Stopping the secondary spiral
Published: 28 July, 2011
Managers must act to prevent a downward spiral in service standards in secondary centres, writes Sam Olsen.
With the vulnerability of secondary shopping centres, a major worry is that they will be caught in a downward spiral. Low occupancy levels mean service charge reductions, and one of the first things to be reduced is the security cover. The problem with this is that this can often mean that the centre stops being able to dominate the shared space environment, leaving it potentially open to gangs and other disreputable elements. The result is often a negative effect on both footfall and tenant retention as the centre becomes a less desirable place to shop. This in turn leads to further reductions in yields, and the process can continue until the centre becomes unviable.
With money tight, what can centres do to stop this spiral? There are three main areas that can be addressed: the customer service focus and cultural fit of the officers; attentive security management which gives the centre manager more time to spend on other areas of improvement; and optimisation of rosters and general security provision to save costs and enhance service.
BETTER OFFICERS FOR BETTER SERVICE
Get the atmosphere of a centre wrong, and footfall and tenants soon start to drift away. A vital element of atmosphere is the security. Having a security team that is able to project itself through good customer service, and whose appearance is in keeping with the image of the centre, will constructively dominate the centre in a way that is not common enough in UK shopping centres.
One way of improving the atmosphere is to concentrate on cultivating better customer service. The importance of this is often overlooked in shopping centres, even though C.UK research reveals that a day in the life of a centre security officer is much more focused on customer service than pure security matters. So why do some security teams insist on recruiting people who find it hard to communicate with the customers? Good service can dramatically enhance the atmosphere of a centre and lead to greater footfall, so getting it right is extremely important. And achieving better customer service is relatively easy to achieve: simple actions like putting the officers through NVQ Level 2 for Customer Care can make all the difference.
Excellent customer service needs to be supported by ensuring that the security team fits in to the surroundings and requirements of the centre – from the type of uniform worn to second language ability. Although well-built men in bomber jackets may be suitable for certain areas, the majority of centres require a different approach. The challenge is to match the security team to the types of shopper that the centre is trying to attract. In a similar vein, female officers can be a good addition to the team: they often act to diffuse a situation in a calmer way, and they are invaluable for actions like checking the ladies’ lavatories.
GETTING MANAGERS TO MANAGE
One vital element of getting this right though is the calibre of management. A good security manager will make a centre manager’s life easy. A bad one, as many can attest, can make life very difficult indeed. The less a centre manager needs to worry about security, the more he or she can look after maintaining the other elements of the centre. There are two main ways that a security manager can help: by taking over some of the tasks of the centre manager, and by working to enhance tenant relations.
There are several day to day activities that are often better suited to be the responsibility of the security manager than the centre manager. One is to provide an end of day summary of incidents affecting the centre, including cleaning problems and maintenance issues, which can be very useful. Leading the site inductions for all new members of centre staff can help too, as can organising the fire alarm and sprinkler testing. The more basic administration related to the integrity of the centre that can be handed over, the more time can be spent on the strategic elements.
Tenant relations can be particularly improved by utilising the security manager more. Apart from spending time with the tenants on a regular basis – which encourages crime and anti-social behaviour intelligence sharing – security can have an effect on their bottom lines without compromising their centre role. Most shops in secondary properties will not have their own security provision, other than the occasional alarm system. They rely instead on the centre officers, which can lead to conflicts of interest. A good way of encouraging cordial relations with tenants is to train them on how to prevent shrinkage. C.UK performed one such training package for a branch of a national retailer, whose shrinkage rates dropped from one of the highest across the country to one of the lowest in the period following the training. Needless to say, with tenants feeling the economic strain too, adding to their bottom line will not only make financial life easier for both shops and centres, but will help reduce tenant turnover too.
THE PAST IS NOT ALWAYS BETTER
No one finds change easy, especially if the safety and wellbeing of customers is at stake. But the fact is, many – even perhaps the majority – of shopping centres have security that is either too much, too unfocused, or both. Centre managers are often told by unscrupulous security companies that “20 cameras minimum are needed”, or that “a full complement of security officers is needed to open up”. But on what grounds is this advice given? These recommendations are often made without any thought of the client, but instead look at how the security firm can maximise its income. C.UK is different because we value long lasting relationships with our clients (which is why we have one of the longest client retention ratios in the industry). We realise that if we help to reduce costs for our client, whilst improving service, then we are more likely to retain the contract – which in the long run saves the client and us money.
C.UK Security has proven experience in doing just this. A recent overhaul of a regional shopping centre saw a 20 per cent reduction in rostered hours and a change in management, which coincided with a noticeable improvement in security and customer relations. Rationalising CCTV cameras – they do not need to be focused on every nook and cranny, as there generally aren’t the resources to monitor that many cameras – can also save a lot of money.
GOOD SECURITY IS A GOOD STRATEGY
The secondary market is going to find the next few years as tough as they have ever been and centres will need all the help they can get. For too long, security has been seen as a cost centre rather than a positive contributor to an enhanced centre experience – and thus better footfall and higher yields. Good security will therefore have a strategic impact on enhancing shopping centre prosperity. This is not only through cost cutting and service optimisation, but by allowing the centre manager to spend more time looking at the bigger picture. So when your centre security contract is next up for tender, why not ask how the security company can make a strategic difference to ensure the secondary market is able to survive the storm with less damage than most are expecting?
• Sam Olsen is chief relationship officer at C.UK Security Services
