ContextLogic Inc. (WISH) is an online shopping platform for consumers. Merchants sell cheap products and ship them directly to customers around the world. The company has been growing very fast till 2020, but they have not yet reached profitability. Their revenue growth didn’t delivered what investors were expecting, so their stock price dropped significantly in 2021. How can WISH improve their business model? How can they increase their customer base? How can they make money and win back investor confidence? Here are some suggestions in this article.
Get better feedback
Customers want to buy items from companies that provide excellent customer service. When you offer great customer service, your customers will come back again and again. In order to improve the customer service, WISH should get better feedback from their customers. They need to know if they are providing good service or not. This sounds too simple, but it really works! If they find out that there is something wrong with their services, then they will be able to fix it. WISH needs to develop new ways to get feedback about their customers’ experience. For example, they could use surveys or focus groups to ask questions about how people feel about their services and products. They should also do interviews with customers. They should also monitor trends in comments and complaints on social media. By monitoring these things, WISH will be able to see which aspects of their services are working well and which ones aren’t. These methods would help them figure out what customers like and don’t like about their services and products.
Think global, be local
WISH has a reputation for slow deliveries. When you place an order on WISH, it usually takes several weeks before your package arrives. Sometimes, the packages arrive late. WISH should cut down on shipping delays. WISH should send products locally using local storage terminals.
To grow their customer base, WISH should consider opening offices in countries where there is high demand for their products and offer their services to local merchants. For example, Germany and the Netherlands have a huge population of shoppers who love to buy things online. WISH could open offices in those countries and offer fast delivery from local merchants to attract new customers.
Ban merchants with counterfeit products
Many of WISH’s sellers sell fake or counterfeit products. When customers purchase these products, they risk getting sick or injured. WISH has a responsibility to protect its customers and the public at large. It is not ok to allow sellers to sell fake or dangerous products. WISH should ban sellers who sell counterfeit products. If they don’t ban bad sellers, then WISH will lose more customers. Customers will go elsewhere to shop instead of buying from WISH if they think that WISH is selling fake or dangerous goods.
Better support for returns
Wish should improve its customer service by offering better support for returns. Customers often return items they didn’t like because they weren’t happy with the product quality or because they got a defective item. If WISH doesn’t handle returns properly, then customers may leave negative reviews on social media. This will hurt WISH’s reputation as a reliable seller. WISH should give refunds quickly and easily.
Fix the WISH app
The WISH app is one of the best apps available for shopping online. It allows you to shop from your phone. Unfortunately, many users find the app difficult to navigate. Sometimes, the app may look unreliable because of too many pop-up ads. Also, sometimes the app crashes. WISH should fix these issues.
Redesign the website
WISH’s website is not very user friendly. For example, you have to login before you can see the products they sell. You cannot search for products on the site without logging in. Also, the navigation menu is confusing. WISH should redesign their website to be easier to use.
Improve marketing strategy
Marketing is important for any company. A good marketing plan helps companies attract new customers and retain existing ones. WISH needs to do more with affiliate marketing. Affiliate marketing means that WISH partners with other businesses to promote their products. These partnerships would help WISH get more exposure and increase its revenue.
Sell more expensive products
WISH sells everything from clothing to furniture to home decor. But most of their merchandise is inexpensive. In order to make money, they need to expand into areas that have higher profit margins. One option is to sell more expensive items such as brand products and high end phones. Another option is to sell more premium products.
In order to make more money, WISH should raise their fees for sellers. However, higher prices may scare away potential customers. So, WISH should raise the fees and create more special promotions for holidays or events such as Black Friday.
Sell more brand items
Most people know about Amazon but few people know about Wish. WISH should start selling more branded items like Nike shoes, Apple phones, Siemens appliances, etc. People are familiar with brands because they’ve seen them advertised in TV commercials and billboards. By selling more branded items, WISH will gain more recognition among consumers.
Cryptocurrencies like Bitcoin are becoming popular. Many people invest in cryptocurrencies. Therefore, WISH must develop ways to accept cryptocurrency. Some companies already allow users to pay with cryptocurrency.
Insiders should stop selling shares
WISH insiders are selling shares every month. This hurts shareholder confidence. When insiders sell shares, it looks bad for the company. Shareholders think that insiders are trying to exit the company before the share price drops even further. Insiders should stop selling shares until the company turns around and the company improves its financial condition.