Kiosk Success Factor #1

In this series of blogs, I will describe the critical success factors that make or break a kiosk system - the things that determine whether the kiosks make (or save) money, or whether they are just a waste of space. For each characteristic, I will give examples of live kiosk systems from Neo’s portfolio and beyond that have got it right.

The first, and probably most important, factor is Utility. Kiosks must be immediately useful, helpful or rewarding to their users. This may seem obvious, but the number of nicely designed kiosks out there with very low usage suggests that many kiosk owners have got this wrong.

Utility: the quality of being of practical use

A kiosk must deliver benefits to the user that are immediately obvious. That person will pause for only a few seconds to decide whether to use the kiosk or to do what comes more naturally to them - i.e. to seek assistance from another human being. Of course, you could force them to use the kiosk by removing the alternatives, but that is a bold strategy. The positioning of kiosks and adding signage to them in order to attract attention are also vital, but I shall deal with that in a later blog.

The list of useful things that kiosk systems can be designed to do for your customers is long and growing ever longer. For example: they are excellent for giving way-finding information; they can process straightforward transactions quickly; they can allow people to bypass queues; they can help customers find your products, do price comparisons and order items that are out of stock; they can enable people to help themselves to services that were previously mediated by your staff. I could go on. The key is to think first about what the kiosk does for your customer. Save thinking about how your enterprise can benefit until you’ve cracked that one. You won’t make sales, or save staff time, or give a better service through kiosks that your customers choose not to use.

One of the best examples of kiosk utility is at the stores of UK catalogue retailer: Argos. When I went into my local Argos store last year to buy Christmas presents it was very busy. I faced a clear choice. To my right was a long queue to order and pay for items at a checkout. To my left was a bank of kiosks (some being used and some not) offering the same function on a self-service basis. It was a 'no brainer'! In fact I went there because I hate Christmas shopping and I wanted the process to be quick and easy.

Another example is at the UK music, video and games retailer HMV. I don’t know if you’ve ever experienced this but the moment I walk into a music store I immediately forget the long list of music that I’ve been meaning to buy. I don’t have to worry about this at HMV because they have installed kiosks from Neo that allow customers to search a database of all their products in helpful ways. The kiosk plays you a sample on headphones, tells you whether it’s in stock and, in some stores, allows you to order the item for home delivery or download.

Both of these systems have utility. Users customers don't have to use them - there is an alternative - but the advantage they gain makes them want to do so.

HMV Rollout Kiosks from Neo

HMV, the UK and Ireland’s leading specialist retailer of music, DVD/video, computer games and related products, has introduced self-service kiosks into its stores to improve the overall customer experience in a deal with YESpay, a global payments services company, and its partner NeoProducts.

Customers will be able to use the kiosks to locate stock, view sample clips as well as ordering content for home delivery. They can also download MP3 tracks for immediate take away on a media or a storage device. YESpay’s EMBOSS Chip & PIN payment service integrates with the self-service kiosks, enabling faster, easier and more secure payments.

Following a successful trial, the retailer will rollout transactional kiosks throughout its entire store network.

Dave Elston, Ecommerce Manager at HMV, said: "The technology accepts all UK credit and debit cards, allowing prompt payment and delivery of goods securely. With customer demands increasing and people wanting to buy music in new ways it’s important to ensure that with new shopping methods, payments are met securely."

"This technology will allow us to offer customers a means of ordering and paying for products that were either not available in store or by offering easy payment for audio downloads. Eventually the aim is to roll-out further to all stores, gradually increasing the quantity of kiosks in any given store. We saw over 27,000 product searches conducted over the Christmas period, which we believe have contributed towards physical product sales in stores."

Stuart Kitching, Account Manager at YESpay International, commented: "Our work with HMV is a perfect example of how electronic payments can be exploited to interact and engage with customers in new ways. These kiosks are also an innovative way of allowing customers to listen to music before they choose to make a purchase."

Carey Liddy, Project Manager at NeoProducts, added: "Self-service kiosks present an opportunity for retailers to engage with potential and existing customers differently in a way that can ultimately improve a retailer’s long term performance."