Retail Observer

RETAILOBSERVER.COM JANUARY 2015 60 I magine walking into a big-box store and becoming lost in a sea of stainless-steel appliances or having to push a call button to summon a salesperson, who may or may not show up to help you. After you have purchased your refrigerator or washer, now imagine having little or no product support after the sale is complete should you have questions or concerns. Now envision a store where appliances are the main attraction, and where you are greeted by a salesperson and led through the entire process of selecting the right appliance for you. This is the store you know you can call after the appliance is delivered to ask questions or schedule service. The juxtaposition between these two retail environments is extreme, but accurate. In a recent Consumer Reports (www.consumerreports.org) survey, 22,000 people were queried about their experience at appliance retailers, large and small. The results showed that while big-box stores sell most large appliances in the United States, local independent retailers meet or beat the big guys on selection and "leave them in the dust" in terms of "good old-fashioned service." That's largely in part due to the fact that the independent retailer puts a strong emphasis on a positive customer experience from the moment the they walk in the door to long after they've had their appliances installed. According to the J.D. Power 2014 Appliance Retailer Satisfaction Study released earlier this year, a knowledgeable sales staff providing a prompt, courteous and engaging customer service experience helps drive satisfaction with home appliance retailers. While this may seem like a no-brainer to the independent retailer, it's extremely relevant as we examine what customers expect from the stores in which they shop. "The sales staff has an opportunity to differentiate the customer experience through engagement activities from the moment a customer walks in the door, all the way through appliance selection, delivery, and installation," said Christina Cooley, director of the home improvement practice at J.D. Power. "It's the simple engagement activities—those that don't require extensive training—that have a huge impact on customer satisfaction. For example, when the sales staff has a great attitude, greets customers and offers them help as soon as they enter the store, this can go a long way toward increasing satisfaction, additional purchases, and recommendations." The key word here is engagement. By engaging the customer in every step of the process, you create an inherently positive experience that goes beyond specifications to impressing upon the customer's own lifestyle. Many appliance retailers these days, in fact, are creating more hands-on and interactive displays that allow you to see, feel, smell, hear, and taste, appealing to all the senses from the moment the customer walks in the door. An appliance retailer might host a live cooking demo or cooking class, for example, to get the customer involved in creating a delicious dish using the actual appliances you're trying to sell them. This is not only fun, but gives the customer an accurate idea of how that range or fridge might perform in their own kitchen, making the sale a more natural affair. According to the Consumer Report, while it was prices and sales that got customers in the door to the appliance retailer in the first place, a fair number of major-appliance shoppers visited a particular retailer because the store stocked a certain brand or model they desired. You need to stock what the consumer expects. That's why it is crucial to demonstrate the latest products and trends in appliances. For example, lighter kitchens were on trend in 2014, with top cabinet options veering toward white and lighter wood choices. Likewise, new color options for kitchen appliances like GE's "Slate" and Whirlpool's "Ice White" are beginning to give stainless steel a run for its money. Another trend is toward high-end "chef-quality" appliances. Connected dishwashers, LED lighting, energy efficient features, and built-in carbonation are all becoming more popular, and get consumers excited about the possibilities available in their own homes. Double ovens, four-door refrigerators, steam-assist ovens, third-rack dishwashers, and quiet washer/dryers with programmable cycles are all features customers ask for. With the right mixture of product, engaging demonstrations, service, and a simple, prompt, and friendly greeting, the independent appliance retailer can compete with the big box guys effectively, and with a smile, for years to come. RO John White Appliance Trends John White—Executive Vice President, BrandSource WHAT CUSTOM ERS WANT When It Comes to Customer Satisfaction, Independent Appliance Retailers Have a Major Leg Up

• Cover