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From High Turnover to High Performance: Strategies to Retain Retail Talent

Retail turnover is expensive. Some estimates suggest it costs as much as 33% of a employee’s annual salary to replace them.

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From High Turnover to High Performance: Strategies to Retain Retail Talent

Retail turnover is expensive. Some estimates suggest it costs as much as 33% of a employee’s annual salary to replace them. That includes recruitment, onboarding, training, and lost productivity. But even more critical is the impact on morale and customer experience.

While there’s no magic formula for retaining employees, we’ve seen first-hand that the right strategies can make a real difference. Through our work with clients, we’ve implemented proven approaches that reduce attrition and create environments where frontline employees can thrive.

1. Understand what your employees want

According to the latest Deskless Report by Axonify, when employees were asked “what makes agreat day”, 65% ranked a sense of accomplishment above money, signalling that they are motivated by the impact they can make every day, not just a bigger paycheque.

So if employees are driven by the satisfaction of completing tasks and meeting expectations, we, as an organisation need to remove barriers and set them up for success, so they can perform at their best every day.

Tip: Listen to your workforce and understand their unique needs and what motivates them.

the Image says "what makes a great day, according to frontline employees"
Source: Axonify Deskless Report 2024

2. Rethink the Frontline Employee Experience

After understanding the unique needs to your workforce, review your internal processes. Where can you make a real difference and improve the employee experience and satisfaction?  A thoughtful onboarding process, clear role expectations, and effective employee engagement strategies can dramatically reduce early-stage attrition, which is often the highest.

“Research by Decision Wise shows that companies with highly engaged employees experience 2x higher net income than companies with poor engagement scores”

3. Invest in Skills That Matter

Many retail employees leave not because they dislike the job, but because they see no path forward. By aligning skill development with career pathways you show your people they’re not just filling shifts, they’re building a future.

Yes, we hear you... “we don’t have time to train employees”. In fact, time is one of the biggest barriers to training in retail, but it doesn’t have to be. With the right approach, you can train employees in the flow of work without disrupting daily operations. Check out the guide “Microlearning: The biggest impact strategy for retail success”.  

4. Prioritise Manager Capability

Effective leadership plays a crucial role in employee satisfaction. But do your managers have the right tools to support employees and lead affectively?  

Here’s a success story from one on our clients who was facing a significant leadership challenge: many technical experts had transitioned into leadership roles without any formal leadership development. This resulted in inconsistent leadership behaviours, low engagement, high turnover and difficulties implementing change.

To address these challenges, we designed two leadership development programmes, one for existing leaders and one for emerging leaders. Read the story

5. Leverage technology

Technology is a powerful enabler of frontline success. It can boost efficiency, improve communication, and increase job satisfaction. But it’s not just about having the latest tools; it’s about aligning them with your strategy and needs.

Platforms like Axonify are purpose-built for frontline teams, combining learning, communication, and task management in one place. They help employees stay informed, build skills, and get things done, right in the flow of work.

Meanwhile, VR training is reshaping frontline learning by offering immersive, hands-on practice in realistic environments. It allows employees to build confidence and competence in a safe place to practice.

The key is to align your tech choices with the real needs of your workforce. When done right, the right mix of tools creates an environment where frontline employees feel empowered, supported, and ready to perform.

Quote from Aston Moss, GM of Human Resources at Briscoe Group: "Axonify gives confidence that our team is continually reminded about safe practices and their knowledge grows through to application.

6. Use Data to Act, Not Just Observe

Establish robust measurement and evaluation frameworks. Workforce analytics are now more accessible than ever. Track the key performance indicators (KPIs) defined in your initial plan, analyse your data, and most importantly, take action!

 Retail has always been a fast-moving, people-powered industry. But in a post-pandemic world, with rising customer expectations, a tight labour market, and evolving technologies, retailers can’t afford to treat high turnover as inevitable.

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