The Friday Report: March 5th, 2021

3 Bad Brand Experiences?  Consumers Will Likely Abandon You

Did you know that approximately 73% of consumers will abandon a brand after only three or fewer customer service experiences?  A recent Coveo report provided to Retail Dive regarding a survey of 1988 consumers presented this conclusion.  Of these consumers, 44% rarely or never complain directly to the company.

The survey identifies how quickly consumers become frustrated and abandon a brand:

• 50% lose interest if are unable to access some information on their own
• 39-40% prefer to speak to an actual person

Conversely 53% of consumers are likely to discuss their positive engagement with brands

For more information, please continue reading here.

Disney to Close 60 Retail Stores

As even thriving retailers have reduced store counts, Disney and Best Buy are now focusing on “store rationalization initiatives”, reducing store counts and square footage to sales floors.  This change in Disney’s strategy comes after a 4% decline in retail revenue during the fiscal year ending in October 2020.  Disney’s retail revenue is combined with licensing, making it $4.2 billion in 2020, a quarter of Disney’s total revenue.

This year, Disney plans to build an enhanced, interconnected experience for consumers online.  Disney plans to integrate its online shopping platform with both social media platforms and the Disney theme park applications.

For more information, please continue reading here.

Millions in Mittens on Etsy

Remember those pictures of Senator Bernie Sanders braving the cold on Inauguration Day 2021?  The image spurred a parade of countless memes spread across the Internet, fueling interest in, you guessed it-mittens.

Who was the big winner of all this revenue?  Etsy.  The marketplace which went public in 2015 emphasizes a maker ethos, creativity, and originality over pure profit.  In the days following the presidential inauguration of Joseph Biden, Etsy recorded $1.9 million in sales of mittens and related items.

As the pandemic continued and consumers were spending more time at home, arts and crafts surged in popularity.  As many consumers voiced a preference to support smaller, local businesses, Etsy thrived and is anticipated to continue to do well.

For more information, please continue reading here.