CFA supplier member Greg Nisbet of RadioMogul provides insight into implementing store technology across a network of locations, including common problem areas, set-up tips, and differences in store technology standards

BY GREG NISBET, RADIOMOGUL

“Technology is an important part of our growth strategy. We’re focused on making the customer experience more convenient, personalized, and enjoyable through the use of innovative technologies.”

This quote is from Chris Kempczinski, CEO of McDonald’s, but most franchisors know that from the moment a guest enters the retail environment, they should feel welcome and comfortable and have a clear path to making the most of their experience. Technology should facilitate that.

Every multi-location business has ideas on how to accomplish this, and they get pitched constantly, but those ideas must be prioritized based on what is smart and within the budget. Easier said than done.

I’ve gathered some thoughts on implementing store technology across a network of locations, including common problem areas, set-up tips, and differences in store technology standards.

Let’s start with general tech stack fundamentals. For simplicity, I’ll just include hardware that exists in each location while avoiding cloud-based or POS-integrated centralized services like inventory management, staff scheduling software, payroll systems, loyalty programs, or digital marketing/CMS platforms.

First tip: avoid picking the lowest common denominator, as it will affect innovation and productivity. Your best bet is usually to plan for multiple tiers in a tech stack profile across locations. Spend a little extra on better quality for flagship locations, and back that into a standard for the others, where you don’t need as much innovation, but still want stability and security.

When weighing vendors, a site survey by any prospective tech vendor is always a good idea. When that is not possible, there should at least be a checklist for connectivity requirements. Most importantly, before any decisions are finalized, test, test, and test again. Ongoing in-store tech stack services (with standard monthly fee ranges) could include:

• PCI-compliant POS system: $50 to $100
• Digital signage/menu boards: $40 to $80 per screen
• Security system: $40 to $90
• In-store radio: $35 to $55

Once the vendor is selected, plan hardware placement and cabling carefully, as the tech stack will often be spread throughout the premises.

On the audio hardware side, speaker placement is as important as speaker quality—make sure it can’t interfere with ordering or operations.

Look for services and hardware with downtime functionality or backup capabilities right in the product and service design, for when there are network connection issues.

To that end, when considering tech set-up, too many franchisors forget the core piece of technology in every location that dictates how well everything will work—the network. A managed IT service can carry similar costs as the services listed above, so many franchise systems opt to do this themselves, which almost always ends up costing more in the long run.

If you do insist on doing it yourself, here are a few key best practices:

• You will always need more ports. Either ensure you have great, secure Wi-Fi, or buy routers/switches with way more ports than you think you’ll need. This will also help guard against obsolescence.
• Have a private/public network mix. A system like POS has a private non-network connection, but you also need public Internet access for some other technology or applications.
• If you have more than one router and no IT provider, at least pay someone to configure your routers to
  avoid “double natting” (look it up).

Once your network is sorted, here are some general tips to keep your tech running well:

• Ensure regular software and firmware updates.
• Don’t let tech issues go unresolved, as they will
  always get worse.
• Ensure reliable power supply. We’ve seen hardware
  fried multiple times.
• Don’t be afraid to ask for support.
• Avoid having “technophobes” deal with support. Designate someone at each location as the “tech guru.”
• When dealing with support, take photos or videos.
• Implement some kind of system post-installation to
  enforce or at least monitor compliance.

With all those guests passing through, any discussion of implementation of in-store tech should consider the collection and analysis of data. Systems such as POS, loyalty programs, kiosk systems, delivery services, digital signage, and yes, even in-store radio technology all have the capability of collecting, storing, and analyzing data.

Guest privacy must of course be paramount in all considerations of data collection. We see data used in store environments for:

• Tracking customer preferences;
• Optimizing menu items (in restaurants);
• Managing inventory more efficiently; and
• Targeting marketing efforts.

In summary, with a little planning and some key best practices, your in-store technology can function smoothly and contribute to the effective operation, and growth, of your business.

ABOUT THE AUTHOR
Greg Nisbet runs RadioMogul, a CFA supplier member providing in-store radio and guest analytics to multi-location restaurants, retail, salons, and clinics. He has used technology extensively in multiple entrepreneurial ventures, implementing it and educating on its business benefits since the earliest days of the Internet. To learn more, visit RadioMogul.com.