Lights Out Marketing

At some point next week the monthly retail data reports will come out and it will most likely show a slight year over year rise over 2009. That increase in sales is coming from several things. First, it is coming back from what we now know was a year on the economic precipice. Also, it is being fueled by cost cutting. Example: A Feb. 5 Wall Street Journal article showed that January results – a 3.3 % rise -  were largely due to reduced inventory,  reduced surplus, limited sales and other discount methods. But at some point retailers are going to have to add value to a part of their business much more important than the spring fashion line. That part of the business is the customer. I have seen very little in retail results about the customer, the person who actually goes in and parts up with hard earned cash. Customers = Revenue.

Look at recent news about retail and even though the economy is showing signs of an uptick, I see big discounts, store closings (Sears), and restructuring (Macy’s). But here’s what I mean when I say that a customer focus tends to follow success. Business Week yesterday cited L.L. Bean as the number one customer service company after a 24th place showing last year. How? By “adapting to the way its customers now shop through the design and features of its Web site and its return policies. It also commended the company for keeping its back-office operations in Maine rather than moving them offshore to save money.”

And Amazon.com was tagged as the most trusted brand in the US yesterday by a Millward Brown study. Why? As quoted in Digiday, Heather Stern VP of Marketing, Millward Brown said: "Jeff Bezos’ customer-first philosophy has been consistent from Amazon’s beginnings.  Consumers have had many years to grow to trust and recommend them because Amazon.com has stayed true to dedication to customer service through recommendation tools, easy return policies and competitive pricing.  This is a key takeaway for other ecommerce brands like Netflix whose TrustR score of 106 demonstrates that while it hasn't been around as long as Amazon, it is building a solid foundation of trust to grow from."

These retailers are always striving to make the customer experience in store better and online better. They innovate. They provide more cool and different items, offers, packages and deals. They know who the customer is. They know me. They know you. Yet, too many retailers are on the outside. We have all given them plenty of information through our interactions. Then why don't I as a customer feel like they have used it to make my relationship with them more engaging?

 Perhaps they could tell me when the things I like are on sale. If they don't know what I like, then ask me. Let me come in at a special time for the deal. Or tell me about a new season product and offer before everyone else. They could even set up a "velvet rope" experience at the store to give me the option of letting them know when I come into the store and they can tell me what is cool, new, different or a deal at that moment.

Customer centric marketing should be engaging where the retailer treats me, their customer, as they would a friend. If I have opted-in, signed up, completed a profile, used a card, made multiple purchases and showed myself to be a good friend and a best customer, don't make me reintroduce myself every time we meet! If you do, I'll come back in January and the rest of the year!