Retailers Unable To Meet Customer Expectations

Retailers are committed to elevating the customer experience for the holidays, naming this their number one priority for the season, says a survey from UKG, a human resources and workforce management solutions company. Most (91 per cent) retailers agree that store employees are instrumental to bringing these customer experiences to life. However, 84 per cent of retailers say consumer expectations today are higher than what their stores can deliver in terms of service (up from 75 per cent in 2021). Unfortunately, despite their best efforts, 95 per cent of retailers predict weekly understaffing in stores during the holiday season, with 11 per cent saying stores could be understaffed five days a week minimum and 29 per cent are preparing to be short-staffed most weekends. To help fill labour gaps during their busiest months, 77 per cent plan to tap gig workers and retailers estimate on-demand talent could represent up to 14 per cent of their total in-store workforce for the 2022 season. More than a third of retailers had to alter store hours in 2022 due to insufficient staffing, blaming turnover, employee ghosting, and unplanned absences. On top of this, retailers are hesitant to hire amid economic uncertainty. Only 40 per cent plan to hire seasonal workers, and another 35 per cent will recruit fewer seasonal workers than last year.