There is no doubt that Covid-19 has rocked the economy. The World Economic Outlook from the International Monetary Fund (IMF) predicts that the cumulative loss to world GDP from 2020 to 2021 will be around US $ 9 trillion.
Greater than the combined economic value of Germany and Japan. The crisis not only disrupts the global market, but also affects people's lives, needs, priorities and spending behavior.
In harsh economic conditions, consumers are becoming more sensitive to where and how they spend their money - for business, this creates a whole new set of challenges.
Consumer centricity, is a term that has been in use since the 1960s, but has never been more relevant than in today's business landscape.
In such an extreme environment, customers want more than the best offer or the lowest price; they are looking for a reliable business, confidence, and trust in the brands they choose to do business with.
The ultimate goal for a consumer-focused business is customer loyalty.
So how can businesses predict or adjust to evolving customer expectations? It starts with understanding how your company operates and what you need to change to keep your loyal customer base as close as possible.
Here are three ways businesses can adapt to changing customer relationships post-pandemic as reported by Entrepreneur:
Prioritize target consumer loyalty
If growing your customer base is a priority for your current business, take a moment to reflect on the long-term costs of that growth, both reputationally and financially, to determine if it is a sustainable path.
If your business has not considered the immediate or long-term economic impact of a pandemic and how it could affect your business, you should start doing so now.
Research by Forrester shows that new customers can cost five times more to convert than existing customers, suggesting that it is easier to expand and build on existing loyalty than to use a new client base, especially during tough times.
Don't be afraid of missing opportunities to grow; instead, think of the crisis as an opportunity to strengthen the fundamental processes and market share that make your business measurable.
Focus on operational excellence, but stay customer-centered
Operational excellence is important, but running your business 10 percent better than the previous year doesn't mean you miss the mark with your customer base.
Recently, businesses have started to enter a different mindset that sees customer experiences translated through an end-to-end process. For a truly customer-centric business, every decision and ambition has a customer-focused outcome, be it an enhanced experience or a long-term sentiment.
For precision, take advantage of data
In the post-pandemic era, digital marketing and social communication channels are key to business, and when used properly, can offer more specific insights into your customers' behavior.
Leveraging customer data can be as easy as surveying your existing customer base for actionable input. The more data you have, the more accurate the calculations will be.
The data will allow you to adjust your business direction and maintain customer satisfaction, even in a rapidly changing environment, and increase loyalty and retention rates.
By using this adaptation, businesses can emerge from the crisis with the right fundamentals instead of referring to old ways that can actually damage the business in the long run.