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BRM Year 3 Project Kick Off
Transcript of BRM Year 3 Project Kick Off
Moonbean Cafe, a famous chain of high(er) end coffee shops has declining sales.
They asked you to investigate...
They suspect it's due to low customer satisfaction, which leads customer to not return as often as they could...
From your marketing class, you remember that customer satisfaction, repurchase intentions and sales are linked. You dig your old & trusted
and read up on it.
Indeed, the three concepts are related
Moonbean Cafe provides you with
information about sales and customer satisfaction
. Analysis of this data shows that customer satisfaction and sales declined together in the past year.
You decide to spend a few days having coffee at several locations.
, you notice that there are
long waiting lines during peak times. Many customers leave, without even ordering.
with several employees. You learn that the company introduced "Specialty Drinks" last year. These drinks are very popular, but take a long time to prepare. Customers also take long to order, due to the many choices.
You ask from management
a breakdown of sales
. You find out that "Specialty Drinks" are both very popular, and have a high contribution margin.
You look up some
and find that actual and perceived waiting times are negatively related to customer satisfaction
(Tom & Lucey, 1997)
Actual waiting time has a strong direct effect on customer satisfaction and influence perceived waiting time
(Baker & Cameron, 1996)
While looking for a solution, you find a few academic articles that discuss using self-service kiosks to reduce waiting times.
You look some more into academic literature. You find studies that show that service kiosks are cheaper than employees, so you can serve more customers at a lower cost
(Kokkinou & Cranage, 2012)
Also, customers take on some of the work of employees, so you also need less labor
Finally, because customers are busy with the self-service kiosk, they do not feel the time go by
(Weijters et al., 2007).
You discuss your idea with your classmate Jack, who is from Central Pennsylvania, USA. He mentions that he always uses a self-service kiosk to order coffee at Sheetz, a Pennsylvania based chain of gas stations.
Armed with this information, you meet with your manager, and redefine the objective of your project:
increase customer satisfaction by reducing customer waiting times.
You summarize your findings so far in a conceptual model.
Secondary Data - Contextual Information
Primary Data - Contextual Information
But is implementing self-service kiosks really going to reduce waiting times and increase customer satisfaction?
Option 1: Experiment
Select two cafes that are similar (same market, same type of customers.
Conduct customer satisfaction survey (at randomly selected times, intercept every 5th customer and, after they have paid, ask them to fill out an 8-item questionnaire.
Roll out self-service kiosks at 1 of the cafes.
Repeat customer satisfaction survey.
Option 2: Focus Group & Simulation
Invite regular customers to a focus group. Have these customers interact with a self-service kiosk. Conduct a focus group to determine whether they would be likely to use, and satisfied with the self-service kiosk.
Use simulation to assess the impact of implementing the self-service kiosks on actual waiting times.
IBO - Project
Two quarters to write research proposal
Individually or in pairs (3 ECTs)
Quasi-weekly meetings with your tutor
Circles of Expertise
Circles of Expertise
Asian Business Culture -
Mr. Fred Cahuzak
Exchange Student Special -
Mr. Jan Peters
Marketing Management, Sustainability, & Branding -
Mr. Han van Son
Consumer Behavior -
Mrs. Alinda Kokkinou
Change Management -
Mrs. Maud van den Meiracker
Sustainability and Corporate Social Responsibility (CSR) -
Mr. Peter Pennartz
International Economics -
Mr. Joost Frencken
Financial Economics and Crises -
Mrs. Bilge Karatas
Financial Risk Management & Investment Decisions -
Mr. Korhan Nazliben
Business Control -
Mrs. Katrien van Bergen
Enterprise Risk Management -
Mr. Paul Killebrew
Read descriptions on Blackboard
Actual allocation known Friday