What Toys R Us Has to Teach Modern Managers
Mark Angelo, CEO, Yorkville Advisors
Recently, the country has seen countless brands falling victim to the plague of bankruptcy, as large corporations struggle to make ends meet. As organizations from every sector struggle to make ends meet, it's time for leaders to look at the disasters happening in the retail world and ask themselves what they can learn from the latest catastrophe.
While the loss of companies like Toys R Us and Maplin might leave a lot of offline companies biting their fingernails, the important thing to remember is that many brands can come back from the brink of oblivion with the right strategies in place. Here, we're going to look at what the fall of the brick-and-mortar retail world must teach modern managers.
1. Behavior is Changing and Companies Need to Change with It
It's no secret that people are changing the way they engage with services and products. The age of digital transformation has made customers fickler when it comes to brand loyalty, and that means that managers need to work harder to build relationships with their clients. Today, it's not about offering customers the lowest price, or even the widest selection of products - but giving your clients the experience, they're looking for both online, and offline.
Modern managers and leaders need to be willing to embrace the chances in the marketplace and adapt to them when they happen. People who fall behind the latest trends are the ones that will end up closing because they can no longer serve a new generation of customers.
2. Technology Drives Modern Business
It's hard to believe that many companies in the world today are still trying to get by without any form of digital strategy. Even if an organization doesn't want to do all of it's marketing online, it still needs to try to be present on the right digital platforms, otherwise it will fail to make an impression in its target audience. Today's customers are constantly online. Even if they're planning on going to a store in-person, they will start their search by looking online for the company that can offer the best experience or service. This means that managers don't just need to advertise online, they need to handle their reputation in the online sphere too - and that's where PR expertise starts to become so important.
3. Reputation is Everything
Finally, one of the biggest reasons that big-name corporations like Toys R Us are failing today, is that people aren't talking about them anymore. For years, these companies simply sat on the sidelines while other digital startups used their social media platforms and PR programs to generate buzz.
In a world where customers are more empowered, and curious than ever before, no company can afford to be silent. Reputation is something that every manager needs to create on behalf of their brand. If a leader isn't actively shaping the way their company looks, then they're running the risk that people will take their image the wrong way - or worse, stop talking about them altogether.
