Let Your Customers Know You Are Doing Your Best

To say that times are tough for business owners right now is to massively understate the challenges facing small and mid-sized businesses across the country. Businesses are plagued with staffing shortages, supply chain interruptions resulting in delays and shortages, and lingering financial effects caused by the pandemic.

The stress caused by these issues affects both businesses and the customers they serve. One survey showed that 87 percent of consumers have been negatively impacted by supply shortages and delays. Consumers reported feeling frustrated, anxious, and angry due to these issues. Concerningly, 80 percent of the consumers surveyed said that product shortages or delays would cause them to stop patronizing a brand entirely.

Fortunately, there are steps that business owners can take to mitigate the frustration and confusion experienced by customers. If you are a struggling business owner or business leader, one of the best things you can do right now is to let customers know that you and your staff are doing your best to meet customers’ needs while dealing with these challenges.

How Transparency and Frequent Updates Can Ease Customers’ Anxiety

Whether a customer is buying a birthday present for a grandchild, waiting on car parts for a critical repair, or buying everyday essentials, customers need to know what is going on behind the scenes of a business.

The same survey that showed the extent of customers’ frustration also provides crucial insight into potential solutions. Over half of the respondents said that they want increased transparency regarding product inventory and supply chain problems and more frequent shipping updates. They want to know about potential slowdowns and problems so they can prepare for delays.

Businesses need to let customers know about the problems that they are currently dealing with and give customers the opportunity to be understanding and compassionate. Many people are willing to adjust their expectations, and most understand that post-pandemic problems are not the business’s fault. Speaking the truth about potential delays, shortages, and other issues can relieve the burden on customers as well as employees.

Increasing Customer Retention Through Discounts and Incentives

Some companies have used signage to remind customers that we are in the middle of a national labor shortage and that their patience is appreciated. For example, a business may place a sign at a cash register that reads, “Our team is doing their best to meet your needs with limited staffing. Your understanding is appreciated.” This small gesture may help a customer think twice before complaining about a long checkout line or reduced inventory. Signage like this has the added benefit of reminding your likely-frazzled staff that you have their back.

Many customers simply want businesses to acknowledge that recent supply issues and labor shortages have affected them too. Many customers feel like businesses do not care about them or their needs. There are several ways that businesses can show customers that they appreciate their patience and continued support during these difficult times. For example, some businesses are offering discounts on delayed shipments or generous return policies for delayed or canceled products and services. Others are implementing or expanding customer loyalty programs and incentives for repeat customers.

Even something as seemingly simple as an email explaining the business’s current challenges and thanking customers for their support can improve customer retention.

Call Us for Help

As business owners contend with supply and labor issues, the need for dependable legal guidance and support becomes even more apparent. Our Naperville business law attorneys help business owners and business leaders with tax planning, employment contracts, shareholder disputes, mergers and acquisitions, and much more. Our outsourced general counsel program, YourOCG, provides legal support on a contractual basis for businesses that need legal guidance without committing to in-house counsel.  Call the Gierach Law Firm at 630-756-1160 for a confidential consultation.

Sources:

Chain Store Age

Forbes