A recent study from the Economist Intelligence Unit for business software providers SAP has revealed retail executives consider loyalty cards as the best means of understanding their customers’ preferences – 41% use loyalty cards to track purchasing records. The report is based on the views of 180 senior retail executives. It also reveals retail executives currently consider shop floor staff to be the most reliable observers of customer behaviour and a key source of information on the ‘customer experience’.
However, retailers are beginning to move towards more sophisticated methods of collecting intelligence on consumers. “There is growing recognition amongst retailers they need something more than the current manual systems to be able to truly understand their customers,” commented David Thomas of SAP Retail.
This is where Rob Keve, chief executive of Fizzback Group, says his technology comes in. Fizzback has developed an instant customer feedback service which allows consumers to contact the retailer with complaints or positive comments immediately and in situ, using text or email. This feedback could be anything from comments on staff friendliness and product availability, to easy-to-fix everyday bug bears like problems with plastic shopping bags, Keve revealed.
“Customers can send a free form text message and our system analyses this in real time, using technology akin to artificial intelligence which can understand what the feedback is about, then re- route it to the correct person. It can even recognise text speak,” said Keve.
The key advantage of capturing the feedback in situ is any issue can be resolved immediately, and before a customer leaves the store and defects to a competitor. It is also more likely retailers will get to hear positive comments, which they can then use to motivate staff.
According to Keve, this system is even more reliable than information delivered by store employees. “Sometimes issues are not passed up to higher management,” said Keve. “This inverts the pyramid and allows executives to have full visibility.”
The feedback can also be used by the retailer to spot trends, and Fizzback’s online reporting system can break results down into category of comments, satisfaction and location.
Keve has revealed a major South African supermarket is just about to roll out the system and that Fizzback is also in early stage discussions with one of the major grocery retailers in the UK.
SOURCE: Checkout August 2007
