The Federal Reserve Bank of St. Louis opens in new window reported that 8.9 percent of all retail sales stemmed from e-commerce in the second quarter of 2017. How does this change the way historically brick-and-mortar establishments operate their business? In the past 10 years that I've worked with Batteries Plus Bulbs, the nation’s only battery, light bulb, and phone repair franchise, we have found continued profit in a few specific ways. Here are 4 ways to optimize sales in a changing retail environment:

1. Know your customers
Knowing your customers' behaviors is key when trying to market your product and in turn make sales. You must learn the preferred purchasing experience, and then act accordingly.

In 2017, TimeTrade opens in new window conducted a survey on consumer behavior online and in-store. They found that overwhelmingly, 75 percent of customers prefer to purchase items at a nearby store versus online, when both options are available and 88 percent of those noted their likelihood of purchase increases when knowledgeable associates are available to provide advice and expertise. Additionally, 96 percent of consumers will choose in-store pickup rather than shipping to their home when incentivized slightly by a small discount or free shipping. This insight shows that it would be beneficial to offer consumers an online portal for convenient shopping and ensure an exceptional experience on the ground to turn clicks into physical sales and memorable experiences that keep them coming back.

2. Be present online
Google's search algorithm favors higher-reviewed and more active pages. If you want customers to visit your store, most will need to find you online first. So, step one: upload a photo to your Google address profile and make sure accurate store hours are reflected. These attributes legitimize an establishment. In 2016, 4.9 million people searched for directions to a nearby Batteries Plus Bulbs, up from 3.3 million people in 2015. Your customers are looking for you; be sure you are represented accurately.

3. Read your reviews
Online customer testimonials are an aid to business, no matter what rating is given. High ratings mean exceptional service, product knowledge, and dedication – they confirm customers' decision to shop and allow for identification of strengths. Low ratings, as you may guess, are not ideal, but are an opportunity to perfect a business and identify weak areas. These reviews take the mystery out of customer satisfaction and are crucial to success. If your customers are taking the time to leave a review, they are sharing opportunity for improvements – so listen to them and take action.

4. Deliver an exceptional customer experience
You’ve established an online presence and read some of what customers have to say – now what? React and adapt. In 2016, ReviewTrackers opens in new window found that 51.7 percent of consumers expect a business to respond to a poor review or complaint within seven days. One in four expect a response within three days. Respond to reviews and identify where experiences can be improved. These steps can prompt customers to amend or delete their poor ratings, leading to higher overall satisfaction. By delivering excellent service to one customer, a business’s entire reputation is elevated.

On the floor, work with employees to ensure exceptional interactions are taking place. Incentivize good reviews and reward accordingly. This will benefit the business and employees' careers, also showing appreciation for hard work. Urge that employees encourage feedback following an interaction or sale by prompting consumers to review them online or fill out a comment card. Simultaneously, learn more about your staff and take a personal interest in their well-being and overall attitude to form relationships beyond manager and employee, showing that you care about their continued growth. These personal associations will not only allow you to learn more about your employees' strengths and weaknesses, but will create a more meaningful and motivating work environment, leading to overall customer and employee satisfaction.

Takeaways
Overall, the key takeaways: make sure your online presence is active, listen to your customers, reward hard working employees, and react to any feedback from customers and employees. Once these are implemented, you’re right there competing with the e-commerce stores.

By understanding the value of knowledgeable employees, meaningful customer interactions, and online to in-store conversions, small business owners can ensure stability and success in this changing retail environment.