Competitor Airport Review & Customer Service Training Premium Value Concession Program June 24, 2014 Robb Brown / Rob McDaniel Metrix Advisors, LLC 303.641.3443 rob@metrixadvisors.com
Agenda 1. Competitor Airports Review 2. Reporting Updates 3. Training Program 4. Open Discussion / Q&A DIA Premium Value Concessions Program 2
Competitor Airports Timeline Five competitor airports selected by DIA management shall be surveyed every 18 months by secret shoppers using the jointly approved customer service evaluation form. Date Milestone Status 8/1/2012 PVC Program Start Date (PSD) Complete Q1 13 Competitor Airport Selection Complete Q2 13 Competitor Airport Outreach Complete Q3 13 Finalize Competitor Airport Participation Complete Q4 13 Complete Initial Competitor Airport Mystery Shops & Scoring Complete DIA Premium Value Concessions Program 3
Competitor Airports Selection Criteria 1. Best in Class Customer Service Utilizing CSE industry expertise, we identified airports that are known to value and invest in providing superior customer service. 2. Management Perspective Per Rule 45 DIA Management is the decision maker for competitor airport selection. Accordingly, feedback was solicited from CCO and CFO. 3. Industry Operating Metrics Utilizing widely available operating metrics we developed a competitive analysis to quantitatively identify those airports most comparable to DIA. 4. Develop Competitor Ranking The resulting lists from selection criteria 1 3 were compiled into an aggregate ranking and submitted to DIA for final approval DIA Premium Value Concessions Program 4
Competitor Airports DIA Scoring 2014 Minor Merchandise Category Jan 14 Feb 14 Mar 14 Apr 14 AVG Quick Serve 83% 83% 100% 100% 92% Quick Serve w/alcohol 83% 100% 83% 67% 83% Bar 75% 100% 50% 100% 81% Food Court 64% 91% 91% 36% 70% Casual Dining 73% 47% 53% 73% 62% Snack 70% 40% 50% 70% 58% Specialty Retail 54% 68% 57% 36% 54% Specialty Coffee 29% 43% 71% 57% 50% Newsstand 40% 53% 33% 13% 35% AVG All Categories 63% 69% 65% 61% 65% % of DIA Concessions scoring External Customer Service points by month DIA Premium Value Concessions Program 5
Competitor Airports DIA Performance Minor Merchandise Category DIA BWI DFW IAH MSP SFO Bar 91% 72% 87% 86% n/a 83% Casual Dining 93% 91% 95% 91% 91% 93% Food Court 94% 95% 92% 93% 91% 94% Newsstand 89% 87% 90% 95% 91% 89% Quick Serve 96% 97% 91% 95% 94% 99% Quick Serve w/alcohol 97% 92% 94% 95% 91% 95% Snack 95% n/a 91% 94% 98% 97% Specialty Coffee 94% 91% 95% 92% 92% 94% Specialty Retail 87% 90% 93% 94% 94% 94% AVG All Categories 93% 89% 92% 93% 93% 93% Average scores by minor merchandise category by month DIA Premium Value Concessions Program 6
Reporting Update Mock Scoring Report added in May Concessionaire request Unofficial point in time scoring for prior 36 months Scores will change for official benefit determinations Intent is to provide scoring guidance at least once per quarter Next Official scorecard issued mid Summer 2014 http://business.flydenver.com/bizops/documents/premiumvalue/pvcscoring2014 q1.pdf Monthly Thousand Allocated Enplaning Passenger (KAEP) Report Concessionaire request Passenger allocation by merchant zone by month One report per concourse Reports data utilized since August 2009 DIA Premium Value Concessions Program 7
PVC Training Program Overview PVC Rule 5.07.06 Training Program Scoring Concessions that send at least 50% of the Concession s total employees or 80% of their customer facing employees in a calendar year receive a 15% increase to their monthly customer service score for that year. This score will be assessed after the end of the calendar year. Concessions shall submit a list of employees hired during the year including: employee name, position, badge number, and indicate whether or not such employee is customer facing within 60 days. The TPA shall check against applicable security records and other information to validate the information submitted. If the training score for the year may not have been determined at the time final scoring for the PVC Candidate is calculated, there will be no partial year training increase for the PVC Candidate or members of its Scoring Pool. DIA Premium Value Concessions Program 8
PVC Training Program Scoring Framework 1. Training participants will register for training classes using CSE registration system (more later on this) 2. Badge number, primary concession, name, employer will be recorded/validated at class sign in 3. Metrix will provide participation report and total badge report to concessionaires approximately quarterly 4. Concessionaires required to return list to TPA within 60 days including status (customer facing, etc.) 5. 80/50 will apply to all badges issued over calendar year DIA Premium Value Concessions Program 9
PVC Training Program Pending Issues 1. Employees working at multiple locations 2. Employees switching employers 3. Others?? ** Final methodology will be approved, implemented and published by 12/31/14 ** DIA Premium Value Concessions Program 10
PVC PROGRAM TRAINING INITIATIVE Denver International Airport www.customerserviceexperts.com 2901 Riva Trace Parkway, Suite 100 Annapolis, MD 21401 888.770.7625
Training Program Overview YOU MAY BE WONDERING: What is CSE s experience creating and implementing training programs in airports? How will the content be designed? What type of training components will be included? How will it support and align with PVC?
Partners IF YOU HAVE PEOPLE, WE CAN HELP! Airport Concessions Restaurant & Retail Destination & Recreation Financial Services Higher Education Government & Non-Profit
Instructional Design PVC PROGRAM APPROACH Mystery shop form standards Alignment with PVC Needs analysis: Program results Category trending Tenant feedback
Program Components 1. COMMUNICATION & DEVELOPMENT Service Vision alignment Communication Campaign
Program Components 2. TRAINING Global Management Frontline/Specialty
Training Content Specifics GLOBAL EDUCATION http://prezi.com/cdpcxw2r_hid/?utm_campaig n=share&utm_medium=copy&rc=ex0share
Training Content Specifics MANAGEMENT EDUCATION Duration 90 minutes Sample Content: Coaching & Accountability Leading Service Recovery Morale and Motivating Directing and Delegating
Training Content Specifics MANAGEMENT COACHING SESSION Impact Maps Outcomes: Learning retention Accountability Management engagement
Suggestive Selling Impact Map Our Service Purpose: 1. Goal 2. Goal Action Impact Action Impact
Training Content Specifics FRONT LINE EDUCATION Duration 60 minutes Sample Content: Engaging Customers Maximizing Sales Information Gathering & Product Knowledge Speed of Service & Efficiency
Program Components 3. SUPPORT & SUSTAIN Round Table Sessions: Category specific mgmt sessions to review trends, best practices, opportunities for development Ongoing Communication
Activity Calendar QUARTERLY ACTIVITY Month 1 Month 2 Month 3 8 Global Sessions Communication 2 Management Sessions 6 Global Sessions Manager Round Tables 4 Global Sessions 4 Specialty Sessions
Minimum Requirements Minimum requirements: *Every operator must send 80% of their front line staff to this session. Offering 48 times through the course of the year would equate to 30 employees per session (ideal number) if every store was 100% compliant (100 locations x average # of front line staff = 1,800 x 80% rule = 1,440 potential employees). Minimum requirements: *Each operator must send managers to the CSE management coaching session. Minimum requirements: *Every operator must send 80% of their front line staff to one specialized session over the course of the year.
RSVP Process FIRST SESSIONS SCHEDULED JULY 15 TH 17 TH CSE will send announcements to existing PVC contact list Registration will be open from July 1 st thru July 14 th RSVP via email with CSE s project manager Participants can be scanned in to class or manually check in Participants who have not previously registered can do so on site assuming the class isn t full.
THANK YOU! www.customerserviceexperts.com 2901 Riva Trace Parkway, Suite 100 Annapolis, MD 21401 888.770.7625