Tag: competitive intelligence

1. In person, one on one:  One of the best ways to gain impact from mystery shops is to meet with employees one-on-one to discuss results.  If an employee does not score well on a shop, managers need to coach the employee privately. They can discuss ways to improve the customer interaction and also the employee’s concerns with any of the mystery shop expectations.
    
2. Email:  Companies send summary emails about regional and company performance within each mystery shopping area to keep everyone on the right track.  Highlighting the high-scoring areas compliments employees, while detailing often-missed sections lets employees know where to place more effort.
    
3. Staff meetings:  Whether at the unit, regional, or district level, staff meetings provide good opportunities to discuss mystery shop outcomes and improvement strategies for the more difficult areas of the mystery shop. For example, if many associates struggle with a closing question, use a staff meeting to brainstorm ideas about asking for the business. If some employees hesitate to refer customers to other departments, dig deeper into the reasons to develop process improvements.
    

Competitive Reasons

1. Measure your competition’s phone skills.  You may know how well your employees handle incoming phone requests for information on your company, but do you know how effective the competition’s employees are during phone experiences? Gathering intelligence with competitive mystery shops allows you to measure how well your employees stack up against the competition.

2. Assess competitors’ in-person customer service.  It’s equally important to know how your employees rank against the competition in terms of in person customer service experiences. Are there areas where the competition is “wowing” the customers?  If so, is it enough to make customers want to buy from the competitor company rather than your company?

3. Learn about competitive product/service offerings.  Many times, it isn’t easy to gather information on competitor offers. With competitive mystery shops, mystery shoppers pose as regular customers and therefore can gather objective information on the latest competitor products and services.

Banks are thinking about imposing annual fees of $25 or $30 on debit cards, according to people familiar with bank strategies.  Other banks will increase fees on checking accounts. For example, during 2011, Bank of America will offer four basic checking accounts in some states, instead of three.  Three of the four will offer ways for customers to avoid fees, while the fourth, the Essentials account, has an unavoidable monthly fee between $6 and $9.  Chase Bank will charge a $6 monthly fee on one of their checking accounts, however, customers can avoid the fee with a $500 or more monthly deposit to the account, or when they use their debit cards five times during the month.

The holiday season brings out more examples of how competitive the retail landscape is in a sluggish economy.   For example, stores start well before the traditional start of the holiday season to advertise offers.  They hope that by starting earlier, they will entice customers to purchase from them, as opposed to the competition.  Another reason stores increase early efforts is the fear that customers will be more reluctant to spend as weeks go by.

Gathering competitive business intelligence is an important step in retaining and gaining new customers. To help businesses get the information they need, Confero often executes competitor studies on a large scale and over a considerable length of time. However, there are ways for individual stores to conduct competitive analysis locally and effectively. One way is to use your existing employees as mystery shoppers. Here are simple steps to put a competitor evaluation plan into action: