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Do routes rob Peter to pay Paul?
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Many times I am confronted by a drycleaner owner about my stand on converting
counter customers to the route.
Most of you are still believing that people are loyal and will never leave you.
Employees still think that the customer
“loves me” and would never think about using someone else.
Well, I hate to tell you this, but you are wrong. You and I know that loyalty
takes a backseat to convenience nowadays.
“Why would I want to rob Peter to pay Paul?”
Well, I have 10 strong reasons why.
1. Your truck becomes a rolling billboard.
Branding is everything. Getting your name and identity out there will only grow
both your route and retail
2. A 20 to 25 percent increase in sales from your customers.
When you put your customer on the route, you will see, on average, an increase
of 20 to 25 percent sales per person. This makes sense because you will
eliminate the chance of them going elsewhere, especially if the spouses go to
different places.
3. You pick the neighborhood.
If your database is current and correct, you can locate areas you want to be in
and find
“clusters” of customers to build your route around.
4. Gated communities.
Many of you ask me how to get into gated communities. Well, here you go, and
once you are in, you increase your chances of building your route in these
difficult areas.
5. Greater retention.
Consumers stay more loyal on the route and complain less when being serviced are
their home of office. Those who have routes, know that it is harder to capture
someone who is on your competitor
’s delivery service.
6. Problem customers.
I know it sounds crazy, but put those who spend money and drive your service
reps crazy on a route. You will find that they will appreciate you more when
they are on the route and your CSRs will be happier.
7. Expose loyalty of employees.
OK, I cannot stand it when I here anyone say, “They are my customers.” This can lead to disaster when you are trying to establish routes. If your
entire crew is not on board, you are destined for trouble.
8. Inventory.
Obviously you get clothes out of your place within two to three days
consistently.
9. Great training tool for salespeople.
Allow your sales staff to learn how to sell at the counter. This also is good
during rainy days.
10. If you don’t put them on your route, your competitor will put them on theirs.
If this doesn’t scare you, then I can’t help you. I have seen stores that were averaging $3,000 to $5,000 per week
close when a competitor swoops in and built routes around those stores.
The goal is to capture the entire market by combining your route and retail
stores. By focusing on the overall goal-you and your staff will provide the
best overall customer service available. So how does this work? The best time
to offer free pick-up and delivery is when the customer is dropping off their
clothes.
Sample dialogue
“(Customer name), did you know that we provide free pick-up and delivery to your
home or office? In fact, we can have these delivered to you a no extra charge
if you like.
”
Please note: Many will doubt the validity or have concerns about the route and
they often feel that there is a catch. People don
’t like change. The CSR or route person must inform them that we are in the
customer service business and this is an additional feature.
The most common responses and questions are:
• How much does it cost?
• Where do you leave my clothes?
• Do I have to be home when you deliver?
What I recommend is a $10 credit for each store customer who converts to the
route. Make sure the CSR understands the importance of growing the route. Have
route materials handy to give to the customers when they sign-up.
Key points to remember
• No minimum.
• Don’t have to be home.
• Don’t have to call.
• Pick-up and delivery days.
• Offer to get them started right away.
• Customer can still come to the store.
• Billing options.
• Make sure that the customer qualifies for the route.
• Offer $10 credit for referrals.
The most common response from employees and owners is that they fear that the
store will be drained dry and this defeats the purpose of having a store.
I am not the “angel of death” but the “angel of life” when it comes to developing routes. The rolling billboard and the branding
aspect of having sales personnel promoting both the route and the stores will
lead to growth at the counter. I have witnessed this everywhere.
One more aspect of converting counter customers to the route is that you can
control the growth of the route. Sometimes your salespeople have bad weeks or
you can limit the growth by capping conversions at five a week.
If you disagree with any aspect of this, feel free to contact me.
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James Peuster is an onsite route consultant. The “Route Pro” teaches cleaners how to market, manage and maintain routes. He has been in the
industry for six years and formerly was the route specialist with Al Robson
’s BizBuilders. He can be contacted at (816) 739-2066 or james@theroutepro.com.
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