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“Why Personalization Remains an Advantage for Independent Retailers” by Gourav Pani via Total Retail

“Why Personalization Remains an Advantage for Independent Retailers” by Gourav Pani via Total Retail

Credit: iStock.com by Marko Geber

In today’s world, mega-retailers have changed the way we shop. They offer same-day delivery and auto-shipment and sell cheaper versions of popular brands. Because of this, consumers now expect faster, easier transactions. Yet, they also want a personal touch. In fact, recent data tells us that of consumers who preferred to shop small this past holiday season, 18 percent were doing so because of better customer service experiences, while 13 percent were doing so for unique or handmade products.

In a crowded digital economy, personalization can make a big difference. It helps small businesses stand out because it’s hard for mega-retailers to offer. It’s a big business’ kryptonite. Personalization is an advantage for small business retailers and helps them understand and meet their customers’ needs.

Consumer expectations changed fast due to the pandemic. No longer able go to their local mom-and-pop shop, consumers had no choice but to turn to the Amazons and Walmarts of the world. Big online retailers quickly improved their capabilities, offering easier and faster ways for consumers to shop. It’s no secret that smaller businesses had a hard time keeping up.

But then something amazing happened. Small businesses and retailers started hand-writing notes to thank customers for their orders. People connected. Small businesses used empathy to build relationships with their customers. Customers increasingly felt loyalty to the smaller, independent retailers that went the extra mile. These personal touches gave small businesses a key advantage over the mega-retailers.

Related story: Can Small Businesses Survive Without Marketplaces?

Big businesses can’t package empathy or match the personal touch of a small business. No matter how hard they try, they can’t scale it or connect with local communities in the same way.

While shoppers have returned to physical stores, many consumers reliance on e-commerce is here to stay. Small businesses must find creative ways to bring that personal touch consumers want to their online stores.

GoDaddy research tells us that microbusinesses struggle to create a strong online presence and market their business digitally. If you don’ know where to start, here are two tangible first steps:

1. Look for inspiration.

Study your peers, and even your competitors. If you see a business that’s great at connecting with its customers online, learn from it. Use some of their tactics in your sales or marketing plan. Draw inspiration and then find ways to make these strategies your own.

2. Ask your customers directly.

We’ve found that customers are more than willing to share feedback with a business if they know it’s going to be considered. Thank your customers for their feedback and explicitly share how you will incorporate it to make them feel heard. Or fold the sentiment right into your marketing messages. For instance, saying “back by popular demand” is a simple and effective way to communicate that a business is listening and acting.

With limited budgets and resources, it’s important to stay focused. When considering building upon or introducing a new product or service, ask, “Will it help my customers?” If the answer is yes, then move forward. If the answer is no, recognize it’s not worth it and stop.

To small retailers out there, don’t let the mega-retailers get in your way. Just remember, you will always have something mega-retailers don’t: the human touch that connects us all.

Gourav Pani is president of U.S. Business at GoDaddy, a company that helps millions of entrepreneurs globally start and scale their businesses.


Total Retail is the go-to source for retailers looking for the latest news and analysis on the retail industry. Be sure to bookmark this helpful and relevant site:  https://www.mytotalretail.com/


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