How Retailers Can Avoid the "H2K" Bug
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Tips from BizRate.com for making this year's holiday season smoother
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In May, BizRate, a company that solicits customer feedback on sites, aggregated the data it collected over the past year into a report that would help retailers prepare for this year's holiday season. Here are some of the key steps retailers must take if they expect to survive what BizRate calls H2K:
Pour on the promotions
Free shipping, coupons, and first-time-buyer discounts were cited by more than 70% of respondents as "likely to convince" them to purchase from merchants they might not otherwise consider.
Get up to speed
Slow Web sites frustrated more online shoppers (48%) than any other potential problem last season.
Be on time
On a scale of 1 to 10, on-time delivery scored a 9 in terms of its impact on a customer's likelihood to buy again. When consumers asked what would make them unlikely to return to a merchant's site, late delivery was cited as the No. 1 reason in five out of six product categories.
Don't ignore impulses
Sites should be designed to encourage impulse buying: 36% of last year's shoppers threw some items in their baskets that they didn't originally intend to purchase.
Take back the goods
Only 40% of Web merchants who participate in BizRate allowed returns last season. Yet 70% of customers polled cited return policies as important in affecting their online-purchasing decisions.
If at first you don't succeed...
Merchants can lure back unhappy shoppers, especially if they offer discounts on future purchases. Just 13% of shoppers who reported dissatisfaction with a retailer said they would never go back.
By Arlene Weintraub in Los Angeles
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