POS Software Horror Stories From the Field
Posted by Debra Neville
Today's post is from James Dion (Jim), founder and president of Chicago-based Dionco Inc . He is an internationally known Retail Speaker & Trainer, Retail Consultant, and the Author of the best-sellers "Retail Selling Ain’t Brain Surgery, It’s Twice As Hard", "Start and Run a Retail Business" and "The Complete Idiot’s Guide to Starting and Running a Retail Store".
__________________________________________________________________
What Were They Thinking??
Years ago I was asked by a Singapore Department Store to help them select new POS software and hardware for their three stores. After I had narrowed the selection down to three that most closely met the needs of this particular retailer (they had some very special needs concerning leased departments in the stores that had to record sales in a very specific way), I made the presentation of the final three Point of Sale Software solutions along with the suggested hardware. One of the POS hardware options that I offered them were very sophisticated flat panel POS screens that were about 60% more expensive than the much more common CRT screens that were in use at the time. They immediately chose the more expensive flat panels which quite frankly surprised me as I was quite used to retailers selecting the most inexpensive solutions they could find. When I asked them why they wanted this more expensive solution they simply said "Jim, you have to understand, we are a high-fashion retailer and our customers judge us even when they are paying for their purchases, we have to be cutting edge in everything that the Customer sees us doing." I was amazed by that commitment to consistency of brand image that even permeated their technology decisions.
Now, fast forward about eight years, I find myself at the opening of a new store on North Michigan Avenue in Chicago. This store is an international phenomenon and is known for their fashion leadership. As I was standing in line to pay for a pair of jeans that I liked, I noticed that the line was not moving particularly quickly and that there were more customers grumbling as the line got longer and longer. When it was finally my turn at the POS, I was quite taken aback to see two almost-relics at the counter. One was CRT screen, albeit the small ten-inch one, but more amazingly, each credit card transaction had to be input into an outboard dial-up credit card approval device, not through the keyboard or integrated into the POS in any way! The combination of these two relics slowed each transaction by minutes, the associate even had to staple the credit card receipt to the POS receipt. I thought to myself how some companies are going backwards to save a few dollars and have no idea of the impact on their business. I saw at least five customers put down their purchases and leave the store in the fifteen minutes I was in line. If that happened all ten hours they were open,they likely could have lost over 200 transactions that day alone. I think that in a few days they could have paid for a proper POS system!
James E. Dion
dionco inc.
300 west grand avenue - suite 408
350 west hubbard street - suite 240
chicago, il 60654
______________________________________________________
Jim Dion consults, trains and speaks on retail technology, retail selling and service, retail merchandising and operations, marketing and consumer trends. For more information about Jim, his books and services, visit: www.dionco.com
