March 1, 2006
Tying Customer Experience Metrics to Store Performance
Identifying and obtaining the appropriate in-store metric
gives store or branch managers a powerful tool for daily operational decision
making. Analysis and use of these
in-store metrics to implement action plans positively affects customer
purchasing behavior.
Best Practice:
Measure in-store performance metrics
· Customer
arrivals
· Customer
wait times
· Queue
length
· Average
service time
· Cashier
utilization
There are multiple ways to then tie this data to store
performance on a daily basis. For
starters, share the recorded data with employees. Whether you do this in a daily “huddle” before the open of
business or keep it on a white board in the break room, you have given key insight
to your frontline service and introduced a level of trust and communication to
the manager / service relationship. As
a result, your store or branch’s customer service is objective and measurable. This allows you to create a baseline across your
organization. In daily operations, you
now have a foundation for employee contests and the ability to tie compensation
directly to the metrics that matter to you and your customers.
Analysis of this data also allows you to increase cashier service
and productivity. A concrete understanding
of traffic patterns and the resulting wait times supports new operational
processes such as walkie-talkies or runners to support non-routine transactions. These changes can help you provide higher
cashier availability during peak times.
In addition to lowering average service times, you also uncover key
staffing and training issues. By
identifying training opportunities for underperforming service personnel and
understanding the learning curve for new hires, your training program can be
tailored for maximum performance.
In-store metrics enable intra-day and dynamic service
management. By examining arrivals and
queue length data, you can introduce flexibility in break hours and lunch
scheduling. This allows you to increase the number of cashiers and keep queue
lengths low during peaks in customer demand. This heightened awareness of queue
lengths and task balancing increases the consistency of service across
operating hours and lessens the likelihood of service failures.
Store performance is also affected through new cashier or
service strategies. Consider
introducing self-service options or even premium or commercial service
points. By using your existing resources,
you can create a better service offering for premium customers. In-store metrics support decision-making on
an on-going basis and allow for experimentation to uncover the optimum service
mix for your customers.
There is a strong correlation between your customers’
experience in your store or branch and their level of their satisfaction. By understanding and acting on one, you have
the ability to influence the other. Customer
experience metrics give you the data to close the loop between customer
satisfaction and increased store revenue.
This data is a powerful tool that gives a competitive edge to move
beyond simply providing base customer satisfaction to creating a strong and
loyal base of advocates.
[PRINTER FRIENDLY VERSION]
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