I am a passionate about coffee and sales. Therefore I came up with the idea for COSTA coffee shops. Why COSTA, well it is in my neighborhood, however it may work for any other brand.
The story
As a young parent I made kilometers while walking around with my son in his early months. After long battles of making him fall asleep I was making very long walks (2-3 hours), unprepared, in cold and warm weather - various conditions. The main dream was to have a coffee - to waken up, get warm or cold (ice coffee!). However, entering the coffee shops equals waking up of a kid. Mainly because of change in temperature, noise and smell. All the things that in normal conditions make those places so magical. However not when you are doing all your best to keep the baby asleep as long as possible.
Solution
"Window in" where I could knock and make and collect an order. I understand that the buildings do not allow such solutions (architecture style, building infrastructure and other obstacles), but the staff in most coffee shops is kind, and after a knock, smile and wave of hand they could react and step out to collect/deliver an order.
This would be a game changer for many young parents, who are somehow "disabled" in operation of ordering a coffee while being on a walk with a kid. Also, what a great story to share in PR-marketing-CSR campaign? :)
Showing posts with label retail. Show all posts
Showing posts with label retail. Show all posts
Friday, 2 October 2015
Do not secretly sell me more than I need - Pharmacy case
I recently got sick and got prescription and recommendations for 3 day cure at home. I went to the pharmacy, handed over the notes from the doctor and waited. As most of clients at pharmacy, I was sick, but alerted,
I was handed a medicines in large packets each (30 pills x 3 drugs = 90 pils, while I needed 3 days x 2 pills = 6 pills). The pharmacists didn't even bother to look at doctor's recommendations or ask me about the details. My sober thinking got into speaking and I asked for smaller portions which I was given without a problem, but only when I asked.
The situation felt wrong, as because of my sickness, someone was trying to take advantage of me by selling more than I required. This practice is unfair and won't make long term relation.
This was local pharmacy where employees should try build a connection, rapport which would result in continuous visits - returning, loyal customer.
Never take advantage of your customer. Don't sell more than it is required. It will payback in long term!
Don't keep your shop open if not necessery - Simply Market case
I am loyal customer of Simply Market (Auchan brand) in my neighborhood as it is small, but has all the products I need.
However, I recently discovered few times, that's it is pointless to do weekly shopping on Sundays after 5pm, even though shop claims to be open until 9pm. Why?
Because there are no fresh vegetables, fruits, meat & fish. So the main ingredients of every meal are missing.
There is a risk that customers who visit on Sunday after 5pm will create a negative opinion which will spread out, that the shop is empty and not worth visiting. And with the high competition of 4 other supermarkets in 5 minute distance, that could harm.
First solution
First solution
- Close the shop at 5pm. If it is not managable to deliver and stock those products on Sundays, "simply" do not do it. I'd rather come to your shop when you are ready to host me and deliver products/services you provide to the highest quality and standards. Also, your staff morale will increase, as they are ashamed that the store is not delivering on the promise.
- Fix the problem. It can't be that hard to manage products - estimate how many customers visit you on Sundays and deliver.
- Invite customers only when you're ready to host them and deliver on your promise (service/products).
- Don't be afraid to close. It's better that I won't enter and postpone my visit, than enter and see you unprepared. You work long for your reputation, but you loose it in second.
- Check on your staff and let them express their opinion about running of the shop.
Cross sale in confectionery
My son recently had his first birthday and for that occasion we have thrown a party. My wife ordered a cake with Winnie-the-Pooh, which turned out great. However she asked me to pick it up and gave me all advices not to destroy it (be careful! keep it on the floor in a car! drive slowly!).
So I went to the confectionery to pick it up. While purchasing I have asked for a candle (they make nowadays fancy once with a number!). How shocked have I been when a sales person said that they do not have any...
Seriously? You are selling birthday cakes and you do not have any products to support, fulfill?
I would have:
- candles - with the numbers and regular - in all funny shapes and colors
- cards - for any occasion (birthdays, weddings, 18, 30, 50)
- ribbons
- balloons
- fancy packaging for the whole cake or small portions (for guests that didn't come)
- napkins for cake
- decorative plates and cutlery (plastic)
- name tags
- plastic hats for the party
- frame for the photo with the cake
Why did you come to our shop, when you can shop online? Case study of Matras bookstore
My family decided to go on a weekend trip away, last minute. So we bought a plane tickets on Monday for Saturday flight. Great!
As it was a new place, I have decided to go to bookstore and buy a city guide. Easy, simple and positive experience ahead of me, I thought.
Forget about the pain of going to shopping mall, parking and walking kilometers (miles), exploring to finally finding the bookstore - Matras!
I walk in, and I am already lost - no signs of sections. Nevermind, I ask the sales person who welcomes me and directs me to the huge bookshelf of travel books (which are not sorted in any order). Although there are only 3 customers and 2 sales people, none of us (customers) is being disrupted (I know that some people like to browse in bookstore - but I was on a task with an aim!).
Because I do not wanted to bother those sales people, I headed to computer and search for the city guide just to get an impression of the book I am looking for (2 findings - yellow and green). Great! That allowed me to search faster, and I managed to find yellow one.
What struck me was the price:
SP: No, the online price is for those shopping online.
Me: But I have this book in my hands and I want to buy it right now, right here for the lower price.
SP: It not possible.
Me: So if I go online now, and buy a book via website I will have a lower price?
SP: Yes, but it won't be this book, they will send a new copy from the distribution center.
Me: Hmm...
Analysis Another situation in just few days where I come across situation "Please leave offline and go online". I have put arguments and thoughts in post about Media Markt. Nevertheless, I came up with few more points to discuss this situation:
- Offline - in store was 27,00 PLN
- Online - on computer in store was 20,00 PLN
SP: No, the online price is for those shopping online.
Me: But I have this book in my hands and I want to buy it right now, right here for the lower price.
SP: It not possible.
Me: So if I go online now, and buy a book via website I will have a lower price?
SP: Yes, but it won't be this book, they will send a new copy from the distribution center.
Me: Hmm...
Analysis Another situation in just few days where I come across situation "Please leave offline and go online". I have put arguments and thoughts in post about Media Markt. Nevertheless, I came up with few more points to discuss this situation:
- Shouldn't the price be lower in store (they already paid for mass transport)? No, if they want to close the bookstores and make us buy mainly online.
- The sales person role is to make a sale right there, right then - make an effort and understand the situation, go extra mile, consult and find a solution - you have a customer that you may lose, if leaves unsatisfied (someone is making a fool out of me here!)
- small for hosting cultural events with writers, guests, celebrities
- coffee/tea book-rental shops where books will be "value added" to the drinks
- electronic shops with tablets/ereaders (kindle etc.) with sales people, who will advise on books that will be instantly purchased and downloaded or printed in the bookstore
- Print a book store with one copy of chosen book and the fast, efficient printer for sold copies
- type-oriented bookstores, we have scientific, music bookstores - maybe new types will come up (for kids, biographical,...)
Media Markt - leave offline, go online
Just after Christmas I have decided to go to Media Markt - well known RTV AGD and all other electronic devices supermarket branch. I am usually online buyer stumbling for promotions and special offers, but "End of year SALE!" brought me to this place.
It is strange place - it's "offline store" where you can get only things that are actually there - no other model, just these, at this price, right there, right then.
I overheard a conversation of Customer (C) with Sales Person (SP):
C: Do you have a plastic case for iPhone 5?
SP: No, we don't.
C: Will you have any?
SP: I do not know. I don't even know if there is a plastic case for this phone. We have deliveries every Friday so maybe they will come.
C: Ah, ok then.
SP: Please visit our website www.mediamarkt.pl and choose our store to see if we have it in stock, that you could come and buy it.
C: Ah, ok, thanks for that.
I know that the electronic devices shops are in huge trouble with the online shopping trend and are fighting for a share in new market, using their existing "offline stores (read: museums)" as the last marketing stop, before closing them down. It's hard to advise and predict of what will happen to those brands:
C: Do you have a plastic case for iPhone 5?
SP: No, we don't.
C: Will you have any?
SP: I do not know. I don't even know if there is a plastic case for this phone. We have deliveries every Friday so maybe they will come.
C: Ah, ok then.
SP: Please visit our website www.mediamarkt.pl and choose our store to see if we have it in stock, that you could come and buy it.
C: Ah, ok, thanks for that.
I know that the electronic devices shops are in huge trouble with the online shopping trend and are fighting for a share in new market, using their existing "offline stores (read: museums)" as the last marketing stop, before closing them down. It's hard to advise and predict of what will happen to those brands:
- going online is opening the brand to great, big market
- however, online market is in 80% focused on PRICE competition (with comparison services such as CENEO)
- special promotions sent via newsletters
- loyalty programms
- some activities (games, addons, gifts)?
- there won't be any retail shops ?
- we will have only PRODUCER shops (such as we have now with Apple and Samsung, Miele) ?
- we will have test shops, where we could see the product we checked online and test it?
- all electronic devices will be sold with a service from 3rd party provider (such as we have with telecommunication companies - T-mobile, Orange that are selling mainly phones plus some services, and have full display of the phones, tablets and laptops)
- You have a customer coming into your shop, which is a great accomplishment nowadays.
- The customer chose YOUR shop and made an effort to drive, park and shop around
- PLEASE, do not send him to the website - it just makes all his efforts and the trip - POINTLESS.
- They will not go to your website, as you have just make a laugh at them and humiliated them...
- Take care of them, take contact, email/phone/text them answering their request
- Make an effort - they did that for you!
- Respond to trust the customer showed to you.
Loyalty Programs - case of Orlen Oil
Company background
Orlen is polish national oil company, that has the biggest petrol stations chain in Poland.
Case study
Orlen, as most of the petrol stations companies (Shell, Statoil, BP) runs a loyalty program, where customers gather points on their loyalty cards by purchasing petrol and other products at the stations.
Current Analysis
I am very good customer, I get involved in the loyalty programmes, always looking for "extras", "promotions", "rewards" for being loyal. Therefore, I have decided to fill up my tank for a year mainly (if possible) at Orlen stations. I have a loyalty card which I use each time.
After almost a year:
My current points: 11 823
By driving regulary to work and once a month further trip - I get about 1000 points a month.
What can I get after 11 months of loyalty? One of these:
- 1 CD (Amy Winehouse, Rihanna)
- 1 audiobook
- Umbrella and a hat
- Two toy cars
- Thermo cup
- Coffee 250g
- 10 hot dogs
- 10 coffees
- 11 soups
- Charity projekts
- Points scale - this should be recalculated
- Rewards appropriate to the place (while travelling) - special offers on car music, games for kids, car accessories
Costa Coffee new service
Recently my company had marketing campaign where there was idea to give voucher (one-time) for coffee as a gift for finishing an online task by our customers on our e-learning platform.
Partnership idea:
Purchase vouchers from coffee place which has most branches around the country. Costa Coffee was selected.
Challenge:
Costa Coffee is not ready technologically (IT system) to handle such task.
Obstacles:
- Vouchers generated by Costa Coffee can not be "checked" in the system when presented by customer - therefore if someone prints 10 vouchers, they can easily use them in any Costa Coffee (rather than 1 voucher for 1 customer - one-time)
- Company takes the risk that someone will use the voucher more than once (the financial summary will be made after 2 weeks - vouchers use will be counted, so if a customer copies a voucher then they will use it as many times they wish, as the one-time feature is not implemented in Costa Coffee IT System)
- Company orders 100 vouchers for one coffee each (Medium size - Latte/Americano/Mocca)
- Costa Coffee produces 100 vouchers
- Each voucher has it's individual characteristic (numbers, QR codes, codes) - something that can be scanned/inputed into the IT System and the casher/till will record it, that it can not be used more than once (one-time vouchers)
- Costa Coffee sends the file (Word, Excel) with these vouchers to the Company
- Company distributes it to its customers (via email, postcard, thank you note, or as we would do - on our e-learning platform)
- Company pays upfront for the vouchers (we know the budget straight away)
- Customers go to Costa Coffee and redeem voucher at the cashier/till for a coffee
- They enjoy the great coffee plus think positively about the Company
- Salespeople giving out vouchers to their customers
- Vouchers used in the marketing campaigns as the "thank you" (for example after downloading their ebook, or after first purchase)
- Costa Coffee has wifi connection - why shouldn't we invite our customers for webinar (web conference, online training, e-learning) while drinking coffee in Costa Coffee ?
- To cheer up a friend who is in different city (or travelling?) - wouldn't it be a nice if I could text (sms) my wife while she's on the business travel - text #have a good day - start it with a cup of coffee at Costa Coffee - waiting at the train station for you - just redeem this voucher #VOUCHER NUMBER - Love M.
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