When HIM asked catering customers what is 'important' to them while they are shopping in cash and carries it showed that availability is becoming less of a concern. Overall the number of customers unable to buy products has decreased from 26% in 2006 to 19% in 2007.
This is a direct result of operators putting a huge amount of focus on improving availability by ensuring key lines are stocked and merchandised. This ensures caterer customers can find items easily, and it seems that all the hard work is paying off. When customers were asked to give marks out of 10 for product availability, the average score was 7.7, and the best in class operator achieved 8 out of 10.
"Value for money" remains the second most important aspect of the shopping experience to the caterer customer. Value for money is not all about promotions and cheap prices, it is a combination of everyday low prices, a pleasant atmosphere, convenience of using the depot and good service.
"Fast and friendly service" is becoming more important to catering customers. Do cash and carry staff have the knowledge and training to provide excellent customer service? Seventy two per cent of customers did not ask a member of staff for help or assistance when they needed it. Is this because they do not think the staff would be able to help? Depot staff can make all the difference to a customer's shopping experience and have an influence on all the areas which are important to customers when shopping in the cash and carry.
"Ease of getting around the depot" has also increased in importance to the caterer customer. Feedback suggests that the cash and carry can often seem like an assault course with pallets and trollies blocking the aisles. Caterers only want to spend an hour at the depot. They want to be in and out as quickly as possible.
Operators need to make the cash and carry convenient to use in order to increase trips per week. Caterers turn to supermarkets for top-up shopping, especially for fresh items, because the supermarket is often more convenient than their cash and carry. They say it is easier to park, easier to manoeuvre around the store, there is better signage and merchandising, and queues are managed better.
"Promotions" are becoming less important to the caterer customer as they would rather receive everyday low prices then one off promotions.
Overall customer ratings for cash and carries remain good. Caterers feel more valued by their cash and carry than they did a year ago (82% in 2007 compared to 72% in 2006).
This is fantastic news and is a direct result of the effort cash and carry operators have made. Many have introduced defined catering zones in the depot and improved the range and information they by provide by making it relevant to the caterer customer. However there is clearly still work to be done as 18% of customers still do not feel valued and therefore are likely to go elsewhere to source products. Operators and suppliers need to understand who their caterer customers are to deliver against their needs effectively.
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- 27 November, 2008
FWD Annual Dinner & Gold Medal Awards
