It was interesting to read the article in the Guardian/Observer which highlights how large stores such as Tesco are regretting their past decisions to open ever larger stores now that an increasing number of customers are abandoning them in favour of Internet shopping. I must confess I have little sympathy for these retail giants; I have always seen the building of these huge stores as a greed lead approach to business which often steamrollers across environmental common sense and the wishes of local communities to produced traffic nightmares and an unpleasant and time consuming shopping experience.
However, while these massive companies are using their huge resources to reinvent themselves the small businesses in our high streets are also suffering from the Internet but for different reasons. They are undoubtedly struggling to match the prices that the Internet-only businesses such as Amazon can manage but what is less obvious is that they are often invisible to the enormous number of potential customers who start their shopping via Google and other search engines.
Try making a mental map of the businesses in your local high street then pay a quick visit to your favourite search engine and see how many of those businesses have become invisible. Now repeat the exercise using your favourite Social Media networks such as Facebook, Twitter, LinkedIn and FourSquare and see how well they have managed to hide themselves from the huge number of Internet-literate shoppers.
I am currently organising an event which offers businesses free publicity and thereby the opportunity to attract customers. The Internet and Social Media ‘invisibility’ of many businesses makes it harder to contact them, harder to make them aware of what is on offer and consequently harder to push potential customers their way.
There are many initiatives from the government and elsewhere that are trying to stop ‘the death of the high street’. Maybe some simple, and relatively cheap, guidance on the creation of web sites and use of Social Media may help them to once again become visible to their twenty-first century customers.
Learn or churn
First, think of some companies spending huge amounts of money on advertising; those with TV advertisements in slots around programs with large viewing figures is a good place to start. Next, consider your perception of the quality of the customer service offered by these companies.
Many companies are hemorrhaging customers due to poor service and at the same time spending a fortune on trying to get new ones. Now call me old fashioned, but if these companies spent some time and money trying to understand the reasons they are losing customers and then doing something about it they would find themselves with a win, win, win situation. Customers would be happier (and more likely to recommend the company to their friends), the company would lose less customers and they could save a fortune in advertising costs.
I admit I have no data to back this up, but I’m happy to go with my gut feeling and leave you out there to agree with, or correct me.