DISCUSSION

Consumers Looking Beyond Big Box Prices

Written by George Anderson

By George Anderson

According to the Star Tribune, consumers may be beginning to demonstrate a willingness to pay more for goods if retailers offer them "knowledgeable service, an interesting selection and a pleasant shopping experience."

Bob Kizer, group vice president for client services for the market research company, WalkerInformation said, "We believe folks are becoming more discerning in what they can get from their relationship with their retailer. Whether it's the atmosphere, the sales associates, fast checkout -- consumers want to be made to feel special. If price were the only issue, we'd all be buying from flea markets and garage sales."

Lillian Maresch, a consumer psychologist, told the Star Tribune, "People are yearning for that high touch after so many years of high-tech. When you get consumers talking about service, they are very vocal and articulate."

Moderator's Comment: Are low prices and superior service mutually exclusive? How are superior customer service organizations developed?

Ken Blanchard and Sheldon Bowles had it right. It isn’t enough to have happy customers anymore, you need to create Ravings Fans if you want to sustain your advantage.

A retailer profiled in the Star Tribune article, Creative Kidstuff, has apparently learned this lesson. The company’s president Roberta Bonoff said, "I hear over and over that people come to us because they know when they ask a question, they are going to get an informed answer, as opposed to being pointed someplace. There's a product differentiation; we have a commitment to quality products. There's the environment we create. We try to make our stores fun and alive and happy, with lots of positive energy." [George Anderson - Moderator]

Discussion Thread0