4 Ways Black Business Owners Can Exceed Customer Expectations This Season
COVID-19 has caused a dramatic shift in buying behavior and accelerated years of change in the way companies across industries and regions do business.
During last year’s Cyber 5 period, U.S. consumers broke holiday shopping records, with online sales 20.6% higher year-over-year. This holiday shopping season is shaping up to be a similar one as e-commerce continues to soar, and black business owners have a lot to gain with the strong support of tech giants like Google and Facebook. Given the heightened expectations for online shopping this holiday season and the #BuyBlack momentum, here are four tips to help black founders make the most of this holiday season.
GUARD FOR SHIPPING CHALLENGES
As of October 1, nearly 60% of shoppers have already started their holiday shopping, and less than 2 in 10 say they will start on Black Friday or later. This early start will put more pressure on shipping service providers. Consider establishing a relief shipping relationship or dividing your shipping processing among multiple partners for the holidays.
EXPLOIT THE POWER OF DIGITAL MARKETING
In July 2021, 71% of business leaders predicted an increase in profits for the rest of the year. The potential of the holiday season is a major factor. This is a crucial time for black business owners to improve their brand’s online presence and social media can be a huge asset, especially with #BuyBlack’s continued support from platforms like Instagram. and Facebook. Founders should try to participate in targeted initiatives such as Facebook’s #BuyBlack Friday gift guide, found in the Lift Black Voices Hub, which includes links to resources to help people #BuyBlack for the Holidays and encourages Black-owned business publications / tags.
The holidays are the best time to accelerate business growth, as they can account for up to 30% of annual retail sales. Successful business owners know that the 2021 holiday shopping season will bring more opportunities: Holiday sales are expected to total nearly $ 1.3 trillion. To meet strong consumer demand, founders must communicate clearly with consumers and set appropriate expectations from the start. Consider ways to make your customers’ experience more convenient: make sure payment gateways on your website remain open for online orders, offer in-store pickup, or even a simple return and exchange process. .
ESTABLISH A LOYALTY PROGRAM
To keep these customers digitally engaged with the brand after the holidays, businesses must use customer information to develop a strong loyalty program. From airline miles and large-scale cash back rewards to virtual punch cards at the local level, the whole notion is inextricably linked with e-commerce. Develop and / or focus on your loyalty strategy by asking yourself what you can offer to retain that customer and return to the store or to your website.
Regardless of the timing, investors know that supporting diverse companies is a smart business strategy. In October 2020, JPMorgan Chase announced our $ 30 billion racial equity pledge to help close the racial wealth gap and provide economic opportunities for underserved communities, especially Black, Hispanic and Latino communities.
As part of this, we have invested $ 42.5 million to expand the Entrepreneurs of Color fund to more American cities. This new commitment, which combines low-cost loans, equity investments and philanthropy, will help reduce barriers to capital for underserved businesses and homeowners to meet their immediate needs and long-term growth. Business owners can find out more about the application process by contacting their local JPMorgan Chase branch.
Alton McDowell is Co-Head of Disruptive Technology & Commerce – Middle Market Banking & Specialized Industries at JPMorgan Chase & Co that are ecommerce-driven, highly salable and generally not very active companies. He leads and manages a national team of bankers at JP Morgan with a specific focus on
new consumer brands and high growth technology companies. His passion is to help black founders
meet and exceed their business goals. Alton received his BBA in Accounting from the University of
Houston and his MBA in Finance from Columbia Business School