Study: Consumers will trade privacy for this perk
Consumers will identify themselves when they walk into a store, for a price.
According to a new study from Boston Retail Partners (BRP), “Keeping Loyal Customers Happy,” 37% of retailers offer brick-and-mortar shoppers more personalized service as an incentive to identify themselves. However, only 22% of consumers prefer personalized service in exchange for surrendering their in-store privacy.
Instead, BRP analysis shows customers are more likely to prefer monetary incentives for identifying themselves in-store. These include specialized offers (34%), product incentives (27%), and credit toward future purchases (26%).
However, data indicates personalization is still important to brick-and-mortar shoppers. Seventy-nine percent said personalized service is an important factor in determining where to shop, and 63% are likely to stop visiting a brick-and-mortar retailer if they have an unsatisfactory shopping experience.
Popular enhancements to the in-store experience for customers include invitations to special events (50%), personalized promotions (46%), personalized rewards (32%), preferred/first access to new products (21%), and special/preferred assistance from sales associates (18%). However, 72% of surveyed retailers do not have a process in place to notify associates when an identified valuable customer is in the store prior to checkout.
“Engaging the customer through personalized and relevant experiences is the key to attracting and keeping your customers happy and continuing to shop your brand,” said Perry Kramer, senior VP and practice lead, BRP. “Retailers that identify customers when they enter the store and equip their associates with the proper mobile tools can personalize the shopping experience based on customer preferences, purchase history, what’s in their closet, online browsing history, time of day, weather and their physical location – all based on real-time information and personalized to create a bond with these valuable customers.”
The study is based on findings from the BRP Consumer Study and the “2018 Customer Experience/Unified Commerce Survey.”