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Monday, December 2, 2013

American supermarkets not customer focused

December 1, 2013

Supermarkets don't make it easy


Have you noticed the increasing time and effort it seems to take to shop in most modern supermarkets? I'm guessing most of these chains have signs in their corporate offices proclaiming their number one goal is to serve customers. However, all evidence suggests most of their activities are aimed at maximizing the store's short-term financial performance by encouraging customers to buy stuff they didn't intend to buy when they entered the store.

It's apparent the folks in charge of store operations for most grocery chains have made a science of laying out stores to ensure every customer who enters will walk past as many product categories and displays as possible. None of this is done to make shopping easier on customers. In fact, success is measured by the extra distance customers cover once they walk thorough the front doors, and, more important, how how much extra stuff they buy along the way.

When you enter a modern super-market, you usually encounter barriers intended to guide you on the path they want you to take. The foodstuff staples such as milk, meat, dairy, and bread are placed in opposite sections of the store. Then, the highest profit margin items are placed on shelves at average eye level and lower margin items on the lower and higher shelves. I'm willing to bet all super markets have corporate staffs whose sole function is to develop computer programs designed to maximize customer spending. Perhaps these programs have names such as, "sales maximizer" or "empty their wallets".

Over the past couple of years, my wife and I have begun to notice entire categories of products suddenly relocated. It's obvious "sales maximizer" programs have discovered relocating items will result in customers spending even more time in the store looking for the new location of items regularly purchased, and assure they will walk past even more displays of impulse purchase items.

Physicians should ask patients complaining about memory loss if they first noticed the problem after recently shopping at a super market? I find myself too often going to a specific location for an item I have purchased in the past, only to find it missing, and then wonder if I'm losing it! Thankfully my basic understanding of modern corporate businesses reminds me I am once again being led around by the nose to help lighten my wallet.
"Sales maximizer" understands when a customer cannot find an item, they will initially wonder around trying to read aisle signs for help. When that doesn't work they have to then travel even further trying to find a store employee to ask. Of course, all of this makes you wonder all over the store as planned...and guess what...your shopping cart magically ends up with stuff you never even thought about buying when you first walked in the front door.

The best part of the process comes when the check-out person usually smiles and asks: "were you able to find everything you wanted?" I usually answer, "no I did I not find everything I wanted but, I sure did buy stuff I didn't intend to." Not once has the clerk stopped smiling.

I am not blaming Super markets for trying to maximize their bottom line...I'm just tired of them sapping my energy and causing me think I'm developing dementia in the process. I'm actually surprised they haven't found a way to charge extra for the exercise program!

The more serious question I would pose is: Why don't the folks who run these supermarkets try to increase customer loyalty the old fashioned way--treating people as valued customers by providing pleasant shopping experiences designed to make them want to come back, instead of mainly laying out stores to make sure customers end up tired and poorer when they depart. It really doesn't take a genius to understand why Walmart is literally eating the lunch of most grocery chains. They don't treat customers special either, but they have a reputation for charging less for the shopping pain.

I don't think American supermarkets will ever win a price war with Walmart; but they would have a chance to survive and prosper by better serving their customers--from the customer's perspective. Sadly, this would require something that is missing among senior management for most large publicly traded organizations these days--long range thinking.

My suggestion to the corporate management of these chains would be to begin by asking their customers what they like and dislike about shopping in their stores.

Please understand this article is not intended to portray the folks who manage or work in any local super markets in a negative light. If anything, it is their unwavering friendly service which makes shopping while hanging upside down as one's wallet or purse is being emptied even somewhat bearable.

Mike Tower



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