A nationwide chain of more than 900 retail stores dealing in branded footwear, desired to increase sales at under performing stores.

THE SOLUTION

Two custom, comprehensive evaluations were developed in tandem by IntelliShop to gather information on customer engagement (e.g. greeting the customer, store layout, price tags, and promotions) and suggestive selling efforts at under-performing store locations. Mystery shopping data was gathered year-over-year during monthly visits.

Evaluators made observations about their customer experience, paying specific attention to initial greetings, continued engagement, and suggestive selling efforts. Evaluators were instructed to make a shoe purchase to complete a register transaction.

OBJECTIVES

The client sought to:

  • Deter theft at under-performing stores
  • Improve suggestive selling efforts to increase accessory sales.

APPROACH

IntelliShop recommended:

  • Loss Prevention – Validate the client’s early engagement initiative as an effective loss prevention tactic by measuring customer engagement.
  • Suggestive Selling Evaluations – Measure suggestive selling strategies to increase accessory sales.

THE RESULTS

Through IntelliShop’s evaluations, improvements to both loss prevention and sales were seen across the client’s store locations. As mystery shopping data was collected, sales increased as improvements were made to the customer experience, such as increased engagement and suggestive selling.

Mystery shopping data revealed a positive correlation between customer engagement and loss prevention. As a result of IntelliShop’s recommendations, the average store experienced over $8,000 annual shrink saving, translating to over $8 million in annual shrink savings across the client’s board.

The mystery shopping data further revealed that engaging the customer early helped build rapport for suggestive selling, which also contributed to significant sales increases. As a result of the suggestive selling recommendations, the average amount spent by shoppers increased by 10 percent when associates suggested an accessory item, as average annual store sales increased by over $180,000. The client expects to see a total annual sales increase by over $186 million.

The Mighty Oak Pathway

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