Exponea CEO Peter Irikovsky sat down with co-founder of CommerceNext, Scott Silverman, to discuss how consumer behavior is changing in light of the coronavirus crisis. You can watch the 20-minute video below.
Don’t have time to watch? Here’s some of what was covered in the video.
How is customer behavior changing?
Exponea tracks over 1 billion customer profiles across all of its clients. By looking at the data, we’ve noticed that it’s hard to make generalizations that are valid for all companies.
Consumer behavior is different for different companies even in the same industry and region, and that behavior is changing on a week-to-week basis.
Some things do seem to be valid across the board:
- “Smart” channels aren’t performing as well as they have in the past, due to the machine learning models that power them not having enough time to catch up to changing behavior.
- Customers are making purchases at different times than before, so it’s important to change the timing of communications.
- You can see some specific insights from one of our clients at the end of our New Normal article.
What should retailers focus on in the next few weeks/months?
Retailers will see an influx of new customers who have been forced to shop online. They need to ensure that the customer experience is good enough to convince those new customers to keep shopping with them.
They will also face changing behavior from their existing customer base. Customers who previously bought from just one category might broaden their purchasing patterns. It’s important for brands to recognize these changes and react accordingly.
How long should we expect this changing behavior to last?
No one can say with any certainty how long coronavirus-related disruptions will continue. In some countries in Europe, stores are starting to open, but foot traffic and sales are nevertheless significantly down, and customers remain cautious.
This crisis will most likely accelerate an existing trend towards digital-first shopping, and companies that can adapt quickly are most likely to survive.
What is enabling companies to adapt quickly?
Companies that understand their customers and can serve those customers based on their understanding are in a good position. To see how well your capabilities prepare you for a changing future, you can take our free assessment. It will place you on the New Normal Ecommerce Quadrant, and you will receive ideas on what to focus on next in order to succeed.
What are some lessons that can be learned from companies that have been able to adapt?
Companies that can cut down their campaign cycles are seeing a lot of success. Our client OluKai was able to create and execute a campaign extremely quickly, and they got great results from that.
Data-driven CRM managers are gaining importance in organizations, due to their ability to experiment and show results quickly.
The coming weeks and months will be crucial for retailers. Exponea is prepared to help companies navigate a difficult transition. Explore our New Normal content for ideas, insights, and analyses related to a changing retail landscape.
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