Good news for Blue Monday: the High Street’s not dead – yet

Good news for Blue Monday: the High Street’s not dead – yet

(2 minute read)

Customer-centricity is the way forward

It’s that time of year when we have a succession of variously-coloured days: Black Friday pre-Christmas and Blue Monday today, allegedly the time of year when people are most depressed. To add to the spectrum there was a super blood wolf moon visible in the middle of the night for those Britons whose anticipation of the Monday blues was already giving them insomnia.

For beleaguered UK high street retailers and customers, the gloom continues. HMV the music retailer seeking a rescue package, has come under the radar of Mike Ashley, whose strategy seems to be to buy up any retailer heading for the rocks. For non-UK readers, Mr Ashley has built up a highly successful business – Sports Direct – selling cut-price sports gear to the public in the classic, low-cost, pile-em-high-and-sell-em-cheap model.

It takes a particular skill, in my view, to offer a poor in-store experience – confusing layout, multiple occurrences of similar products – and still achieve commercial success. This doesn’t bode well for HMV though: if the same strategy is applied, I don’t think it would succeed, since the competition for music/video content (these days a digital commodity) is different from that for clothing, a physical one, so no matter how high or cheap your piles of CDs are people have moved on.

I’m sure Mike Ashley realises this, but if he needs some further ideas he’d do well to take a look at the companies covered in a recent Marketing Week article who are bucking the trend by taking a customer-centric approach.

I’m glad to see Greggs included in this as I particularly liked their introduction of a vegan sausage roll to capitalise on the trend for “Veganuary”. In particular I liked their canny use of social media, when breakfast TV host and self-opinionated uber-bore Piers Morgan took exception to their “PC” behaviour. “Oh hello Piers, we’ve been expecting you” has to be one of the best (polite) put-downs of 2019. It’s possible to do low-cost with style and Greggs manage this as well as responding to customer preferences in a creative way.

Focusing on the experience is the way forward for arts and craft superstore chain Hobbycraft who at first sight would appear to be in danger of undercutting by the likes of Amazon. However, their stores provide workshops and how-to content online recognising that their customers outcomes extend beyond simply buying products. Customers want to feel part of a tribe (hobbyists, bakers etc) and acquire skills: playing to these outcomes moves the business away from being a commodity provider.

It’s this preparedness to think differently about the nature of a store that will distinguish winners and losers in the difficult times ahead.

For more thoughts about successful customer-centred practice sign up for our Inner Circle newsletter or, for more about outcome-based thinking. see our article The concept that will change your view of Customer Experience forever.

Nick Bush

Nick is a business advisor and non-executive director who helps organisations improve their focus and performance by developing customer-centred strategies and business plans. He has helped companies transform the way they do business through better strategies, change management and technology, with a relentless focus on the customer. Nick has worked across all kinds of business sectors from telecoms to banking, chemicals to charities - as owner of Open Chord his current focus is on helping arts and non-profit organisations to be more successful by creating a solid planning foundation that will help them grow.