Retailers are going bankrupt by the carload and retail sales are in the toilet. I needed to buy some things, so I thought I would do a field trip to see what’s up at the local mall. Here’s what I learned.
Retailers are using that manpower scheduling software with a vengeance — you know, the software that makes sure there aren’t extra people on the sales floor during times when there are fewer customers? I arrived mid-afternoon to find most stores quite bereft of sales people. On the other hand, the other customers were often quite helpful and I made some new friends. Tip: Don’t go shopping during off hours. You won’t find anyone to wait on you.
First stop: Macy’s
December Same Store Sales: –4%
Macy’s has perfected the neutron-bomb theory of retailing. You remember the neutron bomb — it was designed to kill the people but leave the buildings. Macy’s has lots of merchandise but no sales help that can be located. All right, there may be a few folks staffing some of the cash registers, but there’s no one on the sales floor to answer questions about the merchandise, even in the men’s tailored clothing department. I guess it’s akin to the price-checking machines they have scattered throughout the store — sort of a “do it yourself” operation, which is fine except I don’t really know how I could fit my own clothes.
But I was determined to find the sales help, and with some diligent searching I made a discovery. There are several “hiding places” in the store I visited — spots ostensibly on the sales floor but out of sight of the customers — where the sales people hang out. One was giving another a back rub. In another department, a small group was happily chatting away. But they were not to be interrupted by me, so I went on my way. They also didn’t seem very happy to see me. Even in these stringent financial times, it doesn’t cost much to smile.
I wonder how much merchandise is walking out Macy’s front door without being paid for. No one shoplifts while they’re being waited on, so maybe Macy’s could cut its shrink by attending to customers.
Second stop: Nordstrom
December same store sales: -10%
I stopped by the men’s department to look at a sport coat. I did find a sales person who began to help me when the phone rang. He answered it. Must have been a great call. After about five minutes listening to him talk on the phone with his back to me, I left. The message implicitly sent: Whoever was on the phone was way more important than the potential customer standing there waiting to be helped. No wonder Nordies’ sales are down 10 percent. High prices and no customer attention is a bad combination.
Third stop: Sears
December Same Store Sales: -7.3%
Sears has a pretty large store in my local mall, so to find what I was seeking, I needed to ask people. Big mistake. No one seemed to know where anything was. Well, that’s not entirely true; some of the other customers were actually quite helpful. Couldn’t blame the sales staff — many were new to the store, and I doubt they had received much, or any, training.
By then I’d had all the fun I could stand, so I went home. So what did I learn in my brief shopping excursion? First, no wonder I hate to go shopping. It has become a thoroughly unpleasant experience. Second, the mall is sort of like an Outward Bound experience: Lots of friendly customers helping each other out, since the sales staff is either nonexistent or would rather not be bothered. Third, without for a moment denying that the principal factors causing the retail downturn are the lousy economy and the credit crunch, it is also the case that the in-store experience adds almost nothing to shopping success. Who would want to go to a store when you can compare prices online? At least online, people don’t ignore you to take a call or chat with their friends. Insults are way worse in person.
By the way, all the studies show that service does matter. Take a look at the customer satisfaction ratings produced at the University of Michigan. They correlate closely with market share and financial performance.
We supposedly live in a service economy, now that manufacturing has mostly disappeared. If that’s true, we are truly in trouble. Because in this service economy, where’s the service?
" I shut up and took my money.
