We visit a major supermarket or food retail environment in our community at least once per week. Usually our task is a quick in/out or a substantial shop to restock our home larder and fridge/freezer for a time.
This journey is almost instinctive, we know where the bread is, we turn without thinking into the chill aisle and we can read very quickly what till will be the quickest exit.
Nothing new there…. What is new is the ever-changing offers, fridge tags, shelf talkers, signs from ceilings , electronic and digital coupons, all of these are vying for your attention.
Most are subtle, the sneaky freebies attached to products you normally use in order to tempt you into trying it , discounts on multiple purchases, interesting and cleverly designed packaging and various loyalty offers.
Maybe your influenced by these, maybe your completely unfazed by the nuances of the phycology of consumer behaviour, but what you may not know, is that your being Nudged.
‘Thaler and Sunstein’ published work in 2008 which set out a broad perspective of Nudging as any aspect of the choice architecture that alters people’s behaviour in a predictable way without forbidding any options or significantly changing their economic incentives”.
Understanding Nudging is understanding the consumer, we the consumer enjoy the attention that is paid to us by the supply chain into retail stores, they want our money invested into their products and not their competitor’s and they work very hard to nudge us into making that decision by tempting offers and smooth words.
Bring the context of nudging into hospitality and we call it Upsell. I’ve used that dreaded word upsell in many situations and my floor team raise their eyes and shoulders shrug, now I ask my team to Nudge our customers into thinking about our wine list, our desserts, speciality coffees and cocktails and it’s become much more appealing, almost fun. Isn’t it amazing how a change in a word changes the perspective?.
Next time your writing the specials menu, designing the new Carte, or creating the cocktail list, leave room for Nudging. Build in the type of incentives that retailers use to tempt you in the supermarket environment into your sales space. Once the consumer walks through your doors, they are sublimely tasking you to sell to them, to develop the experience and they will pay you more to do so, if you do it right.
The art of the upsell.
Do you give your team the opportunity to add value to the experience? Does a customer arrive, sit , eat, drink pay and leave or do you find ways to enhance each element of the experience.
More spend is more margin but better nett revenue is developed by clever prompt’s and tools throughout the customers time in your sales environment.
Does your team prompt how amazing the desserts are before the meal starts, or do you simply drop a menu card on a table and expect the customer to make up their own mind.
When a customer doesn’t wish to drink an alcoholic drink with dinner, do you have a specialist non-alcoholic cocktail list to hand to substitute rather than orange juice or water.
How much of your menu encourages extra spend by offering a better alternative to the appropriate side. Most establishments will offer fries with a burger, how many will offer a more interesting substitute that can be swopped out for a higher value side.
These are only a few examples of Nudging, train all team members in your sales environment to engage and educate the customer, the payback is the added value across your margins and revenues.