The times have been uncertain for the retail industry. Though people are always in a mood to purchase commodities, but their enthusiasm has been curbed by the economic situation persisting in the country. The customers have to wage their own financial wars. In such times purchasing new items from retail store often looks like a luxury. In such a time the retail businesses have had to use different ploys to get business.
Sales are the lifeline of any retail business and business owners are trying every trick in the book to get sales. They are cutting down on the prices or offering hefty discounts to find the takers for their products stocked in the inventories. Lowering the prices is having adverse effect on the profits of companies. But there is no other way, if you do not compromise your nearest business rival will make the most of your lapse. In such uncertain times the role of a loyal and steady customer base has become more important than it ever was. Every marketing person knows how difficult it is to earn new customers. It takes 5-10 times more cost and energy to get sales from a new customer. This is why role of customer care has become vital. Here again lays another dilemma, paying for the call center services can be tough for the companies especially when the local call centers are non-compromising on their prices. This has led a majority of the retail brands to look offshore for an ideal customer services provider. India has emerged as the number one destination in this regard. The country has been supporting processes from different niches over the decades and they have the right know how. Whether it is technical support or customer helpdesk services it is safe to outsource to India.
Challenges Existing in the Present Market
- Low Costs:As the revenues of retail brands have diminished significantly and the competition has gathered pace, all the retail business owners are looking to lower their operational costs. They are looking for price cuts in every aspect of their business. Though they understand the role of customer services but they cannot over spend on it. Good services at pocket friendly rates seem to be the motto of the hour for retail brands in terms of their customer service strategies.
- Competitive Edge: The retail brands are clustered together; they know a minor slip from one can help the other reap rewards. This is why they are looking at services that would have a proactive approach. Predictive services would be able to give retail brands an edge over their rivals. It will help the brands learn about customer needs and the gap in the market. With this information the brands can devise new plans to attract new customers.
- Brand Loyalty: As mentioned before retail business cannot solely depend on sales from new customers due to the cost factor. This is why they have to make sure that the existing customers get good value for their money and supreme customer support. When the existing customers stay happy, they will suggest your brand to their known circles. This leads to new referral sales without any extra costs.
- Conversion to Online Store: If you have to survive in the present retail business scenario then you need to convert your store to an online entity. Present customers like to shop from the confines of their home. There are thousands of online brands, so you cannot give these brands an edge by not competing online. But online shops have their own hassles. There is need to maintain stocks and support the customers through the ordering process. Most of the present day customers also want to use the live web chat window to clarify their doubts at the point of purchase.
- Data Analytics: Every communication is valuable for the brands. Brands can learn a lot about the customers’ satisfaction levels and the grey areas in their business. If analyzed well the data can help implement new plans and rectify the problem areas.
How Does Outsourcing Help Meet these Challenges?
Now, let us look at some facts that have led major retail brands to switch their customer support and technical support services to an offshore location.
- The Cost Factor: When you outsource to a country such as India you can save a lot of money. The prices are about five times lower than it would be if an US based concern was handling your process. Outsourcing can help you save a lot of your business funds and the money can be spent in other areas of business proliferation.
- Edge with Analytics: Indian outsourcing companies have impressed their US clients with their attention for details. The data analytics services are especially very important for the retail businesses. As a part of it a feedback process is set up and all the data is stored. The data is analyzed by a team of experts and various insights are listed. It can help you address the present problems and make an informed decision regarding future business plans.
- Customer Happiness: India has the ideal set up for offering pleasing customer services. There is a rich pool of talented customer service representatives. The outsourcing service providers have set ups for in-depth training. When you approach a reputed service provider you will find they have already supported many processes that are similar to yours. The agent performances are measured by First Call Resolution and Call Handling Times. So, your customers are safe in the hands of empathetic and helpful agents.
- Back Office Activities: The critical activities such as managing the link between stock checking and shipment of orders can be done by the outsourcing services. The agents can also minimize the empty shopping carts by assisting the customers at the point of purchase (through live web chat) and through the ordering process. The agents can source problems to specific departments.
- Analytical Reports: All the communications happening with the customers are kept safe by the outsourcing services. The companies will provide analytical reports containing vital information about the performance of your process. It will carry many insights that are vital for your business.
Outsourcing customer support or technical support services to an offshore location such as India is the wisest choice you can make based on the present market situation.
