Retailers Want to Know: Do Shoppers Really Trust Customer Reviews?

Posted on September 28, 2016 by bermanevansretail
As retailers, we have become increasingly knowledgeable about the power of online customer reviewers. And we recognize that many shoppers place more weight on these reviews than on retailer-sponsored communications.
Let’s look at some research by Trustpilot, a customer review consultant to business.  According to eMarketer:
“In early 2016, Trustpilot surveyed 1,132 Internet users ages 18 and older. In all, 80.7% said reviews were somewhat or very important to their purchase decisions. Few users said reviews did not influence their decisions when deciding on a product to buy. Just 4.7% said reviews were somewhat or very unimportant.  When it comes to when users are most likely to read reviews, roughly half said it’s while they’re on a site, before adding the item to their cart. Nearly a quarter said they were more likely to read reviews earlier in the process: while on a company’s Web site, but prior to actively shopping. Another 18.5% read reviews primarily before visiting a company’s Web site at all.”

Stage of the Buying Process During Which US Internet Users Are Most Likely to Read Reviews, Feb 2016 (% of respondents)

Retail Touchpoints wrote this about Trustpilot’s research:
“While the majority of consumers believe online reviews help them along their shopping journey (88%), only a fraction of these customers (18%) actually trust that all the information contained within the reviews is valid, according to Trustpilot. This significant gap reveals that it is critical for businesses to not only incorporate online reviews into the shopping experience, but to deploy them in a way that will build trust and transparency with the consumer. To close the gap between those seeking out trustworthy online reviews and those who believe the reviews are fully authentic, Trustpilot recommends that retailers gain a greater understanding of how shoppers read, write. and believe in online reviews. Half of consumers feel the overall rating of a review or a high-level, easy-to-understand aggregation of a company’s feedback to it are the most important factors when it comes to reading online reviews. Additionally, 20% cited how recently the reviews were posted as the most important factor, while another 20% said the number of reviews posted for a product is more relevant.”
“The report identified several best practices to help businesses create more trustworthy customer feedback strategies, including: ensuring online reviews are easy to find and showcasing them to customers during every step of the shopping experience; giving customers a forum for reviews and inviting them to leave their opinion; responding to negative feedback in real time; asking the customer to update their reviews once the situation is resolved; and analyzing sentiment to continually improve business and products.”
Here is further information and advice directly from Trustpilot: an infographic and a YouTube video.
 

 

 

Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 7: Communicating with the Customer, Video Clips (non-career) | Tagged , , , , , , , , , , | 1 Comment

Key Numbers for Retailers

Posted on September 26, 2016 by bermanevansretail
Martec International (a retail consulting firm) and Microsoft Business Solutions recently produced a report on How to Get the Numbers That Matter in Retail:
“The objective of this white paper is to review various aspects of retail financial management and to draw important lessons for small and mid-size retailers. The paper addresses a wide range of topics that impact a retailer’s financial success. Many of these are common to retailers of all sizes, but some are specific to mid- to small-tier businesses and many cautionary notes are given.”

numbers-that-matter

Click the cover to access the full report.

retail
 

Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 8: Putting It All Together | Tagged , , , , , , , , | Leave a comment

Watch the Construction of a Retail Store via Time-Lapse Photography

Posted on September 23, 2016 by bermanevansretail
Building a retail store can be a time-consuming and complex project. It is far more detailed than a store remodel. Consider the case of Jimmy John’s.
According to its Web site, at Jimmy John’s Sandwiches:
“We serve from-scratch food made with excellent ingredients. At Jimmy John’s, our food is simple; it’s clean, and it’s fresh! We use locally purchased produce, which is brought in fresh and hand sliced daily. Our tuna salad is made from scratch by hand. Our real provolone cheese, oven-roasted turkey, choice top round roast beef, hickory-smoked ham, or dry cured genoa salami and spicy capicola, are also brought in fresh and sliced by hand daily in every Jimmy John’s location. Our bread bakers bake our French bread all day, every day. We try and manage bread so that all French bread served is less than four hours old. If you like whole grain wheat bread, try the 9-grain sliced wheat bread – same deal, thick sliced and pretty close to perfect.”
“You care about where your food comes from, and we do too! We demand that of our suppliers. They go to great lengths to make it happen. Our stores are locally owned and operated by people who care. These Jimmy John’s owners create jobs and are giving partners in your community. Whether you visit one of our Jimmy John’s locations or order for delivery, our hand-crafted sandwiches are served to you by people who take the time to do it right. We’ll do almost anything you ask, so please do!”
Recently, Jimmy John’s built a new outlet in Lewisville, Texas. The construction took about 21 months, ending in September 2016. Take a look at the following time-lapse video to see the full project unfold.

 

 

Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 4: Store Location Planning, Part 5: Managing a Retail Business, Technology in Retailing | Tagged , , , , , , , | 1 Comment