The 3 Best Customer Segments for Driving In-Store Foot Traffic
Stumped on how to drive in-store foot traffic? Discover why these three customer segments are proven to boost brick-and-mortar sales and engagement.
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While online shopping has revolutionized the retail industry, the in-store experience remains a critical touchpoint for customer engagement and sales. To maximize foot traffic, omnichannel brands need to identify and target specific customer segments that are most likely to visit physical stores. We hear a lot from our Endear community about wanting to solve this problem. But where to start?
Watch Casey Drake, Endear's VP of Sales, chat through the three best customer segments to target to drive in-store foot traffic, or read all about them below and how to make them work for you.
Watch Now: How to Drive Foot Traffic with Endear
1. Online-only Shoppers Who Live Near the Store
Online shoppers who live near your store represent a prime opportunity for driving foot traffic. These customers are already familiar with your brand and have shown interest by shopping online, but they might not know you have a physical store location right in their own backyard. Their proximity to your store makes them more likely to visit - if given the right incentives.
How to engage
- Send Localized Promotions: Tailor promotions specifically for these local shoppers. Offer exclusive in-store discounts or early access to new products only for customers who have made a recent online purchase and have never made one IRL.
- Personalize Communication: Use your CRM data to send personalized emails or push notifications highlighting the convenience and benefits of shopping in store. For example, you could promote same-day pick-up for online orders or exclusive in-store events.
- Geotarget Your Paid Ads: Utilize geotargeting in your digital advertising campaigns. Ads promoting in-store experiences or special events can be shown to customers when they are near your store, encouraging a spontaneou visits.
Why it works
By engaging online shoppers locally, you can convert that digital engagement into real, physical foot traffic, providing a seamless omnichannel experience that lets your customers interact with the true personality of your brand, only strengthening their customer loyalty.
2. VIPs Without an Assigned Sales Rep
We consider VIP customers as those who frequently shop with your brand, whether online or in-store, and have a high lifetime value. If you don't already have a sales team member assigned to each VIP, you're seriously missing out on sales. These loyal customers are invaluable for driving both foot traffic and sales, as they are often willing to spend more and engage deeply with your brand, so assigning them a brand expert to help with their every need is crucial to their prolonged loyalty.
How to engage
- Host Exclusive Events: Host VIP-only events in-store. These could range from private shopping experiences to product launch parties. Offering unique VIP customer experiences in retail can make VIP customers feel valued and appreciated.
- Launch Loyalty Programs: Enhance your loyalty program with in-store benefits. Offer exclusive discounts, early access to sales, or complimentary services that can only be redeemed in-store.
- Be Their Personal Shopper: Provide VIP customers with a specific brand rep to use as their own personal shopper. This high-touch approach can make in-store shopping more appealing and make them feel even more special.
Why it works
Assigning a sales associate to each of your top customers not only makes them feel like the VIP they are, but it drives foot traffic and fosters a deeper connection with your brand in the process. These customers are likely to become brand advocates, spreading the good word, and encouraging others to visit your store.
3. Lapsed Customers
Lapsed customers are those who have previously shopped with your brand, but have not made a purchase in a significant amount of time - usually 90 days or so. Re-engaging lapsed customers can help revive their interest and drive them back to your stores.
How to engage
- Tell Them You Miss Them: Launching targeted reactivation email or text campaigns reminds these customers what they're missing and makes them feel special. Offer unique discounts or incentives for returning to the store, and be sure to personalize your outreach to remind them of your brand's great customer service.
- Ask For Feedback: If enough time has passed, lapsed customers are also a great focus group to use for feedback on why they stopped shopping with your brand. You can then use this information to address any issues and invite them back with a personalized discount.
- Offer Timely Promotions: Leverage seasonal events and other timely promotions to entice lapsed customers to come back now. Themed sales or events around holidays can provide the perfect excuse for them to revisit your store.
Why it works
Re-engaging lapsed customers can help recover lost revenue and increase store foot traffic. By understanding and addressing the reasons behind their lapse, you can improve your overall customer experience and retention rates.
Driving in-store foot traffic in an omnichannel world requires a strategic approach to retail customer segmentation and engagement. By focusing on online shoppers who live near the store, VIP customers, and lapsed customers, omnichannel brands can create targeted campaigns that resonate with these key segments.
Utilizing localized retail promotions, personalized communication, and exclusive in-store experiences can convert online interest into physical visits, fostering a more connected and loyal customer base. For retail directors and retail operations directors, understanding these customer segments and implementing tailored omnichannel marketing tactics is essential for boosting in-store foot traffic and achieving long-term success in the omnichannel retail landscape.
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