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Tuesday, May 2, 2017

The Different Types of Shoppers and How to Keep Them

Customers are the lifeblood of any business and knowing how to retain them is a lucrative strategy. Understanding the different types of shoppers can help you create strong customer service and loyalty programs. There are four different types of shoppers that include economic shoppers, personalizing shoppers, ethical shoppers and apathetic shoppers (Stone, 1954).

Economic Shoppers: Want products at the lowest price. They may consider value and warranties but ultimately want to purchase items at the cheapest rates possible. American made or not they are going to buy.

Personalized Shoppers: They shop based on the relationships they gain from their shopping experience. It is best to treat them with individual consideration. These type of shoppers are seeking personal and friendly staff. This is one of the reasons why customer service has a strong impact.

Ethical Shoppers: They shop based on loyalties. Most of the time they will frequent the same store over and over without moving around much. Rewards and loyalty programs work here.

Apathetic Shoppers: These are non-active shoppers that often don't buy products. They are generally not the place you put a lot of energy because you don't receive much return.

Economic shoppers are difficult to deal with because everything is price sensitive. However, personalized shoppers and ethical shoppers have traits that can provide a larger ROI. Stronger customer service will keep personalized shoppers while ethical shoppers can be retained through loyalty programs.

Stone, G.P., “City and urban identification: observations on the social psychology of city life,” American Journal of Sociology, Vol. 60, July: 36-45, 1954

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