Casual Dining Chain Case Study_VoC_PeopleMetrics

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  • 8/4/2019 Casual Dining Chain Case Study_VoC_PeopleMetrics

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    Case Study

    Chain Restaurant Leverages Voice of the Customer Soluon to Make

    Great Service Contagious

    R

  • 8/4/2019 Casual Dining Chain Case Study_VoC_PeopleMetrics

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    CASE STUDY

    Copyright 2011 PeopleMetrics Inc

    Service Inspired Restaurants

    , with casual dining

    concept restaurants operating in the US and

    Canada, strives to deliver engaging guest

    experiences through outstanding service. While

    food and atmosphere must be great in any

    restaurant, leadership of this organization

    understands that exceptional service is essential

    to building the emotional connection required for

    superior levels of Guest Engagement.

    An objective of the organization is to make great

    service contagious by weaving the Voice of the

    Guest into daily operations. By tapping into the

    very human need for recognition and approval,

    Service Inspired Restaurants

    is aiming to drive

    higher levels of performance from its people

    every day.

    The Challenge

    In the fiercely competitive, low-margin business

    of casual dining, Service Inspired Restaurants

    needs to increase same-store-sales without

    significantly increasing food costs or prices.

    The Approach

    By partnering with PeopleMetrics to create and

    host receipt-based surveys, Service Inspired

    Restaurants

    was able to append rich POS

    (Point of Sale) data into the survey database,

    including the specific servers name.

    In each survey, we ask guests if during their lastvisit their server did anything deserving of

    recognition. If the guest says yes a Server

    Recognition Alert is emailed in real-time to the

    respective restaurant manager, and

    Chain Restaurant Leverages Voice ofthe Customer Solution to Make GreatService Contagious

    Smart VoC Motivates Employees

    ABOUT Client:

    INDUSTRY: Casual Dining

    HQ: Toronto, Canada

    Locations: 50 Restaurants

    GOAL:

    Improve customer service

    Quantify the value of customer service

    vis--vis retention

    APPROACH:

    Use continuous customer feedback to

    weave the Voice of the Customer into

    daily operations

    RESULTS:

    Brand Ambassador Program raised

    outstanding service (Recognition Alert)

    incidence six points in one year

    Projected gain in revenue attributable

    solely to improved customer service

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    CASE STUDY

    Copyright 2011 PeopleMetrics Inc

    simultaneously loaded into an easy-to-use online

    Alert Management dashboard.

    Every day servers are exposed to guest

    feedback, both good and bad. While critical

    feedback can serve to guide future actions,

    accolades of excellence also become powerful

    motivators for other team members who see their

    colleagues being recognized for going above and

    beyond for guests.

    Service Inspired Restaurants

    managers often

    share Guest comments from Recognition alerts

    at staff meetings, or post them in the restaurant's

    break room. One manager planned a special

    event for the first server to reach 100Recognition alerts. The survey and alert process

    facilitates a meritocracy where restaurant guests

    can call attention to the strongest servers. This

    kind of Recognition inspires better customer

    service by setting off a chain reaction of

    enhanced motivation.

    The Results

    Recognition Breeds Recognition: Alerts

    Jumped Nearly 20%

    We helped this restaurant chain not only

    measure, but also manage server behaviors and

    attitudes. When hopes of a larger tip are not

    enough to go above and beyond in delighting a

    guest reinforcing the tip incentive with a desire

    to be the most Recognized Server can add an

    element of fun and pride to the job, helping to

    cure simply average service.

    Across the first 8,000 guest surveys collected

    over the first few months of our VoC (Voice of the

    Customer) program, the Recognition Alert

    percentage hovered around 34%. That is, about

    one in three guests recognized their server for

    delivering great service.

    Across the second 8,000 guests, with sufficient

    time for line managers to not only monitor, but

    actively manage those servers struggling togenerate Recognition Alerts, the Recognize Alert

    incidence rose to near 40%, a statistically

    significant six point jump (18% increase relative

    to the starting point).

    Server Recognition over Time

    Guest comments illuminate the specific behaviors

    that engaged them. Often we see guests citing

    genuine and authentic conversation, real

    smiles, and servers going the extra mile to

    ensure a comfortable and memorable dining

    experience:

    I was inquiring about a drink and my husband

    saidgo ahead it's your birthday. When we werefinished eating she sang happy birthday. Littlethings like that may keep a customer comingback

    Our waiter went out of his way to make sure mydaughter and her little boy were happy with their

    34%

    40%

    1st 8,000 Guests Next 8,000 Guests

    Server Recognition %

    Service Excellence Chain Reaction

    I give extra

    effort to be

    recognized

    as well

    I earn a

    Service

    Recognition

    Alert too

    Colleagues

    motivated to

    earn

    Recognition

    Customer

    praise of

    server is

    shared

    Making GreatService

    Contagious

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    CASE STUDY

    Copyright 2011 PeopleMetrics Inc

    food. He even brought extra croutons for thebaby

    Analysis Reveals Relationship betweenRecognition and Repeat Visits

    Guests who recognize their server for providing

    an excellent experience are much more engaged

    than their non-recognizing peers 83% vs. 65% -

    an 18 percentage point difference.

    Using multivariate regression analyses to look at

    the relationship between Guest Engagement and

    Guest Loyalty as measured by frequency of

    annual visits, we conclude that this boost to

    Guest Engagement will lead to an increase in the

    number of guest visits. In other words, Service

    Inspired Restaurants

    is aiming to boost its

    bottom line one Recognition Alert at a time.

    PeopleMetrics surveying and reporting platform

    helps us to monitor, act and drive improvements

    in our guests experience. However, it is their

    engagement expertise and the insight that

    PeopleMetrics brings to the table regarding

    guest engagement drivers, best practices, and

    business-focused analysis that makes them

    such a valued partner to Service Inspired

    Restaurants.

    George Kakaletris, VP of Marketing & Branding

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    Interested in test driving the Voice of the Customer soluon that helped

    Service Inspired Restaurants achieve these results?

    Email us at:

    [email protected]