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Upping the WOW-factor builds brand loyalty

June 29, 2009  By Amanda Ryder


June 29, 2009 – A survey of Canadian and American shoppers conducted last month found
that employee engagement and a great "brand experience" rank highest
among factors contributing to an exceptional shopping encounter.

At a time when Canadian retailers are challenged to attract
increasingly cautious consumers to their stores, a new survey by Retail
Council of Canada, Verde Group and the Baker Retailing Initiative at
the Wharton School of the University of Pennsylvania reveals that
meeting this challenge may not be as complicated and expensive you
might think.

A survey of Canadian and American shoppers conducted last
month found that employee engagement and a great "brand experience"
rank highest among factors contributing to an exceptional shopping
encounter. Consumers in both countries indicate that polite staff who
are genuinely interested in helping and who listen carefully to the
customer's wants and needs go a long way to leaving a lasting
impression.

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The study also revealed that unlike their American
counterparts, Canadian consumers indicate exciting store design and
atmosphere play a significant role in creating a "wow" experience.

"In these tough economic times, retailers are working hard
to control their costs while continuing to provide value to their
customers," says Andrew Siegwart, Vice President, Retail Council of
Canada. "The results of this survey will certainly assist our members
as they navigate their way through the current recession and look for
new and innovative ways to attract and retain customers."

"When a customer truly has that 'wow' experience, our study
shows that their loyalty to that store increases dramatically," says
Paula Courtney, President, Verde Group. "What we've also found is that
price is not always the main ingredient for building customer loyalty."

Key findings:

  • Over 50% of shoppers reported having an "especially great" shopping
    experience either within the past 6 months or at some point in their
    shopping history
  • On average, a shopper who has a "great" experience will tell 4.5 other people about it
  • Generally, the more "great" experiences a shopper has, the more likely they are to talk about them
  • Shoppers who have a great experience are 80% more loyal than those that don't

"Discovering the WOW in the Retail Shopping Experience — 2009"
was a study conducted with over 1,006 respondents using an online panel
with 60% American and 40% Canadian consumers between May 11 and May 13,
2009. All respondents were randomly selected and qualified if they had
purchased products at a retail store in the past month.


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