Self-Service Technology

1.0 Introduction

One of the most important facets in any business today is the concept of efficiency. In order to achieve this elusive abstraction, it has become common practice for firms to cut down on their operating cost and time consuming activities in order to maximise resources and work towards achieving economies of scale.

The retail industry is a customer-driven industry where customer service is one of the most important ways of creating and having a relationship with the consumer. It has been proven through bouts of research that the ability of a company to satisfy their customer is directly correlated to its ability to attract and retain loyal customers and its ability to rack in profit. (Rese 2003, 3:97)

Competing in the market is no easy feat, and businesses have to skip to the beat of the consumer drummer as their lifestyles and behaviours change. Advances in technology have made consumers conditioned to expect a higher expectation of the quality of service that retailers provide: the premise that it has to be both convenient and available at any hour.

In the quest to achieve the highest levels of customer service, businesses have to think of new and innovative ways to improve on their business processes to harness the ability to achieve to two-pronged fork of essentials: the satisfaction of their customers, and the all-elusive efficiency.

2.0 Self-Service Technology

Consumers were first acquainted with Self-Service Technology when companies attempted to adapt to the ever-changing minds of consumers. It could potentially aid in resolving the enduring issue of convenience that the average consumer faces in their every day life. Not to mention, self-service technology also compliments the extant Customer Relationship Management System (CRM) system in that it helps the business curtail the resources it uses in the processes that are the most resource consuming, which enables them to minimise resource wastage in the long run. (Ulrike 2003, 3)

2.1 Definition of Self-Service Technology

What is self-service technology? It essentially is the businesses letting the customer do for themselves what others are paid to do, which is: the dirty work. What this does is not only help to keep their customers happy, but also lowers the company’s cost expenses and diminishes the amount of resources utilised.

One instance that can be brought up as an example is at the airport where travellers have the option to check themselves in so that they can bypass the lofty queues and save time. This allows the customer to have more control and flexibility in having the option to decide what time they check in, for example. It has been proven by research that it is common for customers to have the perception of a shorter waiting time if they handle their own baggage and are therefore less likely