Ok … first I have always been a huge fan of Walmart. Their background logistics, worldwide sourcing, world class data collection and ability to analyze shopping patterns, predict consumer needs are unparalleled.
Here is my rant of the month!
This week I walked into the Walmart close to my house and as I approached the till I noticed a new Interac payment unit. (for people outside of Canada Interac payment allows us to pay directly from our bank account and is one of the most popular methods of payment in this country) As I stepped up to the unit with my wallet in my left hand my bank card in my right I tapped the lit screen thinking it was a touch screen but nothing happened.
Then I saw something that gave me a flash back 20 years ago. Attached to the unit was a pen! The screen was only activated by the tethered pen. I had to put my wallet down (I never put it down I am afraid I will leave it) to free up my hand which was annoying and added seconds to the transaction. Now seconds may not sound like a big deal but as a brilliant consulting friend of mine said to me “always look for wasted seconds, wasted pennies” and this is why.
If the average transaction takes 20 seconds and you simple add 2 more (this pen deal added 3 to 6) to that time. That is a 10 percent increase in costs.
Or to put some soft numbers to it. If you have 5 tills open for 16 hours a day before the change that is 80 man hours a day. After the change you need 88 man hours. Over the year this is huge!!
Before the change
80 man hours a day
365 days a year
=29,200 man hours
After the change
88 man hours a day
365 days a year
=32,120 man hours
That is a very conservative increase of 2920 hours if the average employee costs $10 per hour that is an increase of $29,200 in labor.
In the competitive world of supermarkets where self check out is the winning trend this is a loosing choice. I have already not shopped there 2 times this week as I did not want to wait in the longer lines and when I am at the checkout I will always have to put my wallet down to grab the pen.
There are too many places I can shop for me to accept this change and in a world where the consumer is getting used to being treated like kings don’t pawn a pen on me.
www.amarkmoment.com/
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