Business owner hand customer their delicious purchase

How mom and pop shops can compete with the big guys

Wednesday, March 29, 2023

Small businesses have a reputation for being the little guy, but they account for 99.7% of companies with paid employees. Though giant corporations usually have more money and resources than the shop around the corner, many mom and pop shops can run circles around big box retailers when it comes to customer experience.

In celebration of National Mom and Pop Business Owners Day on March 29, we’re sharing tips you can use and steps you can take to give in-store and online shoppers meaningful experiences that improve customer retention, boost sales and build relationships.

Consumers today have more choices than ever before, so service and experience are the quickest way to set your store apart and turn infrequent shoppers into loyal customers.

Keep reading to see how to provide great retail customer service experiences for your small business:

Communication + connection = good customer service

By definition, customer service is a set of values and practices designed to improve how a customer perceives and interacts with a business through every step of the purchasing process.

If you’re wondering how to simply define and execute good customer service, think about it like this: communication + connection = customer service.

Despite the challenges - like inflation - retailers have faced over the last few years, customers are accustomed to a certain level of service — and many of their expectations are high. As retail stores continue innovating and competition continues soaring, customers are looking for unforgettable, hospitable shopping experiences that top two-day shipping on Amazon.

The good news is that taking care of your customers and going the extra mile pays off. In fact, 93% of customers are more likely to make a repeat purchase when they receive excellent customer service.

The opposite is also true. Bad customer service leads to a bad experience and you may never get another opportunity to change a new customer’s opinion of your business. The way you make a customer feel when interacting with your business will often leave a much bigger impression than the product or service they buy.

Personal attention and expert assistance are pillars of excellent customer service, and there are plenty of ways to offer both to your customers. Continue reading for ideas to improve your customer service skills and boost customer satisfaction for your retail business.

An image of a smiling bakery employee handing a box of baked goods to a customer.

Four ways to create a strong foundation for great customer service

Great customer service can be the biggest differentiator between your store and the one down the street. And the entire customer experience — from a customer driving by your brick and mortar to seeing an ad for an upcoming sale in their Instagram feed — is just as important.

Consider the steps below to perfect your customer service strategy and help your store stand out, then keep reading for nine examples of excellent customer service experiences you can implement in your own small business.

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Define mission and values

Laying out the purpose, principles and ethics of your business help determine how a business functions day to day — and that includes how you and your employees approach customer service.

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Provide unique selections and personalized offerings

It’s up to you to choose what works for your store and what doesn’t. But there’s a textile store in Hudson selling tinned fish with a cult following, so anything goes if you think your customers will be into it. It doesn’t have to be outlandish, though: even carrying a candle brand that isn’t available anywhere else in town gives your customers one-of-a-kind options to discover and delight in.

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Optimize your ecommerce website

Giving shoppers a good online retail experience is just as important as the in-store experience. Even if a customer is stuck at the DMV or waiting at the dentist, they can use their phones to browse and buy from their favorite retailers. To drive traffic, increase leads and bolster revenue, it’s critical to have a user-friendly website that’s safe, easy, fast and fun to peruse and optimized for mobile responsiveness as well as search engine results. Customers can buy almost anything from almost anywhere, so prioritize a secure, reliable UX experience — especially because 48% of shoppers have left a brand’s website and purchased from a competitor when they had a poor web experience.

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Utilize customer data

It’ll feel like magic to your customer when they receive a perfectly-timed, highly-coveted coupon code, but between us — we know it was the data. Collecting customer data lets you be strategic and thoughtful and is a win-win for you and your customers.

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Nine ways to provide great retail customer service experiences

It’s no secret that buying a book from the big box retailer where you’re already picking up toothpaste and toilet paper is a cheaper, faster way to get the novel on your to-be-read list. But many consumers still visit their neighborhood bookstore to grab new releases and weekend reads because the customer experience is infinitely better than long lines, self-checkout drama (remove the item from the bagging area, anyone?) and crowded parking lots.

Whether you own a bookstore, toy shop or pet supply boutique, you know people crave the personalized, memorable experiences small businesses offer — and you’re in the position to provide it.

Even if you don’t have an unlimited marketing budget or investors backing your next move, you can still give shoppers a superior customer experience and excellent customer service they just can’t help telling their family and friends about.

Here are nine examples of good customer service experiences that will keep them coming back:

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Greet customers with friendly enthusiasm

Make sure your team members welcome customers into your store with a smile and an invitation to browse. If you’re with a customer when someone else comes in, a quick and polite hello is sufficient. When a customer is leaving, thank them for coming in and, if you are able, offer a hand getting their purchase to the car (especially for those who are older or wrangling small children). Your customers probably won’t remember every little detail of your shop, but they will remember how you and your staff made them feel.

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Build bonds and anticipate customer needs

The sales associate at the supermarket chain across town probably doesn’t know their customers’ names or that one of them just got back from vacation and is looking forward to their child coming home for the holidays or that another is worried about their sick neighbor.

You can establish rapport with customers by using their name, listening actively and taking a personal interest in their lives, which ultimately helps identify their needs, improves customer retention and creates a strong connection to your brand. Picture what would happen if your customer with the sick neighbor mentioned how much the neighbor loves a certain gourmet chocolate bar and you had a restock during their next visit! Everyone likes to be heard, and it pays to pay attention.

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Know your product

Whether you sell shampoo or stationery, it’s ideal for you and your team to believe in what you’re selling and know how to discuss its features and uses. Having a strong product knowledge base is essential to selling, upselling and serving, and can be helpful when you’re teaching customers how an item works or sharing the benefits a product provides — especially since customers can visualize how the item would fit into and enhance their lives.

Not everyone needs a $27 box of cedar-cased pencils, but many writers, artists and gift givers can be convinced to hand over their credit card when you passionately share about the craftsmanship and tradition behind the brand.

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Provide speedy service

Nearly everyone is in a rush these days. Even if customers want to leisurely peruse your shop, their schedules may require they get in and out — and fast. Look for opportunities to make browsing and purchasing quick and easy in-store and online. If you share new arrivals on Instagram and a loyal customer messages saying they would love to get four but they don’t have time to stop and shop, offer to package an order and have it ready for curbside pick up.

Other ways you can deliver fast service include using an AI chatbot service to expedite basic responses on your ecommerce website or social channels, ensuring your online store is mobile responsive and having options for expedited shipping.

An icon of a phone and a hand completing a purchase, indicated by a dollar sign on the phone screen.

Remember and reward repeat customers

Imagine how you would feel if you stopped by your favorite local homegoods store and the sales associate asked about your dog after you mentioned during a previous visit that Fido needed surgery. And then, when you were checking out, you got a 10% discount for completing your tenth purchase.

You can adopt this practice for your small business, and there are even a variety of tools to help you out. A point of sale with built-in customer relationship management technology helps nurture and manage customer relationships, monitor marketing efforts and make more sales. You can also create a customer loyalty program and integrate it with your POS, which motivates shoppers with perks and gives you valuable consumer behavior insight such as product preferences and purchasing habits.

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Make checkout breezy and efficient

These days, completing a purchase in some big box stores is a big hassle. There aren’t enough lanes open, the self-service area is riddled with guests needing assistance from associates and someone is asking you to sign up for a charge card. A frictionless checkout experience can be a game changer. Giving customers the option to pay at the register, on a mobile device or online with multiple forms of payment acceptance (including contactless payments) makes for a seamless, straightforward checkout process they won’t dread.

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Add a personal touch

From birthday emails with discount codes to handwritten thank you notes tucked into shipped packages, there are lots of ways you can show your customer gratitude for their patronage. According to one report, 80% of customers are more likely to purchase from businesses that offer a personalized experience or exceptional customer service. Special touches that show you care almost always beat out an algorithm trying to guess what customers might like, so think about what you can do to surprise and delight your customers.

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Respond quickly to customer feedback

While it can be helpful to set up canned auto-responses on your social platforms so customers can quickly learn your hours or location, it’s a good idea to engage when you can and keep tabs on reviews. If someone enjoyed shopping at your store and left a five-star review, thank them for it. For lower-rated reviews, respond to the customer feedback with a solution or by thanking them for the opportunity to improve.

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Create a consistent multichannel experience

No matter where or how a customer approaches your business, an omnichannel experience lets you connect with and serve them through your storefront, ecommerce website, mobile app and social media platforms. This particular tactic isn’t a set-it-and-forget-it method — instead, you’ll want to take this approach to reach more leads and get more revenue:

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Map out the customer journey

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Prioritize testing

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Measure performance

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Evaluate and refine

Final thoughts

By fine-tuning your approach for superior service and customer support offline and online, you can give shoppers what they want — and keep them coming back. Big box stores aren’t going anywhere, but with the right strategy you can craft a meaningful shopping experience that meets customer expectations, wins new customers and builds revenue nearly every time.

For more customer service tips, tools and resources to help small business owners grow, check out The Entrepreneur’s Studio. Here’s to the memory makers on Main Street!


Heartland is the point of sale, payments and payroll solution of choice for entrepreneurs that need human-centered technology to sell more, keep customers coming back and spend less time in the back office. Nearly 1,000,000 businesses trust us to guide them through market changes and technology challenges, so they can stay competitive and focus on building remarkable businesses instead of managing the daily grind. Learn more at heartland.us