Publix and unusual suspects top customer experience list
Consumers have spoken. Publix is number one among retailers when it comes to producing positive customer experiences.
According to the Temkin Group’s, 2016 Experience Ratings, the Florida-based chain came in ahead of other supermarkets and retailers, some well known for taking care of their customers and others not so much.
Following Publix on the list were H-E-B, True Value, Save-a-Lot, Kroger, Wegmans, Aldi, Amazon, O’Reilly Auto Parts, Food Lion, ShopRite, Dollar Tree, QVC, Giant Eagle, Trader Joe’s, Sam’s Club, Wawa, Winn-Dixie and Hy-Vee.
Temkin’s ratings were based on three factors including:
- Success: How do experiences meet the needs of customers.
- Effort: Does the business make it easy for customers to do what they want to do.
- Emotion: How do customers feel about shopping in a retailer’s store or website.
Interestingly, the 10,000 consumers surveyed by Temkin rated supermarkets, fast feeders and retailers as the top three industries for superior customer service. Even so, all three saw their rating numbers fall from last year.
“Consumers’ expectations are outpacing customer experience improvements, especially in industries with chronically poor customer experience such as TV service providers, Internet service providers, and health plans,” said Bruce Temkin, managing partner of Temkin Group, in a statement. “This year was particularly telling, as we found a steep decline in customer experience across all industries.”
Discussion Questions
DISCUSSION QUESTIONS: Which companies making the Temkin Group’s list surprised you most? Are consumers evaluating their shopping experiences in different ways than in the past? What does it mean for retailers?
Poll
BrainTrust
Patricia Vekich Waldron
Contributing Editor, RetailWire; Founder and CEO, Vision First
Ken Morris
Managing Partner Cambridge Retail Advisors
It’s an odd list. No doubt about it.
Aldi really surprises me. I didn’t enjoy the products or the experience. I continued to be befuddled. Perhaps I’ll try again.
It seems to me that the list tells us that people simply want their expectations met. Dollar Tree promises everything for a dollar (unlike other dollar stores) and actually delivers. Apparently consumers like that.
Still, having said that, I’m also surprised that there’s not a single apparel retailer on the list. And not a mention that I could see. I didn’t go through every single line-item, but I did look at the top and the bottom. I don’t know why exactly. I’d be inclined to say it’s a problem with survey design or respondent pool rather than with the retailers.
I’ll get back to reading the methodology later in the day, but something doesn’t seem right to me. No offense to Bruce, but it stretches credibility a bit.
Surprised by a few companies missing on this list, most notably Costco, Raley’s, Schnucks and Price Chopper. Also, I guess retailers like Stew Leonard’s and Dorothy Lane Markets are too small to be considered for the list, even though they do as good a job with customer engagement (if not better) than most on the list. That goes for IGA stores as well.
What does it mean for retailers? That one is easy. Understand expectations of your customers and meet or exceed them. Our first reaction is that we are ranking customer experience. That is not it at all. We are ranking how the retailers are meeting the customers’ expectations. Wegman’s, Sam’s Club, WaWa and Trader Joe’s are very different experiences and expectations.
Just imagine if Sam’s said, we want to move up so let’s be like Wegman’s.
Also surprisingly not on the list, Apple Stores. I can see Publix, H-E-B, Wegmans — exceptional customer service is pillar of their continued success.
Overall, I am surprised by the number of food retailers that appear to have done so well. One always expects Publix, Wegmans, Kroger and H-E-B to head the list. However, the presence of Save-a-Lot, Aldi, Food Lion and Dollar Tree in the top 12 seems a bit at odds when it comes to a discussion of superior customer service. Likewise, I find it hard to believe that Sam’s Club was number 20 and Costco didn’t make the list.
I think these findings suggest a customer compromise when it comes to receiving superior customer service. Their expectations have been diminished. So with the exception of the noted top four supermarkets, I think the customer’s mantra is to give me low prices (value) and get me out of the store quickly.
On the other hand, I believe traditional retailers can learn from companies like USAA (I am a member) and Amazon. Both do a terrific job of creating a terrific customer experience. Benchmarking either of these would enhance the brick-and-mortar customer service environment.
Save-A-Lot, Food Lion and Winn-Dixie really surprised me. Sure I can understand the high sales per square foot stores like Trader Joe’s, Wegmans, Publix and Hy-Vee. But low performers like Save-A-Lot, Food Lion and Winn-Dixie? Just like in school when you got extra credit for putting your name at the top of your paper, perhaps all you have to do to get a good rating is just be a supermarket. Food Lion ranked above Hy-Vee. I find this report to have zero credibility.
O’Reilly Auto Parts near the top of list surprised me. As a customer of this retailer the experience has never been bad, just not inspiring. I guess that in itself is noteworthy. What was more surprising was that the study found “a steep decline in customer experience across all industries.” We’ve been touting the importance of creating an exceptional customer experience in these pages for years but retailers and brands don’t seem to be responding to our recommendations.
Shoppers expect more from their brick-and-mortar experiences than they did in the pre-digital world. Why should shoppers put themselves into an unrewarding situation or deal will rude and uninformed sales associates when they can accomplish their mission online in the comfort of their own home? The next group of retailers that will need to take heed is the QSR/fast-casual industry. Their customers won’t tolerate long waiting times and poor service. The success of click-and-collect business models are foreshadowing this expectation.
Publix on any list referencing customer experience will never be a surprise. Their customer service and experience is one that others are trying unsuccessfully to model. If there are surprises on the list to me, it would be Aldi more so than Dollar Tree or even Shop Rite. When I think of those, customer service does not immediately come to mind.
Frankly the results make me wonder how the survey was worded and how the 10,000 consumers were selected. Certainly it isn’t difficult to skew survey results in the execution. Dollar Tree makes it but Nordstrom does not?
Notice that the top companies on the list are relatively safe from competition by Amazon. Those who DO compete with Amazon are under continued pressure to evolve the customer experience.
Huge kudos to Publix for their amazing customer service. The only question is why other food retailers try to imitate their business practices.
Being a CX person myself with great admiration for Bruce Temkin, I have to take some exception here. Meeting a customer’s expectation is not success. It is status quo.
Did the experience meet my needs? Meh….is not WOW! and so on to the other questions. These questions are not going to uncover a stellar customer experience — the kind that makes you WANT to come back and share with your friends.
Yes, you may come back to Publix because the employees are nicer than Kroger (that is my pet peeve) but you are not coming back because you were wowed. You have to do your grocery shopping somewhere and most folks don’t really go out of their way for the staples. They choose the lessor of evils in the neighborhood.
For all my 2 cents!
Not surprised: H-E-B, Wegmans, Amazon
Surprised: Aldi, Food Lion, ShopRite
The companies that are most surprising on the list are the discount retailers like Aldi and Dollar Tree, as these retail segments are not known for superior customer experience. Maybe the respondents rated them higher based on the value they receive and the experience relative to other value priced stores they shop.
The always connected consumers have access to unlimited information at their fingertips and expect to shop whenever and wherever they want. The increased expectation to have the same or better level of service they have online has raised the bar for brick and mortar stores. The bar will continue to rise as the baby boomers age and move aside for a younger demographic.
Savvy retailers, like those on the Temkin Groups list of top retailers, realize this and are focused on exceeding customer expectations.
The trouble with a ranking like this is that the consumers polled don’t always have anything to compare their experience with and therefore they rate what they like without context. Here’s an example (also consider I am a Florida resident who spends time up North as well).
The Publix brand is like Mom and Apple Pie to Floridians. They should get credit for the customer service delivered, but store environment and price leave something to be desired compared to rivals. When I visit Wegmans up North, I leave thinking about how they would “clean up” if they were running head to head against Publix. The atmosphere, fresh and prepared foods, and eating areas are all something we do not have in Florida. And, their customer service is quite good.
I would like to understand more about the methodology here. I’m not surprised Publix ranks highly with its customer base, but then again, they are comparing to Winn-Dixie, Walmart, Aldi and Costco — all price minded stores that lack general appeal and customer service.
It’s always good to go behind the numbers to understand the significance of survey findings.
Customer success and customer support encompass much more than problem-solving, as Temkin’s ranking’s proved. A customer is looking for a myriad of things when they seek help from retail staff. Understanding, listening and empathy go a long way when dealing with a customer looking for a product or having an issue. Personally tailoring your response to meet the customer’s demand is also critical to ensuring a positive shopping experience.
For retailers this means ensuring that your staff understands what it means to go the extra mile for a customer. Making sure your employees feel like a pivotal part of your team is critical when conveying the importance of customer happiness. Employee incentives have also proved to be successful under these circumstances.
No matter the goal, the input should always include creating a special and memorable experience for the shopper.