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How To Reduce the Impact of Employee Turnover in the Retail Sector

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We all know that employee turnover is one of the biggest pain points for the retail sector.

The pressure is compounded by seasonal hiring and the complexity of shifts, which leads to some store managers even needing to double their employee number at peak times of the year.

As we discussed in a previous blog, enabling mobile, social application and smart automation with a specific retail recruiting solution empowers store managers to source talent more efficiently all year round, which lessens the pressure of turnover.

But is there anything else they can do to reduce the impact of employees leaving the organization? From optimizing the recruiting process to driving employee engagement, below, we examine five strategies you can implement.

Behavioral Assessments

Facilitating speedy applications is important to ensure that the application process isn’t a blocker when it comes to securing talent. With this in mind, many store managers are limiting the number of steps candidates have to take to apply.

It might sound contradictory, then, to suggest the addition of behavioral assessments to the process. However, we’re not talking about a lengthy questionnaire but rather a set of very simple, goal-focused questions.

For example, you could ask them how they’d solve a specific, customer-related problem. These types of questions can shed light on the character and motivation of applicants and help you identify those that would be a good cultural fit.

Furthermore, these types of assessments can also help you filter out the least interested candidates. If they can’t take the time to respond to some simple questions, they’re unlikely to stick around for long in the role.

With a platform like Avature, you can weigh question responses according to predefined criteria. Rather than having to manually analyze the data, the technology can automatically translate answers into a score that can be used to compare and prioritize different candidates.

Video Interviews

Video interviews came on the scene in response to the halt to face-to-face meetings during the pandemic, with 89 percent of organizations moving to this format by late 2020.

However, they remain an effective tool to identify if your candidates actually have the attributes (and the motivations) you’re looking for.

While some individuals might find it uncomfortable to record themselves, many of today’s digital natives probably won’t be phased by doing so. In fact, they might see it as an engaging and modern approach that actually attracts them further.

Ask candidates to submit a short video on what they love about your brand or how they’d try to sell a certain item.

You’ll see how the request to complete a video interview will automatically whittle out those candidates that aren’t truly committed to their applications. And by extension, those that are probably less likely to stay at the organization for a long time.

Because they provide more insights to identify the strongest and most invested candidates, including video interviews during the recruiting process can help reduce employee turnover in the long run.

Avature Video Interview allows store managers to conduct live interviews or leverage the on-demand option, which frees them from scheduling challenges and enables them to review candidates at their convenience.

If the process works well for your organization, video interviews could even replace the need to meet face-to-face. This would give managers more time back to focus on other pressing business needs as well as on keeping a close eye on employee engagement.

Referrals

Referral programs are useful for creating a pool of reliable candidates that would fit well in your organization. If a top-performing employee is invested enough to recommend a friend to work for you, chances are that their referral will be a candidate that shares their values.

This type of program can not only bolster your retail recruiting strategy but lead to more successful hires as well. Actually, research found that for every 100 applicants, referrals generated 70 percent more good hires than non-referrals.

The key to engaging your current employees on the program is making referrals as easy as possible, ideally enabling employees to do it in-store through a dedicated solution.

Avature Referrals offers the capabilities to activate an easy-to-use referrals program that empowers and incentivizes your employees to recommend candidates.

For example, by setting up an auto-reply messaging service, employees need only to text a keyword such as “Refer” to a shortcode to receive a reply with a link to the referrals portal where they can submit their friend’s details.

Providing Original Benefits

Offering your employees benefits they truly value is another effective tactic to increase loyalty and reduce turnover.

Be creative when it comes to deciding what your benefits will be, especially when limited by budget or company rules. Remember to focus on options that align with your organization’s culture.

Offering employees something they value is a great way to keep them engaged while showing that you see them as more than just numbers in your ranks. This can directly impact their loyalty towards you as an employer and be a compelling reason for them to stay.

Creating Talent Pipelines

Though some of the tips mentioned before should help you reduce employee turnover head-on, talent pools can help you minimize the actual impact of people leaving.

They are also particularly effective if you face seasonal hiring pressures, as having hot candidates at your fingertips reduces the time to fill open positions, which can directly affect revenue and customer experience.

Invest in technology that enables managers to keep interested candidates engaged efficiently. Email campaigns with company news and localized job alerts can help spark their interest.

The idea of building and managing these campaigns might be daunting at first, especially for busy managers. But innovative tools can be used to bring to life a comprehensive email marketing for recruiting strategy that relies heavily on time-saving automation.



It’s a tough market out there, and there’s no doubt that managers in the retail sector will continue to be under pressure. But by implementing some of the strategies we mentioned above, they can reduce the impact of employee turnover and build a more engaged and loyal workforce.

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