Customer Experience Big Data Retailers: Punish or Perish? #cx #custserv
by Kate Nasser |
Customer Experience Big Data: Retailers How Will You Use It?
As apparel retailers offer more incentives to buy online, they run straight into the cost of returns. The press is reporting that many will use customer experience big data to track and punish customers with high volume returns.
Very interesting — punishment as a customer care success strategy?
We aren’t talking about customers who shoplift. These are customers who must try on what they buy online and return what doesn’t fit. Punishment will not stop their returns.
Possible punishment will discourage many customers from buying in the first place!
Customer Experience Big Data: Care & Integrity
Retailers if you are losing money from returns, consider a more positive approach. Don’t use manipulation to lure everyone in and punishment when the returns come in. This isn’t customer care!
Reward the positive. That’s customer care.
- Instead of free shipping up front and punishment for high returns, refund the shipping to customers with low volume returns. It’s a reward. Customers love to be rewarded. Rewards feel good. Rewards bring people back for more. Use customer experience big data to reward not punish.
- It’s also honest. It’s profit through integrity. Conversely, punishment for returns exposes the lack of transparency in your promotional offers. Free shipping isn’t free if you plan to punish later to recoup the money.
Do you want customers to have a positive impression of your brand?
Big data as big brother won’t do it.
Think about the busiest shopping season — the Holidays. Do you want to punish the high volume apparel gift givers who return gifts that don’t fit their loved ones?
What greeting will you use? Happy Holidays from the retailer who punishes? Brought to you by the Marquis de Sade marketing agency?
No one disputes that businesses must be profitable. It’s clear that returns cost money.
Yet upfront offers that start with “come here we want you” and end in punishment are more like predatory stalking than customer care.
Keep it simple. Remember the basic relationship. Customers place orders and retailers fulfill them. Reward customers that stand by you and see your reputation and your coffers grow!
Online shoppers what do you think?
What retailer practices do you like and dislike?
From my professional experience to your success,
Kate Nasser, The People Skills Coach™
Image by Storque via Flickr Creative Commons License.
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