Transcript Communication Characteristics of Global Brand*s Store Staff as a

Communication Characteristics of
Global Brand’s Store Staff as a key CRM tool, and
Local Customers’ Satisfaction and Intention to Repurchase:
A Case Study of UNIQLO Thailand
Papassara Chaiwong, Ph.D., Chulalongkorn University
Pohnpassorn Pokpermdee, Silpakorn University
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AGENDA
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Background
Literature Review
Methodology
Data Analysis
Results & Discussion
Implication & Conclusion
Communication Characteristics of
Global Brand’s Store Staff as a key CRM tool, and
Local Customers’ Satisfaction and Intention to Repurchase:
A Case Study of UNIQLO Thailand
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RESEARCHBACKGROUND
YOUNG CONSUMERS –
higher purchasing power and very keen on fashion.
KEY
Marketing
Strategy
STRONG & RAPID GROWTH of
FAST FASHION BUSINESS in ASEAN
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RESEARCHBACKGROUND
THAILAND: 30 stores
in BANGKOK alone: 19
stores
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RESEARCHBACKGROUND
International Business Strategy: Stores Managed by LOCALs, for LOCALs
http://www.uniqlo.com/us/storestaff/important/
STAFF as the STARS
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RESEARCHBACKGROUND
In effectively running stores worldwide,
the CRM implementation issues encompass
CULTURALFACTORS
rather than technical ones.
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RESEARCHOBJECTIVES
S
M+C
UNIQLO (Thailand) CRM Policy &
UNIQLO ‘s Store Staff’s
Strategy
Communication
Characteristics
R
UNIQLO Customer’s Satisfaction
&
Repurchase Intention
To investigate:
 policy and strategy of UNIQLO (Thailand) in training its
store staff to be main players in CRM
 communication characteristics of store staff that lead to customer satisfaction and
repurchase intention.
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LITERATUREREVIEW (1)
CRM and Interpersonal Communication
a business strategy that seamlessly
integrates
every aspect of business that touches
customer.
Ali and Alshawi (2004)
the overall process of building and
maintaining profitable customer
relationships by delivering superior
customer value and satisfaction
Kotler and Armstrong (2004, p. 16)
VERBAL and NONVERBAL communication
POSITIVE IMPRESSIONS and EXPERIENCES in EVERY
TOUCH POINT
4 Key Points of Concern in Managing
First Impression (Pondphan Shoeychitr, 2013):
create long-term customer
loyalty and higher profits
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
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Physical appearance
Spirit of Hospitality
Outward Personality
Inward Personality
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LITERATUREREVIEW (2)
Service Culture
(Pisit Pipatphokakul, online)
Management
Making
the promise
cultural expressions of a corporate
members’ shared values and shared
meaning reflected in both internal
(relationship between managementemployee, employee-employee) and
external (relationship between
corporate’s representatives and
customers or suppliers) interactions.
(Edvardsson & Enquist, 2002)
Enabling
the promise
Service
Culture
Training
Standard
(to internal customers)
(to external customers)
Delivering
the promise
Derived from: Zeithaml, V. A., Bitner, M. J., & Gremler, D. D. (2006).
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Services marketing: Integrating customer focus across the firm.
LITERATUREREVIEW (3)
Hofstede’s Dimensions of Culture
THA: Long-term, great respect for
traditions, yet, small propensity to save
for the future.
JAP: Long-term, high rate of investment
in R&D.
Individualism
-Collectivism
Short-Long
Term
Orientation
THA: High > Face-saving, maintaining
harmony values, avoiding the
unexpected
JAP: One of the most UA; seeking for
detailed facts and figures before
making decision.
High-Low
Uncertainty
Avoidance
Hofstede’s
Dimensions
of Culture
THA: Low Individualism
JAP: Collectivism
High-Low
Power
Distance
MasculinityFemininity
THA: High > hierarchy and status
orientation
JAP: High > hierarchy,
yet believing in concept of ‘being
born equal’ and ‘meritocratic’
THA: Lowest masculinity among Asian
countries.
JAP: One of the most masculine societies;
severe competition between groups; drive for
excellence
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RESEARCHQUESTIONS
S
M+C
UNIQLO (Thailand) CRM
UNIQLO ‘s Store Staff’s
Policy & Strategy
Communication
Characteristics
R
UNIQLO Customer’s Satisfaction
&
Repurchase Intention
1) What is UNIQLO’s CRM strategy in Thai society?
2) How does the Japanese management exploit Thai store staff as main player in CRM?
3) What are communication characteristics of the store staff, trained by Japanese Brand
Management, that leads to
Thai customers’ satisfaction and repurchase intention?
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RESEARCHMETHODOLOGY
5 stores across BKK were picked by geographical purposive sampling
method.
S
M+C
UNIQLO (Thailand) CRM
UNIQLO ‘s Store Staff’s
Policy & Strategy
Communication
Characteristics
In-depth interviews:
 UNIQLO’s management
 Expert in International Business
Communication
Non-participatory
Observation @ UNIQLO’s 5
branches across BKK
R
UNIQLO Customer’s Satisfaction
&
Repurchase Intention
200 questionnaires:
 UNIQLO’s repeat customers (shopping
@ uniqlo at least once a month, spending
of >1000 bht/month)
In-depth interviews
 20 voluntary respondents
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DATAANALYSIS
S
M+C
UNIQLO (Thailand) CRM
UNIQLO ‘s Store Staff’s
Policy & Strategy
Communication
Characteristics
R
UNIQLO Customer’s Satisfaction
&
Repurchase Intention
Descriptive Statistics:
Content Analysis
 frequency, distributions, percentages,
means and standard deviations
Inferential Statistics:
 difference between means of
independent groups:
T-Test, One-way ANOVA
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RESULTDEMOGRAPHIC.DATA
59% Female
Age:
 18 to 30 years old (75.5%)
 30 to 45 years old (18.5%)
Occupation:
 employees of private companies (51%)
 university students (28.5%)
 business owners (13.5%)
Monthly Income:
RFM:
 83% visited the store 1 to 2 times/month
 SPENDING: >1,000 to 3,000 baht/visit (48.0%); less
than 1,000 baht/visit (43.5%)
 5,000 to 15,000 baht (34.5%)
 > 15,000 – 25,000 baht (27.5%)
 > 45,000 baht (15.5%)
21.5% had ever visited UNIQLO shop
in Japan
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RESULTANDDISCUSSION#RQ1&2
DNA
Cleanliness
Communication Characteristics (Verbal and Non-verbal)
To keep every point of store area, including oneself, clean always.
Tidiness
To keep everything in order and pleasant to the eyes, dress properly.
Politeness
To communicate with courteous, respectful and considerate manners.
Energetic
To be enthusiastic, demonstrating by communicating with pleasantly loud and
clear voice.
To provide service by the appointed time, never be late.
Punctuality
Briskness
Hospitality
Teamwork
Correctness
Haki Haki - To express feeling of quickness, smartness and readiness to provide
service, demonstrating by standing straight and being ready to move.
To be friendly, express willingness to provide service with sincere smiley face, and
have communication empathy
To be able to coordinate and work in collaboration with other staff, both from the
same and different store, to supportively respond to the customer’s requirement.
To give accurate information relating to product and service to the customers in
every contact point/process; and do the best to avoid mistakes in
communication/actions.
 Formal Training
 Daily Meeting
 Staff Handbook
 Personal Mentoring
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RESULTANDDISCUSSION#RQ1&2
Nine UNIQLO’s DNAs, initiated by the parent company in Japan, were
saturated and imparted via their systematic training programs to ensure that the Thai staff could
effectively communicate and build relationship with local customers to create positive moment of truth in every touch point (i.e. admission, sale area, fitting
room and cashier), and eventually lead them to become loyal customers.
Some specific DNAs in Japanese culture, i.e. Briskness (Haki Haki) or feeling of quickness, smartness and readiness
demonstrated through manners of standing strait, stretching chest and being ready to move, could not be fully imparted, so that it could not be clearly seen
in communication characteristics of the staff; whereas, DNAs of Hospitality and Politeness were obviously expressed.
‘SERVICE CULTURE TRIANGLE’
Management . Training . Standard
SHARED Cultural Characteristics
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RESULTANDDISCUSSION#3
1.00 – 1.80 = strongly dissatisfy; >1.80 – 2.60 = dissatisfy;
> 2.60 -3.40 = neither satisfy nor dissatisfy ; > 3.40 – 4.20= satisfy ; > 4.20-5.00 = strongly satisfy
#
3
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UNIQLO’s DNA and
its reflected Communication Characteristics
POLITENESS
3.1 Staff used polite language with tone of voice ‘ka/krub’.
3.2 Staff communicated with proper tonality while providing service.
HOSPITALITY
7.1 Staff were friendly and had sincere smiley face.
7.4 Staff attentively listened to your problem with supportive facial expression.
CORRECTNESS
9.5 Staff were able to give advice on how to choose clothes that suited you.
Level of Satisfaction*
(n=200)
Rank
4.34
4.31
0.69
0.71
1*
2*
4.31
3.97
0.73
0.78
3*
21*
3.69
0.78
22*
THAI Cultural Characteristics
SATISFACTION
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RESULTANDDISCUSSION#3
Test for differences between means from separate
groups of subjects:
Statistically different at significance level of 0.05:
 sex (female > male)
 age group (18 to 30 years old > 45 to 60 years old)
 range of income (lower income > higher income)
THAI Cultural
Characteristics
SATISFACTION
whereas, mean scores of satisfaction rated by customers who
had ever and had never visited UNIQLO’s shop in Japan were
not statistically different.
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RESULTANDDISCUSSION#4
1.00 – 1.80 = strongly dissatisfy; >1.80 – 2.60 = dissatisfy;
> 2.60 -3.40 = neither satisfy nor dissatisfy ; > 3.40 – 4.20= satisfy ; > 4.20-5.00 = strongly satisfy
#
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2
3
4
5
6
Factors affected
Repurchase Intention
Product
Place (location)
Promotion (sales promotion)
People (store staff)
Price
Process (Product Arrangement)
7 Physical Evidence (e.g. ambience, decoration, signage)
REPURCHASE INTENTION
Level of Agreement*
(n=200)
Rank
4.24
4.21
3.99
3.96
3.95
3.93
0.65
0.63
0.75
0.68
0.70
0.72
1
2
3
4
5
6
3.93
0.75
7
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RESULTANDDISCUSSION#3
1.00 – 1.80 = strongly dissatisfy; >1.80 – 2.60 = dissatisfy;
> 2.60 -3.40 = neither satisfy nor dissatisfy ; > 3.40 – 4.20= satisfy ; > 4.20-5.00 = strongly satisfy
#
1
Level of Agreement*
(n=200)
Factors affected
Repurchase Intention
Rank
6
Staff had spirit of hospitality, giving you warm welcome and sincere smiley face.
Staff politely and gently communicated with you.
Staff expressed feeling of enthusiasm and quickness while providing service
Staff effectively coordinated with one another in service delivery.
Staff had good product knowledge and were able to provide accurate information.
Overall: Staff had good personality.
4.20
4.20
4.16
4.06
4.04
4.03
0.73
0.78
0.81
0.78
0.77
0.68
1
2
3
5
6
7
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Overall: Staff made your shopping experience at UNIQLO awesome.
4.11
0.77
4
2
3
4
5
THAI Cultural Characteristics
REPURCHASE INTENTION
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IMPLICATIONANDCONCLUSION
 Cultural SIMILARITY & SPECIFICITY
 GAP between Japanese management and Thai staff.
 To catch the UNIQLO’s DNAs, good demonstration and examples from
the management were consistently needed.
 To empower local staff to effectively connect with local customers, the
management should develop healthy relationship >> not too stressful with
them. The more the staff feel sense of belonging, the more they will be with
the company and are willing to be trained to become effective brand representatives.
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Communication Characteristics of
Global Brand’s Store Staff as a key CRM tool, and
Local Customers’ Satisfaction and Intention to Repurchase:
A Case Study of UNIQLO Thailand
Papassara Chaiwong, Ph.D., Chulalongkorn University
Pohnpassorn Pokpermdee, Silpakorn University
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