In recent times, more businesses are reporting low or no profit and, in some cases, no revenue. The case of business failures is equally high and prevalent, which could be attributed to the changing landscape with the aftermath of coronavirus pandemic, high inflation, poor supply chains, high exchange rate regime, and a host of other struggles.

Despite the coronavirus pandemic radically altering business operations and customer experiences, many businesses in Africa, particularly Nigeria, have stuck to the prevailing old pattern of customer service, which frequently involves poor customer convenience and low customer satisfaction.

Although, we have seen more of brick and mortal retailing strategy, digital innovations, remote working, e-commerce arrangement, adoption of knowledge technology in businesses to improve performance and retain customers foothold in small businesses and large firms in Nigeria.

Despite the changing business models across different industries around the world to meet current harsh economic realities, operators of business are expected to adjust business models to flexibility and convenient models to meet customer expectations.

Consequently, experts said, businesses that wish to maintain survival needs should adjust to the realities around customer expectations, preferences, and convenience without further delay, stating that, if small businesses fail to recognise these changes in customer expectations, they may face a business continuity threat rather than just poor performance, likewise large firms.

Entrepreneur & Business Management Experts, Dr. Timi Olubiyi, said, majority of business advances in recent times have been inspired by technology, noticeably in service businesses and food-service sectors, particularly restaurants and transportation.

“For instance, considering the case of Uber, the car hailing business and the likes, the business model was driven by changes in consumer behaviour and convenience was the major driver. The success of the business model does not rest on a deep emotional connection with customers but the success may be summed up in a single word: convenience.

“Also, based on the observations around Lagos State, the adjudged economic capital of Nigeria, we have seen a restaurant with multiple outlets offer a single meal, rice with boiled egg, for N500. That is less than a dollar for the meal, noting that a $1 is around N600 in the country.

“Similarly, banks provide mobile banking software applications (apps) through which accounts may be opened online and transactions can be completed, even to borrow funds, without having to enter the banking hall. Another example is the sudden deployment of point-of-sale (PoS) terminals to agents throughout the country, with the agents executing some banking transactions nearly everywhere outside banking halls.

“All these concepts are intended to capitalise on customer convenience and the current realities nothing more. Therefore, business owners and SME operators should understand this and know that when it comes to the most crucial aspects of customer needs, convenience is supreme.

“Each customer, though, may have different ideas of what constitutes convenience, from pricing to the business location, payment options, ease of shopping or making transactions, business opening days and time flexibility, customer experience of ordering, delivering, and the likes. It is important to note that most consumers are price sensitive though and base their purchasing or service decisions on it,” he pointed out.

Investigation by LEADERSHIP revealed that, Lagos State, with solid business concepts and retailing knowledge operates on this convenience model, even though it may seem to be an insignificant way to operate a business where the turnover, revenue, and profit could be sufficient to sustain the operators.

The expectation is that customers will hurriedly need items or products, and such businesses exist on this premise. Whereas I see major enterprises with a brick-and-mortar retailing strategy still paying exorbitant rent to maintain a physical presence without operating online or adopting technology for convenience.

Ignoring the digital age that has changed the retail industry, and indeed most sectors of the economy, where businesses can relate with customers anywhere and at any time is a defect.

Olubiyi said, it is high time for structured enterprises, retail outlets, and large businesses to adopt the convenience model in order to improve business sustainability and profitability.

He stated that convenience is more important to consumers than ever before, particularly in terms of pricing, (affordable services or products) and location that is easily accessible (physical or online), adding that, what matters to most consumers is the time and effort they have to expend because they are largely impatient – the less time, the better, and the less amount, the best.

Olubiyi argued that giving an illustration of how convenience can make a business more profitable in a case of a superstore, where patronage can be increased by having a good and convenient location, reducing expensive, specialty, or high-end products and exponentially increasing convenient goods.

He affirmed that convenient goods are items or products that customers can easily afford and frequently buy on impulse without much thought and risk of taking high interest loans. Such items are groceries, eatables, detergents, toothpaste, paper products, and emergency products such as light bulbs and so on.

He posited that the idea is that large volume is likely to be sold within a short period, and repeat purchases will happen continually and such business will be active and performing. Furthermore, technology too can greatly help in this instance, that is where e-commerce comes in. The extra levels of convenience where customers can effectively use their phones with seamless payment platforms or gateways to effect purchases or transactions will help a great deal, no matter how small. He averred

For micro businesses, he said, social media platforms and WhatsApp status can equally help with cheap advertisement and keeping customers updated for new markets entrants.

“For other forms of businesses, particularly large firms a business model can be designed or redesigned around convenient solutions. To create convenience, firms must find ways to eliminate any “friction” that may arise when a potential customer interacts with or purchases from their business. Such convenience can be designed around, packaging, delivery, usability, automation, and product variety,” he remarked.

Also speaking, the national president of Association of small business owners of Nigeria (ASBON), Dr. Femi Egbesola insisted that SMEs should diversify their business interest by focusing on business areas that attract more sales and consumers interest.

He noted further that the only way the SMEs could survive the present cash crunch and economic realities on ground is for them to be creative to offer  already made goods to Nigerians.

This, he stated, would guarantee the survival of SMEs businesses to adjust to the realities by focusing on the major consumptive trends rather than just offering services that the market would reject.