Tuesday, May 19, 2009

Have You Tried Our Lunch Combos?

When marketing a business, it is oftentimes easy to get caught up in the high-level hierarchy that comes with trying to simultaneously obtain new customers while, at the same time, retaining the old. We become consumed with finding that newest cash cow product or finally striking gold with that magic number price point. The thought for this week questions “Are you effectively communicating your new discoveries to your customers?”

A fellow CMI employee and “Darlene” from the convenience store down the street are quickly becoming BFFs. Here is the story my co-worker recounted to me last week:

“I went in today for my regular chips and sandwich lunch purchase and, as I was checking out, Darlene let me in on their combo promotion. She told me that if I purchased a fountain drink, I would receive combo pricing.

After verifying that they had fountain Coke products (and not just Pepsi…ick!), I said why not and filled up. So, now, with the combo pricing my total came to $3.50ish. Typically, without the combo pricing, just my chips and sandwich would have been over $4!

Here is my insight:

1) Luckily, Darlene was nice enough and had time (as opposed to being buried under a pile of paperwork), to fill me in on these discounts.

2) While it’s always an adventure to converse with Dear Dee, I probably would have been making this combo purchase weeks/months ago (and possibly more frequently) if there had been signage or a banner advertising their “value meals”.

Regardless, I’m definitely psyched about the promotion (however old it is) and am solidified as a repeat customer.”

As the price of fuel climbs in the coming months (and, come on, folks, you really didn’t think the oil companies were going to play nice all summer did you?), are you doing what is necessary to keep your customers coming back to your store every day?

Proper signage and advertising are a must, but, more so, are your cashiers giving your customers a verbal invitation to partake in your “rope them in” promotions? After all, the allure of the c-store is that you can get “In-N-Out”, fairly “Quck & Easy”, and make it a “SpeeDee Stop”. Your customers may be in such a hurry that they pay no attention to the bright red banner perched about the hot dog rotisserie. It never hurts to give a heads up and, in the end, it could be the start of a beautiful relationship between your store and customer.

Wednesday, May 6, 2009

Your Employee Retention Feedback

As promised here are some comments from other petroleum distributors and c-store operators who responded to last week’s tip regarding how they attempt to retain the best employees:

First, a bonus plan worth considering:

“To retain our employees this year we put together a bonus program based on employee turnoverand store shrink. Each Manager is in a pool of the total of all stores… so if you had 20 stores, the pool would be $20,000 ($1,000 per store / $500 for shrink, $500 for turnover). If they can meet the criteria set for shrink and 50% employee turnover at the end of the year they split the money. So, there might only be one store in the end that actually reaches the criteria and only one store would get the pay out, or we might have 10 stores reach their goals.

The supervisors are also in a bonus pool to retain their managers, each manager is worth $500 and at the end of the year if the Manager has survived, the supervisor gets $500 for each. In 2007 and 2008 we averaged approximately 250% employee turnover, this year our ultimate goal is 50%. This bonus system has forced our Managers to hire more dependable employees and it is also forcing our HR to watch the hiring and firing of employees more closely.”

Another suggestion:

We have some of the local fire department personnel working at our stores in their off hours… we have to flex the hours, but they really are dependable are scheduled primarily to assist our full time personnel…the customers love them, the clerks are never sick and their police friends are added security to the stores…”

One More:

“We have hired older, semi-retired workers for our early shifts… they have a great work ethic and are great with the customers...”

We even received feedback from an actual Air Traffic Controller!

“I happen to be a Retired Air Traffic Controller and now my wife and I operate a c-store. Believe me moving Air Traffic in Orlando is 10 times easier than hiring and keeping good employees in the store. Good article.”

And in Minnesota, when you just have to just say no to an underperforming but once Superstar employee…follow Mike’s lead:

"Brett requested his release some time ago," Jets GM Mike Tannenbaum said. "He has not indicated any desire to return to football and he remains retired. We wish him the best."

Next week… Darlene is back with her tips on serving up combo meals for her customers.