Friday, April 4, 2008

I have pictures I mean to post, but haven't downloaded them to my computer yet, so I guess that will have to wait.

Here's an article pertinent to the self checkout poll.

Where has all the help gone.

Here's a telling quote

Sit; roll over; goooood customer
Even today, most people don't like grocery self-checkouts, and only 5% have deigned to try a hotel check-in, Forrester Research reported. "Given the choice, consumers prefer not to use kiosks."

Still, 91% of shoppers surveyed said they'd use the self-checkouts anyway, IHL found. And after six uses they gave the machines a near-unanimous positive review. That's where incentives -- or disincentives -- come in, to get customers "past this hump."

It's common behavioral training, the same method used to train dogs.

* Rewards. Southwest Airlines began selling tickets online in 1996. Less than a year later, with online sales at just 5%, it offered double miles. When online sales hit 53% in 2003, Southwest dropped the incentive to 50% more miles. When sales hit 65% in early 2005, Southwest dropped all bonus miles. Online sales continued to rise and are now at 74%. "We did that to establish the booking habit," said Chris Mainz, a Southwest spokesman. "It worked."

* Punishments. Some airlines charge fees for tickets not booked online.

* Specials. Airlines offer some low fares available only online.
* Speed. Though two-thirds of Americans now use airline check-in kiosks, Forrester found, 63% do so just to save time; only 12% don't want to talk to a person. Overall, the kiosks got a low positive response, under 25%, yet were still heavily used to avoid waiting in line.

* The illusion of speed. Shoppers say they use stores' self-checkouts for the speed and convenience. Actually, cashiers do the job faster, said Lee Hogan, the lead retail analyst for IHL. But shoppers are under the illusion of speed because they are busy working, not waiting. And there's often a shorter line.

But wait, there's more. Companies not only save with self-service, they also earn more. Wrap your overworked mind around that one. Here's how:

* People buy more. Customers spend 39% more per order at fast-food kiosks and are twice as likely to upsize than if a person takes their orders. (Machines are programmed to ask every time, and no one can overhear.) Customers also buy more at deli kiosks in supermarkets.

* More people buy. Good Web self-service allows for far more customers to be adequately served.

* People remain loyal. "You mean I'm going to have to upload all my data into a new bank? And learn a new system? No way."

* People give the company high marks for customer service. Yes, funny but true. It's hard to complain about a food order that you placed yourself, a transaction that you scripted or the way you pumped your own gas. When customer service is self-service, you have only yourself to blame.


So, any comments???

3 comments:

elesa said...

Interesting. I am somewhat ambivalent. Because it really depends on which electronic shopping device we are talking about. Self checkouts still drive me crazy. I don't remember what my vote was, but I hate using those stupid machines. However, I also dislike having to talk to stupid people, so I go wherever the line is shorter. But shopping doing things on line - oh, all the way. I don't even know how I would buy an airplane ticket if I didn't do it on line. Is it even possible?

SillySlang said...

That was interesting. See, I don't like the self-checkout at the formerly full-service grocery stores where you are paying the higher prices. I won't buy produce if I have to go the the self-checkout there, because bananas don't have a bar code!
They don't have the self-checkout at the discount grocery store where I bag my own groceries to save money.
I will use the self-checkout at Home Depot or Ikea, though.

elesa said...

I hate using the self checkouts at Home Depot. And sometimes that is all they have open. I am always buying great big things like huge bags of concrete mix, or 16 foot 2x4's that are impossible to slide across the scanner, let alone stick into a bag. But it always wants to you bag them. Its obsessed with the bagging!