When providing products and services, retailers know they must also offer exceptional service if they want to boost their consumer retention and loyalty. For large businesses, these excellent customer experiences start with service agents and call centers. Companies need to ensure they are monitoring employees' performance and recognizing their hard work if they want to see overall service methods improve. One company recently highlighted the initiatives it has been using to boost its proactive customer service efforts.

Zappos is getting it right in service

Zappos, a clothing and shoe internet retailer, has been receiving praise for its customer service strategies. To get better insight on these methods, Software Advice interviewed Zappos customer loyalty operations manager Derek Carder to find out exactly what his company is doing to excel at consumer service. Carder first explained that Zappos focuses on creating "wow" moments for its shoppers, and also works to develop emotional connections.

Next, Carder stated, the company measures four different key performance indicators (KPIs) when it comes to monitoring the efforts of staff members within customer service departments. The first KPI Carder looks at is how long agents spend on the phone with consumers. But instead of pushing for faster call times, Zappos encourages employees to take their time when interacting with customers.

The next KPI is idle chats, or whether or not agents have left live chat windows open after customers have disconnected. By leaving these chats open, agents are often attempting to avoid responding to the next consumer inquiry. By pinpointing idle chats, Zappos is able to find employees that are unproductive. Carder stated that the third KPI is looking for the important "wow" moments and rewarding staff members who provided them. If employees do not meet a certain number of points within a specified time frame, they are required to attend more training.

The fourth KPI Zappos monitors is attendance. Agents who have an excessive amount of sick absences or late arrivals are given points. Employees who have no points within a given period are awarded paid hours off and other rewards, Carder explained.

Focusing on emotional customer relationships

Perhaps the success of Zappos' customer service strategies lies in the company's focus on establishing and maintaining effective emotional connections with its customers. Software Advice writes that the KPIs encourage this behavior among employees. Instead of telling agents to rush through calls and chats, the business asks its employees to focus more on listening to the needs of shoppers and then doing whatever is required to get their issues resolved, however long it takes.

This entry was posted by Retail Pro on Tuesday, November 20th, 2012 at 3:37 am .

American consumers are increasingly using smartphones for a variety of tasks, and these devices are now moving into the shopping realm, especially as the holiday season approaches. Many retailers are gearing up for this trend, as a significant amount of holiday sales are expected to come from smartphones this year.

A recent study by Deloitte found that approximately 50 percent of American consumers own smartphones, and nearly 70 percent of those plan to use their devices to buy items and gifts for the holidays. The research also found that the shoppers who will be using their mobile devices will be spending 72 percent more on products that the customers who do not use smartphones.

"We anticipate that retailers will increasingly interact with mobile shoppers this holiday season," stated Alison Paul, vice president of Deloitte LLP. "This holiday season, branded applications, Wi-Fi connectivity and personalized, location-based promotions from retailers can enable shoppers to make an immediate buying decision in the store."

One large retailers is getting in on the mobile holiday trend. The Motley Fool reports that Wal-Mart is hoping to make shopping in their stores easier for smartphone users over the coming weeks. The company has created a mobile app that customers can download to navigate the aisles as they search for items and gifts. The app also gives consumers the chance to buy products directly from Wal-Mart's website if it's out of stock or they are not able to carry it home themselves.

This entry was posted by Retail Pro on Monday, November 19th, 2012 at 4:33 am .

Free gifts and items are always welcomed by consumers when they buy products and services from retailers. Recent research has revealed that ecommerce merchants can benefit from offering small perks for shoppers when they purchase items online. Increased customer retention and satisfaction can be boosted by these efforts.

Two out of five Americans would be more likely to continue doing business with an online retailer that offered them a free gift with their purchases, according to a study by IDR Marketing Partners. When ecommerce merchants include unexpected free items for consumers who are buying from their websites, these businesses will see increased retention.

"Customers are more loyal to online retailers that make an authentic effort to connect with them," said Doug Guyer, co-founder and president of IDR Marketing Partners. "Receiving a free product that is relevant to the customer creates a 'surprise and delight moment' that they not only remember, but share their positive experience with friends and reward the online retailer with additional purchases."

For the upcoming holiday season, internet retailers could increase their sales amounts by offering free gifts with purchases. Econsultancy reports that there are several other strategies that web merchants can follow to boost retention. This includes providing fast and free shipping, making repeat purchases easier and allowing customers to access their accounts quickly.

This entry was posted by Retail Pro on Friday, November 16th, 2012 at 4:32 am .

Throughout the economic recession, luxury brands did not see the sales amounts they had hoped for, as consumers cut back on a variety of purchases, especially high-end products. However, conditions are improving, and recent research has found that American shoppers are planning to buy from luxury retailers in the coming months.

According to a survey by Accenture, approximately half of consumers plan to buy luxury items within the next six months. Fifty-three percent of respondents will be purchasing specialty food or drinks, while 48 percent plan to buy luxury brand clothing. Forty-three percent will be purchasing personal care products from luxury retailers, the report states. In addition, consumers will be visiting both luxury brick-and-mortar locations to buy the items they want. These findings highlight the fact that shoppers are becoming more confident in their own financial conditions and therefore are feeling comfortable about splurging on luxury products.

While New York City has long been regarded as the most sought after location for luxury stores, it seems as though Hong Kong has taken the top spot for these retailers. Bloomberg reports that the Asian city is now the most expensive when it comes to renting luxury brand storefronts in high-end neighborhoods. Fifth Avenue in New York City was bumped down to the second spot, while Paris' Avenue des Champs-Elysees came in third.

This entry was posted by Retail Pro on Thursday, November 15th, 2012 at 3:31 am .

The day after Thanksgiving, commonly known as Black Friday, has long been the day that customers can hit retail stores to buy gifts and items for the holiday season. However, it seems as though this year, this popular shopping day is being moved up and is no longer starting on Friday for many retailers.

The Chicago Tribune reports that big-name retailer Wal-Mart has decided to open its stores nationwide on Thanksgiving night at 8 p.m., giving eager holiday consumers the chance to stock up on products even earlier. Department store chain Sears is also opening its doors at 8 p.m. on that Thursday night. These retailers will be offering special deals and discounts for early shoppers as well as in-store pickup for customers who purchased products online, the news source states.

Several other big-name stores are hoping to draw in more consumers by opening their doors earlier as well. Macy's is starting its Black Friday at midnight on Friday, November 23, while Gap Inc. announced its stores, like Gap, Old Navy and Banana Republic will be open for customers beginning Thanksgiving night. Additionally, Target is getting in on the early Black Friday trend, as it plans to get things going at 9 p.m. that Thursday.

This entry was posted by Retail Pro on Wednesday, November 14th, 2012 at 10:27 am .

Many retailers are now offering online purchasing options on top of their brick-and-mortar locations. Additionally, there are merchants who operate solely on the internet. Whatever choice these businesses are using for ecommerce, more focus needs to be put on increasing customer retention through the web, especially as internet purchases continue to increase.

For the third quarter of 2012, comScore found that online retail sales reached $41.9 billion, representing a 15 percent year-over-year increase, states Venture Beat. This is the twelfth quarter in a row that has seen growth for internet purchases. The comScore reports expects that retailers will experience an exceptional holiday season online as consumers take to the web to buy the items and gifts on their holiday lists.

So what can retailers do to keep shoppers coming back to their websites, even after the holiday season is over? Offering quick and discounted shipping options is one way to retain customers, writes eConsultancy. Maintaining consumer data effectively, such as purchase history, can help companies create loyal buyers. Customer service is another important aspect, retailers can offer this by providing simple return policies and answering consumer inquiries quickly.

This entry was posted by Retail Pro on Tuesday, November 13th, 2012 at 4:53 am .

Retailers throughout the Northeast saw significant damage to their stores and operations when Hurricane Sandy hit the region late last month. It seems that even though the debris has been mostly cleaned up for many businesses, there is longer lasting damage in the form of decreased revenue for retailers.

Upstart Business Journal reports that the approximate total of lost retail sales due to the massive storm is $4 billion, according to the MasterCard Advisors' SpendingPulse. This amount represents about 20 percent of the nation's retail sales, as New York, New Jersey, Connecticut and other northern states generate nearly $18.7 billion each week. However, for the week that Sandy region, retailers only brought in about $15 billion.

The storm could also have an impact on November retail sales, despite it being one of the busiest shopping months of the year. Bloomberg Businessweek reports that even though merchants may see a rise in their sales amounts after the hurricane, the revenue losses could be too large to make up. Additionally, Sandy required consumers to stock up on necessary supplies, forcing many people to make unexpected purchases which might impact their budgets over the coming weeks.

This entry was posted by Retail Pro on Monday, November 12th, 2012 at 4:30 am .

American consumers are increasingly using the internet to purchase items and services, whether from retailers who maintain brick-and-mortar locations along with websites or merchants that have online storefronts only. There are a variety of reasons as to why the purchasing methods is becoming more popular – it provides more convenience, saves shoppers large amounts of time and allows for easier product and price comparisons. As the economy prepares from the coming new year and the holiday season, retailers will want to turn more attention to their online channels as sources of incoming revenue.

Ecommerce rises in third quarter

Internet Retailer cites a recent study by comScore Inc., which revealed that third quarter online retail sales reached a total of $41.9 billion, representing a 15.4 percent increase from the same time a year ago. This is the twelfth quarter in a row that web purchases have seen year-over-year improvement. There were several sectors that experienced more growth than others during the third quarter, comScore found. These include consumer electronics, computer software, apparel and accessories and event tickets – all of which increased by at least 16 percent from the same time a year ago.

While there are still many consumers and businesses that are not incredibly optimistic about the economy, comScore stated that the confidence among customers has already begun to improve, as conditions continue to get better. The company believes that this positive outlook will keep its momentum, as both shoppers and retailers prepare for the holiday season, states the website.

“Such performance offers some optimism as we approach the holiday season, especially given recent improvements in consumer sentiment,” said comScore chairman Gian Fulgoni.

Holiday sales and ecommerce

When it comes to ecommerce in this year's fourth quarter, the holiday shopping season is expected to boost web purchases significantly. According to Forbes, a recent study by Forrester Research anticipates that internet retail sales will reach $68.4 billion over the coming weeks, as consumers buy gifts and other associated items. This represents a 15 percent increase from the same time in 2011.

However, Forrester stated there are several trends that merchants need to be aware of if they want to see large rises in their holiday revenues. Shoppers are going to be on the lookout for special deals and discounts online, as they want to save money while also purchasing the products they need and want. Free shipping will be a major factor when it comes to ecommerce, as customers are more likely to do business with retailers that offer this element.

This entry was posted by Retail Pro on Monday, November 12th, 2012 at 4:24 am .

In the coming weeks, American consumers will rush to retail brick-and-mortar locations as well as ecommerce sites to buy items and gifts for the holiday season. While it is expected there will be large amounts of shoppers each day, there are some days that will see more significant increases in purchases and activity. This includes Black Friday and a variety of other times that customers will flood retail stores and channels. Businesses are already preparing for the influx of anticipated shoppers by hiring more seasonal employees as well as updating their websites with added security features and easier browsing.

Busiest shopping days

According to a recently released report from ShopperTrak, there are several days over the next few weeks in which retailers will experience more activity in their stores. Retailing Today states that l Black Friday, the day after Thanksgiving which falls this year on November 23, takes its usual top spot. Super Saturday, the Saturday before Christmas and this year on December 22, comes in second place, due to the fact that many shoppers will be buying their last minute items. Other days on the list include Saturday, December 15, Saturday, November 24, and Thursday, December 20. This year's holiday season is longer than normal, as there are 32 days between Black Friday and Christmas Day, the source reports.

"This unusually long season presents retailers with opportunities and challenges," said ShopperTrak founder Bill Martin. "They'll have a golden opportunity to convert more browsers into buyers, but they'll have to prepare to manage increased operating costs. Retailers will need to optimize staffing, scheduling, marketing and advertising with the calendar and individual store trends in mind."

Preparation already underway

Retailers throughout the country are doing exactly that, as they are already preparing for the large amount of consumers they are expecting to flood both their stores and websites this holiday season. But for those merchants who have yet to get a jumpstart on their winter sales efforts, NBC News offers some suggestions for businesses. Speeding up websites can have significant impacts, as customers are more likely to not purchase items and services from companies that have slow or poor sites.

Another method that retailers can use is training employees on delivering a consistent and efficient shopping experience throughout the season, as this will ensure that all staff members are equipped with the necessary knowledge. This will also result in increased customer satisfaction, states the source.

This entry was posted by Retail Pro on Friday, November 9th, 2012 at 8:28 am .

As American consumers begin rushing into retail stores in the coming weeks to buy items on their gift lists, merchants are doing their best to prepare for the influx of shoppers that are expected. Many businesses have announced that they are planning to hire more temporary employees this year than last year to help with the large amounts of customers during the holiday season. As of now, those employment numbers have only increased slightly from 2011's total of temp retail workers. On the other hand, companies are expecting the best holiday shopping season in five years, and additional staff members are one effective way that retailers can boost their winter sales.

Retail seasonal jobs added in October

Talent Management reports that according to the latest data from the U.S. Bureau of Labor Statistics, retailers hired 130,100 jobs to their payrolls throughout the month of October. This is a slight increase from the 128,900 temporary employees that were hired in October 2011. However, last year's seasonal hiring numbers were quite positive, as 660,200 jobs were added overall. It is expected that this year's employment gains will surpass last year's amounts. It will definitely be better than the lowest levels of seasonal hiring in 22 years, which happened in 2008, when retailers brought on only an additional 324,000 staff members to help with the holiday rush.

Of the businesses that are increasing their hiring efforts the most this holiday season, Best Buy, Gap and Toys R Us are at the top of the list, states Forbes. Citing a survey by CareerBuilder, the source reports that 36 percent of companies nationwide are bringing on temp workers this year, compared to the 29 percent who said the same in 2011. In addition, 39 percent of businesses stated they plan to keep their seasonal employees after the winter months and offer them full-time positions.

Holiday workers contribute to high expectations

Retailers are significantly optimistic about this year's holiday sales, and the large numbers of temp workers could be a contributor to this feeling. The Wall Street Journal reports that according to recent research by BDO USA, merchants are anticipating a 3.7 percent increase in same-store sales this holiday season. This is the highest that the figure has been in five years, as it stood at a 5 percent increase expectation in 2007.

This entry was posted by Retail Pro on Friday, November 9th, 2012 at 4:49 am .