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Dreaming of a green Christmas...

2009-07-22T07:06:00.000-07:00

Only 160 shopping days left till Christmas. Now most of us are probably thinking: Can we at least get through back to school? But I can honestly admit that I thought to myself just the other day about a specific gift to purchase for my parents for Christmas and made a mental note to keep an eye out for deals. And I am not alone, analysts are saying that about 40% of holiday shoppers will make up their mind about big-ticket items in early fall and 56% of shoppers said they would shop Christmas in July sales.

Retailers like Best Buy, Toy R Us, Sears and Hallmark have all jumped on the Christmas in July bandwagon. And while, most people are not crazy about seeing Christmas Trees and hearing Jingle Bells over the intercom quite yet, there seems to be things retailers can do now to help solidify a profitable holiday season.

Get Creative - Jin Chang, Best Buy's trend senior director, says "The shift to thrift appears to be a long-term lifestyle change and will continue long after the holiday season."

If that's true, the question then becomes what makes frugal shoppers buy and its not always cost. Its appealing to alternative belief systems - people are willing to pay for items or shop at stores that are environmentally friendly and give back to the community or charity organizations. They want to feel as though they are getting value for their money. They still want to give meaningful gifts. And they want to feel a little extravagance in the midst of all this budgeting.

Best Buy is focusing on value with upgrages to its private label assortment of products. Click here to read more.

Deck the stores: Now is the time to make your stores shine - all of those projects you have been postponing, should happen now to get ready for early holiday shoppers, especially the ones that enhance the customer shopping experience. Are you considering digital signage to help promote specific items or layaway? Kiosks for coupons? Special loyalty programs? Upgraded security systems? Or POS technology refreshes for improved checkout?

Layaway - Like last season, consumers continue to look for way to make purchases without using credit. Riding on the heals of last year's success, Sears has already launched a website called Christmas Lane which allows people to shop and place things on layaway now.

Website Enhancements - The major concern last year was shopping carts - consumers complained that carts were down completely, slow or there were issues in retrieving saved items to cart. Is your site ready for the holiday rush, check out this article by ShopVisible.

And while I have no intentions pf purchasing Holiday gifts in July (mainly because by Christmas, I forget I have them) - happy shopping to those that will!

Dana Harder
Marketing Director, tekservePOS

New Store Techology: 'Must' or 'Bust'

2009-06-24T07:29:00.000-07:00

Reviewing some recent video clips for potential tekSESSIONS speakers, I ran across a presentation by James Dion called “The Twelve Most Common Mistakes in Retail Technology and How To Avoid Them.” Within the first 2 minutes of the presentation he states “Do not place any technology in your store that will not benefit the customer.” (He also talks about how never to trust a sales person, but that’s another blog!)

Benefit the customer… hmmmm. In the marketing world, I often struggle with what’s just new and cool and what will actually drive sales. So for retail IT professionals, who live and breath technology, I can imagine its equally challenging to sort through what’s ‘new and cool’ versus what actually brings value to your customer. Even more challenging, once you determine it could bring value to your customer - now you have to make good on it.

Digital Signage: More than just a glorified TV?
The buzz everywhere is digital media and digital signage, but does it actually benefit the customer? I think the reality is that it could, but in most current applications its not. Take a grocery store for example. In a recent shopping experience I noticed digital signage at two points of contact - one over the produce and one at the checkout. The produce screen was a cooking demonstration for the seasonal vegetables found below. Great idea, right? Well, maybe if I had a way to get the recipe that didn't involve me scrounging through my purse for pen and paper. The TV at the checkout was really just that, a glorified TV with current show clips and news. Again, didn't really serve any purpose - there were no great tips or ideas on how to save time, money or make food more nutritional and enjoyable for my family.

Now lets take Smith & Hawkin's who has recently added digital signage in their stores - they are using the screens to take people to their website to see products that are not available in the store. Beneficial to a customer? Absolutely. Example: I need a patio set that is larger than anything they have in the store, but I am not going to order anything without seeing some images and specs on the set.

Mobile Technology: Customers only a text away?
In theory, this could possibly be the most beneficial technology a retailer could learn how to use simply because everyone has a mobile phone and its always on them. Two great examples of mobile technology in action:

Dairy Queen recently launched a mobile loyalty program, where they are issued a chip, called the Tetherball Tag, which enables customer to receive offers via robust text messages. These promotions can be redeemed at the store’s point-of-sale system during checkout, or at an RFID-enabled kiosk located inside the store.
Burger King launched an iPhone application that enables users to instantly log in and connect with Burgerkingnow.com. They can choose their closest restaurant, input their order through the touch screen, and pay through their phone. The order is fulfilled at the selected destination.

Self-Checkout: A real line-busting solution?
Research has stated that people like self-checkout. There are certain demographics that use it frequently and prefer it to traditional checkout. Yet, I was at a store last weekend where there were checkouts backed up into the aisles and all 6 lanes of self-checkout were closed. So yes, it’s a technology that can and will benefit the customer but only if implemented correctly.

Kiosks: More than gift registry?
I rarely see kiosks in any other application than flight check in and gift registries, but can think of a million places where they might be useful. For example Jack-in-The box is placing kiosks in their restaurants so people can order and just pick up. I believe that 7-Eleven has recently done the same.

Was at a presentation a few weeks back from where Zebra Technologies made a valid statement: Why do we print coupons off at the checkout when people are leaving rather than giving them to the customers when they enter the store? Everyone in the audience sat in dumbfounded silence, because it is over the top logical. Yet no one is doing it.

So the moral of the story: Its not enough to just place technology in your store that in theory benefits the customer, its up to you to make sure its implemented in away that is actually useful to your customers' shopping experience.

Happy summer!
Dana Harder, Marketing Director
tekservePOS

Security Beyond PCI

2009-06-18T16:09:00.000-07:00

We talk a lot about PCI and security measures as it relates to credit card fraud - but what about the theft that occurs in our stores? NRF’s fifth annual Organized Retail Crime Survey, was recently released and the news is not good.

According to the survey, nine out of ten retailers (92%) report that their companies were victims of organized retail crime during the past year, up eight percent from 2008. Nearly three-fourths (73%) of retailers also reported the level of organized retail crime activity has increased over the past 12 months, an increase of 11 percent from 2008. To download the report, click here.

So with crime on the rise, it’s important for retailers to make sure their systems are updated to provide the best surveillance possible. This might mean upgrading your system from analog to IP surveillance.

IP Surveillance brings all the advantages of network cameras and IP networking to video surveillance. Its digital cameras give you sharper color video, greater coverage and better zooming capabilities. In addition it can actually watch for certain kinds of behavior, events and action. There is a great white paper from Axis Communication that explains all the benefits of IP technology – check it out here.

Since we are relatively new to this space we would love to hear from you on what technology you are using in your stores. And if you have already upgraded to IP, what advantages have you seen.

John Pruban, President
tekservePOS

Getting Serious About Experience

2009-05-12T08:53:00.000-07:00

I will admit, until 2 weeks ago, I have not been in a Sears store in over 14 years. Growing up in a small, rural area, my parents have always been fans. But when you live in a metropolitan area where there is no shortage of shopping options, Sears is not first to mind. So when my husband announced we were going to Sears to buy a lawnmower, I wasn't sure what to expect.

I have to say - my husband and I were both pleasantly surprised at our shopping experience - great customer services, knowledgeable sales staff and easy, fast and convenient pickup. Would I shop at Sears again, absolutely.

We often forget that business, no matter what industry, is not always about the product being sold or the price its being sold at. Repeat business and referrals often come from a great experience. Which is why, Sears, like many retailers, is using this time to focus on creating that great customer experience.

At a recent stockholders meeting, Edward Lampert of Sears, said, "Make no mistake, I'd rather have our sales going up, and rather have same-store sales going up, but not at the expense of generating profit. When you give product away, your renting market share. We want to own market share. And you do that by providing better experiences."

Sears believes that a great customer experience is going to come from integrating its website with its in-store shopping with the launch of a new concept called mygofer. The concept allows people to shop online and then pickup their merchandise at a store - which operates more like a warehouse than a traditional retail location.

"We think that's going to be a better way for people to shop," Lampert said. "This is not just about being a new store experience, it's about there being a different way for people to shop."

Integrating store and web is just one way to enhance that shopping experince. This month's tekREVIEW is full of ideas - digital signage, barcode and mobile technology and causes worth suporting in your stores (Retail ROI). Would love to hear how your stores are working to enhance the customer experince.

And remember sometimes a simple "Can I help you find something?" is all is takes.

Dana Harder
Marketing Director, tekservePOS

PCI Compliance: Who wins?

2009-04-22T13:14:00.001-07:00

A few weeks back, the NRF told a congressional panel "that security standards imposed on merchants by the credit card industry are only 'an elaborate patch,' and that a system in which retailers would not be required to store card numbers would do a better job of protecting consumers against credit card fraud."

Great idea, right? The only problem: for now, credit card security is in the hands of the retailer. And with new PCI deadlines looming and cyber crime becoming tougher to fight, the question begs to be asked, when all is said and done, who wins?

The retailer?
In 2008, Gartner reported that merchant spending to protect cardholder data and become PCI compliant increased nearly fivefold during the previous 18 months. Among the Level 1 retailers Gartner surveyed, an average of $2.7 million was spent to become PCI compliant, excluding the costs of PCI assessment services. Level 2 merchants reported spending $1.1 million on PCI compliance (compared to $267,000 in fall 2006) and an average of $135,000 on assessment.

And, the PCI July 2010 pinpad upgrade deadline will only increase the financial burden. The C-store/petroleum industry is estimating the pinpad upgrade will cost as much as $1 billion plus another billion to meet unmanned payment terminal standards and and yet another billion for EMV. Matter of fact, Bob Sleeper, director of IT for Rutter's Farm Store said at NACS/CSNews CIO Roundtable "If things don't change, we think most companies will spend their 2009 and 2010 technology budgets on PCI-related mandates."

The consumer?
We have all heard the rumors – breaches are happening to companies who claim to be PCI compliant. Bob Russo, general manager of the PCI Security Standards Council, states in a Washington Post article however, "the council has never found a breached entity that was later found to have been in full compliance with the PCI standards at the time of the breach"

Yet, a recent report released by Verizon found that "in 3/4 of the confirmed breaches it investigated last year the victims were not complaint with PCI DSS or had never been audited. Another 19% were found to be PCI compliant during their last assessment.

The credit cards companies? Maybe...
Or maybe its not about winning or losing at all, but about how we play the game. While we all may agree with the NRF, for the time being, credit card security is in your hands. What you chose to do with it is what counts.

Circle K recently announced (as many other retailers have or will be as well) that it "taking steps to further secure card payments and customer information, especially at the fuel pump." The company is adding Gilbarco Veeder-Root FlexPay Encrypting PIN Pads and Encore S fuel dispensers to help the chain become compliant with Triple Data Encryption Standard treatment of PIN numbers entered by consumers during debit-card transactions at the pumps.

While PCI is the driving force on this endeavor, we all win if we work together to make the goal security. In a previous blog I posted: We need to stop asking “How to we get PCI compliant?” and start asking, “How do we get secure?”

Jeff Wakefield of VeriFone, summed it up best. “You goal should not be to get PCI Compliant. Your goal should be to secure your payment processes and hopefully you get complaint in the process.”

Please share with us way in which you have turned getting PCI complaint into a positive for you and your customers.

Dana Harder, Marketing Director
tekservePOS

Digital Signage: More than just advertising

2009-04-14T14:06:00.000-07:00

We've recently had the pleasure of working with Helius, a Hughes Company, on a digital signage project. This company provides flexible methods of delivering customer and standard content via digital media solutions. The thing that has impressed me most about Helius is their flexibility over past companies that have attempted to enter the digital media marketplace with a more “subscription & advertising” based approach.

We worked with Helius on a very impressive solution at Smith & Hawken. In this environment, the retailer is pushing content to the screens at all times, however, when needed, the associates are able to essentially walk a customer to the terminal and “convert” it to a kiosk application by using a keyboard and navigating a website. This has proven to be a remarkable customer service tool for them.

At JC Penney, the company has provided a way for the retailer to facilitate live and on demand training sessions at all of their stores. Additionally, they have instantly gained the ability to communicate with all stores simultaneously with live broadcasts or pre-recorded messages. All in all, the multi purpose approach at JC Penney has provided innovative ways to effectively communicate with associates. The retailer estimates they will save over $ 20 million in travel and other related training costs. Talk about balancing the fine line between well-trained associates and the bottom line! Drop us an email to receive a copy of the case study.

John Pruban, President
tekservePOS

Keeping up with the Zappos

2009-03-18T11:26:00.000-07:00

Reading through the possible story ideas for this month’s newsletter, a common theme quickly emerged: e-commerce, e-marketing with a little more e-commerce and a sprinkle of Twitter. The digital world is no longer something people talk about and only a few are doing. Now that everyone is doing it, its about who is doing it better and faster. (And the crazier the better!)

In a recent blog, we talked about retailers needing to think outside the box and diversifying offerings in order to get and retain customers. The longer the recession goes, it seems that retailers are using e-commerce, e-marketing and social media as the avenue of choice to get shoppers attention.

Take Jack in the Box's six-week "Hang in There Jack" campaign: a 360-degree social media event that utilized the power of YouTube, Twitter, Facebook and Flickr. "Along the way it leveraged irony to the breaking point with "viral" cellphone and faux-paparazzi videos, ring tones and texting. Among the crowd-sourced content were 27 get-well videos from fans, some quite brilliant," sourced from an LA Times article.

Or Sears with “ShopYourWay – Where Shopping Revolves Around You 24/7" campaign touting their multichannel retail capabilities which combine Web site, catalogs and other marketing vehicles to showcase services such as the ability to buy online and pick up in-store, mobile commerce and in-store Web shopping kiosks.

Or even Coke who owns the second largest fan club on Facebook second only to O'Bama's. Interestingly enough, Coke didn't even start the page. A fan did. Click here to read more.

Our monthly newsletter, tekREVIEW, featured two other articles on e-marketing and Twitter proving only that if you are not currently playing in this arena, you are behind and missing out.

I leave you with last night's Tweed from zappos CEO: Impromptu tweetup in SF! Free tastings of Haamonii Shochu at 119 Utah St. 630-830 PM tonight, stop by for a drink & say hi!

How many of of his 255,000 followers do you think showed up?

Dana Harder
Marketing Director, tekservePOS

POS Maintenance Alternatives

2009-03-10T12:07:00.000-07:00

In the current economic climate, there is a huge increase in the amount of retailers looking for POS Maintenance alternatives. While obvious that retailers would want to save money in this area, not so obvious is the willingness to embrace alternative service levels in exchange for that savings. In the past, retailers looked to save money in this area by doing the same thing the same way, but save money doing it. This approach can certainly work when driving savings with large OEMs on a smaller level. True savings, however, can only be achieved by considering service levels while taking responsibility and ownership of the incidents and their cause. My experience is that with this dual approach, savings can reach up to 40% over the first two years of the project.

It is important to partner with someone who can offer you a wide array of approaches that can take into account the unique needs of your stores and culture. No two retail environments are exactly alike so, the ability to be flexible is critical. Additionally, a partner than can help you understand incidents, their cause and solutions is also important. Lastly, the retailer has to possess a true desire for an alternative approach and be willing to form a close bond with store operations and other necessary corporate departments. When implemented correctly, not only are strong savings and increased service levels are achievable.

John Pruban
President, tekservePOS

Tires and food: Retailers think outside the box

2009-03-06T12:17:00.001-08:00

While I have not personally been in a Canadian Tire store, by naming convention alone, I am assuming they sell primarily tires and automotive supplies. So, when skimming the retail news today, I was a little surprised by the following headline: Canadian Tire Tries Selling Groceries.

I will admit I have never actually purchased a pair of tires in my life, and have only entered an automotive store once or twice as a small girl with my dad. So the concept seems, well... a little odd. It's difficult to picture throwing a pair of tires in the cart and then a gallon of milk. At the same time, retailers who think outside the box are the ones surviving these days.

In a time when people are trading houses because they can not sell them and women are turning their closets into stores, diversification and creativity are key. Yes, consumers want low-cost and convenience, but they are also want fun and light - something that helps them escape from reality, if for even a few seconds.

So why not sell food at a tire store? Twitter promotions to your best customers? Or set up shop in Second Life? These days, it seem anything goes. So throw something out and see if it sticks.

Would love to hear about any other "out-of-the-box" things retailers are doing. Have a great weekend!

Dana Harder
Marketing Director, tekservePOS

Balancing Green and Profit

2009-02-18T22:00:00.000-08:00

With the economy at the forefront of everyone's mind, it’s easy to lose track of other important initiatives that once made the top priority list like "Green,” and the more recent buzz word that has emerged in this area "Sustainability."

At NRF I had the opportunity to sit in on presentation by James Dion on sustainability. According to Wikipedia, to be sustainable, regardless of context, the Earth's resources must be used at a rate at which they can be replenished. Dion states, that for retailers this means, use resources that are as close to renewable/recyclable as humanly possible.

The reality is: we all want to save the environment, but we also have to make sure it makes business sense. From an article mentioned in our November blog on going green, "Green has gone from improving the bottom line to growing the top line. Green is seen as creating new innovative products and services to make your business more competitive." said Joel Makower, executive editor of GreenBiz.com, an online news and information site about environmental responsibility and corporate success.

So I think the challenge here for retailers is finding balance. Find products that are "Green" or "Sustainable" while improving business operations. And many OEMs are stepping up to the challenge.

I just caught a glimpse of an IBM press release on a new offering, Strategic Carbon Management, that uses a number of IBM consulting processes to help companies perform an analysis, including a carbon management diagnostic, carbon footprinting, “green” action planning and business case modeling.

The press release confirms what Makower says above, green and susatinability can give you a competetive advanatge. "An IBM global corporate social responsibility survey of more than 250 c-suite executives shows that 68 percent of them already are focusing on CSR activities to create new revenue streams and 54% believe it's giving them a competitive advantage. In addition, 85 percent said they were using CSR initiatives to reduce costs, and a third report that their business partners are requiring them to lower their CO2 emissions."

Dion also mentions in his presentation that retailers can look to power at sore levels to head down the path of sustainability. We have recently run across a power conditioning product company who's products not only cleans the power, minimizing power relates failures in the stores, but also creates energy savings of 14 to 22% on every component it is attached to. Click here to learn more about Leveler products.

Dion states we can come close, but will never achieve total sustainability. I think it’s important to find balance. Green products should serve a purpose and impact the bottom line.

Would love to hear about other products, companies or steps you are taking in your stores toward sustainability.

Dana Harder
Marketing Director, tekservePOS

From Vendor to Partner

2009-02-10T13:11:00.000-08:00

Regardless of shrinking staffs and budgets, retailers are being challenged to create and innovate. Quite literally, you are being forced to “do more with less.” This is blurring the traditional walls and boundaries between a customer and a vendor. Gone are the days when a vendor presents a product or solution, the retailer purchases, vendor delivers and all move on. Vendors, like tekservePOS, are being challenged to think like the retailer.

From our chair, you are calling on us to get connected to your business, bring innovation, provide marketplace expertise and information, be quick and cost effective and understand what success is to you. Overall, view your challenges as our own and be a true partner, not a vendor.

As a vendor who has watched this unfold over the past several years, I wonder if retailers are truly ready for this type of partnership. You will have to take a long-term look at whom you’ve chosen to engage with while having a plan to make that partnership successful. It is critical that a plan for success is built upon clear lines of communication, documentation, expectation management, best practices, problem solving escalations and most of all, patience.

As investment in the vendor grows, moving from vendor to vendor will be less desirable and more complex. Success criteria must be mutually agreed upon and quite clear. From our perspective, we are being challenged more than ever to deliver stronger customer service built on a foundation of communication, best practices and a constant flow “thinking like the retailer.”

tekservePOS must also view our partnership with our customers differently. We are building our foundation on innovation, industry-leading best practices, automation tools, and increased communication, all while asking ourselves “What can tekservePOS do to make your job easier, more efficient and cost effective?”

We live in a time where true partnership has never been more critical. These partnerships must be consciously chosen based on a solid set of success fundamentals and a long-term plan.

John Pruban
President, tekservePOS

A Shift Toward the Positive

2009-02-06T07:26:00.000-08:00

For those of you who live in the Midwest, the anticipation of 40 to 50 degree weather over the weekend brings a good kind of energy, a hope that Spring will soon be here. The same could almost be said about the industry news reported this week -- for some reason there seemed to be a slight shift. The negative was sort of pushed aside to make room for some innovative ideas, messages of hope and overall change.

We have talked a lot about being creative and thinking outside of the box recently. So one of my favorite articles this week, was on Dell's Twitter initiatives. Dell has produced over $1 million in sales through Twitter sales alerts. For those of you who are not twittering - it might be time to check it out.

Another note worth mentioning came from the Shop.org blog on a presentation by OfficeMax's Bob Thacker. In his speech, Thacker said that though we may need to sacrifice, we shouldn’t suffer. There are still opportunities for retailers to connect with their customers and do great things. “In history, hope, beauty and inspiration were continuing to live in the most abject of times,” he said, reminding the audience that companies like Walt Disney, Revlon, American Airlines, and 20th Century Fox were all created during the Great Depression.

Wake Up Call

2009-01-30T09:46:00.000-08:00

It's true. In a time where most of the retail news involves store closings, layoffs and poor sales, Amazon.com reported 9% profit increase to $225 million, on revenues that increased 18%, to $6.7 billion, in the fourth quarter. So the question emerges, if they can do it, why can't we?

Scott Silverman, Executive Director, Shop.org , posted a great blog today about this topic and what retailers have to do to get back in the game - mainly don't leave it.

"My advice is to come out and look around. Talk to other retailers. Be a student of other industries... I want you to consider unfreezing your travel budgets so you and the smart people you’ve hired can go out and find new ideas and innovations. Go to conferences and trade shows. ....going to any conference that allows you to hear new ideas and network with your peers who are facing similar challenges will give you a shot at not just surviving but maybe even giving Amazon a run for their money."

I totally agree with Scott. Ideas are kind of like fashion - rarely has something never been done or thought of before, right? (If you don't believe it, ask yourself why people are wearing skinny jeans and leg warmers again.)

So the best way to get yourself out of your box, is to look at what other companies are doing; which ones do it best and which ones do it worst. Look outside retail for inspiration; which industries are thriving and why?

And while I believe that traveling to conferences is still important, I don't believe it's the only why to connect these days. Linked In, Facebook, Industry Blogs, Twitter - all offer ways for you connect with your peers and find out what they are doing to create efficiencies in their stores while enhancing the customer experience.

"If an idea's worth having once, it's worth having twice."
Tom Stoppard (1937 - )

Dana Harder, Marketing Director
tekservePOS

Shocking facts you did not know....

2009-01-29T13:44:00.000-08:00

A customer recently emailed this link to us... very interesting site. So this video is just for fun. Some of things you might learn:

China is the world's largest English-speaking nation.
India has more people with IQs over 120 than the entire population of the US.
Home computers in 2049 will have more computing power than the total human species of 2008.

Just FYI... for all you Twitter fans, Bob pictured on the top of this page recently joined. Check out his "Tweed" on this blog or at twitter.com/Happy_Bob.

Dana Harder, Marketing Director

tekservePOS

Connecting with Consumers

2009-01-21T06:35:00.001-08:00

Change Has Come to America are the words scrolling on the much enhanced Whitehouse.gov website launched as President Barack Obama took his oath. As stated on a blog entry by Macon Phillips, the Director of New Media, for our new administration: "One of the first changes is the White House's new website, which will serve as a place for the President and his administration to connect with the rest of the nation and the world."

Good or bad, change is constant. Change would have come yesterday no matter who was sworn into office. The important word in this statement is actually "Connect." People won't embrace change if they cannot CONNECT with the reason for it or CONNECT with the people driving it.

Like our new administration, every industry sector in our country is challenged to not only drive change that makes a difference, but to connect with their customers in a way that gets them on board with it. And retail is no different.

There was an interesting article in the Daily Herald today by Anne D' Innocenzio from the Associated Press. She says, "For years, retailers could afford to be sloppy about running their businesses because customers kept buying. No more."

Retailers have to make drastic changes and they are. Many "are cutting their marginal suppliers, hiring outside experts to keep inventory lean, holding special events for those who are still buying and making extraordinary efforts to gauge customer satisfaction."

But what does that change mean to the consumer? Why does the customer care if you are keeping inventory lean? Or bothering them with a phone call or email to see how thier shopping experience was?

President Obama's inauguration was the 5th most watched web event since Akamai started tracking in 2005. Not because he is a cool guy or the next president, but because he has taken the time and effort to connect with us on my levels through many mediums over the last year.

So as retailers, how do we connect with our customers? Perhaps it’s pricing goods within their reach like Rock of Republic is doing with its Recession Collection (cost of which will be almost half the price of their regular jeans).

Or maybe it’s reaching out through Digital and Social media outlets. Burger King recently launched a promotion called "The Whopper Sacrifice" which encourages people to drop 10 friends off Facebook for a free whopper.

Perhaps its appealing to a "green" side, like Whole Foods is doing by giving everyone a .10% credit for every reusable bag you bring in to pack your groceries. Or improving convenience in retail stores with Self-Checkout, Kiosks, easier returns or better e-commerce sites like Amazon.

Change is not a new concept. But learning how to really CONNECT with consumers, listen to their needs and get them on board with the change, now, that's a new thought!

Dana Harder,
Marketing Director
tekservePOS

NRF Proves Retailers Are Still Moving Forward

2009-01-16T06:55:00.000-08:00

Time to decompress from this year's annual NRF Show in New York City. I'm pleased to announce that the show was relatively well attended. While traffic was down (although not nearly as bad as predicted), the quality was definitely up. I guess if you paid to attend NRF in New York this January, in this economic climate… you had a reason to be there.

As everyone knows, the predictions for the immediate future are not great. Store closings, bankruptcies, liquidations, restructuring and complete mall shut downs are a reality of our immediate future.

Buried within the bad news, however, there are some highlights remaining. Store openings are down but not out. Quick ROI projects are still going forward; and I ran into a few retailers bold enough to be doing complete store rollouts including software and new POS this year!

In all of it, there is one common theme we can all share. As a retailer, your pains will increase, you'll have fewer resources to address them and you'll have little or no budget. This is a dangerous recipe and, the reality we are all faced with.

I can't think of a more critical time to be innovative, resourceful and most of all, positive. Challenge all of your co-workers to “think out of the box.” Nothing should be un-touchable and most importantly, address the future in a different manner than we know. Remember, when you are looking to address problems with little or no budget, you will have to be willing to consider alternatives. Your strategic vendors should be challenged to play a key role in this process. Perhaps no one, in that overall chain is more motivated to find resourceful solutions. While the innovation must be mutual, the consideration to the “way things" are done must be as well.

When retail does come around, it will be changed forever. Those that survive will be the ones that find ways to move forward while protecting the enterprise from a financial standpoint. It will be those that think differently, drive innovation and maximize the right strategic outsourcing relationships that return the perfect mix of flexibility, customization and service.

In closing, I did listen to one presentation where the speaker did predict a modest turn THIS YEAR! It is believed the climate will begin to turn in the second half of this year culminating in a Christmas 2009 that will beat out 2008! Let's cheer to that!

Happy New Year!
John Pruban, President
tekservePOS

Impact vs. Thermal: That is the question

2008-11-26T13:53:00.000-08:00

I have been assisting clients within the retail, grocery and hospitality market place for the past 11 years. I am amused how many of you still use old IMPACT printers as our receipt printers.

Most of you are familiar with the secondary POS market place, and when it comes to procuring your POS hardware most purchasing agents call around to find refurbished alternatives for their current installed POS devices.

Unfortunately as time passes the older POS hardware such as the IMPACT POS PRINTERS become harder to find and this adversely impacts the price of the refurbished units, you probably are asking why?

The key is that your POS hardware suppliers have to spend more time and resources to be able to deliver these types of older or discontinued products.

Your Refurbish POS suppliers have smaller pools to draw from, and they are yielding lesser quantities of salvageable units. In addition to these the OEM may have discontinued the replacement parts such as cosmetics, print heads.

At the end of the day the cost of refurbished IMPACT PRINTERS have gone up and will be costing you more in the future

Are you still using the old IMPACT, printers such as?
IBM MOD II, MOD III, MOD IV, then you may have already experienced the increase in the price.

Most of you have been contemplating the THERMAL RECEIPT PRINTER for a while now.

I have heard from some that they can not cost justify the THERMAL RECEIPT PRINTER.
Some of the reasons are:
1. Thermal Printers are expensive
2. The supplies cost too much
3. My software won’t support

If you are part of categories 1&2 then I definitely have a recommendation for you.

The cost of a REFURBISHED THERMAL PRINTER are very reasonable and may in most cases be near what you will be spending for an OLD IMPACT RECEIPT PRINTER.
The Thermal printer solution will also enable you to do more with your RECEIPT PRINTER at the counter.

Consider these facts when you are choosing a POS printer for your stores, and I am confident that you'll choose a Thermal Printer.

Also consider the economy and the cost of NEW vs. REFURBISHED, you really need to have options that save you real cash now...

THERMAL PRINTING COST JUSTIFICATION

PAPER ROLL LENGTH
Stock/Plain paper 150 ft per roll
Thermal paper 270 ft per roll
More receipt per roll
Less paper replacement
Less lane down time
Reduces labor to change the paper

CLEAN RECEIPT (33% paper savings)
Consolidation of like items into a single line
(reduces paper usage)
Items can be grouped and/or alphabetized (customer friendly receipts)
Voided and corrected items are not printed
(reduces even more paper)

PAPER LOADING
Less time spent on paper changes
Thermal printers paper replaced in less than 30seconds
Less lane down-time
Quicker checkouts
Reduces training costs

STOCK HANDLING FEES
Fewer cases of paper used/ordered due to:
More paper on each roll
Clean receipt
Fewer Ribbons used/ordered

JOURNAL
Facilitates Electronic Journalling
Completely eliminates the cost of journal roll
Eliminates cost of loading, removing, marking and storing the journal rolls
Journal data in electronic format can be queried when needed

RIBBON COST
Ribbon is only used for printing checks and other inserted documents
Completely eliminates ribbon costs associated with receipt printing
Reduces lane down-time
Reduces labor costs
Faster Transaction Time
Process Customer faster, particularly during peak periods
Higher customer satisfaction
Reduces labor costs

LOWER MAINTENANCE COSTS
Thermal printers have fewer moving parts
Higher reliability
Less required maintenance

ADVERTISEMENTS/LOGOS/SECURITY
Advertisements and coupons can now be printed on the back of thermal paper
Reduces or completely eliminates the paper cost
Logos, water-marks, and front /reverse security printed receipts available
Assists in loss prevention
Reduces costs

THERMAL PRINTING ROI

CONSUMABLES SAVINGS
Journal Paper

IMPACT PRINTER
Lines of Journal Printer per Transaction--------------10
Lines Per Inch---------------------------------------------------6
Paper Per Transaction (inches)--------------------------1.67
Number of Transactions---------------------------------200
Paper Per Register Per Day (inches)--------------333.33
Paper Per Register Per Day (rolls)---------------------1.96
Cost Per Roll-------------------------------------------------$0.50
Daily Paper Cost-------------------------------------------$0.98

IMPACT PRINTER ANNUAL JOURNAL PAPER COST----------$357.70

THERMAL PRINTER

NO JOURNAL PAPER REQUIRED

JOURNAL PAPER SAVINGS----------------------------------------------$357.70

RIBBONS

IMPACT PRINTER
Ribbons Per week Per Register-------------------------2
Ribbons Per Year Per Register----------------------104
Percentage Ribbon Use for Receipts----------------85%
Cost Per Ribbon--------------------------------------------$4.00

IMPACT PRINTER ANNUAL RIBBON COST------------------------$416.00

THERMAL PRINTER

Ribbons Per week Per Register------------------------0.3

Ribbons Per Year Per Register-----------------------15.6

Percentage Ribbon Use for Receipts----------------15%

Cost Per Ribbon---------------------------------------------$4.00

THERMAL PRINTER ANNUAL RIBBON COST-----------------------$62.40
ANNUAL RIBBON SAVINGS----------------------------------------------$353.60

RECEIPT PAPER USAGE / COST

IMPACT PRINTER
IMPACT PRINTERS (200 Transactions / Day)
Paper used Per Receipt (inches)--------------------------------------------27
Total Paper used (Rolls)--------------------------------------------------------16.80
Daily cost ($.50 / roll)------------------------------------------------------------$8.40
IMPACT PRINTER ANNUAL PAPER COST-----------------------$3024.00

THERMAL PRINTER
Thermal Printers (200 Transactions / Day)
Paper Used (inches)-------------------------------------------------------------20
Total paper used (Rolls)----------------------------------------------------------8.33
Daily Cost ($.80 / roll)-----------------------------------------------------------$6.66
THERMAL PRINTER ANNUAL COST-------------------------------$2397.60
ANNUAL PAPER COST SAVING-------------------------------------$ 626.40

SUMMARY
ANNUAL JOURNAL PAPER SAVINGS---------------------------------$357.70
ANNUAL RIBBON SAVINGS------------------------------------------------$353.60
ANNUAL PAPER COST INCREASE-------------------------------------$626.40

ESTIMATED ANNUAL SAVING------------------------------------------$1337.70
The figures shown are estimated, your actual saving may vary.

So you save money by switching from your impact printer and choosing a thermal, not to mention you are saving the environment by using a thermal printer.

There are many options as far as manufacturers in the market place, IBM, EPSON, NCR, ITHACA, STAR are few companies that manufacture Thermal printers.

I do recommend looking into the refurbished units as these will bring great value to your organization, most POS providers can supply or provide you with this option, you simply have to ask your POS vendor.

I do recommend the IBM, EPSON and NCR if you are going to look into the refurbished options, the reason is simply

These are more readily available in the market place, when it comes to thermal printing these OEM's own 80% of the market.
Proven Brands, field tested by large retailers, groceries and hospitality companies.
Support multi I/O and platforms with ease.

As I wrote earlier you need options and solutions that help your company go forward and save you cash. Choosing a refurbished printer will have a positive impact for your POS spending, and most reliable POS vendors can supply you with quality refurbished solutions.

Feel free to contact me or reply to this blog of you have questions, or need more info about how to choose the right POS printer for your store.

HAPPY HOLIDAYS,

Reggie Saghafi, Hardware Business Manager
TekservePOS,LLC

Join the discussion - Will Retail Bounce Back?

2008-11-14T09:00:00.000-08:00

There is a great dicussion going on at the Harvard Business Publishing Blog titled "Will Retail Ever Bounce Back."

Going Green the Right Way

2008-11-04T14:21:00.001-08:00

Checking out at a favorite shoe store, I am told by the associate that they are "Going Green" -- just the fancy word for we no longer have bags. She then proceeds to punch a couple holes out of the shoe box, slaps a handle on it and sends me on my way.

My initial thought -- what a fabulous idea. I got a new pair of boots and I am saving the environment all at the same time. As I am traipsing through Woodfield mall with my new boots hanging out of the bottom of the box, my enthusiasm quickly dwindled. "Going Green" - Not such a good idea if the box isn't capable of holding the boots in while being carried with the handle.

This got me thinking about retailers Green Initiatives. Granted, we are all for saving the environment, but are there other ways to "Go Green" without sacrificing the customer experience?

Office Depot is a prime example of a retailer who has done it right when it comes to Green. In 2002, the company created a position dedicated to Green Initiatives: Director of Environmental Affairs.

According to the Palm Beach Post, "For the Office Depot, it's not just about saving the environment, although that's part of it. But being green also means saving money and even increasing the company's market share."

Some of Office Depot's Green Initiatives include:

The Green Book, a catalog of about 4,000 "green" office products for sale.
Recycling and reselling its corrugated cardboard boxes.
Refurbished shopping carts.
More fuel-efficient vans and route-optimization software to cut down on fuel costs and the number of trucks needed (reduces company's transportation greenhouse gas emissions by about 9.4 percent).
$20 million in energy upgrades, adding high-output fluorescent lighting and installing an Energy Management System that allows store managers to track energy usage and adjust accordingly (In the first year, the upgrades cut carbon dioxide emissions by 10 % in its U.S. stores and saved the company $6.2 million in electricity costs).
Office Depot opened its first Leadership in Energy and Environmental Design - or LEED - certified green store in Austin, Texas, in July as a prototype for later stores.

Check out the full article at here.

Dana Harder,

Marketing Director, tekservePOS

New President's Views on Technology

2008-11-04T13:11:00.000-08:00

It seems we have been in a holding pattern - everything waiting for this day. So with campaign commercials gone and election coverage over (yes, Saturday Night Live goes back to its regular scheduled programming), maybe we can all get back to our lives. But what does that mean? What happens now?

A good friend of mine often uses the phrase "What have you done for me lately?" Her definition: There comes a time to stop talking and start doing. Take action. Even McCain said in his concession speech last night, "We must work together to get our country moving again."

So while we are figuring out how to move forward, I thought it might be interesting to look at our new president's views on technology issues.

A recent article by Grant Gross featured in Network World gives a good overview of Obama's technology stances. According to the article, "while Obama has had relatively little legislative experience related to technology, he's a self-described text-messaging addict who released a lengthy Tech Policy paper last November."

Here are some other notes as it relates to his views on technology.

Telecommunications
Net neutrality: Obama has long supported the passage of Net neutrality laws or rules. "A key reason the Internet has been such a success is because it is the most open network in history," his tech paper says.

Rural broadband deployment: Obama calls for policies to encourage next-generation broadband deployment, including to rural areas and inner cities. He supports government programs to bring broadband to schools, libraries and hospitals, and called for public/private partnerships to help roll it out in areas without service.

Competition in the wireless spectrum: Obama has called for a review of existing uses of the wireless spectrum, and he wants government agencies to come up with "smarter, more efficient and more imaginative use" of the spectrum they control.

National Security
Government surveillance: Both candidates voted for a recent bill to revamp the U.S. government's surveillance programs and bring a controversial National Security Agency program under court oversight. However, Obama opposed the bill's language that would likely give telecom carriers immunity from lawsuits.

Privacy
Obama wants to restrict how databases containing personal information are used. He'd increase the Federal Trade Commission enforcement budget to fight spam, spyware, phishing and other cybercrime. Obama would also focus on ensuring that electronic health records are secure, his position paper says.

IT Jobs
Outsourcing: Obama wants to end tax breaks for companies that ship U.S. jobs overseas.

Math and science education: Both candidates have called for an increased focus on training U.S. students and workers for 21st-century jobs. Both have called for programs that increase the number of students studying math and science. Obama wants to improve U.S. schools' curricula and supply schools with computers and broadband.

H1-B visas: Obama questions the need for more H-1B visas, but he's also called for reform of immigration programs, including ways for immigrants to become permanent residents.

Innovation
R&D tax credit: Both candidates called for a permanent extension of a frequently expiring R&D tax credit for U.S. companies.

Renewable energy: Obama has made renewable energy a campaign centerpiece. He's called for a government investment of $150 billion over the next decade to encourage development of biofuels, hybrid cars and solar and wind energy. He would double federal science and research funding for clean-energy projects and create a $10-billion-a-year clean-tech venture capital fund.

Dana Harder
Marketing Director, tekservePOS

Rising Above

2008-10-30T06:49:00.000-07:00

We have been inundated with bad news on the retail front - store closings, bankruptcies, data breaches rounded out with grim forecasts on holiday spending. But from the ashes, bright spots are emerging. So instead of concentrating on the bad - lets talk about what is good right now.

Retailers Moving Forward
According to a recent article in RIS News, these 10 retailers are continuing to grow with ambitious new store opening for the reminder of 2008 and 2009 (click here to read full story). Retailers include:

• Target
• Aeropostale
• The Buckle
• Family Dollar
• RadioShack
• DSW Shoes
• KB Toys
• Tractor Supply
• Ulta Salon Cosmetics & Fragrance
• PriceSmart

Layaway Makes a Comeback
Retailers and consumers alike are embracing "Layaway" this holiday season as a way to help people buy gifts without using credit.

According to USA Today, Kmart launched a national campaign last week and the ads proclaim "beat the rush and pay the easy way with Kmart layaway." They mark the first time many shoppers have even heard the phrase, even though the chain has offered the option for decades.

"In the backdrop of this economy, it all of a sudden has a great deal of relevance," said Tom Aiello, a spokesman for the Hoffman Estates-based subsidiary of Sears Holdings Corp.

Consumers won't be spooked this Halloween
A recent survey from NRF says that Halloween spending is actually up from last year (64.5% vs. 58.7%). "Consumers who have been anxious and uncertain for the past several months, may be looking at Halloween as an opportunity to forget the stresses of daily life and just have a little fun," says Tracy Mullin, NRF President and CEO.

So while things may seem a little scary from a retail perspective this Hallo's Eve - good things are happening and change is coming. Have a happy and safe Halloween!

Dana Harder
Marketing Director, tekservePOS

Are you scared? VeriFone Conference Update

2008-10-23T14:14:00.000-07:00

Almost a full day into the conference and a common theme seems to be emerging... if your not scared, you should be!

When VeriFone brings in the Secret Service to talk about the online security threat, you realize this is so much bigger than PCI compliance. Criminals are out there operating online at organized levels. Data is being taken and sold on websites like Carders Market. Yes, you can actually buy credit card numbers online. Check out this article to get the full picture “Cybercrime More lucrative Than Drug Trade.”

Based on a Verizon white paper titled "2008 Data Breach Investigations Report," Chris Novak gave us a bird's eye view of the threat that is out there. Probably most notable was the fact that 62% of breaches were due to errors meaning miscommunications, omissions, technical failures, etc., and 90% of all breaches could have been avoided with a comprehensive patch deployment strategy. Referred to as the “Lucky Season,” Novak suggests that this time of year is more lucrative for hackers because retailers stop touching the stores for the holiday season and patches are not always up to date.

Just in case your still not scared, Dave Faoro opens up the Unattended and Automated Fuel Pump Dispenser Payments sessions by saying it is extremely unhealthy to enter your pin number in at a gas pump. Matter of fact, Gartner Group says that “using a credit card at a gas station poses more of a risk for data theft than shopping online.” Why? People actually replace card readers with skimmers or place cameras on pin pads in order to steal the credit card data.

While today was eye opening for many reasons, I think what stands out the most is the need to change our thought process. We need to stop asking “How to we get PCI compliant?” and start asking “How do we get secure?”

Jeff Wakefield of VeriFone, summed it up best. “You goal should not be to get PCI Compliant. Your goal should be to secure your payment processes and hopefully you get complaint in the process.”

Dana Harder
Marketing Director, tekservePOS

IBM Hardware Withdrawl List: IBM 4694 POS selected features

2008-10-23T13:47:00.000-07:00

Effective October 24, 2008, IBM is withdrawing numerous features from the 4694 (See the attached list).

On or after the effective dates of withdrawal, you can no longer order these features directly from IBM. You can obtain the products on as-available basis through IBM Business Partners such as tekservePOS.

IBM NEWS RELEASE

Reggie Saghafi
Hardware Manager, tekservePOS

News from VeriFone Retail Payment Conference

2008-10-23T10:39:00.000-07:00

This week, tekservePOS is attending Verifone’s 4th Annual Retail Payment Conference in St. Pete Beach, Fl. In my mind, Verifone has, more or less, taken advantage of the “perfect storm” surrounding the payment terminal industry to emerge as the premier provider of payment terminals and payment terminal technologies.

The conference has three track’s : 1) Payment Security, 2) Emerging Technologies and 3) PCI Standards. I will be following and reporting back on Emerging Technologies. Thus far, we’ve heard from five general speakers ranging on topics from Mobile Payment trends, Contactless Payment adoption, Emerging Security Threats and from Bob Carr, President of Heartland Payment Systems on his personal “call to action” to the industry to unite up to the top 250 retailers with the goal of achieving a more comprehensive plan and approach to security.

Most compelling and of immediate attention in my mind is the rush that we are all seeing to convert from the single DES (DES) to the triple DES (TDES) encryption standard. While some don’t see a big reason to move from single DES, it HAS been compromised and thus, many or planning TDES conversions for 2009 and 2010. Shockingly, the government has only certified the TDES through 2010 with the advanced encryption standard (AES) being approved through the year 2030. This leads to the obvious question, “why are we solving our problems a few years at a time? Why aren’t we leapfrogging and planning for the AES encryption standard instead?"

John Pruban
President, tekservePOS

Searching for New Ways to Engage Customers

2008-10-22T10:56:00.001-07:00

As tekservePOS attempts to navigate this digital world, I am in awe at the creative and innovative applications designed to help people interact with each other, but more so with all the opportunities that exist for retailers to interact directly with the consumer in ways far different, and much more intimate, than in the store.

For example, Pizza Hut recently launched a new Facebook application that allows users to order a pizza without ever leaving the site (QSR Magazine). And Meijer introduced a new interactive widget, Mealbox, that offers discounts and specials tied to recipes that generates a shopping list based on your choices (Chain Store Age). While the end result of both applications is increased sales, the up front goal is to help consumers solve a problem and / or make life a little easier.

Currently, John Pruban and I are attending the 2008 Verifone Retail Payments Conference in Tampa in hopes to gather information that can help you solve some of your business challenges as it relates to PCI and payment security. And since we are in the same boat as you - trying to find new ways to interact and engage our customers -- I will be doing some live blogging direct from the conference. So check back over the next couple days for some "breaking news" or at most, some thought provoking content on a topic we can't seem to get off our minds.

Dana Harder

Marketing Director, tekservePOS