News flash. Consumer behaviors have changed!
The obvious, being locked down consumers have turned apps and eCommerce to survive.
Organizations have met this by creating new websites, new apps, new services: curbside pick up and delivery.
But have you considered the other ways people are changing their purchase behaviors and priorities? Do you understand these changes? And, more importantly, have you factored these changes into your customer experience strategies?
We’re seeing three new trends emerge in consumer behavior:
Quality of life
Time at home has allowed us time to stop and reflect. We’ve assessed what’s working and what’s not. We’re reprioritizing our lives to focus on the things that really matter – our health, our families, friends, pets, homes. This reprioritization has significantly changed where and how we are spending our money. People who were regularly traveling and entertaining are now exercising and doing DIY projects around the house.
Heading into 2020 we saw consumers’ values changing their purchase decisions. We saw consumers choosing companies that were “doing good” by giving back to their communities or focused on sustainability or took a stand on particular topics. This year we’ve seen this behavior accelerate. A broader set of consumers are making purchase decisions this way. Consumers are demanding more from their favorite brands. They are expecting their favorite brands to really understand their needs and align with them.
The financial impact, of the 2020 events, has forced people to reprioritize where and how often they make purchases. With limited financial resources, consumers are making conscience choices of where they will spend. They will prioritize around necessities. They will also be less likely to take a chance or try something new.
All of these point to a much more decerning consumer who expects organizations they engage with to: know them, understand them, and empathize with them.
Meeting these customer expectations is not easy. But it is possible if you have a loyalty strategy. The foundation of a loyalty strategy is a committed value exchange. You commit to your customer being a good steward of their data and deliver relevant personalized experiences in exchange for them giving you their data and identifying themselves at all touchpoints. With this joint commitment, organizations are able to collect the information necessary to understand the customer. With a loyalty solution, organizations have the ability to act on this information in a hyper-personalized and relevant way.
If you have a loyalty solution, now is the time to re-engage with your customers. Let them know you care and begin the value exchange, collecting information on their new priorities, spending patterns, and values. This may mean changes to your program offering, added benefits, even your tiering structure. A configurable solution like Annex Cloud makes it easy to update program features and benefits.
If you don’t have a Customer loyalty solution, now is the time to start. You can start as simply as described above. Start with the simple commitment to a value exchange. Once this is established you can decide to add in rewards and additional recognition. To learn what’s best for your organization and your customer, contact Annex Cloud.