To succeed in this new age of consumerism, you cannot continue to be a “tire store.” Think about what motivates you to buy certain products from certain companies – what drives purchasing decisions for members of your family.
An oft-cited example at the dealer gatherings was Starbucks and why people would willingly spend $4 for a cup of coffee. Was it the quality of the brew? Or was it the whole package – the look and feel, the lighting and the décor, the smell…oh that smell! Was it the staff or the other customers, some in line like you, others reading the daily paper or surfing the Web in the peaceful, library-like quiet.
It was the “experience.” Post-purchase surveys showed time and again that Starbucks wins because people like to be there.
There was a great booklet released a couple of years ago entitled “The Secrets to Apple’s Retail Success.” In it, author Steve Chazin recounts Apple’s historic retail failures, and what it took for a company with only four products to become the most profitable retailer in history – all during the worst financial crisis in modern times.
How did Apple “entice millions of people to visit their stores and pay full price when all their products are readily available at other retailers and even tax-free online?” he wrote.
How indeed.
Instead of focusing on the products – the design, utility and performance – Apple focused on what people do with their products – the experience.
Remember the iPod ads that showed only the black silhouette of someone dancing with two white wires hanging from their ears? It wasn’t about getting the music, it was about the experience music gives you. It’s not about the computer or the smartphone but rather what those tools allow you to experience.
Apple’s retail approach took the same path. Walk into an Apple store. There are none of the traditional retail trappings, no checkout lines or airborne signs or clearance tables. There are dozens of t-shirt clad folks – young and old – eager to answer questions, help resolve problems, provide information.
They are the brand and they believe in the experience.
So what can you do to change the customer experience at your business? Does a tire store have to look and feel and smell…oh, the smell!…like every other tire store? How does your “brand experience” rise above how customers feel about your competition?
I understand that you can’t be an Apple store, but I’ll bet that if you put your mind to it, you can change the landscape in your markets. Maybe even the retail landscape in this industry.