We list 10 key statistics providing insights into the latest industry and consumer trends affecting kitchen retailers right now.
Even before the COVID-19 crisis, the ways in which kitchen retailers operated and engaged with their clientele were shifting in response to technological change and customer demand. Now, the circumstances of the pandemic are forcing a further rewrite of the rules, as we adapt to a new normal of remote service and socially distanced in-store experiences. But as kitchen retailers look to respond to the circumstances of today, what can they expect for the customer experience of tomorrow? Statistics are providing vital clues.
Flight to digital and omnichannel
Globally, over 60% of consumers have changed their shopping behavior since COVID-19. Despite the re-opening of many physical stores, a large majority of consumers are choosing to continue with predominantly online shopping. The suddenness of this change has left many kitchen retailers with increased online demand, but without the online offering in place to properly address the online experience consumers now want when shopping for kitchens. If managed correctly, however, there is potential for kitchen retailers to increase their online sales and target new markets over the long term.
The good news is that companies with omnichannel customer engagement strategies retain on average 89% of their customers, compared to 33% for companies with weak omnichannel engagement. The key is to offer the same, if not better, experience that you would do in-store. To achieve this, kitchen retailers can look to omnichannel purchase journeys, but more than this, omnichannel design.
The changing face of loyalty
It’s clear that the pandemic has disrupted brand loyalty, with even more consumers shopping around on multiple sites before making their final purchase. Nearly 75% of people compare up to three e-commerce sites before completing a purchase. Availability, convenience and value are all factors that play into consumers choosing to purchase with new brands this year. It is also down to which retailers offer their users maximum flexibility in the buying process.
Reacting to shopping and design behaviors, and providing engaging online experiences, that align inventory and supply chains to demand, is vital to satisfy customers and increase loyalty and revenues.
The kitchen design landscape
2019 saw a 27% increase in the number of kitchen remodels in the US. These are still a priority for many consumers. With growth on the horizon, it’s important that kitchen retailers are able to offer what the new consumer wants from them now.
Consumer tastes have evolved as a result of changing work environments (such as working from home), which have, in turn, impacted spending habits and priorities. To compete in the new normal, kitchen retailers must be equipped with a digital offering that showcases inspiring designs and provides next-level design capabilities that allow customers to easily explore new ideas and visualize them in lifelike renders of their homes.
As kitchen retailers look ahead at how they can continue to meet consumer needs, it’s important to focus on the changes that are taking place in the customer journey and address these quickly. Personal, error-free online and omnichannel experiences that allow even inexperienced buyers to create their dream kitchen as autonomously as they desire are on the wish list of many shoppers.
The demand for simple yet highly effective and personalized experiences is only going to increase, as will the pressure on retailers to provide shorter purchasing cycles and right-first-time fulfillment.
It’s impossible to say how much longer this transition will remain in place and what other trends are to emerge. But one thing is clear: the drive towards an all-digital customer journey is here to stay. Kitchen retailers must continue to revisit their strategies and look at new and emerging technologies, like 3D planning, to futureproof their business, grow customer loyalty and deliver on customer expectations.
HomeByMe for Kitchen Retailers is a cloud-based 3D planning solution that will enhance the online experience with advanced functionalities to introduce true value and marketability, combined with the agility to quickly react to fluctuations in customer demand. Contact us today to find out how we can help kitchen retailers to accelerate their digital transformation strategies.