Category Archives: Customer engagement

Customer engagement, supermarket customer service and loyalty

A New Approach to Customer Loyalty?

loyalty

In a recent blog post, omNovos takes a new and innovative data-driven approach to defining supermarket “loyalty program,” which, they say, might make it better for all parties and stakeholders.

Based on the premise that the emerging digital aspects of customer engagement have had an impact on what the term “loyalty program” actually means, omNovos suggests it’s time to reconsider the concept of rewarding people for repeatedly purchasing goods, despite the fact that this approach has generally worked well for many years.

Their position is that traditional points-per-spend programs have become less valued and looked upon more as coming from a “what have you done for me lately” perspective.

So, what’s a better approach you might be wondering…

Well, the article addresses the question, “Do my customers want a great loyalty program?” with the answer, “No!”

Instead, the article suggests, “they yearn to be recognized as individuals—and a part of a mutual, long-lasting, meaningful and highly personalized relationship. This is loyalty at its core, far removed from a program.”

So how does this new definition of loyalty work?

OmNovos says supermarkets must do away with the concept of dollars and points, and replace it with strategic “actions” based on customer data knowledge.

“This is where relationships begin,” the article said. “Where brand begins to emerge, and so-called rewards are highly personalized… this is a prime environment to convince customers that they are wanted, appreciated, and loved.”

An example given assumes customers can be encouraged through advertising channels to download the store’s mobile app.

Once they have done so, the engagement process begins, omNovos suggests.

“On day one, they [customers] are prompted to list likes, dislikes and dietary restrictions—all while a grocery list builder prompts them to divulge what they typically shop for… then they are immediately offered specials just for them. It could be a discount. Better yet, it could be a fantastic recipe for them to try based on their data inputs. Going forward, they receive personalized weekly check-ins letting them know about sales on the things they like, plus additional food recommendations—again, I dare say the possibilities for personalized content are endless.”

The article also points out that at no time are points-per-spend mentioned to the customer. Yet the customer was made to feel special and prompted to buy more all because they felt like they were personally appreciated.

Sounds a lot like the primary point of this blog!

Customer engagement, Grocery shopping trends, On-line food shopping

2020 Saw Big Growth in Omnichannel Shopping!

A recent SupermarketNews article reported that omnichannel consumption grew by 50% this past year, and nearly half of all consumer goods purchases were made via e-commerce.

The report was based on new research from Nielsen.

Not surprisingly, both food and nonfood products have seen marked shifts in omnichannel shopping since the COVID-19 outbreak, and the number of shoppers who deem themselves as “heavy” or “exclusive” online shoppers for everyday items jumped 133% from September 2019 to September 2020.

The article went on to quote Nikhil Sharma, vice president of North America consumer analytics at Nielsen, who said, “Within the U.S., new behaviors have emerged that retailers and manufacturers must acknowledge, accommodate and swiftly act on — especially as online shopping habits begin to solidify. While we do expect a return of some kind to pre-pandemic habits, consumers will not be returning to a pre-pandemic retail environment.”

Order History Tool Most Popular as Consumer Preferences Shift
The article also pointed out that, when making online transactions, 29% of consumers polled by Nielsen found the order history tool to be the most helpful feature when shopping for nonfood items.

In a final statemen Mr. Sharma added, “Undeniably, consumers have more choices than ever in their path to purchase, meaning as consumer needs and preferences continue to evolve, it is crucial to have an omnichannel strategy in place to sustain and grow momentum in 2021.”

Customer engagement, customer experience

The Shopping “Experience” at Walmart?

For some time now, retailers of all types have been using their imaginations in an effort to provide a memorable and pleasant shopping experience as they do their collective best to ward-off the allure of on-line shopping.

A good example of this was shared in a recent SupermarketNews article, which reported that Walmart has introduced “Walmart Drive-In,” a movie theater experience for families created in partnership with the Tribeca Film Festival. The “drive-ins” will make their world premiere on August 14 in the parking lots of 160 Walmart stores across the country, and will be free.

The article goes on to explain the current plan for the outdoor cinemas, which will run from August 14 through October 21 with 320 showings of popular, family-friendly movies.

Read the full article…

Customer engagement, customer experience, Customer service and loyalty

Added Focus on Customer Preferences at Giant

Giant Food Stores, a chain that operates in Pennsylvania, Maryland, Virginia and West Virginia under the Giant and Martin’s banners, has been taking a more personalized approach to improving its loyalty program.

According to a recent SupermarketNews article, they have been testing an enhanced program that focuses on providing a more personalized customer experience, more paths to rewards, and a more engaging digital experience.

The article goes on to quote Giant President Nick Bertram as saying, ““We have been trying a lot of different things to connect closer to customers… we’ve partnered with our sister company PDL [Peapod Digital Labs] to try to get more digitally savvy… it was time to start changing and get ready for the way families are shopping now.”

Sounds like a good example of decision-making based on customer service and the overall shopping experience, which one would think should lead to greater levels of customer engagement and loyalty.

Customer engagement, Customer service and loyalty, Uncategorized

Kroger Engaging People & Eliminating Process Waste

Kroger engages with its customers and associates to create better, emotionally uplifting experiences with its brands, an article published by their technology partner Pivotal states.

As you may know, the Kroger Company operates a personalized online ordering and in-store pickup system, a data analytics business, pharmacies, and convenience stores. They also believe in building strong local ties and brand loyalty with customers through delivering a consistently better customer experience, and through being involved in improving both their work processes and their communities. For example, the company is on a mission to end hunger in its communities; they are also on an ongoing mission to eliminate waste across its company by 2025—and leveraging technology, Pivotal says, is a big part of the plan.

It’s not surprising that a customer base becomes more engaged and loyal when their shopping experience is consistently positive; and it’s not surprising that a workforce becomes more engaged and provides better service when they have an active voice in improving their work processes and, as are a result, are part of a more productive and successful team.

Sounds like a great “recipe” for success… and is also well-aligned with our concept of “engagement around the work.”

Customer engagement, customer experience, Grocery shopping trends, Systems and scanning

“Smart” Supermarkets!

According to an article published on LInkedIn, Wal-Mart recently opened its first “smart store” supermarket in Xin’an Wu Road, Bao’an District, Shenzhen.

We first read about the “smart supermarket” concept in a piece published by AgThentic, a sustainability and innovation consulting firm focusing on the food industry. In a 2016 article, they referenced the increasing popularity of online grocery shopping and click-and-collect services, and predicted the model was set to change how consumers “will do their weekly shop.”

The article went on to say, “Incorporating predictive technologies into the online shopping experience will allow consumers to access discounts on their favorite brands or re-order the same essential items each week without having to individually add them to a cart. These features have huge implications for convenience… By using data collected from your previous purchases, retailers can understand what you buy and how often you buy it, and send you friendly reminders when you’re running low. Say goodbye to the days of getting halfway home and realizing you forgot to buy toothpaste.”

In addition to helping consumers shop with ease, these same practices are also beneficial to supermarkets as they look to manage inventory and reduce food waste. “Consumers expect to see an overstocked display of cosmetically attractive produce,” the article said.  “To compensate, supermarkets throw out up to 40% of food before it even reaches store shelves.”

AgThentic predicted  retailers of the future will use consumer data to understand how to market and sell ‘unattractive’ or ‘imperfect’ produce, citing examples in Australia that are already doing so.

Read the full article…

Customer engagement, customer experience, Customer Service, Grocery shopping trends

Kroger in the News Again: New Technology You Might Love!

According to a recent Business Insider article, Kroger is once again taking a bold step forward in trying to enhance the customer shopping experience by “rolling out a new technology to nearly 200 stores,that could change grocery shopping as we know it.”

This new development, which is called Kroger Edge, will be installed on store shelves in place of paper price tags, and will digitally display pricing and nutritional information, and even show video ads and coupons for various products.

The technology will enable the chain to instantly change prices and activate promotions across its stores, thus freeing up employees who would otherwise change prices by hand.

In the future, the technology will communicate with customers’ smartphones to help them complete their shopping lists.

Customer engagement, Customer Service, Customer service and loyalty, Grocery shopping trends, On-line food shopping

The e-Trend Continues: Saving Shoppers Time & Money

A recent “10 Items or Less” article posted by SupermarketNews identified steps taken by major food retailers that indicate the focus on e-shopping will continue to grow in 2017.

The article states that Wal-Mart Stores plans to have around 1,100 stores offering online grocery pickup this year, and that they are continuing with initiatives built around making fulfillment more versatile and/or efficient, such as offering discounts on online orders picked up in stores, and testing the idea of having store employees deliver orders to customer’s homes on their post-work commutes.

The piece goes on to report that Amazon said it was rolling out “Instant Pickup,” a free service offering its Prime members a curated selection of “daily essentials” available for pickup in two minutes or less. The service is available at five campus locations currently with plans to add more locations soon.

Even no-frills Aldi had issued a statement indicating it was getting into e-commerce for the first time through a partnership with Instacart in three cities.

“Our partnership with Instacart is another example of Aldi expanding our commitment to customer convenience and value,” Jason Hart, CEO of Aldi, said. “We know customers are looking for new ways to save time and money.”

As these new services are being rolled-out, it strikes me that supermarket chains will need to take an innovative approach to refining their work processes to reduce waste and cost.

See related article…about becoming more innovative.

Customer engagement, Customer Service, Customer service and loyalty, Process improvement, Supermarket competition

“Checkout-less” Supermarkets: What’s Old is New?

The Seattle Times recently published an interesting and entertaining  article, which referenced the announcement made late last year by Amazon.com regarding the launch of an experimental convenience store in downtown Seattle where customers could skip the checkout line.

While the concept was presented as futuristic and technologically innovative,  a French retail chain, Monoprix, took issue with that depiction.

As the video showcased within the article explains (in a clever and somewhat humorous way), “Monoprix’s “Livraison à domicile +,” is their 10-year-old service that also allows shoppers skip the checkout lines – via a different form of innovation.

What’s old is new!