Case Study: Petco earning customer loyalty

Case Study: Petco

https://www.incentivemag.com/Strategy/Motivation-Masters/Award-Winning-Employee-Recognition-Petco-MotivAction/

Pet store Petco understands that earning customer loyalty is the most critical factor in its long-term success. Petco believes that great managers create an engaged workforce, and that highly engaged associates provide the great customer service that leads to customer loyalty. Petco’s Engagement Profit Chain links engagement at four levels:

1. Effective leadership: creating an environment of continuous improvement, teamwork, learning, fun, and results

2. Associate engagement: great people doing great things

3. Customer engagement: keep them coming back for more

4. Operating profit growth: fuel future investment to grow

Petco’s commitment to employee engagement begins with regular surveys that allow employees to evaluate how the company is doing in aligning its goals with the level of commitment and engagement of associates. Programs and activities including employee recognition and an employee suggestion program called “Got an Idea?” help foster a culture in which all employees feel more connected to Petco’s mission and goals.

Petco focuses on connecting managers to the big picture and strategic direction of Petco to help them make better choices and positively impact business results. By helping front-line employees link the customer to the company, every employee understands the important part they play in the workflow process. Managers are also empowered to make people management their top priority. Enhancing managers’ skills at informal, in-the-moment coaching helps make every employee interaction a potential coaching moment that can enhance employee competencies and performance.

By clarifying employee goals and account-ability, Petco enhances its supply of talented managers at the front line of the business. Managers are more confident, associates are more engaged, and Petco’s customer satisfaction scores are strong across the board.

-Answer the questions on the slide below

-Do some research on each of the programs mentioned in this article and provide some insight into each of them

-Expand on some of their engagement ideas and come up with practical examples of how they may be doing this in their every day practice (ex: what are some practical examples of how they may enhance their managers’ skills at “informal, in-the-moment coaching”)?