CATEGORY
Clienteling Services North America
Clienteling services is mostly used in the Retail Sales, to establish long term relationship with the customers based on their behaviour patterns, purchases, preferences
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Schedule a DemoClienteling Services North America market report transcript
Regional Market Outlook on Clienteling Services
The clienteling industry in North America was valued at around $0.71 billion and is expected to grow at CAGR of nearly 5 percent over next 2-3 years. The retail sector is primarily driving the clienteling industry and hence, retailers can benefit out of their account attractiveness while negotiating with the service providers.
Key Insights
- The clienteling industry is primarily driven by retail buyers and hence the established brands can leverage on its account attractiveness to negotiate price with the service
Growth Drivers
- Availability of Data: Owing to high internet penetration of nearly 88 percent and integration of multiple channels, organizations have detailed level of information about its end-customers. This availability of data acts as a foundation stone in the success of any clienteling program
- Personalized Communication: Minute details such as browsing history, preferred mode of communication, previous purchases etc. are analyzed which helps the retail store associates to provide a personalized experience to their key customers and thus improve sales, customer service and overall shopping experience
- Que-less Shopping Experience: Retailers can avoid sales loss due to long que by offering digital checkout options to its customers
- It's helpful in gaining real time insights about customers and prospects
- It increase opportunities to up-sell and cross-sell
Key Trends
VIP Customer Database
- Retailers are keeping a database of its key customers wherein they record minute details for personalized 1:1 communication. These details include:
–style and brand preferences
–prior purchases
–active warranties
–loyalty program information
–key dates such as anniversaries and birthdays
–preferred mode of communication
Community Development – Elite Salespeople
- Organizations are developing an online community of top performing retail associates where they share their success stories with their co-workers. This helps other associates to improve their selling technique, thus increasing sales numbers
Regular Training
- In order to execute the clienteling program as designed, retailers are providing regular training to their associates
Communication via Chat and E-Mail
- Retail companies are focusing on engaging with its customers even after they have left the store
- They are continuing to communicate with the help or chats and e-mails wherein templates and pictures are shared
- These communications are recorded and shared with retail associates when the customer visits the store
Omni-Channel Inventory
- Retail companies are demanding omni-channel inventory platform where each store can access inventory in other stores, online
- This would facilitate in smooth processing of online and store orders
Rewarding Top Performers
- Retailers are rewarding top performers to motivate them and their colleagues to use clienteling platform
Supplier Shortlisting Criteria
A list of clienteling service providers have been provided, which have been shortlisted based on the parameters mentioned below:
- Service Capabilities: Clienteling , Customer Information and Order History, Black Book Management, Follow-up Management, E-Mailing, SMS Messaging
- Geographical Coverage: North America
Procurement Best Practices
Engagement Model
- Companies prefer to engage with North American service providers.
- Well- versed with the local culture and understanding of customers' sentiment that helps to connect better
- Cost effective compared to global players
- Mature supply landscape in North America
Pricing Model
- Typically Project + Performance by Result based pricing is the most adopted pricing model while sourcing clienteling services.
- Scope and objectives are well defined
- Generally 20-25% of the overall payment is linked to performance
- Makes the service provider accountable
- Promotes innovation
Contract Duration
- Medium term contract duration is widely followed in the industry.
- In such a scenario the buyer isn't tied to a clienteling service provider for long
- Medium term contracts pushes the service provider to remain technologically updated
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