Consumers are becoming increasingly dissatisfied with retail giants in favor of smaller businesses, reveals a poll done by ActiveCampaign.
Out of 60 percent of consumers who have negative sentiments towards large retailers, 69 percent of Gen Z and 51 percent of Boomers tend to avoid major retail players.
Still, the poll reveals that SMBs have yet to win the hearts of consumers as many smaller businesses sell across multiple marketplaces and often do not connect their operations.
For this reason, 30 percent of consumers said smaller businesses are not their first choice when shopping.
Further, just 20 percent of surveyed people said they shop from the ‘small business’ storefront on Amazon, showing that SMBs might need to look for other places to grow their business.
“ActiveCampaign was founded to help businesses of all sizes grow, and that same mission holds true today. We’ve democratized access to technology that was once reserved for the largest of companies. Now, the playing field is leveled for solopreneurs and medium-size businesses alike. We will continue to listen to our customers’ needs and improve our technology to help even more businesses grow in the future”, said Jason VandeBoom, Founder and CEO of ActiveCampaign.
1:1 Experiences Matter
The survey reveals that personalized 1:1 experiences are one of the main differentiators for SMBs, especially in the coming holiday season. In line with this, 84 percent of consumers intend to shop small during the holidays.
However, 88 percent of consumers say that higher prices are one of the biggest deterrents from doing, while 69 percent said that it is their number one barrier. Nevertheless, SMBs should continue to focus on investing in customer experience for the long term and not just to drive sales during the holidays.
When shopping small, consumers prefer to get bespoke products, given that the experience outweighs the convenience of large retailers. The report also suggests that SMBs should insert an additional layer of personalization when interacting with customers, such as care recommendations for previously purchased items.