Management: Just Take the Money!

The retail industry has been agog in recent years over customer relationship management (CRM) software, which helps sellers mine data to learn what customers want, and which ones deserve the most attention. That's great, but why not also include technology that more directly helps shoppers? At Circuit City, based in Richmond, Va., receipts are stored electronically and can be accessed in any store coast to coast. This technology is widely available, but Circuit City has been shrewd enough to feature its version in TV ads, fostering its image as a place where it's easy to return merchandise and where shopping is hassle free. Outdoor equipment retailer REI, based in Kent, Wash., makes smart use of technology, according to Forrester's Delhagen, by placing computer kiosks on its sales floor that allow the customer to search its entire inventory. "The store can't carry every size and shape of tent stake," Delhagen says, "so an associate will walk you over and find you the one you need." The lesson for retailers: don't fall in love with new technology unless your customers get to play with it too.

--TAKE THE MONEY

Too many retailers undervalue the checkout, which is their last best chance to make a good impression. "If you're going to mess up the store experience, don't mess it up at the checkout," says Delhagen. A good checkout hinges on preventing a wait that can sour a shopper's whole day. Ikea, which doubled its number of checkout stands when it recently moved a store from King of Prussia, Pa., to bigger quarters in nearby Conshohocken, is looking even further ahead to a roving pre-checkout system, using wireless technology for mobile cashiers. Home Depot, based in Atlanta, recently invested heavily in self-checkout technology, which should be fully online by this summer. A cash outlay isn't the only answer or even the best one. Jim Dion notes that in the Midwest, Jewel grocery stores, a division of Albertson's, have their cashiers circle the preferred-customer savings on the register tape before handing it to the shopper. "Nice little touch," Dion says approvingly. "Maybe they could add to that a sincere 'thank you,' which would be nice. But they didn't when I was there." The way his voice falls before adding the afterthought says a lot about the frustrations of store shopping--and managing. It says the little things count for a lot. And it says don't take them for granted.