This coming year, both desperation and salvation are on the cards in the retail industry and other consumer-facing sectors, according to Aki Kalliatakis, one of South Africa’s leading consultants on customer service.

He warns that “the madness” of Black Friday is going global and South Africa will be caught up in it while enraged and frustrated customers will increasingly hit out at brands that let them down.

But some sensitive and smart businesses will lift themselves above the chaos and achieve better, stronger relationships with customers.

“Bi-polar lows will be spotlighted by the scramble, even fist fights, to grab massively discounted goods as Black Friday madness spreads worldwide,” says Aki Kalliatakis, Managing Partner of The Leadership LaunchPad customer service consultancy.

“In addition, rebellious customers will increasingly express frustration by challenging companies in very public places. At times, this will resemble a banner-waving customer liberation movement. The first rebel broadsides have already been directed at Eskom and Sanral.

“However, we can also expect positive developments and initiatives to woo customers through responsive service.”

Schizophrenia will be evident in different approaches to pricing.

Kalliatakis predicts some retailers will “fall into the trap of competing only on price or by giving away lots of stuff for ‘free’.” Others will investigate sympathetic pricing that delivers cost benefits to a customer and customer groups such as family and friends.

He says the misuse of loyalty programmes will continue, whereby a few win prizes while millions feel betrayed. In contrast, new feel-good programmes will reward customers for good behaviour (e.g. for reusing and recycling or eating healthy foods).

Some businesses will become consumer allies by protecting customer rights; for instance, by keeping all data and behavioural information confidential.

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More large companies will appoint chief customer officers as consumer champions and more CEOs will take a personal interest in customer issues.

Customer ‘intimacy’ will increase as companies gather customer insights and use them to manage customer segments for profitability, growth and lower cost-to-serve. Insight-led service will replace traditional segmentation, reinforcing a continuing trend to customisation and personalisation.

Some organisations will respond to the consumer clamour for speed and simple, seamless service by sweeping away bureaucratic obstacles (e.g. checking in and out of a hotel room by mobile phone).

Fuzzy lines will replace the distinct separation of on-line and off-line retailing as shops embrace touch-screens, wall-mounted tablets and smart-phone apps.

In 2015, says Kalliatakis, pro-consumer businesses will realise they have to man-up or pipe down. “In a bipolar environment subject to huge tactical swings, businesses differentiate themselves by standing up for something. Brands show they deserve customer loyalty by upholding the values held dear by the consumer. These brands will win big in 2015. I’m not sure about the rest.”

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