Wednesday, September 09, 2009

Listen To Your Customers, They're Smarter Than You!

A wise merchant once told us to "Listen to your customers because they're smarter than you." Another pointed out that the same letters that form the word LISTEN and spell SILENT, and that you cannot listen when your mouth is open. So we listen, and over the years, we've learned that consumers have issues with retail stores, and that retailers do not always step up to address those issues. Some retailers operate in their own world, never stopping to ask customers for their opinions. That's a dangerous precedent in a market where there are thousands of other retailers, Internet sites, catalogs, and TV merchants out there who are more than willing to form a partnership with customers.

To avoid this trap, we recommend that 20% of your marketing budget be spent listening to, and acquiring information, from your customers. You can do this in several ways:

Consumer Focus Groups: Invite 15 customers to participate in your focus group, but set the room for 8 - 10. It's always better to have to bring in extra chairs than to have empty ones – it makes your meeting seem even more important. You can hold your focus group in your store or off-site. Either way, you will need someone to mediate because it will be tough for you to be objective. Compared to some focus groups we observed, ours or more conversational and laid back. Participants relax and are more willing to share their opinions; our focus groups often last long beyond the allotted 90 minutes.

* Put together a list of questions in advance but be ready to venture off-course; and be prepared to redirect the discussion back to the topic at hand.

* It's a good idea to record or video tape your focus group. We use a voice recorder that sits in the center of the table. We also set up a video recorder in a discreet corner of the room.

* You will need to have a sign-up sheet and a form participants sign after receiving their thank you gift. Drop us an e-mail us at info@kizerandbender.com and we'll send you a copy of the forms we use.

* Speaking of rewards, you'll want to give each person a gift of value for participating. We thank our focus group participants with $50 in cash (you could also do a gift certificate from your store) and a gift such as a 22 ounce Yankee Candle.

* And don't forget to serve quality refreshments – you know our motto: Food is Good!

Customer Advisory Board: A Customer Advisory Board is like a board of directors for your store. Meet once a quarter over dinner to discuss the things you've done in your store, and your future plans. It's a good idea to have both professional and non-professional customers sit on your advisory board.

Exit Interviews: As customers leave the store, politely stop them and ask if they found everything they were looking for. You will get a clear idea of the things customers wish you carried, and you will save the sale when customers find out you actually do have the items they came in to purchase.

Customer Comment Cards: Place "How Are We Doing?" cards in your store and on your website for customers to fill out. These are great for time-starved customers who have something to say, but are short on time to stop and talk.

Associate feedback: Ask your store associates to fill you in on what they are hearing from customers on the sales floor. Place a notebook in the lunchroom or at the cash register so they can jot down customer comments. You can discuss their notes in detail during store meetings.

And our personal favorite, KIZER & BENDER's "BIG QuestionTM": You will get extremely useful information when you ask customers, "What ONE thing could we do to ________________? You fill in the blank. You might ask, "What ONE thing could we do to improve our customer service?" or "What ONE service could we add that would make it more convenient for you to shop here?" or "What ONE in-store event could we host that you would like to attend?" Because the customer has to put thought into their answer, you will hear constructive things that you will be able to implement. And don't be surprised if several customers tell you a variation on the same theme - that's a good thing! If it's positive then you have one more thing to brag about, and if it's negative, then you know just what to fix.

You will uncover a great many things to help you grow your business, but you are likely to hear things you didn't want to hear as well. Your responsibility after asking customers for their input is to make sure that you let them know what you will do with what they told you. If they suggest, and you ignore what they have to say, customers will share their thoughts only once or twice before they decide you aren't worth the effort.

The goal of all of your hard work and research should be to create an escape for your customers; a place where they can dream and do, be entertained, get lost for a little while, and look forward to their next visit. Let other retailers ignore them and push them around. Not you. The relationship you have with your customers is like any other relationship; it's based on trust, coupled with your ability to interpret, meet, and even exceed, your customers changing needs. Knowing your customers, and what they want, will keep your merchandise fresh, your promotions fun, and your store alive.









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