Wednesday, December 29, 2010

Low prices aren't everything

According to, "If online retailers think slashing prices to the bone is the best -- and only way -- to grab holiday shoppers this year, they're mistaken."

Even though more shoppers make purchases online this year compared to previous, their satisfaction levels with e-tailers declined slightly this holiday sales season.

A new industry report released today, by Foresee Results, ranked holiday winners and losers among major online merchants based on customer satisfaction. Satisfaction with the top 40 online retailers slipped 1 percent to an index of 78 out of 100 points.

Retailers were judged on four categories: content, functionality, merchandise and price. Amazon ranked #1. They reportedly excelled on content, functionality and merchandise.  Again reinforcing that the lowest prices aren't everything.

According to Kevin Ertell, vice president of retail strategy at Foresee, “Overall online site experience is incredibly important to not only satisfaction but in getting people to come back and buy, again and again.”

As you plan your online presence for the upcoming year, your website may need an update.  Evaluate your website from the perspective of your customer. Evaluate what is working and what needs to be adjusted for better response and retention. Solicit answers from your customers. Asking "why" and acting on the feedback, may help you to gain better long term customer satisfaction.

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