The most wonderful time of the year for the retail industry is approaching.
To prepare for the rush of holiday shoppers – and a projected sales increase of 6-8% over 2021– many retailers have hired additional seasonal staff.
However, with quiet quitting on the rise, retailers may struggle to satisfy customers and meet demand. Low wages, limited benefits, and inconsistent hours have made employees feel less than festive about their positions.
What Is Quiet Quitting?
A term gaining traction in the workplace vernacular, “quiet quitting” refers to the act of not exceeding expectations in a position. For some employees, it means setting stricter boundaries in their roles, while for others, it means doing the minimum amount of work necessary to achieve objectives.
This is especially concerning in a retail setting, according to Christina Cooley, Director of Home and Retail Intelligence at J.D. Power. "Since the pandemic, there has absolutely been a shift in how employees view their responsibilities as a worker,” she says. “Retailers need to worry about ‘quiet quitting’ as it will have a direct impact on the customer experience, and ultimately the bottom line.”
Retailers should closely monitor key performance indicators, such as providing in-store greetings, being friendly and courteous, and offering product guidance to determine if there is cause for concern.
According to the 2022 Home Improvement Retailer Study, customer satisfaction significantly increased when store employees provided prompt and polite service.
What Does This Mean For Retailers?
An unhappy and unmotivated workforce makes providing a delightful customer experience and building brand loyalty extremely difficult. Fostering a culture that values employees as individuals is the best way to help them stay committed, engaged, and willing to offer exceptional service.
Before the busy holiday season, retailers should reevaluate their policies and look to industry leaders - such as Nordstrom, Ace Hardware, Costco, and Best Buy – to guide their decisions.
“There is definitely a balance to be found between the required business outcomes (sales), and how to achieve those outcomes through a flexible and adaptable work environment that supports the employees’ greater needs, but also makes them feel like they are a part of the path to success for the company, for themselves, and for the customers they serve.”