Holiday Kiosk Retailer– Reported 15.5% comp store sales increase
A private equity firm purchased a holiday kiosk operation in 2008 and brought in TSi to assess the company and improve sales. Upon completing a thorough assessment (now known as The TSi 360™,) TSi quickly discovered numerous areas that needed improvement.
Training:
The TSi Company implemented a complete restructuring of training. The holiday kiosk retailer of 600 locations, had been flying personnel into two central locations for three days of live training, costing the company approximately $500,000 annually. In addition to the high cost, the training was ineffective. Their current training created a trickle down method that involved store managers returning to their kiosk locations and training their employees themselves through the “Buddy System.” This type of training method breeds inconsistency. TSi recommended canceling this method entirely.
Second, The TSi Company implemented its patented LTraining® methodology, ensuring that every employee was trained in the same way. The focus was on skills employees needed to perform their jobs, the key initiatives of the business, and most importantly, “why” they needed to do what they were being trained to do.
Training was conducted at their kiosk location during business hours, which eliminated the need for additional training hours, therefore keeping payroll dollars consistent.
Marketing/Communication:
Under the new ownership of the private equity firm, various modifications were made to the kiosk retailer. They introduced a new logo and slogan, and their products were altered as well. The purpose of the new slogan was to help customers identify with the brand, which was based on holiday tradition. The TSi Company carefully reviewed these changes and realized that employees needed to identify with the brand as well. An internal marketing initiative was developed beginning with the creation of a custom music sound track-jingle that utilized lyrics featuring the tradition of the kiosk retailer and its new slogan.
To further help employees identify with the brand, The TSi Company created a spokesperson, Sarah, who was a third generation shopper and incorporated her into all the training, internal marketing and communication.
Technology:
The kiosk retailer’s technological capabilities were very limited and they did not have Wi-Fi. TSi incorporated its custom LTPM software and integrated it with the retailer’s POS system, enabling training modules and communication programs to be downloaded.
Within the first year the kiosk retailer saw a 5% increase in sales, $300,000 reduction in expenses from savings in training, 70% reduction in shrinkage and 55% reduction in cash over short.
By the end of year two, comp store sales increased by 15.5%. Sales remained strong throughout the four-year partnership.
A private equity firm purchased a holiday kiosk operation in 2008 and brought in TSi to assess the company and improve sales. Upon completing a thorough assessment (now known as The TSi 360™,) TSi quickly discovered numerous areas that needed improvement.
Training:
The TSi Company implemented a complete restructuring of training. The holiday kiosk retailer of 600 locations, had been flying personnel into two central locations for three days of live training, costing the company approximately $500,000 annually. In addition to the high cost, the training was ineffective. Their current training created a trickle down method that involved store managers returning to their kiosk locations and training their employees themselves through the “Buddy System.” This type of training method breeds inconsistency. TSi recommended canceling this method entirely.
Second, The TSi Company implemented its patented LTraining® methodology, ensuring that every employee was trained in the same way. The focus was on skills employees needed to perform their jobs, the key initiatives of the business, and most importantly, “why” they needed to do what they were being trained to do.
Training was conducted at their kiosk location during business hours, which eliminated the need for additional training hours, therefore keeping payroll dollars consistent.
Marketing/Communication:
Under the new ownership of the private equity firm, various modifications were made to the kiosk retailer. They introduced a new logo and slogan, and their products were altered as well. The purpose of the new slogan was to help customers identify with the brand, which was based on holiday tradition. The TSi Company carefully reviewed these changes and realized that employees needed to identify with the brand as well. An internal marketing initiative was developed beginning with the creation of a custom music sound track-jingle that utilized lyrics featuring the tradition of the kiosk retailer and its new slogan.
To further help employees identify with the brand, The TSi Company created a spokesperson, Sarah, who was a third generation shopper and incorporated her into all the training, internal marketing and communication.
Technology:
The kiosk retailer’s technological capabilities were very limited and they did not have Wi-Fi. TSi incorporated its custom LTPM software and integrated it with the retailer’s POS system, enabling training modules and communication programs to be downloaded.
Within the first year the kiosk retailer saw a 5% increase in sales, $300,000 reduction in expenses from savings in training, 70% reduction in shrinkage and 55% reduction in cash over short.
By the end of year two, comp store sales increased by 15.5%. Sales remained strong throughout the four-year partnership.