Automated Service Kiosk

1
Automated Service Kiosk

• Milestones
• CS 410
• Fall 2005
• Presented by
• Mylène Cover
• 16 November 2005

2
Team Organization
Janet Brunelle General Manager
Mylène Cover Project Manager
Enrique Polanco Research and Marketing
Jared Miller Finance Web Master
Keegan Morrison Hardware Specialist Web Master
Scott Washburn SBIR Specialist Software Specialist
3
Outline

• Problem Solution
• Phases
• Milestones Deliverables
• Budget
• Management Structure
• Staffing
• Design Plans
• Required Hard Resources

4
Societal Problem Defined

• Poor customer service is a cause for low customer
  retention.

5
Shopping Experience
6
Did you know?

• Poor customer service is on the top ten list of
  reasons why businesses fail.
• - Center for Entrepreneurship

Belmont University Center for Entrepeneurship
09/22/2005 http//forum.belmont.edu/cornwall/arch
ives/003452.html
7
Why do customers leave?
CRMGURU.com http//www.rightnow.com/resource/RN_L
oyaltyCRMGuru.html
8
Customer Facts
ITESGrads http//www.bpoindia.org/research/custom
er-retention.shtml 2004 Customer Service Survey
Results http//www.amdocs.com/documents/survey-re
sults.html
9
Problem Characteristics

• Customers unaware of all of their options
• Customers leave when they cannot find items
• Rearranged/sale item location
• Confusion
• Lack of information
• Not all associates are domain experts
• Associates difficult to find quickly
• Product availability

10
Keep your customers!

• Repeat customers spend 33 more than new
  customers
• It costs 6 more to sell to a prospective
  customer than to an existing customer
• Referrals among repeat customers are 107 greater
  than new customers
• Customers are 50 more likely to be influenced by
  word-of-mouth as opposed to ads

Strategiy.com http//www.strategiy.com/feature.as
p?id20051003030433
Stylus Systems, Inc. http//www.outsource2india.
com/services/customer_interaction_services.asp
11
Proposed Solution Defined/Goal

• Provide an in-store customer service terminal
  that will serve as an alternative source of
  knowledge and help for consumers.

12
Solution Characteristics

• Display all available items at specific store
• Notify of stock availability
• Produce a map of inventory general location
• Compare products
• Explain key terms/in depth or quick overview of
  product description
• Analyze queries and hits/misses
• Notify of sales/availability of coupons
• Give customers an outlet for voicing in-store
  experiences

13
A.S.K. System
14
Technical Components

• Touch screen monitor
• ASK software
• Thin clients
• Inventory database interface
• Internal database
• Network connection
• Server

15
Scope
16
A.S.K. Database Overview
ASK Database Integration Software
ASK Interface Software
Store Inventory Database
ASK MySQL Database
ASK KIOSK
Predictive Analysis Database
Inventory Database
Product Name UPC Code Specifications Price Availab
ility Location Coupons
17
A.S.K. will not

• Replace associates
• Collect personal information from the shopper
• Act as a point-of-sale device
• Have autonomous inventory updates

18
Project Objectives

• Design a friendly customer interface
• Produce interface with inventory database
• Design and organize queries to databases for
  product comparisons and search analyses
• Create ability to notify customer of
  sales/coupons

19
Pros

• 15 to 20 average increase in sales
• Improve customer experience
• Help is there when needed
• Provide efficient help alternative
• Decreased wait time
• Improved response time
• Immediate gratification
• Better inform customers of products available
• Analyze the inquiry process
• Keep customers, increase sales, succeed! 
• Increased customer satisfaction increased sales

Kiosk Market Sales http//www.kioskmarketplace.co
m/news_story.htm?i22182 Inter-media Kiosks
http//www.intermediakiosks.com/news/03-09-26_pre
ssrelease.html
20
Cons

• Complexity of administration and maintenance
• Customer reluctance
• Associates might feel replaced

21
Ideal Customer

• Store that
• Is highly profitable
• Products available
• High-end products
• Products that require explanations/help during
  purchase
• Has a large customer base
• Has a problem with customer service

22
Market Share Comparison
469
173
70.9
23
Best Buy Customer Service

• Rating on resellerrating.com
• 2.04/10
• Customer Testimonials
• Their customer service policy is a joke.
• The management treated me as if I was a common
  criminal and made me pay a 15 restock fee even
  though I was exchanging an item for something
  else. I returned every thing I purchased with the
  order and canceled my best buy credit card.

Reseller Rating http//www.resellerratings.com/se
ller1823.html
24
Marketing Plan

• Primary Target Market
• BestBuy
• Why Best Buy?
• Many stores
• 21 in Virginia
• 830 US Canada
• 109,000 employees
• 469 million 2004 Yearly Income
• Poor customer service

25
Marketing Plan

• Best Buys Vision Statement
• Best Buy meets its customers at the intersection
  of technology and life.
• Best Buys Mission Statement
• We improve peoples lives by making technology
  and entertainment products affordable and easy to
  use.

26
Kiosk Sales Increase

• Average of 15 - 20 increase in sales from
  customer-operated kiosks

93.80
70.04
Projected Increase in Sales (In Millions)
27
Best Buy ROI
28
Competition Matrix
29
Customer-Operated Kiosk Market Data
JBS Interactive http//www.jbsinteractive.com/opp
ortunities.html
30
Process Flow
Customer Shopping for Camera
Help is limited due to poor service
Customer Approaches A.S.K.
Main Menu
Compare
Locate
Find Discount
Customer Compares two cameras
A.S.K. Informs Customer
31
GUI View
32
GUI View Product Specifications
33
GUI View Product Comparison
34
Estimated Hardware Cost Per Unit
Dell.com http//www.dell.com 3Com
http//www.3com.com/
35
Monetary FeasibilityCost per Unit to Customer
Cost 50,000 1,500 per additional terminal
Terminals (5)
Server
Networking Components
Software
36
Phase 0 Conception ODU Semester 1 (CS 410)
37
Phase 0 Conception ODU Semester 1 (CS 410)

• Deliverables
• Feasibility Presentation
• Milestone Presentation
• Final Presentation
• SBIR Grant Proposal
• Project Website

38
Phase 0 Conception ODU Semester 1 (CS 410)
Management Structure
Janet Brunelle General Manager
Mylène Cover Project Manager
Enrique Polanco Research and Marketing
Jared Miller Hardware Specialist Finance
Keegan Morrison Web Master
Scott Washburn SBIR Specialist Software Specialist
Dr. Larry Filer ODU Business Department Marketing
Expert
Professor Dennis Ray CS Department Old Dominion
University
39
Phase 1 Proof of Concept ODU Semester 2 (CS 411)
40
Phase 1 Proof of Concept ODU Semester 2 (CS 411)

• Deliverables
• Assemble Team
• Papers
• Creative Writing Paper
• Descriptive Writing Paper
• Technical Supports Paper
• Budget White Paper
• User Manual
• Prototype Design
• Market Research
• Project Website
• Lab Prototype
• SBIR Proposal (Phase II)

41
Phase 1 Proof of Concept ODU Semester 2 (CS 411)
Management Structure
Janet Brunelle General Manager 1
Mylène Cover Project Manager
Enrique Polanco Software Engineer Research
Marketing
Jared Miller GUI Programmer Hardware/Finance
Specialist
Keegan Morrison Software Engineer Web Master
Scott Washburn Database Specialist Software/SBIR
Specialist
Senior Software Engineer
42
Phase 1 Proof of ConceptODU Semester 2 (CS 411)
Budget Project Staffing Requirements
Salary.com http//www.salary.com
43
Phase 1 Proof of ConceptODU Semester 2 (CS 411)
Budget Required Hard Resources
44
Phase 2 Critical Design
45
Phase 2 Critical Design

• Deliverables
• Product Design Specifications
• Management Plan
• Personnel Plan
• Testing Evaluation Plan
• Working Product Model
• Software
• Integration of Hardware
• Marketing Plan Contract

46
Phase 2 Critical Design
Management Structure
Janet Brunelle General Manager
Mylène Cover Project Manager
Enrique Polanco Software Engineer
Jared Miller GUI Programmer
Keegan Morrison Software Engineer
Scott Washburn Database Specialist
Senior Software Engineer
Technical Writer X 2
Quality Assurance Manager
Software Engineer X 2
Marketing Manager
GUI Programmer
47
Phase 2 Critical Design
Budget Project Staffing Requirements
Salary.com http//www.salary.com
48
Phase 2 Critical Design
Budget Required Hard Resources
49
Phase 3 Production Out Years
50
Phase 3 Production Out Years

• Deliverables
• Maintenance
• Customer Service
• Patches/Updates
• Newer Versions

51
Phase 3 Production Out Years
Management Structure
Janet Brunelle General Manager
Mylène Cover Project Manager
Enrique Polanco Software Engineer
Jared Miller GUI Programmer
Keegan Morrison Software Engineer
Scott Washburn Database Specialist
Senior Software Engineer
Technical Writer
Quality Assurance Manager
Marketing Manager
52
Phase 3 Production Out Years
Budget Project Staffing Requirements
Salary.com http//www.salary.com
53
Phase 3 Production Out Years

• Budget Required Hard Resources
• Maintenance/Service
• Outsourced
• Sub-contracted
• Workstations for developers (patches/updates/new
  versions)
• Re-used from prior phases

54
Milestones Recap
55
Budget Recap
56
A.S.K. Break-Even Analysis
57
Funding Plan

• SBIR Funding Agency Department of Commerce
• CIT Assistance
• SBIR Funding Agency Department of Commerce
• Phase 1 100,000
• Phase 2 750,000
• STTR
• Phase 1 30,000
• Phase 2 500,000
• Small Business Loan (Phase 3)
• Preliminary Contract from Best Buy / Other
  Customer

58
Management Plan
59
Risks
Likelihood
Consequence
60
Risk Management Plan

• Major Risk Database availability/integration
• Mitigation Effective interface provision of
  alternate database if needed
• Major Risk Real-time lookup speed
• Mitigation Increased bandwidth, tuned database
• Major Risk Server load
• Mitigation Backup server

61
Evaluation Plan

• Design Reviews
• All plans evaluated and updated during each sub
  phase and at the end of each of the production
  phases.
• Past review used in initiation phase review to
  correct mistakes
• Quality Reviews
• Evaluate manner in which tasks are completed by
  team members
• Evaluate deliverables at every stage
• Ensure documentation is being created
• Testing
• Testing at every phase
• Testing of integration phases
• Testing of overall product
• Customer Satisfaction Evaluation

62
Evaluation PlanPhase 1 Only

• Improved customer satisfaction will be the
  measure of success
• Software Testing
• Software team will use CMMI
• Usability testing
• Performed by team whenever new features are
  implemented
• In-store trials and polls
• 75 of those polled must react positively to the
  product
• Analysis of usage could evince problems
• Performed after product passes in-house testing
• Testing Risks
• The in-store trials and polls could agitate
  customers
• Participation should clearly be optional

63
Forum/Expert Feedback

• Of 550 people surveyed, 85 would go to a store
  if a A.S.K. was available
• Managers at Radio Shack, Best Buy, and Office Max
  expressed interest in a product that would
  provide the functionality of A.S.K.

64
Happy Shopper Profit for Store
65
Conclusion

• Poor customer service is a problem
• A.S.K. will
• Improve customers in-store experience
• Help the store better meet customer needs

66
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67
Backup 1 Reasons Businesses Fail
10. Over-expansion. The need to get there first
or to demonstrate revenue growth to anxious
investors leads businesses to grow too fast. 9.
Poor Capital Structure. Companies take on too
much debt Enough said! 8. Failure to Control the
Controllable Costs. Businesses spend down the
initial cash before it is flowing in at a
positive rate. 7. Failure to Prepare for
Volatility of Uncontrollable Costs. For example,
energy, materials, labor, or insurance. 6. Add
New Products or Divisions that Drag Down the
Profitable Ones 5. Poor Internal Controls and
Execution customer service, accounting
controls, theft, fraud 4. Poorly Designed
Business Model 3. Reliance on Critical Financing
that Dries Up 2. Failure to Adapt to a Changing
Market AND THE 1 REASON? Management in Complete
Denial
Belmont University Center for Entrepreneurship
09/22/2005 http//forum.belmont.edu/cornwall/arch
ives/003452.html
68
Backup 2 Kiosk Acceptance
JBS Interactive http//www.jbsinteractive.com/opp
ortunities.html
69
Backup 3Competition Matrix Available to
Associates
70
Backup 4Forum Results

• Would you use A.S.K.?
• 85 of respondents (n 550) said YES
• Respondent Testimonials
•  You could change the way stores work forever
  with an idea like this. It's awesome.
• I think the best part is the item location in
  the store. I've had countless times when I went
  into a best buy or circuit city already knowing
  exactly what I wanted, but then had to spend like
  30 minutes finding it. The sales reps are
  sometimes helpful with this, but you can't expect
  them to know the exact location of everything,
  and this method would be much quicker and not
  waste a sales rep's time.