Case Study

Chain Restaurant Leverages Voice of the Customer Solution to Make Great Service Contagious

CASE STUDY

Chain Restaurant Leverages Voice of the Customer Solution to Make Great Service 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:

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

Brand Ambassador Program raised outstanding service (Recognition Alert) incidence six points in one year Projected gain in revenue attributable solely to improved customer service

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 last visit 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

Copyright 2011 PeopleMetrics Inc

CASE STUDY

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 100 Recognition 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.

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 to generate 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 % 40%

Customer praise of server is shared

I give extra effort to be recognized as well

34%

Making Great Service Contagious

Colleagues motivated to earn Recognition I earn a Service Recognition Alert too

1st 8,000 Guests

Server Recognition over Time

Next 8,000 Guests

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 said go ahead it's your birthday. When we were finished eating she sang happy birthday. Little things like that may keep a customer coming back Our waiter went out of his way to make sure my daughter and her little boy were happy with their

Service Excellence Chain Reaction

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

Copyright 2011 PeopleMetrics Inc

CASE STUDY

food. He even brought extra croutons for the baby Analysis Reveals Relationship between Recognition 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

Copyright 2011 PeopleMetrics Inc

Interested in test driving the Voice of the Customer solution that helped Service Inspired Restaurants achieve these results? Email us at: info@peoplemetrics.com