We often look at the physical impact of cutting labor in department stores: the messy displays and the lack of discipline in maintaining standards being the two most obvious. However, there is a human impact on customer service standards too.
Arguably, service standards in department stores have been in decline for a long time. We’ve gone from a very full-service model where most things were behind counters with high levels of assistance, to an open sell model where shoppers largely help themselves.
There’s nothing wrong with that per se as most consumers prefer open sell, but a lack of investment in people has deteriorated customer perceptions of service. Ratings for being able to find someone to assist, being able to find somewhere to pay, and receiving expert assistance have all declined over the past ten years.
Some higher end stores have maintained service standards more effectively: their price points and customer expectations demand it. But at mainstream department stores, the picture is poor.
Most of the solution comes down to adding more people and more hours to the staffing roster. Too many stores are run by too few people, and it causes issues in terms of poor customer service.
However, the issue is wider than this. A workforce spread too thinly is also unable to attend to the basics such as merchandising, displays and recovery – this creates an unpleasant shopping experience which pushes shoppers away from department stores and depletes sales. If department stores do not invest more in staff, they will continue to lose market share.
Of course, it requires some bravery to break out of this vicious cycle. The cost of investment needs to be made before sales improve. And that’s not an easy message to sell to investors.
It was great to chat with Vogue Business about customer service in retail (link in comments).
#retail #retailnews #customerservice #service #staffing
Store Manager at The Paper Store
4moCan we talk about the bloopers to this photo #priceless #workplacefun