Only 48% of Restaurant Owners Feel Prepared to Capitalize on Future Mobile Innovations

Mobile has become an integral part of the food and beverage industry. For restaurant owners, this technology has introduced new levels of efficiency in front and backend operations. But according to a new survey by Oracle, only 48% of owners feel prepared to capitalize on future mobile innovations.

Another 62% also expressed doubt in their ability to keep up with the changes taking place in mobile technology. This is despite the fact they fully recognize the threat coming from competitors who have adopted mobile solutions. More than half (59%) said their company faces the threat of disruption from these competitors.

The data comes from two surveys carried by Oracle in the food and beverage and hospitality industries. The food and beverage survey is titled “Going Mobile: A Benchmark of Mobility Maturity in the Restaurant Industry.” And the hospitality survey is the “2019 Hospitality Benchmark Report Mobile Maturity Analysis.”

Both surveys looked into the challenges these industries face in adopting mobile technology and how they can benefit from them.

Simon de Montfort Walker, senior vice president and general manager for Oracle Food and Beverage, said mobile has completely changed the segment.

In the press release, he went on to say businesses who don’t adopt the technology will not be relevant. Adding, “In order to remain relevant to a rapidly evolving audience, restaurants must act quickly to modernize their mobile strategy and offerings. Today, the experience a customer has ordering online or from a kiosk can be just as essential as if they were ordering in the store.”

How Can Restaurants Benefit from Mobile Technology?

The study says there is a “clear and urgent need” for restaurants to adopt the right overall mobile technology. This includes front and back-end solutions with comprehensive systems.

Having these solutions is especially important for small businesses. Owners can drive higher ticket value, turn tables faster and generate more cross and upsell. The technology also improves the guest experience and help cut labor costs by introducing new levels of efficiency.

When it comes to cost, a good app can save a restaurant money on several different fronts. Owners said it saved time and money in hiring, monitoring stock to avoid waste, changing menu quickly, and more.

For 84% of the respondent, guest-facing apps have translated into lower labor costs. And 96% agreed a mobile inventory management app was responsible for saving them time and money.

The Guest Experience

With smartphones now in the hand of almost all adults, restaurant mobile apps are delivering a better dining experience. Customers are making reservations, ordering food, making payments, leaving reviews, and engaging with owners.

In the survey 86% of the owners said branded mobile apps increase the speed in which they deliver service. Faster service has translated into more customers being served, which in turn has increased revenue.

Ninety-three percent of owners also said the guest-facing apps promote loyalty, drive repeat business and improve the guest experience.

The Survey

Oracle carried out the survey with the participation of 279 leaders in the food and beverage industry during the summer of 2018. Seventy-one percent of the respondents are director level or higher and they use mobile technology in their organizations.

The restaurants were full-service, fast casual, and quick service establishments.

Image: Depositphotos.com

This article, "Only 48% of Restaurant Owners Feel Prepared to Capitalize on Future Mobile Innovations" was first published on Small Business Trends

How to Get an ATM in Your Store

Having an ATM in your store or business can be a major benefit. It may bring more people through the door, it ensures that you customers have access to cash if they need it to make a purchase, and it can even help you earn significant extra revenue.

However, getting an ATM set up at your location takes some work and careful research. And it’s not right for every business. ATMs are most beneficial in heavy traffic locations like malls or downtown shopping districts. It also has clear benefits for businesses that operate mainly in cash or those that accept tips.

How to Get an ATM

If you think that your local business is a good fit for an ATM, read on for some tips.

Choose the Model That Works for Your Business

You have a few basic options when it comes to getting set up with an ATM. Some businesses qualify for what is called placement. This is when an ATM company sets up and maintains the machine in your store. This comes with little to no cost for your business. And you don’t need to worry about keeping it stocked or fixing it if anything goes wrong. However, you also don’t earn a portion of the fees collected from the machine. Additionally, this option is really only open to businesses that have a ton of foot traffic and are able to maintain a lot of usage. You’ll need to communicate with an ATM distributor in your area to determine what their specific qualifications are for this type of offering.

On the other end of the spectrum, you have the option of buying a machine, setting it up in your location and maintaining it on your own. This comes with a pretty significant startup cost. But you do get to keep all the fees that the machine collects. This option is best for those businesses that don’t qualify for placement and want to increase revenue over the long term.

Some ATM companies also offer a leasing or partnership option. This is basically a split between the other two options. You have to pay a leasing or renting fee to get the machine set up in your business. But it’s not as expensive upfront as buying. And you get to keep a portion of the fees collected — but not all of them. This may be a beneficial option for those that don’t qualify for placement and don’t have the capital to invest thousands in a new machine. It can also work for those who are thinking about buying but want to test the waters first.

Calculate Your Potential Earnings

According to ATM solutions provider National Cash Systems, the average ATM is used about 300 times per month. And ATM users spend between 20 and 25 percent more at convenience stores and similar businesses than others. So having an ATM at your business can certainly generate returns. But it’s up to you to determine just how much extra you can earn — and whether the initial cost is worth it.

If you have a high traffic business and qualify for placement, this part of the equation should be fairly simple since you may be able to get an ATM at little to no upfront cost. You can simply earn more for your business by allowing your customers to more easily access the cash they need.

If you are looking to buy or lease a machine. The calculations become a little more complicated. It’s first important to understand how many people come into your store daily. The more traffic you get, the more people are likely to use your ATM. However, if your business and the others around you also accept credit cards or other forms of payment, only a small percentage of people will actually use the machine on a daily basis. To get a better idea of how many customers you might be able to collect fees from on a daily basis, notice when people pay in cash, ask for cash back from a credit card purchase or ask where the nearest ATM is.

You also have a wide array of choices when it comes to the actual machine you purchase. Used models tend to start at around $2,000. But you can find higher end new models that cost nearly $10,000. You’ll need to factor in the purchase price and the cost of maintenance to determine how much you can make and whether or not buying a machine is really worthwhile for your business.

Find the Best Model for Your Needs

Aside from the cost, you also need to consider what features are important to you. Consider the screen type, aesthetics, vault size, and lock security. There are both new and used options available. To find options in your area, check out marketplaces like ATM Marketplace or ATM brokerage. Or try searching for vendors that service your area.

Keep It Maintained

If you buy or lease a machine, you’ll need to also maintain it over time. Have a system for keeping the vault stocked each day. And make sure you develop a relationship with an ATM service provider in your area so you know who to call if the machine experiences an error or breaks down.

You should also update your business listings online to make sure people know you have an ATM in your store. Customers often search for the nearest ATM online. So an accurate and up-to-date listing can potentially help you bring in some extra traffic.

Image: Depositphotos.com

This article, "How to Get an ATM in Your Store" was first published on Small Business Trends

Attention Transportation Businesses: New CDL License Requirements You MUST Understand

There are new rules coming into effect for entry level truck driver training (ELDT) in February 2020 that small businesses need to know about. The changes will affect drivers looking to get a commercial license (CDL) for the first time or when upgrading.

New CDL License Requirements

Small Business Trends contacted Fred Word, Executive Consultant at Illinois Safety Consultants to find out what your business needs to know about the new requirements.

Why the Changes?

The Federal Motor Carrier Safety Administration (FMCSA) has implemented these changes which come into effect Feb 07, 2020. The changes were finalized in March 5 as a way to lessen the regulatory burdens on both applicants and training facilities. The FMCSA also claims these new streamlined rules will cut classroom instruction an average of 27 hours per applicant.

These changes are also designed to help combat a chronic truck driver shortage in the United States.

What Kinds of Commercial Vehicles Will Be Affected?

“The New ELDT is a FMCSA minimum training requirement for brand new operators of commercial vehicles applying for a Class A or Class B CDL for the first time or upgrading a CDL.2,” Word wrote in an email.

Each class of the CDL has certain weight restrictions and allowances that match specific commercial vehicles.  For example, a class A CDL is usually the one that’s assigned to tractor-trailers, flatbeds, tanker and livestock carrying vehicles.

A Class B CDL is usually the one that allows drivers behind the wheel of trucks like city buses, tour buses and courier vehicles.

A CDL2 allows a driver to operate a bus that has more than 24 passengers.

There’s a big exception that you should know about. You don’t need to reapply if you’ve already got you CDL before the compliance date comes into effect.

What’s Going to Change?

It all starts on Feb 7, 2020. That’s the first day when you won’t be able to apply for any kind of a commercial vehicle license until you’ve gone through the revamped course.  It will include knowledge and behind the wheel training portions.

There is an emphasis on the knowledge aspect. Driver applicants need to score an 80% minimum on this part. On the other side of that coin, there is no minimum number of hours for training behind the wheel. However, if you’re thinking about getting your CDL, license you won’t be able to use a driving simulator to train.

What’s the New Focus?

“The knowledge portion will consist of over 30 course topics,” Word says. “Driver-trainees must demonstrate their understanding of the material by achieving an overall minimum score on the knowledge assessment.”

Your small business might use a training school to get your new hires up to speed. They need to be listed by the Federal Motor Carrier Safety Administration registry. You’ll need to do a little extra homework here to make sure of that.

Word explains the reasons for the change.

“Training providers must record and report student hours spent behind the wheel to that administration.”

Image: Depositphotos.com

This article, "Attention Transportation Businesses: New CDL License Requirements You MUST Understand" was first published on Small Business Trends

55% of Small Business Owners Would Pay for their Data in a Ransomware Attack

Businesses value their data so much more than half will pay cyber criminals to get it back. The AppRiver Cyberthreat Index for Business Survey says 55% of small businesses will pay in the event of a ransomware attack.

And willingness to pay increases to 74% for larger small businesses. In fact, 39% say they will pay almost any price.

Ransomware Statistics

This is not surprising because the annual price of cybercrime is costing small businesses more with each passing year. The Better Business Bureau (BBB) says the annual loss is now at almost $80K or $79,841 on average. And the cost to the global economy for 2019 will hit more than $2 trillion.

However, 45% said they will not give in to the extortion of cybercriminals no matter how much the amount is. The position of the organizations greatly depends on their industry. And for those with extremely valuable data, getting their property back at all costs is not out of the question.

This has led companies to view cybersecurity as an off-balance sheet liability, which is what David Wagner, CEO of Zix Corp, the parent company of AppRiver said in the press release.

Wagner explained, “Cybersecurity is no longer just a technology issue; it amounts to an off-balance sheet liability being carried by every company that isn’t adequately protected. Ransom scenarios, whether initiated through social media apps or any attack vector, have the potential to disrupt or destroy a business overnight.”

The urgency in Wagner’s statement is not hyperbole. Because 60% of small companies go out of business within six months after a cyber attack.

Security Concerns

According to 84% of the SMB executives in the survey, the use of social media apps and website in the workplace or on a business device is a concern. And not surprisingly Facebook leads the pack.

More than three in four or 77% of respondents said Facebook was a security risk in the workplace. An industry segment which is particularly concerned about the social media platform is telecom SMBs. A clear majority or 83% of all telecom leaders said Facebook was a potential security threat.

As far as the other social media platforms, Pinterest faired better than all the others with only 3% saying it was a concern. Next was Linked in at 13% followed by Snapchat at 15%, WhatsApp at 18%, Instagram at 19%, YouTube at 20% and Twitter at 21%.

Data Management

Ransomware attacks work because cybercriminals hold valuable data hostage. The more value the data has for an organization, the more they are willing to pay for it.

According to AppRiver, businesses are continually at risk of cyber attacks because their files are in different locations with varying security levels.

In the survey, 48% said they have confidential business data across multiple locations. This includes everything from laptops to smartphones, tablets, and on network drives. And shockingly, 6% said they are too busy to know where their data was stored.

The segments which take the issue of data management seriously are financial services, insurance, healthcare, pharmaceutical, and government SMBs. They said their business data is located on their secured network and nowhere else.

Being Ready for an Attack

Security experts have been warning individuals and organizations about the dangers of cyber attacks for years. But for some reason, not everyone is heeding this advice.

For small businesses, the consequences are grave, which might explain why so many of them are paying the ransom. Dr. Eman El-Sheikh, Director of the University of West Florida Center for Cybersecurity, said as much in the report.

“The high willingness to pay ransom demonstrates the importance of business data to these organizations, however, the growing apathy of threat fatigue could prove to be dangerous. The time is now to institute cyber readiness training, tools and policies.”

By implementing robust security policies, best practices, and strong governance, small businesses can protect themselves from ransomware and other cyber attacks.

The Survey

The AppRiver Q2 Cyberthreat Index for Business survey was carried out in April 2019. A total of 1,035 cybersecurity decision makers in SMBs took part in the national study. Over 80% of the participants were in leadership positions including CEO, president, owner, CTO or head of IT.

Image: AppRiver

This article, "55% of Small Business Owners Would Pay for their Data in a Ransomware Attack" was first published on Small Business Trends

Attention Retailers: Secrets of Good Customer Service Revealed

If you’re a retailer, you don’t need me to tell you how competitive the industry has become. Providing great retail customer service has always been important to business owners who take pride in their work — but today, it can be a matter of business survival.

According to BPR Consulting, nearly two-thirds of shoppers will stop visiting a store after just one bad experience. Here’s why great retail customer service is so important.

Great Customer Service Pays Off

Customers are willing to pay for great customer service. More than two-thirds (68%) of consumers in a Gladly study say they would pay more for great service. How much more? One-third say they’d pay 1-9% more; 27% would pay 10-20% more and 8% are willing to pay over 20% more.

Consider two retailers widely touted for their great customer service: Zappos and Nordstrom. Both rarely have sales and aren’t known for low prices. Still, customers (including me) find it worth the extra expense to feel confident they’ll get amazing service every time.

Customer Service Has A Ripple Effect

Whether your retail store’s customer service is outstanding or horrifying, shoppers will hear about it via online reviews and social media. Some 91% of consumers aged 18 to 34 trust online reviews as much as personal recommendations, and 68% won’t use a business with less than a four-star review. In other words, even people who have never been to your store will form an opinion based on what they read online.

The good news: If they have a great customer experience, 80% of consumers will recommend your business to friends and family, and 40% will also share their story on social media. The bad news: If you provide bad customer service, 67% of consumers will actively dissuade others from patronizing your business, and 42% will spread the (bad) word on social media.

Examples of Good Customer Service in Retail

Great customer service means more than just delivering on your store’s promise. It means going above and beyond so that customers take note, are dazzled and remember what you did. Here are a few examples of what I mean:

Tying One On

A teenager went to Target looking for a clip-on tie to wear to a job interview. The store didn’t sell clip-ons, but employees Dennis Roberts and Cathy Scott didn’t say “We don’t carry those” and walk away. Instead, Scott found a regular tie, Roberts showed the teen how to tie it, and the pair of them coached the boy in interview skills like shaking hands and making eye contact. The touching story went viral.

Shoe-storm

Micah Solomon ordered a $200 pair of shoes from Nordstrom.com. The package was left out in the rain, ruining the footwear. Solomon was a regular Nordstrom shopper. When his salesperson heard about it, she told him, “I’m so incredibly sorry that happened, and I’m bringing over a brand-new pair of shoes — will you be home in 45 minutes?” What’s most amazing about this story (which Solomon shared on Forbes) is that the salesperson had absolutely nothing to do with that purchase — she just wanted to offer the outstanding service Nordstrom is known for.

Merry Christmas

An elderly man was snowed in around Christmas and another storm was coming. His daughter called local supermarkets to see if anyone could deliver some groceries to her stranded dad. Market after market said no — until Trader Joe’s said yes. In fact, the Trader Joe’s staff helped her select low-sodium items, told her there was no charge for the order, and delivered the items within 30 minutes. The kicker? Trader Joe’s doesn’t deliver.

What You Can Do to Deliver Great Customer Service

How can you deliver great customer service? It’s all about people — both your customers and your employees.

Customers

Nearly eight in 10 consumers in a BRP study say being able to get personalized service from a salesperson in-store is a key factor in where they choose to shop. But personalization does more than that: 30% of respondents in an InMoment survey say personalized treatment is what transforms a plain old purchase into an “experience.”

Take advantage of loyalty apps and other tools to track shoppers’ purchasing habits and offer personalized discounts or products chosen just for them. InMoment found shoppers want store employees to recognize their past purchasing habits and know their loyalty program status.

Employees

Salespeople make or break the retail customer experience. Positive experiences with staff increase consumers’ satisfaction by 33% overall; in the retail fashion niche, they increase satisfaction by 73%.

The great customer service stories above couldn’t have happened if employees were just “following the rules.” Train your salespeople, empower them to do what they think is right, and trust them to use their best judgement to make the customer happy. Only then will they go above and beyond to provide truly great retail customer service.

Image: Depositphotos.com

This article, "Attention Retailers: Secrets of Good Customer Service Revealed" was first published on Small Business Trends

In the Spotlight: How 121 Puts its Mark on Small Business Branding

Branding isn’t just about picking out some design elements for your business and leaving it. 121 (pronounced one to one) USA LLC is one branding company that knows the importance of creating ongoing relationships with clients. The company offers day-to-day services and aims to respond to all client requests in a timely manner. Read more about the business and how it’s trying to disrupt the branding space in this week’s Small Business Spotlight.

What the Business Does

Offers day-to-day branding services for businesses.

President and CEO of 121 Francisco Serrano told Small Business Trends, “Our aim is to help you complete your brand’s objective, not to compete against your creative and strategic agencies. From design, digital adaptation and implementation to integrated production, 121 will work with you to grow your brand while giving you peace of mind.”

Business Niche

Delivering services quickly.

Serrano says, “121 provides the fastest response time in the industry (averaging between 35 to 50 percent faster than other agencies), giving companies across the globe a new way to execute their branding needs.”

How the Business Got Started

To disrupt the branding industry.

Serrano founded the company 16 years ago. He wanted the company to become a leader in two key areas of the branding industry — responding to customer requests quickly and offering superior customer service.

Biggest Win

Building lasting relationships with clients.

Serrano says, “We have relationships that now days are 6 o 7 years long and this is no small thing in our industry.”

Biggest Risk

Standing out from the crowd.

Serrano explains, “Many creative agencies such as ours are very much involved in the pretty part of the business leaving aside the practical part of the client’s needs, and we found in that void our main gain and also a big risk because sometimes is very difficult to explain our scope.”

How They’d Spend an Extra $100,000

Improving the team.

Serrano mentioned that the company would be interested in finding new ways to develop talent, in order to improve the business from within.

Favorite Quote

“Without creativity, there would be no progress, and we would be forever repeating the same patterns.” — Edward de Bono

Office Visitors

Birds.

Serrano explains, “We have a birds nest on our office, no one brought it. They just came to stay one day and everyone was fine with it. They sing for us every once in a while and we have learned to deal with the occasional bird poop.”

* * * * *

Find out more about the Small Biz Spotlight program

Image: 121, Francisco Serrano

This article, "In the Spotlight: How 121 Puts its Mark on Small Business Branding" was first published on Small Business Trends

Apply These 10 Techniques to Create the Perfect Work Schedule for Your Small Business Team

Do you struggle with scheduling for your small businesses? You have must make sure all your shifts are covered. But you also need to optimize the schedule to ensure as many sales as possible. So you need to take tons of things into consideration. Then create the perfect employee schedule. And keep labor costs and time off requests in mind.

Creating the Perfect Work Schedule

Check out these 10 essential tips to help you create a schedule that works for your business and your team. They’ll help you create employee shifts for your small business

Determine Your Staffing Needs

Scheduling is a balance. You need to have enough employees there to handle the workload during each shift. But if you schedule too many, you could end up wasting time and money.

Jacey Mitchell, inbound marketing specialist for scheduling software ShiftNote said in an email to Small Business Trends, “When creating a schedule, it’s important to ensure you have enough staff to capture all available sales, but NOT have any wasted labor expense.”

Analyze Sales Forecasts and Expenses

In order to create that balance, you need to really dig into the numbers. You need to look at sales and income during each particular shift so you know how to optimize those opportunities. And you need to compare them to your labor costs during those shifts. Consider both past numbers and projections when making these decisions.

Mitchell says, “Planning in advance is crucial as well as looking over projected labor, scheduled labor, and last years sales.”

Know Relevant Regulations

Different states and local communities have different regulations when it comes to employee scheduling. For example, New York and a few other states have laws that require employers to pay employees who are “on call” for shifts. This could be especially pertinent to restaurants or cafes with outdoor seating, since their staffing needs may change with the weather.

You need to familiarize yourself with the regulations that are pertinent to your business so you can take those factors into account in your forecasting and scheduling. You want to remain compliant and also make decisions based on the most accurate data possible.

Get Input from Your Team

Mitchell says, “Of course, you also must be aware of employee availability and requests for time off to create your schedules correctly.”

It’s important to set up an actual system for employees to submit these requests so you or your management team who handles scheduling can access the information when they go to lay out shifts for the week.

Give Team Members the Opportunity to Customize

You should also have a system for employees to communicate with one another. This can let them switch shifts or make changes without requiring a ton of extra work from your management team. Tools like ShiftNote give you a forum for this type of communication.

Mitchell says, “ShiftNote gives employees more responsibility for shift swaps, RTO, and availability in order to make managers’ lives easier (all they have to do is approve changes).”

Focus on High Volume Sales Times

It’s also important to consider quality when it comes to your high volume sales shifts. Employees that tend to get positive results during those times should usually be given priority for those shifts.

Mitchell explains, “Always be prepared for high volume service times by putting your aces in their places and scheduling your team for success. The goal is to schedule your best staff for your best sales days and use slower sales days to cross train employees on other positions.”

Increase Accountability

It’s important to always keep an eye on sales numbers and other analytics to find out what’s working well and what’s not. Not only does this help you create more effective schedules over time, but it can also help you increase accountability among your team. If a particular shift leader or sales rep doesn’t do as well as others during a particular shift, it may be worth diving into the numbers or having a conversation to find out why.

Use Templates

Once you’ve created a schedule that seems to work for your team and your business, use it as a template for future schedules. You’ll always have to make adjustments, of course. But using it as a starting point can save you a ton of time through the years and give your team a sense of consistency.

Gather Feedback

You should also continue to gather feedback from employees periodically. This doesn’t just mean allowing them to submit requests for time off or shift changes. You should also survey them or speak with them on occasion to find out if they have input about what type of schedule would make them most effective. For example, some people may be at their most productive during early shifts, or others may have issues when scheduled for a day shift after a night shift. Learning these little intricacies can help you dramatically improve your scheduling over time.

Find the Right Tool

An employee scheduling software can make a huge difference in the efficiency of your scheduling process. ShiftNote is one option. But there are plenty of tools available.

Be sure to carefully evaluate your business’s specific needs and find a tool that includes every feature you use on a regular basis. Specifically, Mitchell recommends prioritizing communication features between employees and managers, as well as accountability features and sales and labor forecasting.

Image: Depositphotos.com

This article, "Apply These 10 Techniques to Create the Perfect Work Schedule for Your Small Business Team" was first published on Small Business Trends