Retail Observer

RETAILOBSERVER.COM FEBRUARY 2021 56 S ince last March we've all been forced to try new tactics and messages to market to our consumers. While in previous years we might have launched one or two strategies and tested them thoroughly for effectiveness, 2020 pushed us to pivot as the changes came day by day. Below are some of the strategies that proved most successful for Nationwide Marketing Group members in 2020. • Chat. Online traffic was up significantly for appliance, bedding and furniture searches over the prior year. In just a few weeks from March to May we saw 200+ retailers activate chat via their websites. This touchpoint proved just how nimble the independent channel could be. In addition we saw close rates between 70-90% for retailers who took the time to train their sales teams in chat best practices. In 2021, why not commit to training a few of your salespeople on chat best practices and turn your website into a true retail location? • Shop by Appointment. Shop by appointment isn't just for those with immune-comprised health, age factors or a general unease of shopping with the masses. This easy add-on to your website via tools like youcanbook.me allows you to meet with highly qualified customers at a time that works best for both of you. At the height of the pandemic, these appointments kept some retailers' sales flat year over year during times when they were only allowed to be open by appointment. In testing the strategy, appointments led to a 90% sales close rate. As we transition into a post-pandemic environment, shop-by- appointment is another way to engage customers looking for a unique shopping experience and shoppers looking for your higher-ticket products. Remember, local independent retailers are known for their high level of service, and this is just one more opportunity to provide a VIP-level customer experience. • Product Availability vs. Price. Competitive pricing has always been of key importance in sales ads, web pricing and for sales associates on the floor. But what we've learned through the pandemic is that showing what you have available – or a realistic in-stock date – has become almost more important to consumers. This is a great place for independent retail and protects your margins. As most manufacturers look to steady their supply chains and get to better inventory positions by mid-year, independent retailers cannot sit out the first half of 2021 with their advertising dollars. We've already seen a steady increase in media from Big Box in Q4. So what can you do? Shift your advertising message to promote what you have in stock. For retailers who partner with Nationwide Marketing Group, we've tested both individual inventory feeds, as well as working with key manufacturers to bring in what's in the closest regional warehouse. Also, make sure you promote all the reasons to shop independent, including product selection, trained associates and service after the sale. • Support Local. Millennial shoppers have long expressed their willingness to support local businesses and those who promote social responsibility. And post-2020 we've seen a larger push by all age groups to support local business owners versus the mega- retailers. Here's an eye-opener: Google reports that searches for "support local business" are up 2,000% YOY. We did a small test to measure the effectiveness of brand messag- ing compared to retailer messaging. For Google text ads and on Facebook, retailer messaging drove higher clicks, and Google display creative was split 50/50. So what do we take away from this? As we've always known, you should promote your own brand name first. Consumers are looking for products, so yes, you'll still need to advertise for specific category keywords, SKUs and brands. But it's vitally important to raise your brand awareness for not just what you sell and where you reach to, but also why customers should choose you. • Digital vs. Traditional. It's no surprise that budgets shifted to a higher spend in digital as work-from-home became the norm for much of the country. Billboards and drive-time radio spots were cut, as they had a much lower impact on local populations. As you look at your 2021 advertising budget, don't fall prey to the deals that many of these companies will put in front of you. Remember what COVID did to the shopping journey and consumer expectations. The majority of your advertising budget should still be spent digitally to connect with the shoppers who are actively searching for what you sell. Promote your brand name, run Shop Local-specific ads, invest in Google Shopping to drive high conversions, and saturate social media to promote your staff's experience and shopper testimonials. We'll see more Save Stories and new product introductions coming mid-year 2020 and more brand advertising, but grab those customers looking to buy with your first- half advertising and you'll be well on your way to a successful 2021. WHAT DOES INDEPENDENT RETAIL ADVERTISING LOOK LIKE IN 2021? RO Amanda Evans Marketing Trends Amanda Evans, Director of Marketing, Nationwide Marketing Group

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