Some people argue that customer service starts before the customer walks through the door. That means your business really needs to make sure that the customers are the first priority from the very beginning. Many businesses lack an effective customer service plan. However, it is rather easy to develop a good one in order to gain strong customer satisfaction.
Greeting you customers while in line:
When lines have formed and customers are getting impatient, this is a perfect time to make them feel appreciated and noticed. An easy way to do this is by greeting your customers while they are waiting in line. Have someone strike up conversation with them and keep them engaged while waiting. Not only will this speed up the process for them, but it’s going to make them feel that they have been noticed and that your business is there to take care of them. No matter what the wait, this is going to make your customers happy and more loyal to your business.
Another part of your business that contributes to having a strong customer service plan is the cashier during the transaction. It is imperative your staff knows that while working the cashier, it is not solely about the transaction. How they are with the customer is just as important as the transaction, if not more so. They can be the deciding factor for if a specific customer will want to return. The image of your company stems from the cashiers so this is important. Make sure your cashiers have good communication skills. They must be willing to explain pricing to customers and understand their concerns. Greeting them and saying goodbye cheerfully will also help you know your customers will want to return.
Upselling and Cross Selling:
Upselling and cross selling doesn’t have to be a scheme. In fact, it can greatly help your customers. When done correctly, these can bring you closer to your customer while increasing sales simultaneously. Sales guru Jeffrey Gitomer puts upselling into perspective when he describes it as “helping your customers win.” You could ask things like, “would you like fries with that?” or “if you buy another pair its 50% off.” If you make it so your upselling and cross selling is personable for your customers, it’s going to greatly help you build deeper relations with your customers.
By Katelyn Fletcher
We recently watched Andrew Tolley’s talk on ‘coffee shop economics’ that took place at Barista Camp a little over a month ago. What he had to say was eye opening, to say the least. The overarching theme of the talk was the importance of profitability and its significance in successful coffee shop ventures. As the formula states: (Revenue – Costs = Operating Profit). So it seems easy, right? The key to a profitable business only requires that your revenues outweigh your costs. The Trezoro team understands that this is easier said than done, so we’re here to expand on Tolley’s formula to give you tips towards maximizing your revenue.
So what is revenue exactly? In its simplest terms, revenue is the income that a business has from its normal business activities. Tolley breaks it down into three main components: (Market Size x Regularity x Basket Size = Revenue). Lets break it down a bit further.
Market Size: Market size is basically just how many customers your shop has. Factors that affect this include location, competition and demographics.
- Location: Picking a location is crucial to coffee shop profitability. Some things to think about include: the amount of foot traffic surrounding your shop, distance from public transportation or a residential area v. an area packed with offices.
- Competition: How many other shops are within your proximity?
- Demographics: Knowing your local market is crucial. Market research can be expensive, but it’s an investment that will yield returns. Results will give insights to shop owners regarding product offerings, pricing and promotional efforts.
Regularity: Regularity is simply how often your customers are coming in. Coffee shop owners can increase regularity in the following ways:
- Convenience: Of course this is easier said then done, but as we said before, location is key. A customer is more likely to regularly buy from a shop that is on their way to work than from one that sends them on a detour. People value their time, especially in a buzzing city like London.
- Loyalty Schemes: They give customers a tangible reason to return to your shop. Working towards that 5th free cup of coffee will incentivise customers to visit your shop more often. To get further ahead of the competition, go digital and try a mobile loyalty app.
- Customer Service: Everyone likes a friendly barista and their cup of coffee in a timely fashion. Pinpoint what’s important to your customers and focus on creating the best possible experience for them. One bad experience can cost you a customer to the shop next door.
Basket Size: This is the transaction value of your customers on average. How much are they spending each time they visit your shop and how can you increase this number?
- Menu Variety: It may be easier for shops to simply focus on coffee; however, people are often looking for something to eat as well. Adding food items to your menu can help increase the average transaction value of your customers.
- Barista efficiency: An efficient barista will be able to maximize the number of drinks produced. The faster you can make drinks, the faster you can sell them, which ultimately leads to increase revenue. Key elements of attaining full effectiveness include: comprehensive barista training, investing in worthy equipment and proper equipment maintenance.
- Upselling: There’s always something more you can offer your customers and a knowledgeable barista can help make this possible. If someone orders a cappuccino everyday, it may be worthwhile to respectfully offer him or her your latest filter coffee, or ask them if they’d like to add on a sandwich or pastry.
To view the full talk visit: https://youtu.be/fCJdI8-kxA0
Picture: Andrew Tolley, co founder of Taylor St Baristas & Harris + Hoole.
Picture from: Barista Guild of Europe
Dominos was named America’s favorite pizza brand, according to statistics from the 2015 Brand Keys customer engagement index . When asked what they attributed this recognition to they responded with “by listening to our customers”. Customer feedback has driven Dominos to revamp their almost 50-year-old recipe, expand their menu and implement technological innovations like their mobile loyalty app and the beloved online pizza tracker – don’t lie, we’ve all found joy in watching the cartoon pizza chef prepare a faux order for us while we waited for the real deal.
Anyways, Dominos is a perfect example of a company that successfully utilised customer feedback to create brand loyalty. The Trezoro team excels in mobile loyalty apps so the Dominos case got us thinking. The following are tips that can help businesses improve their customer feedback systems and follow in the footsteps of the much-loved pizza giant.
- Acknowledge Feedback: First of all, if a customer takes the time to provide your business with feedback, good or bad, it’s important you get back to them. Take this recent statistic from a UK customer engagement survey for example: 43% of consumers surveyed said that they don’t complain/leave feedback because they don’t think the business cares. However, 81% of these consumers said they would be willing to give feedback if they knew they would get a faster response. By acknowledging customer feedback in a timely manner businesses can generate more of it, as customers will see the value in taking the time to submit.
- Put Feedback to Use: We get it; sometimes the feedback we receive from customers isn’t what we’d like to hear. However, its important to remember that happy customers are profitable customers and profitable customers keep businesses afloat. Whiny patrons seem like a pain at the time, but they’re actually doing your business a favor. They’re probably saying what a lot of others are thinking, so it’s important to treat feedback seriously and take action when appropriate.
- Identify Best Customers: Customer feedback allows businesses to classify their best customers and to turn them into company advocates. Word of mouth is a hidden promotional gem, as it is both credible and free of cost to a business. Customer advocates with no financial stake in a business serve as a more trusted source of promotion than efforts coming directly from the company. Businesses should therefore identify these ‘best customers’ and continue to keep them happy.
- Social Media Listening: Asking for customer feedback directly can often result in sugarcoated responses. Monitoring what people say about your business on social media, however, gives companies the opportunity to see what customers are – for lack of a better phrase – saying behind their back. Today’s digital society allows customer to post whatever they want about a business on social media and reach masses of people instantly. This serves as both a blessing and a curse for businesses so it’s crucial that they oversee it carefully.
Picture courtesy of Dominos website