During the pandemic, 61% of people increased their online shopping; 14% of consumers started shopping at online supermarkets, and 17% stopped going to physical stores.
What are supermarkets doing to meet the growing demand from digital services?
To help us answer this question, we invited two experts in the field:
- Fabiano Benedetti: Marketing and Business at APAS (São Paulo Supermarket Association)
- Murilo Savegnago: Marketing Manager at the Savegnago Supermarket Chain
Check out the full webinar: Customer experience in supermarkets (online and offline).
Fabiano Benedetti: In supermarkets, we face two challenges: logistics and the issue of perishable and natural products, which must be delivered with high quality. At the beginning of the pandemic, complaints against supermarkets were increasing, but today we see that this has decreased significantly; in other words, the sector has managed to adapt to the new normal through alternative payment methods and drive-thru services, for example.
How did the Savegnago supermarket chain respond to digital growth? And how did it strengthen its relationship with customers?
Murilo Savegnago: The pandemic was a catalyst for the digital environment. The physical presence and experience in the store did not cease to exist, as the store has its charm, especially in our sector, focused on service and convenience.
We saw a 30% increase this month (October 2020) compared to last month in the average customer order value. We also saw an increase in e-commerce, going from 1,000 orders per day to 5,000 . Delivery apps now account for 15% of our online sales . The drive-thru system is also changing, with the use of intercoms, for example. I believe that companies in the sector have been able to absorb and adapt to the demands of the new normal.
Engaging with customers and responding to reviews quickly and efficiently is a key differentiator for the Savegnago supermarket chain. How about telling us a little more about that?
Murilo Savegnago: The customer buys from the brand, not the store. Therefore, we need to create a relationship with them and our brand. The logistics and product aspects are the brand's responsibility; what the customer needs is to receive comprehensive service across all contact channels they have with us.
We saw a great opportunity through digital technology. Harmo's tool gave us the ability to respond to 100% of our customers. Today we have 1,700,000 registered customers, and the challenge is to relate well to this vast number of people. Harmo made all the difference, as we were able to speak to each customer individually. That's what experience and brand relationship are all about!
Fabiano Benedetti: The supermarket has always been a very strong showcase. In the past, complaints were seen as a problem. Today, with social media, we can instantly monitor what customers are saying.
People seek quick answers, and when you view what customers say about you positively, you gather information and promote improvements. This is an open door. When a customer is treated with respect, they will pass this on to other customers and become a promoter of your brand.
When we talk about online reputation, 85% of customers leave positive reviews. The response strategy focuses on local SEO, generating visibility. How do you handle this at Savegnago stores?
Murilo Savegnago: We divide all the cities into 4 regions and monthly we discuss all the points and customer feedback, whether positive or negative, so that we can improve our operation, delivering value. We also use this as a way to individually congratulate an employee who made a difference at some point. We usually say that we have two eyes, one for our customers and the other for our employees.
During the pandemic, things changed constantly, from operational information to combat and prevention protocols. What was your experience like in relation to this? How did you keep the records updated?
Fabiano Benedetti: Governments and city halls were changing things very quickly. How do you communicate with your customer without knowing if you'll be open the next day? If your customer will be able to enter the store? We tried to keep customers always updated, but it wasn't easy, it was a challenge for everyone. I believe this was done very responsibly.
Murilo Savegnago: As we made our activities available on social media, we relieved the burden on other communication channels, such as customer service. Of the 65% of customers who shop online, 62% check what's being said about brands on social media. We experienced a 30% drop in communication channels like phone and customer servicebecause we started making a lot of information available on social media. When customers have access to this information correctly and easily, they feel secure and don't need to contact us to ask things like "Are you open today? What are your opening hours today?". Previously, we used flyers to advertise offers. For example, today we make this information available on social media, and customers no longer miss flyers because they always have access to the latest news.
When we talk about experience and reputation management, which are two interconnected topics, what tips would you give to the public so they can start using this in a relevant way for their business? How can they look at this strategically?
Fabiano Benedetti: Today, if you don't work on your company's image and don't look at what customers are saying about their experience with you, on an individual level, you will lose out. Responding to each person individually is how you turn them into fans of your brand. A store that treats its customers well will make them return because it offers values that aren't for sale. It's necessary to understand your reputation data and address problems head-on, segmenting customers. This mechanism should be at the center of companies' decision-making. Today, although the digital environment is growing significantly, it doesn't replace face-to-face interaction and experience.
Murilo Savegnago: Regardless of what your company is, the customer is at the center, and everything should be geared towards them. Today, there are no customers per category, but rather categories per customer. With a focus on the customer, I believe Black Friday will be about experience, not promotion. Black Friday is much stronger in the digital realm, so it's necessary to offer an impeccable customer experience journey: a website with easy navigation, product availability and stock, on-time delivery, product quality, and a genuinely reduced price.
What was it like for Savegnago to start an online reputation management project?
Murilo Savegnago: It all started with a suggestion from one of our advisors. Our biggest problem was having a lot of information but not communicating it to the customer. We realized that this information was valuable and we sought out a comprehensive company like yours in the market. Today, customers know that we will listen to them, whether they are congratulating us, praising us, or criticizing us. We are 100% committed to building relationships with our customers!
Next, we share a success story from the Savegnago supermarket chain, which has been with us for 10 months:
- In less than 3 months, the Savegnago supermarket chain increased its views on Google My Business by more than 50%, reaching over 1 million views per month.
- Before Harmo, Savegnago's average monthly search volume was 1.2 million. After Harmo, it increased to 1.8 million.
- The average monthly views increased by 50%, doubling from 500,000 to 1 million.
- Monthly shares, however, increased from 41,000 to 80,000 after Harmo.
- 100% response rate, meaning all reviews were answered.
Check out the full webinar: Customer experience in supermarkets (online and offline).