Non-Grocery Retail has improved slightly since 2019, coming second behind Restaurants and Fast Food. Among the top 10 brands in the entire study, six are from Non-Grocery Retail; last year, only two came from this category. Non-Grocery Retail is a vast, diverse sector; the study covered 50 brands divided into 12 sub-categories.
Although only one brand represents it, cosmetics leads the sub-categories in 2020. The scores of drugstores, petrol station chains and clothing retailers have improved. On the contrary, the scores of pharmacies deteriorated slightly, but together with drugstores they still occupy a strong position.
Although only one brand represents it, cosmetics leads the sub-categories in 2020. The scores of drugstores, petrol station chains and clothing retailers have improved. On the contrary, the scores of pharmacies deteriorated slightly, but together with drugstores they still occupy a strong position.
The sector winner is the Tank Ono petrol station chain. It has also climbed significantly, jumping to first place in the sector from 11th last year. Tank Ono offers a noteworthy example of a brand that, judging by customer comments, bases its customer experience strategy on a simple price proposition and adherence to key product and service quality parameters. Consequently, it enjoys legibility among its customers – they know what to expect from it – reflected in its excellent score in the expectations pillar: “We only go to Tank Ono when filling up our two cars. It is one of the few companies to charge the same for fuel everywhere in the Czech Republic. By the way, in this period of low prices, Tank Ono petrol 95 has reached its lowest level. The company also stocks a wide selection of complementary products and snacks. I haven’t had any issues so far with petrol and diesel quality at Tank Ono.” (Man, 77)
Coming second is Yves Rocher, already enjoying a reputation as one of the best brands, which moved from sixth place in the sector in 2019 to an even higher spot this year. However, Yves Rocher reached second place with a radically different customer experience strategy – concerning price, it scores somewhat below the sector average. Conversely, its strongest pillar is empathy: “The sales assistant was nice. She gave me advice on what would be good for my skin. I’ve registered with Yves Rocher as a member, and I like the membership benefits.” (Woman, 25)
Slevomat: “I liked that recently I could automatically extend the validity of a voucher which cannot be used because of the current situation. And it was great that I didn’t need to ask for it to be renewed.” (Woman, 23)
Benu: “The lady was really nice, she helped me with everything, and people stuck to the hygiene regulations, wore protective masks and gloves, and kept proper distancing.” (Woman, 21)
“I love the Reserved online store. I never bought much at the bricks and mortar shop because mostly, when I liked something, they no longer had it in my size (38 is sold out right away). In the online shop, I choose filters and only look at what I can buy (in my size). And I don’t need to worry about ordering something because I know I can return the goods within 30 days.” (Woman, 23)
The dm drogerie drugstore, one of the top 10 brands before, occupies third place. Customers value the extensive product range, a pleasant shopping experience and the loyalty programme. Compared with other brands in the sector, dm drogerie performs strongly above all in personalization, meaning that everyone can find what they want at the shops: “dm is a super drugstore. It’s got everything I need. At the checkout, they’re very accommodating and never forget to remind me to add points to my loyalty card. If I want advice, they’re happy to give it. Usually, I can find most things, so the shop is well organized, too. I like the prices and high quality as well. Then the selection of brand name products is amazing, as well as the cheaper, private-label ones, which are often even better, with superior ingredients. I’ve never had any conflicts with anyone here.” (Woman, 23)
Some sub-categories have benefited from the pandemic. An example is the e-commerce sector, i.e. retailers that were mostly doing business online before COVID-19 hit. DIY companies, which re-opened in the first wave and enjoyed “Christmas in the spring”, also indicate higher than average results. And the furniture chain IKEA decided to refund government support because it had achieved excellent results in the first half of the year.
Other sub-categories have been hit very visibly by COVID-19. Fashion is a typical representative: suddenly, many more customers were buying online, resulting in change twice over: I choose the product in a different way (online) and it is distributed in a different way (delivered home). Larger shipment volumes posed a challenge to logistics corporations, too (see the chapter on this sector). Sometimes, there were delays because neither the shop nor the logistics firm was ready for such volumes. In the later stage of the pandemic, when bricks and mortar shops were re-opened, safety measures – distancing in queues, masks and disinfection – affected the quality of customer experience. Depending on the particular client’s perspective, customer experience deteriorated either because of the measures themselves, which customers regarded as too restrictive, or, conversely, because of fears that the measures were not observed sufficiently.
Some brands have seized on COVID-19 to portray themselves in a positive light through helpful responses. dm drogerie has supplied free products to hospitals, and the Dr. Max pharmacy has supported the elderly and disabled through secure transport at a discounted price (Maxíky taxis). At a purely commercial level, customers welcomed that shopping vouchers and special offers remained valid for longer. What they didn’t like were cash refusals (as with the Logistics sector), long delivery times and product range limitations in shops.