Graduate Diploma Mini Project: Improving Customer Service in NZ Store

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Running head: IMPROVEMENT OF CUSTOMER SERVICE WITH SALES IN NZ
Improvement of customer service with sales in New Zealand Woodlands Park Convenience
Store
Name of the student:
Name of the University:
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1IMPROVEMENT OF CUSTOMER SERVICE WITH SALES IN NZ
Part 1
Executive Summary
This particular project depicts the crucial necessity of implementing a better and
improved customer service for the regular and new consumer as well. This project is developed
and documented to accomplish the academic degree successfully. Both primary and secondary
data sources are utilized to conduct this research work. Primary survey was conducted among the
employees and consumers as well. it has been determined that based on the survey response
proper improvement strategies are needed to be developed and implemented by the store to
deliver a better service to retain customers.
Based on the survey result it has been identified that the customer services delivered to
the consumers are not at all accurate and profitable for the consumers. After analyzing the
primary and secondary information gathered it has been defined that both technical and non
technical supports are essential for improving the overall customer service. In order to deliver
imposing services to customers training and cultural awareness are required. The response also
implied that lack of training, experience, skill and knowledge among the staffs are the reason
causing decreasing sales rate.
Recommendation: In the below section some recommendations are elaborated and it has
been expected that this list will help Woodland Park Store to deliver sufficient consumer
services.
To improve technical support in Woodland park store for functional and
operational activities
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2IMPROVEMENT OF CUSTOMER SERVICE WITH SALES IN NZ
To improve the current store layout
To develop and improve cultural awareness among the working staffs
To improve the product knowledge among the staff members
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Table of Contents
Part 1................................................................................................................................................1
1. Define and plan of the project, Introduction and Aim.................................................................4
Project aim...................................................................................................................................4
Objectives....................................................................................................................................4
Introduction..................................................................................................................................4
Store background information.....................................................................................................5
Research problem and introduction of the company...................................................................5
Part 2: Methodology........................................................................................................................5
Data collection.............................................................................................................................5
Project limitation.........................................................................................................................6
Ethical consideration...................................................................................................................6
Part 3................................................................................................................................................7
Literature review..........................................................................................................................7
Retailing and small businesses....................................................................................................7
Store layout and technology........................................................................................................8
Product knowledge among staff and enhance cultural awareness.............................................10
Part 4..............................................................................................................................................11
Discussion and Analysis................................................................................................................11
Part 5..............................................................................................................................................22
Conclusion.................................................................................................................................22
Finding.......................................................................................................................................22
Recommendations......................................................................................................................23
References......................................................................................................................................23
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4IMPROVEMENT OF CUSTOMER SERVICE WITH SALES IN NZ
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5IMPROVEMENT OF CUSTOMER SERVICE WITH SALES IN NZ
1. Define and plan of the project, Introduction and Aim
Project aim
The aim of the project is to consider primary and secondary resources and use those
accurately for gathering information successfully. It is determined that the store is failing to meet
the client’s expectation. Therefore, the store is required to develop and implement appropriate
customer services to ensure that the store is gaining commercial profit and competitive
advantages as well. Successful implementation of this project will help the store to grab new
customer and also retain existing consumers. Besides this, the working staffs are required to have
proper knowledge about the services and products offering by the store for their consumers.
Objectives
To improve technical support in Woodland park store for functional and
operational activities
To improve the current store layout
To develop and improve cultural awareness among the working staffs
To improve the product knowledge among the staff members
Introduction
If appropriate consumer service is being implemented then it will help the company to
gain commercial advantages and competitive advantages as well. The New Zealand based
convenience store that is nominated for this project is Woodland Park Store. The store is located
in Hobson street Auckland.
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Store background information
Due to lack of technical support and security measures the store is recently facing certain
operational and functional challenges that are needed to be resolved sooner. In addition to this,
the other challenge that is interrupting the regular success of the store includes lack of cultural
awareness among the staffs, inappropriate store layout, and improper product knowledge among
the working staffs. Therefore, it is much essential for Woodland Park Store to improve their
current functional and operational activities.
Research problem and introduction of the company
The research demonstrates significant commercial loss and decreasing sales rate that
woodland Park store is facing due to lack of product and service awareness and technical
support. The store serves western men and women wearing (it includes winter and summer
collections). The store does not follow any particular development policy, training and awareness
program. Therefore, the store requires keeping focus on theses aspects. In addition to this,
precisely the issues associated to the customer services are also needed to be understood by the
regular employees and other associates.
Part 2: Methodology
Data collection
Primary data collection
Primary data are first hand data or raw data generally collected from different primary
resources like survey, questionnaire etc. However, primary data requires clarification on its
reliability and validity.
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Secondary data collection
Whereas; in case of secondary data are used as widening the research topic. Mostly the
primary data are used to collect raw data and already published data are analyzed with the help
of secondary data collection.
The primary data collection process includes direct interaction and secondary data are
collected through secondary sources like journals, books, websites, articles, blogs and other.
In order to record narrative form of information qualitative date are much helpful because
it is identified that qualitative data can give much specific and details description regarding the
research topic of customer service process and improvement. For incorporating theoretical
prcatices in the practical applications qualitative data collection process is very essential.
Project limitation
The project limitations those have been identified in this project are as follows:
Reliability: The researcher needs to ensure that the involved respondents are not
involved in any sort of pressure and influence but manager and other members those are
involved in the process can be completely biased which may affect the research findings.
Time constraints: Time limitation is another factor that have been occurred due to the
cross sectional nature of the study. In addition to this, many details of the study are there which
were not at all analyzed for the cross sectional nature of the research topic.
Budget constraints: The researcher may face few limitations because of the limited
budget. In order to enhance project quality financial limitation is needed to be avoided.
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Ethical consideration
While conducting the research work some ethical aspects are also needed to en
considered by the researcher:
Data application: Information gathered through primary and secondary research sources
are helpful to understand the current consumer’s trends and requirements. The commercial
application of information would be completely avoided to keep the research work limited within
the academic boundary only.
Involvement of respondents: The researchers should make sure that all the external
influences are completely avoided during the decision making period.
Anonymity: During the research on customer service improvement process, the
researchers are also needed to ensure that no such external mental or physical harassment are
taking place among the respondents.
Part 3
Literature review
Retailing and small businesses
According to Navimipour and Soltani (2016), retail sector is referred to as one of the
most crucial sectors as it directly deals with the customers. The retail and small business includes
small groceries, kiosks, supermarket chains, shopping malls which sells products directly to the
customers o fulfill both the house hold needs and personal requirements as well. In order to
gather information for such retail sector both primary and secondary resources are useful.
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According to Chuang and Chiao (2015), retailing in the stores and retailing outside stores are two
main groups that organize a retail sector. Again Bukhari and Kazi (2016) stated that, retailing
stores act as a social economic system that helps to bring people all together. It helps to match
people requirements. According to Dong, Liao, Chuang, Zhou and Campbell (2015), mostly
people thinks that, for selling goods retails stores are activated whereas; retailing also includes
ale of different service. In numerous manners the process of retailing can be successfully
differentiated.
In case of retailing there is a chance of direct interaction with the end user. Goodman,
(2019) stated that it is the only value chain that offers platform for commercial promotions.
However, location is referred to as a critical factor for retail business. In daily lives the retail
store plays various functionalities. Beside this there are also some other factors on which the
retailers need to focus include time utility, shape utility, place utility and ownership utility.
Retailer helps to make any product available while it is required by the customers. In other
words, retailer acts as an agent to keep the customers engaged to the store’s services. The
retailers can be classified based on ownership, level of services, location and operation methods.
Store layout and technology
According to Chuang, Liu and Chen (2015), store layout is referred to as an important
factor that impacts the critical determinant and behavior of the consumers onwards store
creation. The in store pattern of the traffic, shopping behavior, operational effectiveness and
shopping atmosphere are strongly influenced with well organized design layout. Whenever such
inconsistency occurs some of the consumers will dump the establishment in search of other one
which offers convenient as well as better service faster. Scherer, Wünderlich and Von
Wangenheim (2015) stated that, strategic approaches will help to increase the rate of consumer’s
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loyalty by boosting up the sales and rate of employee turnover also. Zaheer, Wei, Nabi, Attia,
Khan and Rashid (2016) opined that the store owners and the working employees both are
required to be aware of the impact of convenience stores. For successfully accomplishing the
project objectives qualitative research is needed to be conducted. For the convenience stores self
administrative questionnaires are much helpful than the others. Kang Alejandro and Groza
(2015) stated that, the store layout is a critical factor that drives consumer’s elaboration and
customer retailing. Store layout supported by technology helps to improve the overall
performance of retail through information processing, retail establishment, purchase intension
and retail establishment. Customer focused store layout results greater positive customer
outcomes and much customer elaboration. Day by day the environments of retail stores are
changing. The store layout factor is characterized through intensifying competition rate and
consumer expectation (Heirati, O'Cass, Schoefer & Siahtiri, (2016). The experience of the retail
store involves much than regular non retail service experience. Under the context of retiling and
marketing the consumer’s purchasing behavior, store layout and convenient stores are
successfully defined.
According to Chen, Zhu and Zhou (2015) the concept of store layout is an effortless
movement for the users based on which store give maximum exposure of goods and services.
The store layout includes merchandise placement, music, shelf orientation, interior decoration,
staff attitude, location of the loading facility etc. On the other hand, the purchasing behavior of
the customers is referred to as a process through which each individual can search, select,
purchase, use as well as dispose for the needful goods and service to satisfy the consumers. Oud
and Genzinger (2016) stated that, the social and cultural environment of a store can influence this
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particular process. Convenience store is a very small and self service store whose store sells are
always quite limited.
Besides store layout the other concept that has to be considered is technology. According
to Assimakopoulos, Papaioannou and Sarmaniotis (2017), Customer Relationship Management
(CRM) system is an essential technology that has to be used by the store owners and others to
make sure that the business is meeting the requirements and all the demands of the consumers. In
order to establish a greater relationship with clients CRM technology is very beneficial. CRM
technology helps to forge a much better and stronger connection as well as deep relationship
along with both the new and regular customers. In addition to this, the CRM technology also
helps to improve the ability of cross sell (Santouridis & Veraki, 2017). If any such functional and
operational issues occur then those can also be successfully solved with this technical
involvement. Collaboration among the team members is other benefits that are obtained from
CRM technology. Apart from team collaboration proper business strategy implementation is
another thing on which the business owners are required to keep their focus. In traditional days,
the owners used to use manual information management system which was quite time
consuming and costly as well. However, with changing time period businesses have started using
the concept of automated data management system (Navimipour & Soltani, 2016). The
automated data management system will help to improve the relationship between the clients and
the service providers. It will also reduce the process cost and processing timing as well. The
CRM system is used to keep the personal and financial records of the clients and keep use those
while required. Retrieving stored data from the CRM system is always easier and time saving.
Therefore, it can be said that all the current businesses are required to use this kind of
technologies to improve the overall business process and services (Diffley, McCole & Carvajal-
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Trujillo, 2018). This process takes lesser time than the previous manual customer management
system. Therefore it helps to save the complete time and cost as well.
Product knowledge among staff and enhance cultural awareness
According to Santouridis and Veraki (2017), among the employees there are certain hard
traits that are very much hard to change. The behavior of a manager can also be challenged
through effective training regarding personality as well as appearance. For making successful
marketing of the company products and services the process of product knowledge training and
development is very essential. According to Soltani, Zareie, Milani and Navimipour (2018) the
nature of products and services that a company is serving should be known to all the employees.
For a better customer experience the training is very much essential from the business
perspectives. In order to improve the customer services and satisfy the consumers with the
products and services product knowledge is very essential. Ritter and Geersbro, 2018) stated that,
in case of customer services product knowledge does not mean the salesperson or consumers
service representatives. As soon as all knowledge regarding any product is become known that
should be properly shared among the other working employee successfully. Periodic tracking is
also essential for the success Elena, 2016). In order to close the sales the products training is
used as a tool in marketing. On the other cultural awareness is also very much essential to avoid
internal team conflicts among the owners and working employees.
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Part 4
Discussion and Analysis
In this particular research study, there is used of both primary as well as secondary data
collection method. In order to conduct the primary data collection, survey questions are prepared
for the customers to identify the area of improvement required into NZ convenience store. The
customers are responded to the survey questions those are visited the store. In order to conduct
this data collection, interview questions are prepared for the employees and managers those are
working into the store.
Customer Survey
In order to perform the survey from the customer’s side, there are total of 30 customers
are taken as the sample size. The sample population is those who are visited the NZ convenience
store and used the products as well as services of the store. Through the customer survey
questions, it is beneficial to understand areas of improvement of customer services so that there
is gaining of higher sales revenue.
1. How many times a fortnight do you visit the store?
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From the above chart, it is analyzed that 56.7% of the customers are visiting the store
twice in a week, 30% of them are visited more than twice in a week and 13.3% of them are once
in a week. The key outcome is that the customers those are visited the store are happy with the
store and their products so that most of them are visited the store on twice in a week. The
customers should visit the store if they are received with better services.
2. What you think about the customer’s service provided by staff in NZ convenience store?
From the above chart, it is analyzed that 50% of the customers are feeling good with the
customer’s services provided by the staff in NZ convenience store. It is found that 36.7% of them
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are not feeling good or bad with the customer services. The customer are not satisfied with the
services of the staffs of the store, therefore it leads to reduce the store’s productivity and
profitability. In order to make improvement over the customer satisfaction level, it is required to
make improvement over the customer services to make higher profits. Then the store can lead to
achieve a higher rate of profitability.
3. If the service is poor, then what are the possible reasons you think behind the poor
customer service?
From the above chart, it is analyzed that 56.7% of the customers are think that when the
service is poor, the reason behind the poor customer service is lack of knowledge of product. It is
found that 16.7% of them are facing problems in store layout and old technology of payment,
10% of them are facing problems of lack of training. Therefore, the NZ convenience store is
required to make improvement over the product knowledge. It is recommended that the store
should require providing training, improving over the product as well as improving over the
layout of NZ convenience store.
4. What could we do to provide the service? Please give us recommendation?
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From the above chart, it is analyzed that 43.3% of the customers are recommended to
make changes into the store layout and 30% of them are recommended to improve over the
customer service, 23.3% of them are recommending providing training as well as development.
It is found that 3.4% of them are recommended for better communication skills. The customers
are not happy with the staffs due to lack of product knowledge, therefore product training is
required among the employees and staffs.
5. Did the product and service of NZ convenience meet your expectations?
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From the above chart, it is analyzed that 86.7% of the customers responded that the
product and service of NZ convenience store can meet with their expectations while 13.3% of
them are not happy with their services. It is suggested that the store should make improvement in
their customer services so that all customers are satisfied with the products as well as services.
When the store can meet with customer’s needs, then it will lead to increase into sales revenue
and market rate of the store.
6. Were you able to find products and any items without assistance?
From the above chart, it is analyzed that 86.7% of the customers are found that they are
not able to find products and items in the store with the staff assistance. It is found that 13.3% of
them are able to find the products. Therefore, most of the customers are required proper
assistance from the staffs so that they can easily find the products in the store as per their
demand.
7. If no what is reason behind this?
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From the above chart, it is analyzed that 33.3% of the customers are responded that they
are facing the language problem, 30% of them are lack of signs, and 26.7% of them are facing
the store layout problem while 10% of them are facing other problems. Therefore, it is suggested
that the store should require making improvement over the language problem that most of the
customers are facing and they are required training.
8. Would you recommend our service and product to your friends or family? If yes or no?
From the above chart, it is analyzed that 36.7% of the customers are recommended the
store for making improvement over quality of the product, 33.3% of the customers are
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recommended to the customer service problem and 23.3% of them are problem with the
products. It is found that 6.7% of the customers are recommended for bad experience with the
employees.
9. What type of service they have to change?
From the above chart, it is analyzed that 33.3% of the customers are required to make
changes into the installation of new machines, 30% of them are delivery of the online order and
20% of them are required to new technology for payment, 13.3% of them are required all of the
above. It is found that 3.4% of them are recommending with method of payment.
10. Were the employees of the store knowledgeable or well trained?
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From the above chart, it is analyzed that 43.3% of agreed and neutral that the employees
of the store are knowledgeable and trained. Therefore, the staffs are providing the customers with
better services as they are skilled as well as experienced in their work and they understand their
work in better way. Therefore, the staffs of the NZ convenience store can able to provide with
better services to their customers so that they can achieve a higher rate of customer satisfaction
and the customers should visit their store.
Interview with the staffs and manager of the store
The method which is used for the primary research is interview with the staff and
manager of NZ convenience store so that they can better understand the reasons and problems
that the customers are facing with using their products and services. There are total of 1 store
manager and 2 staffs are taken for conducting the interview based on the questions. Therefore,
the sample size of analyzing the qualitative method is 3.
1. Do you thinking that customer service is a major problem in reducing sales?
Agreed with the interview question. Into the NZ convenience store, the customers are not
so much satisfied with the services and products of the store. The customers are facing problems
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with the lack of knowledge of product and training of the employees, therefore the store is
required to make improvement in this two areas. When the customers are not satisfied with the
employees’ service, it leads to reduce the sales and lessen the store’s profits.
2. What type of step do you use to improve your customer service in terms of training and
development?
By means of training and development, it is required to identify skills required to provide
services to the customers. The staffs should require to provide training on how to provide
services to the customers and how to convenience the customers to purchase products from their
stores. The staffs are required training on the communication so that they are not facing language
barrier problem.
3. Are you confident that the employees of your store represent your business as well as
possible in terms of customer service? If yes how?
The employees those are working into NZ convenience store is required knowledge on
the products and services they are serving to the customers. In this case, they are required proper
training and development so that they can meet with the customer’s expectations.
4. Does your organization have any rules and policy for training and development?
The organization is required to implement strict rules and policies for training as well as
development so that they can provide with better customer services. Currently, the store has not
followed any particular rules. On monthly basis, the employees are required to provide training
to identify their skills and talents in customer services. When there is lack of training and
development, then it will reduce the sales revenue of the store.
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5. How do you think that effective customer service influences the increase and decrease of
customer sales?
When the employees are providing better service, then it will lead to increase into
customer sales while the staffs are not able to get proper training and lack of product knowledge,
then it will lead to decrease in customer sales.
6. Does your manager and team leader motivate or inspire you?
Yes, the team leader and manager are motivated us to provide a better customer services
to those who are visiting the store. They also trained us how to make improvement over the store
layout and improve over the language barrier problem. They are inspired us to improve over the
communication skills so that the employees can properly serve the customers.
7. Do you have access to the tools/resources/learning to do your job well?
Most of the employees are accessed to the tools/resource/learning materials so that they
can get proper training and development in order to provide with better customer services.
Through proper training, the employees can do their job better and in the store, there is increase
into the sales revenue.
8. Do you think your manager cares about you as a person?
The manager is cared about the employees by experiencing with faster growth as well as
learning. They are ready to help the employees to keep in touch with the customer’s demands.
They encourage in personal as well as professional development for providing the customers
with higher rate of satisfaction. They make the employees feel like valuable member of the team
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those are working into the store. The manager asks about priority of the employees as well as
concerns about their work for better understand them from their own perspective.
9. How long have you worked for this manager?
Staff 1 is working for the manager for 5 years while staff 2 is working for the manager
for 2 years. Therefore, the staffs have higher experience as well as skills to provide customer
services to the employees so that they can achieve sales revenue and store profitability. The
working experience of the employees is lead to provide better customer services and meet with
their expectations. The experienced employees can serve their customers better.
10. Have you noticed that your manager has encouraged you because of your good service
and hard work? If yes how?
The manager has encouraged the staffs due to their good services as well as hard work as
they are providing the customers with high rate of customer services. When the employees are
providing with higher rate of services and the customers are also satisfied with them, then the
manager is provided the employees with recognizant award so that they can motivate them to
work. The employees are working hard so that they can meet with the customer’s requirements
and provide with better services. When the customers are happy with the services, then it will
lead to increase into sales revenue, profitability in addition to productivity of the store.
Part 5
Conclusion
From the overall discussion it can be concluded that, in order to realize and understand
the importance of customer service and its impact of store revenue and commercial success this
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project is being conducted. For understanding the positive impact and influence of customer
services in commercial revenue of a store this research study is conducted. In order to improve
the overall customer service the most essential mechanism or technique that this store is required
to be used is customer relationship management system. It is determined that, if the CRM system
is successfully implemented then stores will be able to grab more consumers and will also be
able to deliver respective services to the customers.
Finding
It has been found that,
Recommendations
The suggested recommendations for this particular project are elaborated n the below
section:
Use of accurate strategies: The woodland park store requires applying proven strategies
while building the customer loyalty. In keep track of the loyalty the separate applications that are
needed to be conducted include update, personalization, delete and insertion.
Measuring customer efforts: The efforts that each customer gives for a particular store
must be measured and based on that offers should be provided.
Demonstration on product knowledge: For commercial success, comprehensive
product knowledge should be considered as an essential part for customer service.
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