<h2>Automation creates better experiences for customers and employees</h2>Beyond shipping, the ways in which businesses can optimize their workflows and processes are growing and changing faster than ever. As lines between sales channels blur, and businesses need to connect with customers across more channels, businesses may look to automation to decrease the time their staff spends on time-consuming menial tasks.The more you can free up time for your staff, the more your staff can focus on creating meaningful and memorable experiences for their customers. Beyond that, with staff retention being tricker than ever, freeing up manual resources to allow your employees to focus on the more meaningful sides of the job increases their engagement. The Future of Retail report found that <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">41% of retailers</a> are planning to automate operations to increase staff efficiency. Other top-mentioned areas for automation include inventory management and customer communications.

Although it can be intimidating to begin the process of automating pieces of your business, it's important to think of these updates through the consumers' lense. <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">75% of consumers surveyed</a> in the Future of Retail report noted that automation technology wouldn't deter them from shopping at a retailer, and, in fact, 23% said that modernization would make them more likely to shop there.<h2>Self-service will bridge the labor gap</h2>Self-service isn't a new concept in retail, but traditionally it's been used within the realm of discount retailers and supermarkets.That's slowly changing thanks to the rise of online shopping, which has seen customers become accustomed to having complete control over their shopping journey. As a result, growing numbers of brick-and-mortar retailers are offering self-serve features that mimic the convenience, speed, and autonomy of online shopping.For some retailers, like Uniqlo, that looks like self-checkout; for other's, it's about allowing customers to easily find and access products (rather than having to ask staff or requiring assistants to bring the product out from storage). Buy online, pick up in-store is another form of self-service, by giving customers more control over checkout and when they pick up their products.<h2>Brick and mortar is back, with an emphasis on experience</h2>While physical stores took a major hit during the height of COVID-19, the scales are beginning to equalize as consumers return in store to shop. The net effect - a hybrid of online and in-store purchasing.But while in-store shopping may have returned, it's evolving too. Ana Piteira, the founder of Reliquia Jewellery and Blanca, opened a store two years ago and says she views her brick-and-mortar presence as "an extension of our online presence." She continues, "It's not only about the sales that you're generating; it's about having a showroom for your product where people can go and see, touch and feel the range."Her sentiments are echoed by AllBirds co-founder Tim Brown, who <a href="https://www.businessoffashion.com/articles/direct-to-consumer/the-state-of-fashion-2023-report-dtc-online-stores-multi-channel/" rel="noopener noreferrer" target="_blank">has described</a> the brand's 54 stores as a "powerful word-of-mouth awareness" tool that drives loyalty and "a customer acquisition vehicle" for the best customers that we have within our ecosystem."Experts predict that for brick-and-mortar stores, the emphasis will be on experiences rather than simply sales. <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">94% of retailers</a> said they plan to focus on enhancing their in-store customer experience, turning commerce into an event.For some retailers that means hosting events in-store (lululemon, for example, holds yoga classes in-store); for others it's about enhancing the day-to-day customer experience with interactive features such as touch-screen mirrors or product demonstrations.<h2>Customer acquisition &amp; retention strategies will shift</h2>As inflation rises, along with customer acquisition costs, attracting and retaining consumers will become more important than ever in 2023. While the outlook may seem ominous, there is still plenty that retailers can do to stay one step ahead.Across generations, shoppers will be savvier with their hard-earned dollars, reporting that the <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">top reason for purchasing from a brand again being that they offer good discounts and sales</a>.If you already have customers coming back to shop at your store, be sure to have an automatic loyalty program set up. This both encourages shoppers with incentives, as well as provides you with valuable customer information to help inform their shopping experience.Customers who enroll in a rewards program like <a href="https://squareup.com/us/en/software/loyalty" rel="noopener noreferrer" target="_blank">Square Loyalty</a> are twice as likely to be repeat customers. They also spend an average of 43% more than customers who aren't enrolled in a loyalty program.As the data bears out, there's a clear trend between customers frequenting their favorite businesses and wanting to stay in touch. In fact, the <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Square Future of Retail Report</a> found that 86% of them prefer to stay in some kind of communication with their top shopping destinations. To best stay in touch, businesses should meet their consumers where they are and aim to interact on their favorite channels, all of which can be leveraged without paid media dollars:

<h2>Follow your customers lead on where to sell</h2>As automation frees up time from time-consuming tasks, it allows employees to focus more on connecting with customers - and there are more ways to connect with them than ever before. Retailers surveyed within the <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Future of Retail</a> report now sell their goods on an average of four different channels, with 81% of retailers planning to expand the number of digital channels they sell on over the next 12 months.58% of consumers are open to trying newer, digital methods of shopping, and they're interested in:

If you're not selling through social media, you're missing out on a huge opportunity. According to the <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Future of Commerce report</a>, in 2022 the number of retailers selling goods directly through social channels rose to 91%, up 10% from the year before. Through the pandemic, businesses had to adapt and shift to online sales, many businesses seeing huge growth in eCommerce (according to the <a href="https://www.census.gov/library/stories/2022/04/ecommerce-sales-surged-during-pandemic.html" rel="noopener noreferrer" target="_blank">U.S. Census Bureau</a>). But in 2022, retailers saw a <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-commerce" rel="noopener noreferrer" target="_blank">5% decrease</a> in online sales from the year prior. While this may be a seemingly small shift, it's important that businesses adapt and meet customers where they are. Wherever your customers are shopping, make sure checkout is fast and easy. The <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Future of Retail report</a> found that 34% of businesses ant to provide more payment options, like <a href="https://portal.afterpay.com/v2/checkout/en-US/sign-up" rel="noopener noreferrer" target="_blank">BNPL</a> and 28% want to provide a quick, hands-off purchase process. Again keeping in mind the next generation of consumers — almost <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">1 in 5</a> Gen Zs — have abandoned a purchase in the last 12 months because their preferred payment method was not available (with <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">44% of Gen Zs using BNPL in the last 12 months</a>). In the words of Afterpay's Head of Sales, Alex Fisher, "Gen Zs and millennials have experienced multiple recessions, which has changed the way they navigate the world when it comes to saving and spending. Due to these microeconomic impacts, younger generations are increasingly credit averse, preferring to pay over time with BNPL. As BNPL adoption goes mainstream, retailers will need to meet this Gen Z and millennial demand for payment optionality — enabling them to truly shop omnichannel."Download the full Future of Retail report <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">here</a>.

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How retail will change in 2023, from faster delivery to a rise in self-service technology and experiential retail.

top retail trends for 2023

2023 retail trends you should know: a comprehensive guide to stay ahead of the game

retail trends 2023

A happy shopping experience starts with a strong returns policy. Here’s how to cut the costs of returns and keep customers happy.

When it comes to selling your products, especially during peak shopping periods, many brands find themselves grappling with returns.It’s estimated that between 13 and 30 percent of stock sold during the 2023 holiday season was returned. That’s the equivalent of<a href="https://nrf.com/research/customer-returns-retail-industry-2021" rel="noopener noreferrer" target="_blank"> hundreds of billions</a> of dollars’ worth of stock in the US alone.And return rates are rising, thanks to a pandemic-induced surge in online shopping. Why? Because in-store shoppers return around 10 percent of products, while online shoppers send back up to 40 percent.

Regardless of industry, returns represent a significant cost to retailers. Not only are there delivery costs to factor in, but staff might also spend time checking products for faults, before repackaging them, re-warehousing them and reselling.Recently, global retailer <a href="https://www.asos.com/au/" rel="noopener noreferrer" target="_blank">ASOS</a> even pointed to soaring return rates as a contributing factor to its <a href="https://www.theguardian.com/business/2022/jun/16/asos-warns-on-profits-amid-significant-increase-in-customer-returns" rel="noopener noreferrer" target="_blank">downgraded profit estimate</a>. And there are other costs to consider too, with returns also impacting the environment.Here's how to reduce return rates and save money…<h2>Present products clearly</h2>The rise of e-commerce has given rise to a new trend: bracketing. This occurs when customers purchase a product in several sizes with the intention of trying everything on at home and choosing the best fit.In fact, a <a href="https://www.prnewswire.com/news-releases/narvar-study-finds-58-of-consumers-intentionally-buy-more-goods-than-they-intend-to-keep-301416568.html" rel="noopener noreferrer" target="_blank">Navar study</a> recently found that 58 percent of customers intentionally buys more products than they intend to keep and that “fit and size” continue to be the primary reason for online returns, accounting for 42 percent of returns.The solution? Providing as much detail as possible about every product – fit, size, dimensions, features, material and appearance – to give customers as much confidence as possible in committing to a single size. That also means providing multiple, <a href="https://www.afterpay.com/en-US/for-retailers/access/product-photography/product-photography" rel="noopener noreferrer" target="_blank">clear photos</a> of the product or garment from a number of angles. A clear and detailed size chart is another must for fashion and footwear retailers.Global clothing retailer <a href="https://www.everlane.com/" rel="noopener noreferrer" target="_blank">Everlane</a> takes this one step further by also <a href="https://www.afterpay.com/en-US/for-retailers/access/product-photography/product-photos-iphone" rel="noopener noreferrer" target="_blank">photographing</a> the same garment on models of varying sizes and body shapes so that consumers can better understand how they will look in the piece.&nbsp;&nbsp;Some brands such as <a href="https://www.ganni.com/en-au/home" rel="noopener noreferrer" target="_blank">Ganni</a> offer free alterations to customers in a bid to reduce returns. The Danish fashion brand has partnered with clothing repair app Sojo for the service. “Online shopping has a huge environmental cost attached to it due to the amount of returns that are made – with the majority of returns being due to poor fit,” <a href="https://fashionunited.uk/news/fashion/ganni-partners-with-clothing-alteration-app-sojo/2021111859425" rel="noopener noreferrer" target="_blank">explains</a> Sojo CEO and founder Josephine Philips. “By partnering with Sojo to offer local tailoring, Ganni is reducing environmental impact and also creating clothes that fit customers perfectly, which [means they] will then be loved for longer.”

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"Online shopping has a huge environmental cost due to the amount of returns that are made."

<h2>Try a tech solution</h2>Technology can also help consumers achieve the perfect purchase and reduce returns. Start-ups like <a href="https://www.perfitly.com/" rel="noopener noreferrer" target="_blank">Perfitly</a> and <a href="https://themodernmirror.com/home/" rel="noopener noreferrer" target="_blank">The Modern Mirror</a> are developing augmented reality (AR) technology to help customers ‘see’ how clothing will fit before they purchase. Similar technology already exists in the beauty industry (L’Oréal, for example, offers AR services allowing customers to ‘try on’ makeup and hair colours) and for accessories.Optical retailer Bailey Nelson offers a ‘<a href="https://baileynelson.com.au/collections/virtual-try-on" rel="noopener noreferrer" target="_blank">virtual try-on</a>’ feature allowing customers to try sunglasses and glasses. Not only can these types of services reduce returns, but, according to Bailey Nelson, the virtual try-on feature has also increased conversions by <a href="https://www.cmo.com.au/article/691080/virtual-try-on-sees-bailey-nelson-online-conversions-lift-400-per-cent/" rel="noopener noreferrer" target="_blank">400 percent</a>.<h2>Forget free returns</h2>Although free returns policies have become ubiquitous – and it’s well known that many customers will buy but then abandon purchases thanks to free returns – some retailers are beginning to introduce paid policies.<a href="https://edition.cnn.com/2022/09/29/business/hm-return-fees/index.html" rel="noopener noreferrer" target="_blank">Global retailer H&amp;M</a> recently announced it was considering testing a paid returns policy, where online shoppers must cover the shipping costs of their returns. In May, <a href="https://www.zara.com/au/" rel="noopener noreferrer" target="_blank">ZARA</a> announced it would charge British customers £1.95 ($USD2.37) to return products by mail (a policy already in place in other countries). Other retailers, such as <a href="https://lisasaysgah.com/" rel="noopener noreferrer" target="_blank">Lisa Says Gah</a>, <a href="https://lisasaysgah.com/pages/faq" rel="noopener noreferrer" target="_blank">deduct shipping costs</a> from the overall amount refunded.Another way to reduce the shipping cost of returns is to partner with a reverse-shipping provider or logistics hub to give customers the option to drop returns at designated ‘<a href="https://happyreturns.com/#homepage-return-and-exchange-portal" rel="noopener noreferrer" target="_blank">return bars</a>’ or <a href="https://hubbed.com/network/" rel="noopener noreferrer" target="_blank">drop-off points</a>. That way, returns can be collected in bulk by retailers, removing the final-mile delivery costs and avoiding having to pay for every individual return.<h2>Add friction to ‘free returns’</h2>Charging customers for reverse shipping is one way to discourage shoppers from returning products. But there are other ways to add ‘friction’ to the process in order to dissuade returns.For example, offering free returns for products that are dropped off in-store removes the cost of final-mile delivery, while offering an extra-long returns period – say 30 days – removes the sense of urgency for consumers who may well forget to return their product or decide to wear it during that period.<h2>Opt for Afterpay</h2><a href="https://afterpay-corporate.yourcreative.com.au/wp-content/uploads/2021/04/Afterpay-Economic-Impact-report-2020-Accenture.pdf" rel="noopener noreferrer" target="_blank">A report by Afterpay Australia</a> found that customers who pay with Afterpay are less likely to return their purchases.In Australia, return rates for in-store purchases are around 9 percent and 20 percent for online. With Afterpay, return rates are much lower: around 6 per cent for in-store purchases and just 2 percent for online.This may be because many Afterpay customers use the buy now, pay later platform as a budgeting tool, which drives more considered purchases and a lower rate of return. Afterpay <a href="https://afterpay-corporate.yourcreative.com.au/wp-content/uploads/2021/04/Afterpay-Economic-Impact-report-2020-Accenture.pdf" rel="noopener noreferrer" target="_blank">reports</a> that in 2020, Australian retailers are estimated to have saved $30&nbsp;million in lower depreciation costs and shipping and handling as a result of lower returns.<h2>Outsource returns</h2>If you deal with large volumes of returns, one way to mitigate the operational costs of handling them is to outsource the entire process to a third party. By engaging a dedicated ‘reverse shipping’ company, you can receive returned products in batches rather than as a steady stream of daily parcels, and even choose to have products verified by a third party rather than overwhelming your warehouse staff.Specialist returns staff – from companies such as <a href="https://happyreturns.com/" rel="noopener noreferrer" target="_blank">Happy Returns</a> and <a href="https://smartreturns.in/" rel="noopener noreferrer" target="_blank">Smart Returns</a>, which operate dedicated returns facilities – may also be faster and more efficient at sorting returns. Many also have relationships with liquidators and recyclers who can help recapture value from damaged products.<h2>Reframe returns as an investment – not a cost</h2>Some experts believe that the secret to reducing the costs of returns is not to view returns as a headache, but to instead reframe them as an investment in long-term customer value.That’s because a good (or bad) return experience can make (or break) a customer’s relationship with that brand. According to <a href="https://optoro-corp.s3.amazonaws.com/WBRConsumerReturns2018OptoroReport.pdf" rel="noopener noreferrer" target="_blank">Optoro</a>, 89 percent of consumers are less likely to shop at a retailer or brand if they had a bad experience with their returns. On the flip-side, 97 percent of customers say they would be more likely to purchase from a company that they had a positive return experience with.From that perspective, the solution to rising returns may well be to make returns as easy and fast as possible for customers to maximize brand loyalty and extend customers’ lifetime value.That means clearly outlining your returns policy online (including on your header or footer, product pages, cart checkout and FAQ page), and offering customers flexibility, speed and great communication when it comes to delivery and refunds.Reverse shipping provider <a href="https://returnly.com/" rel="noopener noreferrer" target="_blank">Returnly</a> takes this one step further. When customers return a product they are given an instant ‘<a href="https://returnly.com/blog/why-a-successful-holiday-season-starts-with-returns/" rel="noopener noreferrer" target="_blank">Returnly credit</a>’, which allows them to shop for a new item online rather than being forced to wait days or weeks for refunds to be processed. Not only does this enhance the returns experience – and engender customer loyalty – but it also increases the customer’s propensity to buy again.

"Being able to facilitate easy returns plays a huge role in success."

Brett Chester, chief marketing officer at <a href="https://www.shippit.com/" rel="noopener noreferrer" target="_blank">Shippit</a>, describes the returns process as “the other side of the shipping coin,” and something businesses should be thinking about as a core aspect of their business.“Being able to facilitate easy returns plays a huge role in success,” Chester says, explaining that in using third party providers like Shippit, retailers still have full control over return policies while enjoying the many benefits of outsourcing like a reduction in administrative tasks and cheaper shipping rates.Retailers could even look to build returns into the DNA of their brand. For Australian online furniture retailer <a href="https://eva.com.au/" rel="noopener noreferrer" target="_blank">Eva</a>, a lucrative returns policy that includes free delivery, free pick-up returns and a 365-day return window offers it a unique point of difference in a crowded market – and one that translates into meaningful brand growth.“It starts with thinking about the customer first and then building that into product margins,” says Lia Ang, Eva’s head of marketing, adding that its flexible policy “is the feature that resonates strongest with customers”.She explains, “We know that delivery and pick-up costs are huge turn-offs when it comes to purchasing online, so the balance to strike is to make sure your margins are enough to absorb those costs for the customer while not being so exorbitantly high [that] customers won’t pay for your product.”While a year-long-returns policy is generous, Ang says the unique position also works as a way of creating consumer confidence, saying, “what we were hoping to illustrate is the trust in the quality of our products, and that we design and build products to be with you for a long time”.

A happy holiday season starts with a strong returns policy. Here’s how to cut the costs of returns and keep customers happy.

A happy holiday season starts with a strong returns policy. Here’s how to cut the costs of returns - from presenting products clearly to charging for returns - and keep customers happy.

Reduce product returns: 5 tips to save money and reduce returns

Five ways to reduce returns – and save money

Five ways to reduce returns – and save money US

Gift cards are popular during the holiday season (and all year round). Here’s how your small business can set up a gift card system.

Gift cards. They’re good for <a href="https://www.afterpay.com/en-US/for-retailers/access/operations/customer-service-examples" rel="noopener noreferrer" target="_blank">customers</a> – and they’re great for retailers and brands, too.Not only that, but gift cards remain extremely popular. For the past two years, <a href="https://www.afterpay.com/en-US/for-retailers/access/news/festive-forecast-2022" rel="noopener noreferrer" target="_blank">Afterpay’s Festive Forecast report</a> has found that gift cards are among the most popular holiday gift ideas in the US - and around the world.The benefits to consumers are obvious: gift cards offer flexibility, allowing recipients to choose what they want, as well as convenience (making them perfect for last-minute gifting).But there are myriad benefits for retailers, too.Gift cards help with cashflow by providing revenue upfront, and they can increase average order value. Data from US merchant service<a href="https://merchants.fiserv.com/en-au/" rel="noopener noreferrer" target="_blank"> fiserv</a> found that using a gift card increases a person’s overall spend with a retailer by an average of US$23.41. That’s because recipients tend to spend above the value of the gift card rather than leave unspent money on the card.And of course, if recipients do underspend (or forget to redeem their gift cards) retailers retain that incremental revenue.

“Gift cards are a win-win for retailers and consumers,” says Ingrid Maynard, founder of<a href="https://thesalesdr.com.au/" rel="noopener noreferrer" target="_blank"> The Sales Dr.</a> “For retailers, it gives them an immediate transaction without somebody having to commit to a product purchase. For consumers, it puts money directly into their back pockets and gives them the flexibility to spend money however they choose, whenever they want and on items that they deem are important to them.”And the best thing? There’s still time to create a gift card before the festive season starts.Here’s how to create a gift card service that will help your business succeed.<h2>Let your point of sales (POS) system do the heavy lifting</h2>Setting up a gift card for your store – whether online or brick and mortar – is easily done via most point of sales (POS) systems.“A lot of point-of-sales systems have the option for gift cards built-in now and offer online and in-store gift cards, which makes it really easy for retailers,” Maynard says.Platforms like<a href="https://squareup.com/au/en/gift-cards" rel="noopener noreferrer" target="_blank"> Square</a> make creating online and physical gift cards ultra-easy, and even offer the opportunity to personalize and brand gift cards.The other major benefit of creating a gift card via your POS system, Maynard says, is the potential customer growth.“Point of sale systems capture information on both the person purchasing the gift card and the recipient. That creates an opportunity to develop long-term relationships with two people instead of one and work to deepen them both over time.”

"A lot of POS systems have the option for gift cards built-in now... which makes it really easy for retailers."

<h2>Consider the gift card customer journey</h2>Before rolling out a gift card program, Maynard suggests that retailers put themselves in their customers’ shoes and consider how gift cards will contribute to the overall customer experience.That means ensuring that the purchasing and redeeming processes are simple, that there are multiple price points, and that the design feels unique and special.“From a purchaser and recipient perspective, you don’t want a gift card to look like a last-minute present or an afterthought."Customers are becoming more discerning about where they spend their money, so retailers must make sure that they’re offering a curated experience. Physically, they should be an extension of your brand and encapsulate the experience of shopping with you,” says Maynard.To capitalize on the unique experience, some major retailers like Cotton On and ASOS offer multiple gift card designs to allow givers to choose a card that best speaks to the recipient. They also offer physical gift cards or solely e-cards, allowing a broader demographic and shopping preferences to be captured. (<a href="https://pages.blackhawknetwork.com/rs/922-CLG-920/images/BHN-ebook-Gift-Card-Facts.pdf" rel="noopener noreferrer" target="_blank">Older consumers</a>, for example, tend to favor physical cards.)<h2>Understand the legalities</h2>Before introducing a gift card system, it’s important to comply with your country or region’s regulations around vouchers and gift cards. This usually means setting clear rules for consumers regarding expiry dates, lost cards or exchanges for cash. For example, in the United States,<a href="https://www.fdic.gov/consumers/consumer/news/december2019.html#:~:text=Federal%20Law%20Offers%20Protections&amp;text=Under%20the%20law%2C%20a%20gift,places%20general%20limitations%20on%20fees." rel="noopener noreferrer" target="_blank"> the law</a> states that gift cards cannot expire for a minimum of five years from the issue date.Being clear about the terms of your gift card is also important from a <a href="https://www.afterpay.com/en-US/for-retailers/access/customer-service/customer-centricity" rel="noopener noreferrer" target="_blank">customer service</a> perspective, says Maynard.“You have to be really clear about the rules with expiry dates. If you’re not and if the process becomes confusing consumers can quickly feel as if they’re being ripped off and won’t shop with.<h2>Think long-term</h2>Driving more sales in the lead-up to Christmas is one great reason to set up a gift card program. However, it pays to think strategically too, as gift cards can also play a key role in long-term customer acquisition strategies.A 2017<a href="https://www.businesswire.com/news/home/20171108006082/en/First-Data%E2%80%99s-2017-Prepaid-Consumer-Insights-Study-Underscores-Value-of-Gift-Cards" rel="noopener noreferrer" target="_blank"> study of 2000 US consumers</a> showed that 44 percent of consumers visited a new store after receiving a gift card to spend there. In other words, gift cards are a great way to reach new customers via existing ones.“It shouldn’t be just about how many transactions you can get through the till,” Maynard says. “If retailers are smart, they will ask how many customers can we start a relationship with to build lifetime value with that person. To do that, you need to think about the opportunity that exists with gift cards.”To scale your gift card even further, consider joining a gift card marketplace like<a href="https://www.prezzee.com/" rel="noopener noreferrer" target="_blank"> Prezzee</a>, which allows recipients to swap their gift card for any brand within its marketplace (including yours). Gift card marketplaces like Prezzee also generally offer additional amplification opportunities.<h2>Promote your gift card options to consumers</h2>Once you’ve launched gift cards, it’s important to spread the word. This includes letting customers know you now offer gift cards via social media channels, online and in-store.Consider how to promote your new gift card offering, whether that means promoting it in your customer newsletter, creating in-store signs, including a link on your home page or even offering gift cards in exchange for returned products.&nbsp;“Promoting with a landing message and through the live chat pop-ups is also a great way to get the word out, and when in-store, make sure team members are educated to promote the benefits of a gift card and really drive that message of it being a great option to empower people to buy what they want for themselves,” Maynard says.&nbsp;“Ultimately, gift cards are a really easy solution that offers massive long-term gains.”

Gift cards are popular during holiday season - and all year round.

Gift cards are popular during the holiday season (and all year round). Here’s how your small business can create gift cards and grow sales.

How to create gift cards - and grow your sales

How to create gift cards - and grow sales

Gift cards set up

The secrets to stocking the right products to meet customer demand.

In every business, there are fun and creative parts – whether that’s dreaming up new products or devising out-of-the-box revenue strategies – and there are less glamorous parts. Chances are, inventory forecasting – also known as demand planning– falls into the ‘less glamorous’ category for many retailers.Yet this back-end business practice is something that every business owner must master if they want to be profitable. “Good inventory management will increase sales, maximize sales potential and reduce costs,” says Marguerite Bell, managing director of <a href="https://www.retaillife.com.au/" rel="noopener noreferrer" target="_blank">Retail Life</a>. “If [something isn’t] in stock, you can’t sell it – or enough of it – and if you have too many you are wasting money.”A solid inventory forecasting strategy is about having the right amount of stock at the right time, taking into account seasonality, trends, past performance and customer patterns. “It also reduces the volume of slow-moving items that take up time, space, and money [as well as reducing] losses from markdowns and out-of-stock [items],” says Bell.No matter how big or small your business, there are simple principles that will make inventory forecasting work for you.

"Good inventory management will increase sales, maximize sales potential and reduce costs."

<h2>Track inventory</h2>The first – basic – step with inventory forecasting is to record all inventory movements, says Bell, and look at historical data in order to predict the future. This is known as quantitative forecasting.Six months of historical data is a good start, but a year or more will offer a deeper understanding. “Sales data is king – it is essential that all stock movements in and out are recorded – accurate data is critical to effectively managing [your] inventory.” Once you have precise data, you can monitor sales trends, both from recent weeks and over time, which will help identify patterns.<h2>Invest in software that makes demand planning easy</h2>Unless you’re a statistics wizard, you will most likely need software or digital tools to help you get your head around the data.For small businesses with limited inventory, basic spreadsheets may work, however, larger businesses should consider more sophisticated software systems. <a href="https://www.netsuite.com.au/portal/au/home.shtml" rel="noopener noreferrer" target="_blank">Oracle Netsuite</a>, <a href="https://www.acumatica.com/" rel="noopener noreferrer" target="_blank">Acumatica</a> and <a href="https://au.syspro.com/" rel="noopener noreferrer" target="_blank">Syspro</a> offer embedded inventory forecasting tools, machine learning and enterprise resource planning (ERP) that integrates supply chain, accounting and more. Inventory management software is generally known as ‘perpetual inventory’ software as it delivers real-time information about inventory levels.“There are many inventory planning options on the market that are relatively inexpensive and will provide retailers with all the necessary metrics and reporting tools,” says Bell, adding, “you need a suite of reports to assist in analysing data, be it stock-on-hand, best-sellers or category performance”.It’s worth noting that many point-of-sale systems, including <a href="https://squareup.com/au/en" rel="noopener noreferrer" target="_blank">Square</a>, come equipped with <a href="https://squareup.com/us/en/point-of-sale/features/inventory-management" rel="noopener noreferrer" target="_blank">inventory management systems</a>.

<h2>Audit regularly for an accurate forecast</h2>While inventory management software aims to automate your replenishment processes as much as possible, it is still important to conduct regular inventory audits.Inventory forecasting mismatches occur when actual stock levels are different to those reported by your software. This can happen because of ‘shrinkage’, for example, caused by theft, product damage, human error, disorganized stockrooms or returns fraud.The solution is regular inventory reconciliation, which can be performed by physical stock-checks – comparing reported levels of stock with actual levels, usually at the end of the financial year or the end of the season – or spot-checks.<h2>Review suppliers regularly</h2>Auditing stock levels is one thing, but it can also pay to audit suppliers themselves. This will help you monitor which suppliers are consistently late or whether suppliers are regularly supplying incorrect quantities of products. Both situations can spell trouble for your lead times and productivity.If you discover suppliers who are regularly causing problems with your supply chain, first attempt to address the issues and if this isn’t possible, consider seeking new suppliers.<h2>Work hand in glove with other departments</h2>“Merchants tend to see ‘buying’ and ‘inventory management’ as two separate functions,” says Bell. But if you’re not on top of your inventory management – and it’s not feeding into your buying decisions – you’re missing an opportunity. “One is creative, and one is technical but [sales are only optimized] when they work together seamlessly.”Similarly, it’s important to work closely with different teams within your business when demand forecasting. The marketing team, for example, may be aware of key advertising campaigns or promotions that could spike demand, while the social media team may be able to pinpoint micro or macro social media trends that will impact sales.<h2>Pay attention to trends&nbsp;</h2>You can’t predict every trend, but it pays to keep your finger on the pulse when it comes to buying behaviors and how consumers are shopping.From what’s trending on TikTok to generational shifts (such as Gen Z entering the workforce) and new regulations or legislation that could impact your product or category, make it your business to understand the context and industry in which your business is working. These are all important factors when it comes to inventory forecasting.

<h2>Clear out your warehouse</h2>Warehouse management is an important part of forecasting future stock levels; if you’ve determined that you need a large amount of stock, there’s nothing worse than having no room for it; Bell highlights the need to “clear non-performing stock and aged stock”.<a href="https://www.afterpay.com/en-AU/business/access/operations/excess-stock-covid" rel="noopener noreferrer" target="_blank">Need to shift excess stock</a>? Consider gift-with-purchase strategies that bundle old or ‘dead’ stock with other products to deliver added value for customers.Discounts (or discounts to VIP customers only) and reselling to third parties are other options. If you have an oversupply of seasonal products, such as winter knits or summer swimwear, consider promoting these products to customers in the opposite hemisphere. After all, vacationers in Australia will be on the lookout for bathers at exactly the same time that we are packing them away for the winter.Clearing excess stock is cost-effective – as you won't have to pay for warehousing – and keeping inventory levels low can assist with forecast accuracy.<h2>Consider seasonal trends that affect demand planning</h2>“Remember, failing to plan is planning to fail,” says Bell. “Plan ahead – identify key events, and marketing activities that will impact sales and stock volumes.”Look at your marketing calendar for the year and identify seasonal sales periods (like Christmas and Presidents Day), as well as times of the year that your products traditionally surge in demand (like socks for Father’s Day or pencil cases for back-to-school) and tweak your inventory forecasting accordingly.If you have historical seasonal data, comb through it. “Using [your] gut feeling rather than data to make business decisions” is one of the biggest mistakes merchants make, says Bell.Another way to cross-check demand for seasonal products is to look at Google Trends, which shows when people start searching for products.<h2>Consider delays</h2>You can’t control the weather or worldwide shipping issues, but you can have a best- and worst-case scenario plan. “Retailers must focus on what they control – such as known lead times – then ensure that these lead times are built into the order cycle along with contingencies for unknown issues,” says Bell. “COVID-19 taught many retailers that they needed to rely not only on overseas manufacturers and wholesalers, but moving forward to include local options to mitigate risk to inventory levels.”&nbsp;

Another way to cross-check demand for seasonal products is to look at Google Trends, which shows when people start searching for products.

<h2>Master inventory forecasting metrics</h2>Even if your business uses automated inventory software, it’s useful to understand and monitor a few key demand planning metrics. These include:Safety stock: The amount of product you need to prevent stock-outs (or out-of-stock situations).Safety stock = (Maximum number of units sold in a day x maximum lead time for stock replenishment) – (Average daily usage x average lead time in days).In other words, let’s say that the maximum number of T-shirts you’ve sold in a day is 20 but on average you sell five. When you reorder it takes five days to reorder but has taken up to 10 days in the past.The T-shirt’s safety stock level is (20 x 10) - (5 x 5) = 175.Reorder point: x`The point at which you should replenish.Reorder point (ROP) = (Number of units used per day x lead time in days) + safety stock level.If you sell 20 T-shirts a day, the lead time is five days and your safety stock level is three, then your ROP would be (20 x 5) + 3 = 103. So, when you have fewer than 103 T-shirts, it’s time to reorder.Days to sell inventory (DSI): The average number of days it takes to sell inventory. If your DSI is creeping up this suggests that you’re not managing inventory properly.

The secrets to stocking the right products to meet customer demand

The secrets to inventory forecasting including tips to ensure you never under- or overstock again. 

Inventory forecasting: The small business guide to demand forecasting 

The small business guide to inventory forecasting

Inventory Forecasting US

Creating memorable customer experiences is a highly effective way to attract new customers and get repeat business. And there are some that can only be lived in a bricks-and-mortar setting, which is something you can take advantage of. So, what is the secret to great experiences and how can you replicate them in your business?

<h3>Know if you’re a task or leisure mode retailer</h3>There are two fundamental modes that shoppers behave in when they shop: task and leisure. This insight is important for retailers because when you know this, you can work out what type of customer mode you’re servicing and optimise your experience towards that mode.Task mode is shopping to complete a task, like buying groceries with a list. If you’re a task mode retailer, your role is to solve a customer’s problem quickly. So, your customers will value a seamless and smooth experience.&nbsp; 	Leisure mode is when you’re looking to take your time and enjoy an experience, like shopping with friends or browsing. If you’re a leisure mode retailer, your role is to enrich the customer experience, allowing them to shop and browse at their own pace, offering advice and support as needed. Layout your store to encourage browsing and group complementary products together for impulse buys.&nbsp; You can also play both roles, which if executed well can be commercially beneficial. For example, placing task mode items at the back of your store gives a customer time to switch into leisure mode and pick up other items on their way to the checkout.Find out <a href="https://www.youtube.com/watch?v=r2feDJVXFCM" rel="noopener noreferrer" target="_blank">what type of retailer you are </a>with retail expert Matt Newell.

<h3>Make your store easy on the senses</h3>

 It should come as no surprise that it’s not just your product or service that
 draws customers into your store. Lighting, music, store layout and design—even
 the scent—can influence shopper behaviour. Creating beautiful, interesting or
 exciting spaces that people want to be in will not only keep them in there
 longer but will get them coming back for more.&nbsp;


 What your store looks like, feels like and smells like should reflect your
 brand. It’s the ultimate reflection of who you are and what you stand for, so
 take your time getting it right.&nbsp;&nbsp;


 Touch: Let your customer interact with your products. Tactile
 experiences can influence purchases.


 Taste: If you’re in the food and beverage business, you can’t
 go past offering free product samples.&nbsp;


 Smell: Scents can trigger memories and emotions that shoppers
 can link to brands and products. This can help drive repeat purchases.&nbsp;


 Sight: Lighting can not only guide people in-store, but it
 can create an alluring atmosphere. Complement it with colours, design and
 textures to control where and how a customer interacts with your store.


 Sound: The music you choose should reflect your brand and
 appeal to your audience. The tempo of the music can have an impact on how fast
 or slowly people move through your store.

<h3>Use visual merchandise to influence sales </h3>Visual merchandise&nbsp; is how you layout your store and display products and signage to motivate customers to shop with you. It impacts every area of your store and when done well, will guide customers to purchase.The front of the store is where customers are most influenced to purchase unplanned items, so placing your most expensive or profitable products here is a great way to increase your bottom line. Use this real estate to run eye-catching promotions to bring customers in, where you can sell them on other products.Once inside the store, think about how your customers will navigate their way around. Create a path that makes it easy for them to explore and interact with your products. Avoid making it feel cluttered or too hectic. Focus on keeping it clean and inviting — give your products room to ‘breath’ and stand out and arrange items so they’re easy to find. Along the way, set up different displays that clearly show prices. This is especially important if you’re offering discounted items or deals.

<h3>Invest in your staff</h3>Training your staff how to engage with and relate to customers will be time and money well spent. You want your team to create genuine connections with your customers, so interactions don’t feel fake and mechanical. Not only will it put your customers at ease, but it will lay the foundations for cross-selling and upselling.Get your staff to make customers feel welcomed when they enter the store. A bit of small talk is a simple way to make them comfortable and to start building some rapport.Asking open-ended questions, where a customer can’t answer yes or no but needs to provide detail, can help staff better understand what the customer needs. Armed with this information, your staff can start offering items that match what the customer is looking for and suggest other items or services to complement their purchase.&nbsp;If you offer a Buy Now, Pay Later (BNPL) option like Afterpay, make sure you train your staff on how to introduce it into the conversion. This is especially important if financing forms part of your sales process, say, for big ticket items. The conversation needs to feel natural and be seen as a benefit for the customer—not a bolt-on that makes customers feel like they’re being forced into signing.

<h3>Let customers try before they buy</h3>The idea of getting something for free can be a real drawcard for customers. For example, if you’re a beauty retailer you could allow customers to try different perfumes or if you run a food &amp; beverage outlet, free food samples always go down a treat.&nbsp;Product sampling lets your customers get a ‘taste’ for something before they commit to buying. And the benefits can be rewarding.<ul><li>It lets you increase the awareness of your products and brand with new and existing customers.</li><li>By offering something free to customers, they can feel compelled to return the gesture in the form of a purchase.</li><li>You can boost your customer’s confidence in the product you’re selling and help them with their purchasing decision.</li><li>Offering samples of higher priced items can help you capture sales at the point of purchase.</li></ul>&nbsp;No matter what approach you take, remember to keep the customer experience consistent across all your touch points. And don’t be afraid to test out new ideas and measure &amp; capture how your customers respond.&nbsp;

Creating memorable customer experiences is a highly effective way to attract new customers and get repeat business. 

5 tips for designing memorable instore customer experiences

5 tips for designing memorable in-store customer experiences

5 tips for designing memorable instore customer experiences US

Around <a href="https://www.npr.org/about-npr/617470695/npr-marist-poll-amazon-is-a-colossus-in-a-nation-of-shoppers" target="_blank">70% of Americans</a>1 shop online. In just the first quarter of 2022, retail e-commerce sales were <a href="https://www.census.gov/retail/mrts/www/data/pdf/ec_current.pdf" target="_blank">$250 billion</a>.2
There are enormous revenue opportunities in the online space, but to get a slice of the pie and hang on to it, you need to get the experience just right.
	With <a href="https://www.pwc.com/us/en/advisory-services/publications/consumer-intelligence-series/pwc-consumer-intelligence-series-customer-experience.pdf" target="_blank">73% of consumers</a>3 saying customer experience is an important factor in their purchasing decisions, it's vital that you pay attention to every step in the buyer journey so you convert sales. Here are five ideas to help you create the ideal customer experience.

<h2>Optimise for smartphones</h2>
Smartphones are the most used device for online shopping, with around <a href="https://www.statista.com/forecasts/997098/online-purchases-by-device-in-the-us" target="_blank">64% of Americans</a>4 using them to make purchases. Not surprising, good design and a thoughtful user experience can have a significant impact on conversions.

<h2>Add live chat for product queries</h2>

 When a customer shops in store, they have the luxury of being able to speak to someone about their purchase. Replicating this experience online with live chat can help increase your conversion rates because customers can get the support they need in real time.


 Another benefit of live chat is that you can capture insights into frequently asked questions, which you can address on your website so people can self-serve. It can also give you valuable feedback on your products, prices and website. 


 There are plenty of great live chat applications that you can embed into your website. Each offers different features and pricing plans. and some are better suited to smaller operations. Here are a few you might want to take a look at:

●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;LiveChat

 ●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;HubSpot Live Chat

●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;LiveAgent
●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tidio
●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Drift
●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ClickDesk
●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Olark

<h2>Reduce pop-ups and distractions</h2>
Pop-ups can be useful when done right, like capturing leads for the sales team. But when they get in the way of a sale or slow down the process, they can do more harm than good. Most people aren't fans of a pop-up. Hubspot found <a href="https://blog.hubspot.com/marketing/why-people-block-ads-and-what-it-means-for-marketers-and-advertisers" target="_blank">73% of browsers</a>5 dislike online pop-ups.
If your end goal is to drive purchases, then your customer journey should be focussed on achieving this. You want to minimize the friction on the path to the cart and through the checkout process. Remove any unnecessary links or pop-ups that could distract your customer's attention.

Numerical Highlight List

<h3>Minimise clicks from landing page to checkout</h3>Imagine being in-store and when you tried to make your way to the checkout, people stepped in front of you to ask questions, get you to take actions, take a few steps back and then have you repeat some of those steps. You'd drop what you're holding and walk out.Online is no different. From the moment they land on your site to checking out, you want to minimize the steps and expedite the sale. Keep clicks to a minimum; save what's in their cart so if they need to come back, they don't have to start over; reduce form fields, and streamline the process where you can. Don't make them have to go through countless and unnecessary pages and fill in more information than required.<a href="https://www.afterpay.com/en-US/express-checkout" rel="noopener noreferrer" target="_blank">Afterpay's Express Checkout</a> is a great example of how to significantly reduce the number of steps it takes for a customer to checkout. Not only does it save time, but it's been shown to:	●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;increase site conversion rates by up to 2X6 compared to other offered payment methods	●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;reduce cart abandonment by up to 23%7	●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;increase order frequency by 9.2%7	●&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;increase sitewide sales by up to 9.8%7.

<h3>Add a favourites list</h3>Not every customer that comes to your site is ready to buy. But that doesn't mean they won't be back. And when they do, you want them to be able to pick up where they left off. Allowing your customers to <a href="https://www.afterpay.com/en-US/for-retailers/access/news/afterpay-launches-favorites-to-help-boost-interaction-with-customers" rel="noopener noreferrer" target="_blank">mark their favourites</a> as they browse lets them create a personalised list that they can come back to when they're ready to buy.The other advantage of favourite lists is that you can <a href="https://www.afterpay.com/en-US/for-retailers/access/marketing/what-is" rel="noopener noreferrer" target="_blank">email</a> your customers later with a reminder about what's on their list. Adding a timed offer or free shipping if they buy now, for example, could help motivate them to checkout sooner.By following these tips, you can help drive more conversions and create experiences that will keep your customers coming back for more.

Source: 
 <ol>
 <li>Amazon is a colossus in a nation of shoppers, NPR/Marist Poll, 2022.</li>
	 <li>Quarterly Retail E-Commerce Sales 1st Quarter 2022, U.S Census Bureau News, 19 May 2022.</li>
 	 <li>Experience is everything: Here's how to get it right, PWC, 2018.</li>
 	 <li>Online purchases by device in the U.S. in 2022,Statista, 21 April 2022. </li>
 	 <li>Why People Block Ads (And What It Means for Marketers and Advertisers), Hubspot, 14 January 2020.</li>
 	 <li>According to a global Afterpay study conducted in June 2021.</li>
 	 <li>According to a global Afterpay study conducted in November 2021.</li>
 </ol>

There are enormous revenue opportunities in the online space, but to get a slice of the pie and hang on to it, you need to get the experience just right.

Optimising the customer checkout experience

Optimising the customer checkout experience NA

Need inspiration? We asked successful entrepreneurs about the lessons they wished they had known when starting their business.

Article Image

Get a bookkeeper sooner&nbsp;“I took on a bookkeeper about 2.5 years after I started my business, and I wish I had done it sooner. For the longest time I tried to do everything myself - partly to save money and partly because I love to continuously learn.&nbsp;But I’ve learned that the DIY approach doesn’t always save money. For example, it took me four or five times as long as a bookkeeper to do the accounts. It’s better to ‘get over yourself’ and outsource to brilliant minds - otherwise you’ll end up paying in time and quality.Another area I believe in investing in? Self and professional development. I see my mentor regularly, and he really gives me clarity and direction.”Rumbie Mutsiwa, <a href="https://www.rumbie.co/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(34, 34, 34);">Rumbie &amp; Co</a>.

Work hard – but take care of yourself“People will probably tell you, ‘You’re too much’. When you’re [working hard] with tunnel vision, they’ll observe everything you’re doing, and be negative about it. They’ll say, “You’ll get burn out”, “I don’t get how you do it all” or “Calm down”.“Ignore them and listen to yourself and how you really feel. If you want to work in your spare time, then work. Don’t let anyone else make you feel bad for working towards your dreams. Having said that, if you have a spare hour and you feel low on energy, take a bath, watch Netflix – whatever you need to do to recalibrate.”Keely Parsons, <a href="https://www.sassyshopwax.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">Sassy Shop Wax</a>

Build a website that converts&nbsp;&nbsp;“Most of your website visitors want to buy from you. However, there are likely a number of points in the user journey which is stopping them. UX (User experience), design, copywriting and your checkout all have a major part to play on conversion rate. Invest as much as you possibly can into CRO (conversion rate optimization) and prioritize this before you attempt to run paid traffic. “James Bellis, <a href="https://balancecoffee.co.uk/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">Balance Coffee</a>&nbsp;

Be yourself&nbsp;“My whole life, people have wanted to tone me down, and then I realized being bold was my super-power.Let your personality shine through your work. If you embrace who you are and what you love in your business, you will always stand out and be unique."Dani Nagel, <a href="https://www.dazeyla.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">Dazey L</a>A

Ask questions“The one piece of advice I wish I’d had from the get-go is: don’t be afraid of asking questions, reaching out to people and connecting with people outside of your network.&nbsp;“It's amazing the opportunities that can arise by building your network and asking questions, you never know what the answer will be! Whether it's someone you look up to in your industry, a potential business partner or a collaboration, you never know what will come of it.”Robbie Ball – Uncle Jack watches and <a href="https://www.athletikan.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">Athletikan</a>

Watch your cashflow "The biggest lesson I’ve learnt along the way is keeping tabs on cashflow - check it regularly (not just every six months!) and be conservative in your forecasts. The fashion industry is notorious for fluctuation, and it’s important to have space to accommodate that."Plus, you need to set aside enough for growth - so that you’re ready to pivot strategy ASAP. You need a strong and structured way of working, to give flexibility to change and test ideas quickly, and thoughtfully.&nbsp;"I really credit a strong focus on cashflow with keeping us on track during times that could have otherwise been really damaging for the business."Elisabeth Harvey, <a href="https://nicounderwear.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">NICO</a>&nbsp;

Reframe failing"I've learned over the years that to grow your business you can't be afraid to try new things.&nbsp;Not everything you do will work and that's ok.&nbsp;Repeat after me: "It's ok to fail."&nbsp;"Because when you fail - you learn.&nbsp;Just pick yourself up, apply the knowledge you've gained and move forward - just never go backwards - go forward in a slightly different direction."Dale McCarthy,<a href="https://bondiborn.com/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(34, 34, 34);"> Bondi Born</a>

Hire for your weaknesses“I recommend hiring for your weaknesses right away. Hire for skill not pedigree. Don't hire someone just because they worked at a big-name company. Hire the person that shows they can get the job done and add value.'Once you’ve recruited them, set monthly/quarterly/ yearly KPIs for each team member so they know what they are optimizing for."&nbsp;Olamide Olowe, <a href="https://mytopicals.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">Topicals skincare&nbsp;</a>

Don’t skimp on photography&nbsp;“As an e-commerce business, content is everything to us as it shows our customers our product. In the early days of the business we paid a lot of money to shoot content, including a three-day e-commerce shoot to photograph every color of each product SKU. Unfortunately, they didn’t nail the lighting and the colors looked fake."My advice is to hire a trusted photographer and stylist; creatives with runs on the board. I’d also advise having a session beforehand to discuss examples that you like and don’t like, and to draw up a clear shot list, too.&nbsp;"Overall, I’d say, just give it your all. It doesn’t matter if you fail as there is always tomorrow. It’s amazing to watch something grow from scratch, building it yourself! Worth every piece of fear!”Georgie Cavanagh, <a href="https://www.carlottaandgee.com/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(34, 34, 34);">Carlotta and Gee</a>

Seek advice from mentors“I have found throughout my entire business career that if you discuss any business idea with friends and family, they will give you a dozen reasons why it’s a bad idea and how you will lose your money.“They’ll say: “You’ll waste your time”, “There’s too much competition”, “The economy looks challenging”, “COVID-19”... The real reason is that they are projecting their own fears on to your business concept - not offering a sound appraisal.“Trust your intuition, but also find a truly successful business mentor to help guide your decision making. They will critique your idea and challenge your concepts in a useful way, having been in your shoes previously.”Rob Arnold, <a href="https://simplybikestuff.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">Simply Bike Stuff</a>

If in doubt: outsource“Do not underestimate the value of time - your time is your greatest asset."I would say to really invest your time wisely, if you don’t have that ability, find someone to help you with those types of things. Don’t bother learning how to code a website if you don’t know how to do it; hire experts in the fields in which you’re not equipped.”Ava Matthews, <a href="https://ultraviolette.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);">Ultra Violette&nbsp;</a>

You can’t do it alone“Business is not a sole venture, not one person knows or can do it all. It takes a team, a community. My advice is to build a culture of empathy within your business. Be flexible, be kind, move with purpose, don’t overthink things, and make decisions that feel right for your team and the community you serve."Ted Vadakan, <a href="https://www.poketo.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">Poketo</a>

Discover the power of partnerships"Something I wish I had focused more on when I first started was the power of partnerships and collaborations. I thought we were 'too new' and 'too small' and that no one would want to partner with us. In fact collaborations are a relatively cheap and easy way to grow your customer base and increase brand recognition - something I wish we started doing earlier.&nbsp;"When picking the perfect partner, your industries don't necessarily need to align, but your values, ethos and target market should. Be bold and don't be afraid to send a cold pitch to a brand explaining how you envision the partnership working and keep following up and chasing them until you get a response.&nbsp;"Aside from that? My biggest piece of advice would be to just do it! I am a perfectionist and when I first started out, I was so concerned about everything being perfect, beautiful and seamless. In hindsight, I wish I'd been less hesitant and just jumped right in!"&nbsp;Lottie Dalziel, <a href="https://banish.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(34, 34, 34);">Banish</a>

Entrepreneurs and small business owners share their tips and advice for success with Afterpay Access

Entrepreneur tips: 11 founders share the advice they wish they wish they'd known

11 entrepreneurs share the advice they wish they'd known 

inspirational business advice US

Happy, productive employees make for a more profitable business and more enjoyable workplace. Here’s how to retain and engage your employees.

While it’s true that the customer is always right, there is another group of people who are just as important to your business – your employees.Experts estimate replacing a valuable staff member can cost a business<a href="https://www.afr.com/work-and-careers/careers/the-real-cost-of-losing-a-star-performer-20200217-p541go" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);"> two to three times the outgoing employee’s salary</a> thanks to costs associated with recruiting, onboarding, reduced productivity and engagement.And the issue of staff retention has never been more relevant than right now.Thanks to the pandemic, employees are increasingly rethinking their priorities – and their jobs. Resignation rates are so high –<a href="https://hbr.org/2021/09/who-is-driving-the-great-resignation" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://hbr.org/2021/09/who-is-driving-the-great-resignation" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">4 million US</a> workers quit in July 2021, while<a href="https://www.theguardian.com/money/2021/nov/01/the-great-resignation-almost-one-in-four-workers-planning-job-change" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://www.theguardian.com/money/2021/nov/01/the-great-resignation-almost-one-in-four-workers-planning-job-change" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">a quarter of UK </a> employees are planning to leave their jobs – that a new term has been coined: the Great Resignation.&nbsp;But it’s not just about retaining employees; keeping team members happy, engaged and motivated is the key to ensuring they remain productive, and that your business remains successful.Recent<a href="https://www.gallup.com/workplace/349484/state-of-the-global-workplace.aspx?g_source=EMPLOYEE_ENGAGEMENT&amp;g_medium=topic&amp;g_campaign=tiles&amp;thank-you-report-form=1" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://www.gallup.com/workplace/349484/state-of-the-global-workplace.aspx?g_source=EMPLOYEE_ENGAGEMENT&amp;g_medium=topic&amp;g_campaign=tiles&amp;thank-you-report-form=1" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">global research</a> found that just 20 per cent of workers globally are engaged, and estimated low engagement costs the global economy a staggering US$8.1 trillion.In service industries including retail, where customer experience is key, happy and engaged employees are particularly critical.So, how can you keep your employees engaged and retained? Here are our top tips.<h2>Create a clear onboarding process</h2>Ever heard the phrase, ‘start as you wish to continue’? It applies to business, as well as to employee retention.To ensure workers feel connected and, in turn, motivated to perform for your organization, it’s important to create a comprehensive onboarding process.“Companies need to set up each new employee for success and ensure their newest team members have what they need in terms of knowledge, equipment, and employee networks,” says Leigh Davies, team leader of global recruitment firm<a href="https://drakeintl.com/global-en" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://drakeintl.com/global-en" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">Drake International</a>.

Ensure newest team members have what they need in terms of knowledge, equipment, and employee networks.

That means ensuring employees have a clear understanding of the role and their responsibility – and perhaps creating an onboarding pack with all the information, contacts and log ins they need.&nbsp;“This will help new members thrive in their new role and reduce the risk of fall off”, Davies explains.&nbsp;&nbsp;The onboarding process also helps set realistic expectations about the role, says Wendy Jenkins, an HR manager-turned-certified resilience coach and founder of Ready Resilience.“[Employees] have had the marketing pitch in the interview, so we want to give them as much certainty as possible about what they’re there for, who they can reach out to, what benefits there are to them joining and what’s expected of them.“Where there’s potential for them to feel stress or workload overwhelm, set them up with the tools to manage those stressors. It’s important they come away from onboarding feeling motivated, enthusiastic and confident in what they’re going to do; knowing they have everything they need to feel resourceful, autonomous, and ultimately thrive, ” Davies says.<h2>Keep managerial communication lines open</h2>There is an oft-repeated phrase that ‘employees don’t leave companies, they leave managers’, and a key part of the employee-manager relationship is keeping communication lines open.Employees who feel their voice is heard are<a href="https://www.forbes.com/sites/nazbeheshti/2019/01/16/10-timely-statistics-about-the-connection-between-employee-engagement-and-wellness/?sh=ffd485422a03" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://www.forbes.com/sites/nazbeheshti/2019/01/16/10-timely-statistics-about-the-connection-between-employee-engagement-and-wellness/?sh=ffd485422a03" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">4.6 times more likely</a> to feel empowered to do their best work. In addition, according to the<a href="https://hbr.org/2016/12/what-great-managers-do-daily" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://hbr.org/2016/12/what-great-managers-do-daily" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">Harvard Business Review</a>, employees who get limited one-on-one time with their manager are more likely to be disengaged.

Employees want to feel supported and listened to.

“What consistently comes up during my sessions is that employees want to feel supported and listened to,” says Jenkins. “They want to know their manager has their back. Again – it’s about minimizing their uncertainty – the better you communicate, the more certainty they will feel heard. Sometimes people need to hear something more than you think, especially if they are in a stressful situation.”<h2>Foster connection between co-workers</h2>Creating open communication lines extends to co-workers, too, says Jenkins.“The majority of us are hardwired to want to connect with others. Providing opportunities for employees to engage with their colleagues outside of work processes is really important,“ she explains.&nbsp;&nbsp;Davies adds that employees perform better when they are operating “in a culture of positive reinforcement, support, and collaboration”.So, how can you build effective communication with and between employees? The answer will depend on the size, structure and development phase of your organisation. However, here are some tips:

Other ideas include offering regular engagement surveys and asking employees for feedback – both positive and negative. “Anonymous surveys encourage open and honest feedback, which can be used to create a safe space to provide feedback and ultimately to enhance the employees experience in the workplace,” says Davies.<h2>Help staff grow and learn</h2>Humans are inherently driven to grow and evolve – and this is true at work, too. One study recently revealed that over half of employees would<a href="https://assets.online.rmit.edu.au/cdn/ff/DdDm2DW8b5WnLbn2dQy1fgOenjzqCrpzYQv8F-vyngI/1612754024/public/whitepapers/RMIT%20Online_ReadySetUpskill.pdf" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://assets.online.rmit.edu.au/cdn/ff/DdDm2DW8b5WnLbn2dQy1fgOenjzqCrpzYQv8F-vyngI/1612754024/public/whitepapers/RMIT%20Online_ReadySetUpskill.pdf" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">choose extra training over free lunches</a> at work, and one in four would prefer $1000 a year to spend on training rather than a $50-a-week pay rise.In a world where technology is constantly changing, most employees understand the importance of upskilling and remaining relevant, says Davies.“Employees are valuing the opportunity to grow, which in turn positively impacts their career trajectory.”&nbsp;One business that prioritizes education is e-commerce fashion giant<a href="https://www.asos.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://www.asos.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">ASOS</a>, which LinkedIn named<a href="https://asoscareers.asos.com/ASOS/WorkingatASOS/LearningDevExperience.html" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://asoscareers.asos.com/ASOS/WorkingatASOS/LearningDevExperience.html" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">UK’s most desirable company to work for</a> in 2018. It offers<a href="https://asoscareers.asos.com/ASOS/WorkingatASOS/LearningDevExperience.html" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://asoscareers.asos.com/ASOS/WorkingatASOS/LearningDevExperience.html" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">‘a range of bespoke and tailored learning solutions’</a> including a variety of mixed media and skills courses, along with career coaching, mentors within the business, team development days, career planning and sponsored qualification support.Jenkins explains that: “Training and development opportunities are important because they provide incentive and reward for individual employees. People want to feel there is something in it for them, that they are growing, and there is purpose to their work as well. Doing transactional work isn’t enough for most people – they want more; they want to feel that they are adding value and that there is meaning in the work they do.”<h2>Create a sense of purpose</h2>Offering a competitive salary is an important way to attract top talent, however, creating a sense of purpose and autonomy is crucial when it comes to keeping employees engaged with their job.The Harvard Business Review documents that<a href="https://hbr.org/2018/11/9-out-of-10-people-are-willing-to-earn-less-money-to-do-more-meaningful-work" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://hbr.org/2018/11/9-out-of-10-people-are-willing-to-earn-less-money-to-do-more-meaningful-work" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">9 out of 10 employees</a> are willing to earn less money to do more meaningful work, while a survey by LinkedIn found<a href="https://www.linkedin.com/pulse/5-factors-influence-employees-more-than-money-gajendra-balasingam-/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://www.linkedin.com/pulse/5-factors-influence-employees-more-than-money-gajendra-balasingam-/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">only 13 per cent of employees</a> want to switch jobs because they want more money.A healthy work-life balance is increasingly important for many employees, too, especially after COVID-19, as workers become accustomed to working from home.In fact, a recent<a href="https://www.ey.com/en_gl/news/2021/05/more-than-half-of-employees-globally-would-quit-their-jobs-if-not-provided-post-pandemic-flexibility-ey-survey-finds" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(34, 34, 34);"> </a><a href="https://www.ey.com/en_gl/news/2021/05/more-than-half-of-employees-globally-would-quit-their-jobs-if-not-provided-post-pandemic-flexibility-ey-survey-finds" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">study</a> found that half of employees would consider leaving their jobs if they weren’t afforded ‘some sort of flexibility’ post pandemic, and nine out of ten employees want flexibility around when and where they work.“Flexible work is huge,” says Jenkins. “It’s a baseline expectation and the new way of working. Increasingly, it’s more of a ‘hybrid’ model; rather than a work/ life balance it’s a harmony of the two, a merging rather than a separation. It’s something both parties will have to negotiate.”

Flexible work is huge. It's a baseline expectation, and the new way of working.

Davies adds that employers may find themselves facing “a hidden war on talent” following the hiatus caused by the pandemic, with workers increasingly weighing up their priorities when it comes to flexibility and purpose.“Salary still needs to be competitive and in line with the market rates, as does any incentive plans being offered, [but] we are seeing a wide range of employee benefits being offered.”The key is to identify what your employees value most – whether that’s flexibility, wellness programs, mental health days or monetized incentives like bonuses, says Davies.

Find out what motivates your staff.

How do you know what your employees value? Davies is clear: you have to ask them. “It is important to survey your staff and find out what will motivate them and what will make the workplace appeal to them in order to increase retention and employee satisfaction."&nbsp;<h2>Optimize your employee experience</h2>Regardless of your industry, a business is only ever as strong as its employees. The best thing you can do for your customer experience, is optimize your employee experience, recommends Davies.“With the ‘great resignation’ forecast in 2022, and worker shortages being experienced across many industries, employers need to be doing everything they can to retain staff.&nbsp;“We know [focusing on retention] boosts morale and also saves on recruitment and training costs,” she explains, while prioritizing retention and employee engagement also affects reputation.&nbsp;&nbsp;&nbsp;“If a business has high retention, it sends the message to top talent that it’s a desirable place to work,” Davies explains. “While workplaces have endured plenty of challenges during COVID-19, they had stressors long before the pandemic, and they will face stressors long after. We can’t stop these things from occurring, but businesses can boost employee engagement and retention by helping them feel valued, heard, supported and resilient.”

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Happy, productive staff make for a more profitable business and a more enjoyable workplace. Here's how to retain great employees.

Learn top strategies about employee retention and how to ensure reduced staff turnover for your business. 

Employee retention: strategies on how to retain staff

How to retain employees: top tips for keeping employees engaged

How to retain employees: top tips for keeping employees engaged US

<h2>Reach more customers, in more countries, with Afterpay’s Cross Border Trade programme.</h2>

One way to help grow your customer base - and your revenue - is to sell into new countries.&nbsp;And while the prospect of setting up shop in another country – and managing new currencies and e-commerce sites – might seem daunting, Afterpay’s Cross Border Trade program removes many of the complexities.<h2>What is Afterpay’s Cross Border Trade?</h2>Afterpay’s Cross Border Trade program allows merchants to trade internationally without having to invest in setting up their business and associated operations locally in those countries.&nbsp;The program is available in a number of countries, including the United Kingdom, Australia, the United States and Canada.&nbsp;

<h2>What are the benefits?</h2>Afterpay’s Cross Border Trade program helps businesses reach more customers in more countries, which can lead to more sales.Not only that but Afterpay’s Cross Border Trade program makes selling in more countries easier, by removing the need to set up operations or bank accounts in new countries. And it’s easy and fast to set up.<h2>Tell international customers you offer Afterpay</h2>Once you’re set up and ready, get the full benefits of selling overseas by letting Afterpay customers know you’re there.&nbsp;There are three key ways you can shout Afterpay from the rooftops!On your website: Don’t forget to include the Cross Border Trade banner on your website so Afterpay customers know they can shop from overseas. Banners can be used on the home page and also placed on the checkout page.On your socials: Promote your business in international markets across social channels. We’ve provided you with some handy social assets here, but look out for the best ways to get your brand out. Utilize hashtags that are trending in your desired country, run some sponsored posts for that market, or post some country-specific messaging to reach customers wherever they are.In your emails: If you’re already building a base of overseas customers in your database, be sure to let them know you’re now shipping to their destination.

Afterpay's Cross Border Trade program helps merchants reach new customers and markets.

Afterpay's Cross Border Trade programme helps merchants reach new customers and markets