Retail Leaders From Away, Rent The Runway And More On Understanding The Customer
As consumers' relationships with brands move beyond the transactional, retailers find it increasingly important to integrate meaningfully into their customer's lifestyle
Consumers’ relationship with their favored brands is transforming from transactional to service-based, as today's customers expect brands to integrate into and enhance their daily lives. Companies are responding by offering connected services and support that add value and flexibility to meet their various needs and lifestyle goals.
From providing subscription-based offerings that remove the hassles of ownership to loyalty programs that reward customers with exclusive experiences, expert support and special treatment, here's how retail leaders from top brands like Target and Rent The Runway are prioritizing their consumers:
“Our community is at the heart of everything we do as a brand, so we’re always thinking about how else we can improve their travel experience beyond just luggage. One of the biggest advantages of our direct-to-consumer model is that we own the relationship with every one of our customers, but it’s about so much more than just listening to their feedback. It’s about understanding them, and truly responding to what they’re asking for by creating the experiences or products that speak to their needs as travelers.” JEN RUBIO. CO-FOUNDER & CHIEF BRAND OFFICER, AWAY
“For a brand or a retailer to have meaningful engagement with [Gen Z consumers], they really need to be a part of their life. It’s way more comprehensive than engagement only for shopping services.”
JANE CHEUNG. GLOBAL LEADER FOR CONSUMER PRODUCTS, IBM INSTITUTE FOR BUSINESS VALUE
“The reason why we’ve developed a bigger direct-to-consumer business is because it’s critical to- day to have a customer understand you, inside and out. We simply can’t do that in the same way with outside retailers, whether it’s Saks or Neiman or Bergdorf.” ANDREW ROSEN. CEO,THEORY
“We’re collecting hundreds of thousands of data points every week: style, cutt of the garment, what occasion you wore that to, what else is going on in your life, who are you? We’re creating one-to-one style personas for every user we have, which is helping us create an individual homepage for you, where we can recommend clothing that you might like.” JENN HYMAN. CO-FOUNDER, RENT THE RUNWAY
“Our users are at the center of everything we do. We’re constantly engaging with them through a number of forums to give them the opportunity to weigh in on what they like and don’t like.” JULIE GUGGEMOS. SVP, PRODUCT DESIGN, TARGET
These are just a few of the insights on the importance for brands to integrate into their customers' lifestyles. For more, see PSFK's Future of Retail 2019 report.