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5 Tactics for Driving Retail Team Performance

5 Tactics for Driving Retail Team Performance

Let's face it- driving exceptional and consistent performance with frontline retail employees is difficult. The fact is, the majority of employees in the retail sector are not highly engaged at work. A study conducted by the Temkin Group found that the retail sector had the least engaged employees, with 50% being slightly or fully disengaged at work. With the retail industry changing to become more future-friendly, engaging retail employees to drive sales and improve the customer experience is more important than ever. Why?

The growing trends of e-commerce, mobile apps, and shopping on social networks, means that today's consumer now has in-depth knowledge on a company's offering at their fingertips. Research conducted by Delvv Inc. showed that over 51% of millennials can't go over 3 hours without checking their phones. With the digitization of the shopping experience and the consumer growing more and more knowledgeable, having a workforce that is highly aware about products, promotions, and competitors' offerings is now essential.

The size of the retail industry and workforce is growing, employees are younger, communication is difficult, and disengagement is affecting the performance of retail teams worldwide. This we know. But how can you pull it all together? Yes, increasing engagement and your choice of communication channels are important, but understanding how to harness these options and drive your team’s performance is even more critical to success. Here are a few tactics to help you make this happen:

1. Set goals and establish KPI’s

Work with your team to establish store-wide or company-wide sales goals. Are you working towards an overall sales target? Or are you focusing on selling a specific product or promotion? Then, establish key performance indicators to measure the success of the specific goals. KPI’s could range from measuring customer satisfaction, sales and gross margin, or sales per square foot.

Goal setting will help to create a sense of focus amongst all team members. Working towards one common goal will give your store or company initial momentum to having a well-oiled, high functioning retail team.

2. Create a sense of challenge

Create a sense of challenge amongst your staff based off of the goals and KPI’s that you are trying to reach. Then, gamify the challenge to take motivation and performance to the next level. Applying game-design principles to non-game scenarios, such as reaching a sales goal, has the potential of increasing employee engagement by 48%[i].

Try setting up a point system or leaderboard to motivate your team to reach the next goal. You can set up a challenge or contest manually, online, or through a mobile application. It will help to keep company goals in mind and will generate excitement amongst team members!

3. Foster a culture of learning

On the job learning should be continuous- even after employees have been on-boarded and trained. It’s important to keep your employees in the know about company values, new business development, products, promotions, and company-wide goals. Educating customer-facing employees is a key component to improving the overall customer experience.

After all, a highly educated employee is an employee that will perform well. Organizations with a strong learning culture have proven to be 52% more productive and 17% more profitable than their peers.[ii]

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Sources

[i] Timpson, James. “Gamification: The Latest Employee Engagement Technique.” Business 2 Community, 13 January 2015. Web. Retrieved from http://www.business2community.com/business-innovation/gamification-latest-employee-engagement-technique-01123190#ETDDQhw2TXSeEIqf.97

[ii] Bersin, Josh. “Becoming Irresistible: A new model for employee engagement.” Deloitte University Press, 26 January 2015. Web. Retrieved from http://dupress.com/articles/employee-engagement-strategies/

 

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