5.03.2005
The rise of Kiosks
Service gets lost in self-serve world
From the article:
From the article:
- In the last three decades, ATMs have grown from being novel to being commonplace, with more than 371,000 machines in use. The more recent arrivals--self-service ticketing for such things as subways, buses or movies, and do-it-yourself cash registers--racked up $128 billion in North American sales in 2003, up 80 percent from the previous year. Such transactions could reach $1.3 trillion by 2007, according to a study by IHL Consulting Group.
And the Census Bureau reports retail sales over the Internet reached $69.2 billion last year, up 23.5 percent from 2003.
"People want this," said Dennis Galletta, an information systems professor at Temple University's Fox School of Business and Management. "I think nowadays people are less patient. People not only want this technology, they demand it."
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I don't necassarily agree with this statement. I overhear so many people, while I am standing in line, complaining about have to use the kiosks to check in for their flight.
I think it is more that the company is saving money as they only need one person to manage 4 kiosks, instead of 4 people to manage 4 check-in counters.
But as you have stated, if one company does it the rest have because the 1st company can drop their prices.
-MR
I don't necassarily agree with this statement. I overhear so many people, while I am standing in line, complaining about have to use the kiosks to check in for their flight.
I think it is more that the company is saving money as they only need one person to manage 4 kiosks, instead of 4 people to manage 4 check-in counters.
But as you have stated, if one company does it the rest have because the 1st company can drop their prices.
-MR
Excellent link and article Marshall. However I found the premise of the article to be totally flawed - that self-serve options are generating a "backlash", or that somehow consumers yearn for the "good old days" of humans providing service.
Rather I find it is a generational issue...when I am in at the grocery store, every person under the age of 30 waits in line at the self-checkout line (usually chatting on their cellphones while they wait). Even many oldsters like myself (36) do the same, because we realize that checking ourselves out is nearly always faster. We are at the grocery store to acquire products and leave, not chit-chat with uninspired minimum-wage slaves so as to feel more "connected to society" (or whatever benefit the author of that piece imagines is derived from having a human run our products past an automated scanner).
The "backlash" against self-service is the same as the backlash against automated phone systems 15 or 20 years ago, and will without a doubt suffer the same end (i.e., those complaining about it will grow old and die, while younger people will grow up with it as the norm).
Humans are bad at providing efficient service, and consumers have noticed and are voting with their dollars. Things should accelerate rapidly now.
Rather I find it is a generational issue...when I am in at the grocery store, every person under the age of 30 waits in line at the self-checkout line (usually chatting on their cellphones while they wait). Even many oldsters like myself (36) do the same, because we realize that checking ourselves out is nearly always faster. We are at the grocery store to acquire products and leave, not chit-chat with uninspired minimum-wage slaves so as to feel more "connected to society" (or whatever benefit the author of that piece imagines is derived from having a human run our products past an automated scanner).
The "backlash" against self-service is the same as the backlash against automated phone systems 15 or 20 years ago, and will without a doubt suffer the same end (i.e., those complaining about it will grow old and die, while younger people will grow up with it as the norm).
Humans are bad at providing efficient service, and consumers have noticed and are voting with their dollars. Things should accelerate rapidly now.
My quotes were taken from a very long phone interview, and in "sound bite" format, it isn't quite what I hoped.
The context of my statements was the growth of "self service" technology, where on a 24x7 basis, you can check your bank balance, pay bills, and order products. This is what people want. I wasn't referring to reduction in personnel such as tellers, airline check-in staff, and grocery clerks.
The thrust of what I was trying to get across was the following: When a firm does not offer the ability for customers to be able to do the things I outlined above, many are surprised and disappointed. There is quite a bit of demand for some of this.
Therefore, the comment meant that people demand 24x7x365 service, and are indignant without it.
Dennis Galletta
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The context of my statements was the growth of "self service" technology, where on a 24x7 basis, you can check your bank balance, pay bills, and order products. This is what people want. I wasn't referring to reduction in personnel such as tellers, airline check-in staff, and grocery clerks.
The thrust of what I was trying to get across was the following: When a firm does not offer the ability for customers to be able to do the things I outlined above, many are surprised and disappointed. There is quite a bit of demand for some of this.
Therefore, the comment meant that people demand 24x7x365 service, and are indignant without it.
Dennis Galletta
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