Home > Columns > CRM Columns

How to Keep Customers Happy When Economic Uncertainty Reigns

Contributed Article by Amanda Winstead

 ^{Image Source: Pexels}

To say we’re facing a period of economic uncertainty would be an understatement. Throughout the last few years, we’ve experienced record inflation, spotty supply chains, and overworked and stressed employees.

It’s been hard enough for businesses to stay afloat, but consider the average consumer. Consider the single mother who has to forego buying eggs this week for her family because she can’t afford it. Or, think about the person going to the local grocery store to buy nutritious food for the week only to find that the supply is limited at best.

These issues can be frustrating and frightening for even the coolest-headed customers.

So, what can your business do to alleviate those frustrations? How can you keep moving forward and finding success in the midst of economic uncertainty while keeping your customers happy? Let’s cover a few strategies that can help.

Understand Shifts in Consumer Behavior

Chances are, your business has had to make some adjustments over the last few years. Whether it was due to supply shortages, rising costs, or production delays, you’ve had to adapt and make things work, perhaps differently than ever before.

Consumers are really no different. The more you understand the changes in consumer behavior thanks to things like inflation, the easier it will be to make your own adjustments to keep them happy. Many consumers are cutting back on non-essential spending, but that means they’re willing to spend more on things like groceries. Depending on your industry, you should adjust your marketing strategy and perhaps your customer service strategy based on those ideas.

How can you determine what your target audience is doing to stay ahead during these uncertain times? Ask them.

OK, it might not be that simple. But, things like focus groups, data collection, and surveys can go a long way when it comes to developing an understanding of current spending habits and how those have changed over the last few years. Showing an interest in your audience’s spending habits is an initial way to “reach out” and let them know you’re listening, you value their needs and wants, and you’re willing to do what it takes to keep them as loyal customers.

Focus on the Customer Experience

While every business wants to attract new customers, your focus right now should be on retaining your existing ones. That doesn’t mean you should throw out your marketing strategy and stop trying to bring in a new audience. But, research has shown that loyal customers spend more money and come back more often. They’re also more likely to talk about your business to others, so they could be doing a lot of the advertising for you.

So, what can you do to boost customer retention?

Start by making sure their experience is a positive one from start to finish. That includes things like having an easy-to-navigate website, a customer service team that knows how to deal with different types of people, and a social media strategy that encourages engagement. You should also focus on things like:   

• Offering appropriate discounts
• Creating a customer loyalty program
• Asking for feedback (and putting it into practice!)
• Showing customer appreciation  

Of course, even if your customer service team is great and you’re doing everything you can to keep consumers happy, it doesn’t mean much if you can’t deliver the goods or services they’re looking for promptly. Supply chain issues have plagued businesses since the start of the pandemic. While things have improved slightly, it’s still a good idea to make your business’s supply chain efforts as resilient as possible. Reduce risk by diversifying your suppliers, investing in an inventory tracking system, and monitoring your performance regularly. When you’re able to give your customers what they want, when they want it, you’re likely to improve their overall experience with your brand.

Take Care of Your Team 

As the old saying goes, you can’t pour from an empty cup. Whether your business has been struggling or not, there’s no question that the average employee is feeling the stress of an uncertain economy. According to the American Institute of Stress, 83% of U.S. workers are dealing with workplace stress.

That can lead to depression, anxiety, and burnout. It can also cause a lack of motivation and productivity, and you’re less likely to foster positive customer experiences with a team that’s unhappy or unhealthy. In fact, there’s a closer relationship between employee well-being and customer service than you might think.

You can’t change the state of the economy, and you might not be able to completely overcome the challenges your business is facing right now. But, you can foster a positive work environment and take care of your team by:   

• Implementing an employee wellness program
• Removing toxic employees (especially those in leadership positions)
• Allowing more flexibility
• Encouraging frequent breaks
• Providing necessary accommodations  

The happier your employees are at work, the more loyal they’ll be to your business. That will reflect in every interaction they have with a customer, whether it’s in-person, online, or over the phone.

The last few years have been a struggle for businesses and consumers alike. If you want to continue to see success, make sure you’re putting those consumers first, and doing whatever it takes to keep your customers happy during this time of economic uncertainty.