Retailers continue to face high turnover and low retention rates even as the dust from the great resignation of 2021-2022 has settled.
According to The Retail Academy, the "average retail turnover rate is 60.5% in the US and 57.3% in the UK."
New challenges facing retailers, such as the rising rates of shoplifting and inflation, are adding to the list of grievances retail employees have with retail work already.
This has many employees considering whether or not the job is worth it and leaves retailers scrambling to fill positions and provide service to customers.
Some of the top noted reasons that retail employees leave their jobs are:
The financial losses related to absenteeism, turnover, and unfilled roles should be cause enough for concern. But then to realize the financial losses related to unhappy customers because there are no employees to help and the financial burden becomes even more sizable.
Focusing on the well-being of frontline retail workers is one of the most important things a retailer can do to improve their bottom line.
Frontline workers deal with the public each day, handle tough situations for which they often have no training, and are the face of the company.
As we enter into an era where having an experience inside a store becomes more popular in correlation with increasing online shopping, having a fully staffed is increasingly important.
Here are some tips retailers can use to improve the well-being of their employees and improve the experience in their stores.
We have seen the benefits that technology has brought to consumers. Hybrid shopping experiences (those that take place online and in-store, or some similar variation) are increasingly popular.
The way consumers shop has completely changed thanks to innovative technologies that make it easier, safer, and quite literally a part of all we do (thanks to social shopping).
Retail employees are next in line for reaping the benefits of modern technologies and devices.
According to HRDIrect, building a better employee experience can be done by increasing communication from the corporate level to the store level.
In one example, a retailer introduced headsets equipped with AI technology at the store level. Employees wear the headsets and can ask the AI questions while engaging with customers. The AI can give an immediate response which helps the employee better serve the shopper.
At the same time, at the corporate level, the retailer gathers and monitors the information so they can better understand what frontline employees are being asked or what requests are coming through from shoppers.
The company can then better streamline its communication across the company and provide more and better solutions to employees. This can give employees a better idea of how to handle situations at the moment, rather than feeling caught off guard and having to seek out answers.
In addition, digital workplace technologies, like real-time software tools or apps, provide a way for employees to have easier access to more information regarding career growth opportunities across the company.
These technologies help increase communication regarding training and other similar opportunities that help employees feel included and valued.
“Coresight research revealed that 82% of respondents whose organizations have adopted digital workplace applications and increased employee engagement indicated improvement in sales conversion since the introduction of the new technology, likely as a result of better communications, training, and store execution.” HRDirect
Taking the burden of repetitive tasks off the checklist is another great way to utilize your existing staff in ways that are more in line with their unique skills and talents, as well as allowing them to focus on work that requires more human dexterity and knowledge, like customer service.
This alone can help elevate the role of retail employees, giving them a greater sense of importance.
Floor cleaning for example can be repetitive and time-consuming, but it must be done to uphold the value of product and health of the building occupants.
Cobi 18, an autonomous floor scrubber, is designed to work in real-life complex environments like retail stores. While the cobot cleans the floors, staff can focus on other important work.
In addition to supporting employees with the workload and relieving them of the repetitive and strenuous task of floor cleaning, these solutions can also lead to operational cost savings benefits because they store cleaning data in the Cloud.
This allows end-users like district managers, to access the cleaning information and check in with multiple locations without having to visit the store. This can save time and money and improve efficiency.
In one example, “79% [of those surveyed] also enjoyed reduced operational costs, using digital workplace technology to eliminate the need for costly store visits and audits by management."
One of the biggest takeaways from the pandemic is that the health and safety of retail workers is an issue and an area of concern for workers.
Finding ways to keep staff safe and feeling supported can go a long way in reassuring them they are valued and that their health is important.
Retailers can support the well-being of their staff by focusing on overall health. Some ways to do this are:
Showing appreciation for your employees can happen in a variety of ways. Since wage compensation continues to be a sore spot, reviewing your compensation plan and making sure you are in line with other retailers is an effective way to start. Your team will appreciate knowing you are providing a competitive wage.
Other ways to show appreciation are providing free meals, goal-related incentives or bonuses, or additional time off.
Coming up with creative ways to make the workplace fun and focused on appreciation can go a long way toward the health of your staff.
This may seem easier said than done but according to Harvard Business Review:
"Research has found that high work demands — for instance, long hours or pressure to work very hard or fast — can take a substantial toll on employee health and well-being. In fact, numerous studies find that high demands coupled with low control create health risks, including higher rates of symptoms of depression, high blood pressure, and cardiovascular disease.”
Since retail work can be all the above at times, it is important to make sure you have enough staff on hand to help respond to increases in customer traffic, balance the workload, and help keep a generally positive vibe in the store.
Customer traffic can be unpredictable at times but there are scheduling tools that track traffic trends and these can be used to build out a balanced schedule.
Retail workers do important work, much of which is caring for and helping customers. Making sure they are compensated fairly, treated with respect, and supported is essential for both healthy staff and a successful retail business.
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