What are best practices for customer retention, given COVID-19’s effect on post-purchase? A Q&A with Convey’s Michael Streitberger
How have post-purchase trends shifted recently, particularly in light of COVID? We asked this question and more when chatting with Convey Partner Strategist Michael Streitberger—and learned why experience now matters more than delivery speed for customer retention, and how retail is reorienting around order transparency.
(Full disclosure: Convey is a Happy Returns partner that helps retailers take control of last mile shipping and delivery.)
Following are highlights of our conversation:
How has post-purchase shifted in recent years?
Customer expectations have continued to rise, which has implications for customer retention. They want their shipments fast, they don't want to pay a lot, and they want to know what is happening with their purchase every step of the way. Retailers have responded by focusing resources and investment on optimizing the post-purchase experience, making it a competitive advantage for their business. When they do, customer retention follows.
How has COVID-19 altered these post-purchase shifts?
Expectations are still high, but they've taken a slightly different form as a result of the pandemic. Some know of what’s sometimes referred to as the Iron Triangle of Speed-Cost-Experience. In our current season, speed has taken a back seat to cost and experience, with an emphasis on the latter. Order transparency has become that much more vital with supply chain bottlenecks, fulfillment lag times, and general unpredictability of carrier transit times. It's been incumbent upon shippers to inform their customers when issues arise and expectations need to be reset.
“Within the Iron Triangle of Speed-Cost-Experience, speed has taken a back seat to cost and experience, with an emphasis on the latter.”
What impacts has COVID-19 had across your customer base?
It has been a bit of a mixed bag, but the one common thread has been the need to sort through net new delivery issues related to COVID, automating customer engagement, and providing updates in a way that scales. Our retail partners are realizing now is the time to win loyal customers for life, and the data shows us a positive delivery experience goes a long way to retain shoppers.
“Our retail partners are realizing now is the time to win loyal customers for life, and the data shows us a positive delivery experience goes a long way to retain shoppers.”
In light of this impact, what advice do you have for retailers that want to adjust to the next normal?
Two things:
Ask yourself what you would like to experience. We all buy online.
Make a plan and partner with the experts in the space that can get you there the quickest. It's a race against time to make your mark.
How can retailers best prepare for store reopenings?
Consider how consumers are going to want to interact with your store. Curbside pickups and ship-from-store models won't be going away. Stores could become micro-fulfillment centers as much as they serve their traditional foot traffic. Enable and promote that flexibility of options.
What trends and impacts do you think will stick around after the pandemic leaves us?
The pandemic has accelerated the shift to eCommerce. Shoppers have developed new buying habits online that won't go away. Once supply chains become more stable, the next big retail initiative will be providing accurate delivery dates further up the funnel.
Do you have any additional tips to share?
If you're a retail leader, make it as easy as possible for your team to do their jobs. It will manifest itself into happier customers.
Tell us a little about Convey and your role.
Convey connects disparate data and processes, giving retailers the visibility and tools to be proactive and provide a world-class delivery experience.
Want to read more about how to succeed in retail’s new normal? Read our blog, 4 omnichannel tips: Save money and encourage sales as retail reopens.
Caitlin Roberson
VP of Marketing
Caitlin Roberson is the Vice President of Marketing at Happy Returns. Previously, she served as Director of Enterprise Marketing at Lyft and Partner at top-tier venture capital firm Andreessen Horowitz. Before that, she started and sold a content marketing agency.
