April 13th, 2023 · Written by Samuel Jesse
Clienteling is a strategy used in retail that focuses on building and maintaining long-term relationships with customers. It involves using data and technology to understand individual customer preferences, purchase history, and behavior and tailoring the shopping experience to meet their specific needs.
By leveraging customer data and insight, retailers can anticipate their customers’ needs and provide them with exceptional personalized service, leading to increased customer loyalty and higher sales.
Clienteling helps retailers form meaningful connections with their customers and gives them a competitive advantage in today’s marketplace.
In 2023, clienteling is not just a sales technique; with the advent of digital technology, retailers have taken clienteling to the next level by using software platforms and apps to manage customer data more efficiently.
Clienteling software and apps provide a central location for managing customer data, such as purchasing history, personal preferences, and communication history, and allow salespeople to use this information to provide personalized recommendations and a higher level of service.
Integrating clienteling software and apps has revolutionized how retailers interact with their customers, providing valuable insights into customer behavior and optimizing the sales process for maximum efficiency and profitability.
It empowers brands to streamline customer relationships as a whole.
“It’s important to note that, across all generations, experience matters most. The product needs to be good, but the experience has to be great,” Milton Pedraza, the Luxury Institute CEO, says.
In today's hyper-competitive retail industry, it is essential to provide marketing teams with digital tools to capture customer and sales data. Clienteling software and apps ensure this data is accessible and adequately used at every level, from salespeople to top management.
Collaborative access across teams, automation, and personalized reports help brands to grow leads, increase sales and strengthen their relations with existing clients.
Here are some success metrics for clienteling software application in modern retail:
- Customer engagement
Brands can track customer engagement metrics, such as the number of products viewed, wish lists created, personalized promotions redeemed, etc. By providing relevant and personalized recommendations, promotions, and content brands can increase customer engagement.
- Sales conversions
Clienteling tools empower store associates with a comprehensive understanding of customer preferences and purchase history, allowing them to provide unique expert and personalized advice. Armed with global access to detailed product information, retailers can provide tailored and relevant recommendations through various channels, including in-person interactions, email, and messaging apps.
- Average Order Value
Using data from clienteling software can help increase AOV by suggesting complementary or higher-priced items to customers.
- Inventory Turnover
Clienteling software can help retailers manage their inventory more efficiently by tracking customer demand and providing real-time inventory updates.
- Customer Retention
Brands can track customer retention rates over time to measure the impact of their clienteling efforts.
- Customer Acquisitions
Clienteling tools help drive opportunities for customer engagement online and can create and help track new channels for customer acquisition.
- Customer Satisfaction
Providing a personalized and seamless shopping experience can lead to higher customer satisfaction scores, as measured by surveys or customer feedback.
The luxury retail industry is known for its highly competitive nature, where brands must differentiate themselves by offering exceptional customer experiences that justify premium pricing. A customized clienteling app can enable luxury brands to provide customers with a highly personalized and seamless shopping journey that aligns with their high expectations.
It enables sales associates to offer a highly tailored and sophisticated level of service, including features such as appointment scheduling, product reservations, access to exclusive events and promotions, or even private shopping experiences. By providing this level of personalized attention, luxury brands can build stronger relationships with their customers and foster brand loyalty.
Moreover, customized clienteling tools can ensure ultimate data security and control, which is vital for brands seeking to provide exceptional customer experiences that differentiate them from their competitors.
The retail industry has seen significant changes over the past few years, and customer expectations have evolved accordingly. It is undeniable that digital clienteling has become an essential strategy for successful retail in 2023. By leveraging data and technology, retailers can provide their customers with the level of personalization and convenience they demand while driving increased sales and customer loyalty.