What do you think about on Black Friday? The retail event does have a tendency to conjure up images of stressed out shoppers on the rampage for a bargain, however using consumer data on ratings given at the point of sale in a number of fashion and electronics outlets, we’ve uncovered a brighter side to Black Friday (and other busy sales events): customers’ perceptions of your product range actually rise.
This is a surprising result to say the least. Perceptions of value were expected to rise (and indeed, did) as prices are cut during sales, but doesn’t it seem counter-intuitive to think that during busy sales events when stock doesn’t get refilled as quickly, shelves don’t get re-stacked, and people are fighting in the aisles to get that one last television with a 70 percent discount, customers end their journey feeling better about the product range than on an ordinary, quiet day?
One major speculation is that the result centres around instore creative. The big increase in displays showcasing products and promotions, plus the additional signposting and clarity around prices and discounts, may well be having a distinctly positive impact on customer perceptions.
One retailer took a lesson from the insights they uncovered in their customer data and found that simply by refreshing their promotional displays and increasing signage, they managed to raise their customers’ perceptions of the product range without changing a single thing in that product range – and they saw a 12 percent rise in average transaction value as a result.
What does this mean for the retailer and Black Friday 2017?
According to Retail Wire, the retail race to the bottom in terms of price and bargains may be starting to kill off Black Friday. And according to our data, it may be unnecessary. It might sound obvious, but perhaps don’t worry about slashing your prices too heavily and instead invest some time and effort into dazzling displays. Highlight the promotions you do have so they’re clear and attractive. Entice customers in to your store and use some of those traditional marketing skills to ensure their customer experience is a pleasant one, unlike the hurried and harried experiences of previous Black Fridays.
And then do it all again in December…
About Georgina Nelson
I was formerly a consumer rights lawyer at Europe’s largest consumers’ association, Which?, before founding TruRating in 2013 when I began to notice how influential online review sites were becoming and the make or break role they were playing for many businesses.
I was concerned that despite best intentions, feedback sites often just didn’t represent the general public’s opinion. If you were looking for horror stories or five-star reviews, there were plenty to pick from, but it was harder to get a sense of what a more typical customer experience might be like.
As I talked to businesses it became clear that they were desperate for a way to get reliable feedback representing how the majority of their customers really felt. From the other side, whenever I asked people they said they’d be more than happy to give their views, they simply wanted a quick and easy way to do so.
Taking this into account, we set out to build a point-of-sale ratings system that would be fit for all requirements. Intuitive, fast and capable of delivering real insight for any kind of business, TruRating also allows the customer to have their voice heard with a simple tap from 0-9.
We work closely with payment service providers, acquiring banks and payment hardware manufacturers to bring TruRating to life and my vision is that one day everyone will have access to the representative feedback they deserve. It’s time to let the Ratings Revolution begin!!!