Overcoming the Footfall Crisis in Retail
Published by TwentyCi on 29th June 2020 -
A recent survey by Dynata* found that only 10% of people planned to visit a non-essential retailer when they re-opened. A third said that they intended to go, but not straight away while another third said they would not return “for some time”.
When confidence dents consumer activity and footfall evaporates, it’s essential to take decisive action with your marketing engagement plans. Saving your way out of the pandemic crisis is not an option. Growing profitable revenue is the only real way forward.
Concentrating a significant proportion of your available marketing spend on consumers that have an imperative to be in market should take priority. An audience committed to a home move, for example, and who actually need your product, now.
Did you know that consumers who are in the process of moving to a new home are nine times more likely to make home furnishing and home improvement related purchases than a non-homemover? These consumers typically spend 50% more on these products and services than those not involved in a house move.
The important point is that even in these uncertain times, homemovers who are already committed to move, are still in the market to buy from you, unlike other consumers whose expenditure may be more discretionary.
There are 3 significant opportunities for retail marketers to generate immediate footfall & results
No 1 – nearly 300k house moves had occurred in Q1 before the enforced lockdown many of whom have been thwarted in the opportunity to furnish their new home whether this was with carpets, curtains, decorating, furniture, kitchens, bathrooms or soft furnishings. They are looking now for safe ways to complete making their home their own.
No 2 – nearly 350k homeowners had sold their property but were unable to progress the transaction during the lockdown & if you think the property market had evaporated during this period then think again. Fall through rates for March & April are lower than in 2019, whilst May edged only slightly higher than last year.
This large audience who have been “held back” will want to progress their move quickly and will be putting the finishing touches to their move before commencing an intense spending period on furnishing their new house to make it a home. They are keen to move and make their plans a reality.
No 3 – ironically those homemovers whose transaction has fallen through or been withdrawn provide a significant opportunity to Retailers. From our extensive experience we know that when this occurs and the homeowner decides to stay put, their initial frustration is replaced by needing to fall back in love with their existing home. Without the need to fund removers, conveyancing and stamp duty their budget to stay & improve will unlock spending across almost every home furnishings category. They have money to spend and want to make their home their own again.
So, if you think the property market has evaporated then think again.
Here at TwentyCi we are the leading data & insight provider for the UK property market and compared to our next best competitor, TwentyCi have 67% more households. We are also multi-channel with engagement available across direct mail, email, social, digital display, mobile and television. We can help you engage with new audiences that you haven’t engaged with before, and tell you who of your existing customers are in the home move journey so you can change the communications you send them, making them more relevant.
For the marketing programmes we support, our data & insight typically delivers an ROI of over £20 to every £1 spent.
So, if you are looking for the best bet to drive footfall and boost your business post lockdown we can help you make sure the right people come through your doors, get in touch to discuss further.
*Source – Dynata Survey - https://www.dynata.com/covid-19-insights/