You've owned a successful online retail business for 10 years. Recently, shopping behavior has shifted, and shoppers are buying less each time. The product and marketing strategy hasn't changed. Which two actions should you take? Choose two.
Continue with your current marketing strategy, as shopping behavior changes regularly and will balance out.
Uncover the needs to meet the requirements of curious and impatient consumers.
Provide personalized experiences that meet shopper expectations online or in-store.
Guarantee profitability, traffic, customer base, and sales with Shopping ads.
Explanation
Analysis of Correct Answer(s)
The correct answers focus on adapting to the observed shift in consumer behavior. The business's strategy, which was successful for 10 years, is no longer as effective because shopper expectations have evolved.
- Uncover the needs to meet the requirements of curious and impatient consumers.
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This is a crucial strategic step. The drop in purchase size indicates that the current approach isn't resonating with modern shoppers. Today's consumers are curious (they research heavily across multiple touchpoints) and impatient (they expect fast, relevant, and seamless experiences). To reverse the trend, the business must first understand these new needs and pain points before it can effectively address them.
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Provide personalized experiences that meet shopper expectations online or in-store.
- This is a direct and actionable solution. Personalization is key to engaging modern consumers. By tailoring product recommendations, offers, and content to individual shoppers, a business can create a more relevant and compelling experience. This can lead to increased basket sizes and customer loyalty by showing shoppers you understand their specific needs, which is a powerful way to meet their heightened expectations.
Analysis of Incorrect Options
- Guarantee profitability, traffic, customer base, and sales with Shopping ads.
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This option is incorrect because no advertising platform, including Google's Shopping ads, can guarantee specific business outcomes like profitability or sales. While AI-powered ads are powerful tools for driving these metrics and improving ROI, they are not a guarantee. This is an overstatement of capabilities.
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Continue with your current marketing strategy, as shopping behavior changes regularly and will balance out.
- This choice represents inaction in the face of a clear negative trend. While markets fluctuate, assuming a significant shift in consumer behavior will simply correct itself is a risky and passive approach. Successful businesses must be agile and proactively adapt their strategies to meet evolving customer needs rather than waiting and hoping for a return to past behaviors.