Today’s shopping process is complex. It’s no longer simply about the merchandise. There are distractions and enhancers, motivators and game-changers. Couple that with the now extensive consumer research process and the need for validation on anything and everything they purchase — if you are in the retail business, there are lots of boxes to check to make you relevant today.
Technology is playing an increasing role in the buying process, even on the selling floor. From voice technology (think Alexa) to VR, AR and mobile apps, these tools can be distractions — keeping the shopper away from the actual product. Or, they can act as enhancers, game-changers even, helping to support the product sale. Think about interactive opportunities in the store that match what the consumer has access to outside your brick-and-mortar space. In what ways can you help them visualize your products in their home?
Consumers can walk into a store highly motivated — either by the latest and greatest or even an alliance with the brand due to social responsibility, for example. Today’s consumer gravitates to products and brands that align with their beliefs. But they also crave validation. What will their friends think? Better yet, what will their social media “friends” think?
We know that the shopping process has lengthened as consumers research quite a bit before even setting foot in a store. Add to that all of the “noise” in the space — we are back to distractions. When a consumer comes in with their own “knowledge” bank, make sure that the RSA on the selling floor is equipped with the right approach and language to work with this “educated” consumer.
To date, FCW has released three Flooring 101 Guides — in March, we printed (and released in digital form) Understanding the Wide World of Multilayer Flooring; in May, it was Understanding the Complex World of Carpet; and, last month, Understanding Solid & Engineered Hardwood. We’ve included advice from the retail experts on how to make the sale. I encourage you to take a look if you haven’t already — we’ve received tremendous response from retailers that have requested additional copies to hand out to their associates.
The good news is that consumers are spending. According to the Bureau of Economic Analysis (an arm of the U.S. Department of Commerce), consumer spending was $13.6 trillion at the end of 2017 — representing 69 percent of the economy. Two-thirds of that is spent on services such as housing and healthcare. Almost a quarter, it is reported, is on non-durable goods such as clothing and groceries and the rest on durable goods like automobiles and appliances.
Further, in the fourth quarter of 2017, consumer spending increased 3.8 percent. The average American, according to the Bureau of Labor Statistics, spent $57,311 in 2016.
This Consumer Issue — our second annual — focuses on capturing those spending dollars. Take the carpet piece about attracting today’s consumer. Here, retailers that are quite profitable with the category offer their advice. Some point to the challenges of the digital world — back, again, to distraction but also an opportunity to engage. They talk about engaging with the consumer on a personal level and also how to make your showroom succeed. This issue talks little about specific products but rather focuses on the consumer, your customer. I think you’ll find it eye-opening.