For nearly two decades, it was about the super-store, the big box, the overwhelmingly dominant assortment presented in seemingly endless aisles. The big retail winners were Home Depot, Super Walmart, Best Buy and other so-called category killers.
But when you get too big to stay relevant and differentiated, your customer starts to go elsewhere.
When you decide that costs savings trump customer experience, loyalties start to fray.
When you fail to embrace the long-tail of a digital assortment, available anytime, anywhere, share of wallet declines are sure to follow.
When you don’t accept that customer data and insight represent your ultimate competitive advantage, you fall behind competitors that do.
It’s time to think small, which means acting on three fundamental tenets:
First, right-sizing your physical store to the reality of an increasingly omni-channel world.
Second, translating your brand to a remarkable customer experience that fights and wins on a desktop, laptop, tablet or mobile phone.
Third, start treating different customers differently. Develop a deep understanding of your current and potential clients and deliver a progressively more relevant, differentiated and personalized experience.
The lessons of Borders and Blockbuster are clear. Don’t be next.