Crest Foods: An NCR SelfServ Checkout Case Study

The customer

Founded in 1964, Oklahoma-based Crest Foods currently operates six stores: two in Midwest City, one in Edmond, one in Moore and two in Oklahoma City. Their seventh store is slated to open in 2010.

Founder Nick Harroz came up with the Crest name by using leftover letters from the signs that had been on three stores he owned previously. That thrifty decision seems altogether consistent with business advice Nick once received from his father, to “stack it high and sell it cheap.”

Today, Nick’s son, Bruce, heads the company that loyal customers know as the “home of rock-bottom prices.” But Crest is about much more than helping shoppers save money. As stated on their website, Crest is committed to offering friendly, full customer service from the front door greeter to the bagger who places the groceries in the car.

The challenge

Like most independent retailers, Crest Foods must work hard to grow and thrive in the face of stiff competition from megachains and other large businesses that command greater leverage over suppliers and can devote much larger budgets to staffing, marketing and technology.

Recognizing that one of the keys to customer satisfaction and loyalty is the checkout process, Crest focused on finding ways to reduce waits in line and improve store throughput. During peak hours, the stores often pulled accounting and IT staff from the back office, as well as employees working in the aisles, to operate checkout lanes. At the same time, Crest was aware that customer service counters were being used as express lanes, while the designated express lanes were often underutilized.

Although they had considered self-checkout in the past, Crest management was concerned about the potential of increased shrink. They also worried that shoppers might perceive the move as signifying a reduced commitment to customer service.