As an avid shopper and passionate researcher, it has been truly incredible to follow the roller coaster ride that is J.C. Penney, with the ridiculous highs (increased media spend) and tragic lows (sales and reputation). I’m still dumbstruck that JCP would make such significant changes to its business without conducting research to better understand their customers; especially since the basis of these changes have everything to do with how shoppers shop.
Ignore the Customer at Your Own Peril
Is JCP the only company that is missing the mark by not incorporating customer opinion into its business decisions? Nope, not by a long shot. Groupon has also been suffering as of late, but it may find its way after all. In an open letter to Groupon employees upon his ousting, the one regret that CEO Andrew Mason expressed was not having the courage to start with listening to the customer. Especially in a fast-moving tech company, it can be easy to let the data and the numbers lead the way, but without listening to customers, you’re not getting the whole picture. Don’t forget, without customers, you have no data, and therefore, no business.
It Doesn’t Have to Be That Way
After years of not listening, can companies like these regain leadership in their respective industries? Absolutely, and The Pert Group can help. After recognizing a loss of its leadership position, a casual dining restaurant chain commissioned The Pert Group to help identify the path that got them there, and what they could do to turn it around. To regain its position and increase visit frequency, the restaurant chain recognized the need to get in touch with its guest base again and understand the current customer relationship in order to renovate its brand. The Pert Group used a holistic approach to understanding the market, with a comprehensive competitive analysis, internal and external in-depth interviews, onsite visits, focus groups, and a quantitative assessment with customers to identify additional insights that would drive the recommended brand strategy. The new brand strategy resulted in an immediate 17% increase in sales. In addition, the chain effectively weathered the recent downturn in the economy.
Leadership can be regained, but it must begin with understanding and appreciating the value of your customer’s voice. Have you been listening to your customers? Are you asking the right questions? Contact me and let’s create the right listening strategy for your brand.