Entrepreneur & Innovation Exchange
Published online at EIX.org on January 25 2017
DOI: 10.17919/X9901N
How Best Buy Engages Employees in Putting Customers First
Richard Schulze (Best Buy Inc)
Kimberly Eddleston (Northeastern University)
KEYWORDS: Retail Trade, Management of Companies
& Enterprises, Entrepreneurship, Organization,
Leadership.
Most businesses say that they put the customer first.
Yet customers today are more ready than ever to bolt.
The changing fortunes of even venerable chains such
as Macy's and Sears
(http://fortune.com/2017/01/11/macys-death-retail-
department-stores/) shows that no business is immune.
Customer retention is at an all-time low, and it appears
that many businesses struggle to gain customer loyalty.
Customers routinely express dissatisfaction with
product performance, complex communication
procedures, pushy sales people and uninformed staff.
Many complain about poor customer service, automated
call centers, products not performing as promised, and
a lack of information to guide purchase decisions.
Because customers have more choices than ever
before, when they are dissatisfied with a business they
turn to a competitor and also influence other buyers
through social media. However, those businesses that
are able to make customers feel like "number one" enjoy
loyal repeat customers who boost sales and also help
attract new customers through good word of mouth. But
with all the responsibilities entrepreneurs need to
manage, how can they ensure that they have a
customer-centric business?
Best Buy, which generates nearly $40 billion in sales a
year
(http://www.forbes.com/sites/walterloeb/2016/12/26/20
17-retailer-of-the-year-ceo-hubert-joly-puts-the-best-in-
best-buy/#5f56fcba5f52) and whose stock price has
risen dramatically in the past four years, has a strategy
for keeping customers coming back: a mission that
focuses on the customer experience and emphasizes
the importance of the customer in everything the
company does, from recruiting to training to employee
decision-making.
Rather than having a sales-directed environment that
focuses on encouraging customers to spend the most
money, Best Buy puts the customer in control. Sales
associates are not paid by commission. Rather, their
role is to serve as sources of information, so that
customers feel confident making buying decisions. This
also means that Best Buy needs to keep their finger on
the pulse of the customer by anticipating product
demand and consistently improving customer service.
To do these things, Best Buy has created a system that
relies heavily on employee engagement, making every
employee responsible for the customer experience.
Thus, to be a customer-centric business, Best Buy
leverages the power of its employees who are
instrumental in identifying customers’ pain points,
understanding product features, staying on top of new
trends and keeping an eye on the competition.
Below are five key practices Best Buy uses to get
employees focused on putting the customer first.
Start By Recruiting The Best
In order to offer the best customer experience, Best Buy
looks to hire the best employees. For employees with
customer contact, they seek people who can easily
connect with others, enjoy being part of a team and
want to be engaged. Besides considering their work
experience, Best Buy looks for individuals with
interesting hobbies and skills, often an indicator of their
passion and willingness to learn. These outside
interests also help employees connect with customers
and can play a role in assigning the employee to the
best department. For example, an individual who plays
guitar may be well-suited for the home audio
department, while an individual who enjoys photography
would fit well with the camera department. Because
Best Buy emphasizes teamwork, they also make the
hiring process inclusive by having job candidates meet
staff from their prospective department. Staff are
instructed to look for "fit" and to determine if the
candidate "knows what she says she knows." This last
point is key in putting the customer first, since
employees often need to rely on one another to answer
customers’ complex questions.
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