Newsroom
April 2024
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“Battle Stats” for Retail ?
A quick back of napkin calculation of the five large Retail Stores contributing to the W23 Global fund, shows that Aussie employees generate 2.9 times more sales than South African employees. And English employees generate 3.1 times more sales per employee.
Wages are the single biggest Retail store Expense Item. And most stores feel that they can operate with fewer employees but don’t know who to keep.
It seems that the problem is not just that there is no floor productivity measure - most stores don’t have a Departmental workflow either.
Supermarket Franchise Owners are often pushed to employ more staff simply because the Dept Heads say they need more hands – be it Production, Merchandisers or Cashiers.
Additional people don’t necessary improve productivity, but they do drive up Expenses, jeopardising the business.
March 2024
CX is about floor performance, isn’t it ?
Retailers are battling with decreasing margins – both gross and net and it continues to get worse. Yet they are bombarded with Customer Facing initiatives – all promising to address that problem.
But clients that we talk to say that there is little attention spent on improving floor performance – the “engine room of the store”. Gross margin is impacted by Waste, Out of Stocks and Customer Experience, while Expenses continue to grow without a proportionate contribution improvement – both pressurizing store viability. And there is every expectation that this will trend higher.
Are you finding that ?
Losing Lines ?
Its going to continue to happen, unless you have a means to track what is not getting to shelf and manage it.
And yes, its expensive, because nobody has tools to check it on the shelf
March 2024:
Losing Lines ?
Store Owners constantly worry that stock (including new lines) is getting to shelf and remaining in stock. A detailed report will tell if it was purchased or sold. But Retailers don’t want to look up another report, they want the Item on shelf, selling.
The problem is not the report – which indicates what happened (the output). The Problem is changing the work done on the floor (input) so the result, in this case getting all purchased lines to shelf, happens constantly.
Clients that we are working with are frustrated at the lost sales, waste of stock buried in receiving and lack of application by stock entrusted staff.
I wonder what this costs stores on a monthly basis ?Subtitle