(video) How customer insights guides Kvik to better results
Norwegians are renovating more than ever and want a nice kitchen. Spending between 13,000 and 22,000 euros on a new kitchen is commonplace. Kitchen chain Kvik just turned 40 and is establishing itself in new cities and gaining market share.
– When a customer enters a store, it’s a competition. Unlike sports, there are no prizes for second and third place. There is only one winner, says franchise holder Ivar Kummervold.
In this blog post and video, Kvik Country Manager Are Bjøntegaard, franchise holder Ivar Kummervold and sales manager Linda Ockelmann share their experiences with Maze. This content covers:
- Why CX is cheaper long term than marketing
- How they turn dissatisfied customers into brand ambassadors
- Where they see the biggest room for improvement
The ambassador level (the percent of customers who are brand ambassadors) at Kvik is currently at 80 out of 100. It is high, but the Country Manager of Kvik, Are Bjøntegaard, is confident that it will increase.
– We always have room for improvement and reach even better customer satisfaction. We are early adopters of new technology and new ways to reach customers, he says.
With their home concept, Kvik can visit customers’ homes to design kitchens. And through video, they can meet customers remotely.
– Recruiting new customers is crucial for our business. We keep an eye on the Norwegian Customer Barometer, while Maze provides an ongoing measurement of the same parameters to check how we are doing, both in relation to competitors and the overall customer base, says Are Bjøntegaard.
Store manager Malin Sylte Bogstad and sales manager Linda Ockelmann in Kvik’s store in Sandefjord in Norway. Photo by Nils Vanebo.
Investments in CX is cheaper than mass marketing
Kvik measures all franchise stores on a weekly and monthly basis. Along with other key figures, the Maze result helps to build the base for discussions.
– The Maze score is an important KPI that guides us. When we consider extending franchise contracts, the Maze score can be decisive, Are Bjøntegaard explains.
That’s how important the ability to create positive customer experiences is.
– At Kvik, we think long-term. We have a long-term perspective in our presence, and good customer experiences are crucial. And investing in good customer experiences is cheaper than mass marketing in digital and analog media, says Are Bjøntegaard.
– In order for the customer to be satisfied with the end product, there are many phases we have to go through. We have to be skilled when we first meet the customer, when we inform them about the process. We are measured on the entire customer experience, says Ivar Kummervold.
He is a franchise holder for three Kvik stores: Larvik, Tønsberg, and Sandefjord.
– When a customer enters a store, it’s a competition. Unlike sports, there are no prizes for second and third place. There is only one winner. If the customers have the best customer experience in our store, we have come a long way, he says.
Are Bjøntegaard is the Country Manager for Kvik. Photo by Nils Vanebo.
Focusing on what can be improved
For ten years, Kvik has used Maze to utilize feedback from customers. They receive the feedback about 40 days after the kitchen as been delivered. The response rate is around 40 percent. It can range from a wholly positive experience to areas where Kvik can improve.
– When we receive a “red Maze”, it is disappointing both to me as the owner and for the salesperson. But it’s good that we know about it, because then we have the opportunity to turn the customer around, says Ivar Kummervold.
Linda Ockelmann is the sales manager for the three stores:
– We go through the feedback together with the salesperson, both the green, yellow, and red ones. If the customer is not satisfied, we want to find out why. Whether it concerns the installer, delivery, availability, or if we did a poor job in the store. The customer should leave the store with a smile, and should still be smiling when the kitchen is finished. We have to follow the customer from A to Z, she says.
Kvik focuses its efforts in the Maze app based on areas where they have the most potential for improvement. One such area is the period between kitchen sales and delivery.
– Our customer follow up was not good enough here. We had cases where the customer wasn’t ready to receive a new kitchen, and there were logistical issues between us, the customer, and the craftsmen. The Maze tool has helped us in this regard, says Ivar Kummervold.
Turning dissatisfied customers around
The source of dissatisfaction can come from various sources: subcontractors, products, and how the salesperson handled different situations and followed up along the way. Kvik reaches out to the dissatisfied customers (who get a red face in the app).
– We are happy to visit the customer at home, so we can look at the product and talk to the customer face-to-face, says Ivar Kummervold.
Often, discussing the issues helps. These initially upset customers can become ambassadors afterwards.
– Maze gives us a chance. Without the tool, we wouldn’t know. It’s much better if our ambassadors talk to their friends about us, than if dissatisfied customers do it, says Ivar Kummervold.
He explains that they value transparency and predictability. It should be in their DNA. Kvik’s salespeople are trained in how to present the store and the chain.
– After using Maze for ten years, we can’t do without it, says Ivar Kummervold.
Kvik relies on the franchise model of operation and has so far established 29 stores in Norway. They have a clear growth strategy and aim to reach 50 stores by 2025. Internationally, Kvik has 164 stores, with Denmark and Norway being the most important countries.
This text was originally written by Nils Vanebo and have been translated and edited by Maze.