This article appeared in the C-store Self-Service Executive Summary, Spring 2006.
Although the phrase "self-service" is often understood to refer to how technology lets consumers help themselves, Roy Cammarano points out that there is a history of self-service that predates any such technology, and furthermore that there are things to be learned from that history.
"In some industries, there has always been a strong ‘do-it-yourself' sector, like automotive aftermarket, gardening and home improvement," he said in an interview. "These do-it-yourself experiences are not necessarily technology-driven, but they do condition people to do things themselves."
Cammarano and Indiana University professor Peter Honebein are the co-authors of "Creating Do-It-Yourself Customers," published by Thomson Higher Education and the American Marketing Association. Cammarano's background is in business consultancy; he has been at the helm of three Inc. 500 companies and was a contributing editor to Success magazine. Honebein, who also teaches at the University of Nevada, Reno, has a background in civil engineering and biotechnology in addition to a focus on retail and banking.
Honebein said that the long-standing tradition of customers doing things for themselves puts the lie to the notion that only young, affluent, techno-savvy consumers will embrace self-service technology.
"The research suggests that those who are young, male, educated and with higher levels of income are more likely to adopt technology, although age and gender have a lower causal effect," he said. "But again, the answer depends upon industry, market segment, the self-service experience and the nature of customer tasks. I can attest from personal experience that the older population has no trouble using the self-service buffet offered in the casinos of my home state."
The profile of a DIY customer
So who exactly is the typical self-service customer? In short, there doesn't appear to be one.
In their book, the authors use the concept of a "sophisticated customer," one that is a boon to the business due to their efficiency and lack of need for help — in other words, a "customer as employee."
Do sophisticated customers exist? Sure they do. They are the ones who have spent the time and resources to figure things out so that they get the most value from the experience. They have developed the ability to be consumer experts, the type of customers who have figured out how to extract the most value they can from goods and services.
Expanding the concept further, the authors break this customer base down into five types:
Transactionals are people who simply like to do things themselves — whether it is filling their plate at the buffet or scanning their groceries.
Traditionals want control over certain tasks, like changing their oil or balancing their checkbook.
Conventionals own products that facilitate certain DIY experiences. For instance, someone who enjoys working on his car might own professional-grade tools.
Intentionals take part in experiences that allow them to design and shape their purchases. Customers at Build-A-Bear Workshop are examples, as are those who customize a pair of shoes or an outfit through a Web-based interface.
Radicals are those who are not satisfied with what a business has to offer, and want to reinvent their products and services from the ground up — for instance, someone who hacks a consumer electronics device like a PlayStation Portable or an iPod to add features to it.
Retailers and self-service technology providers might at first seem most interested in transactionals, but the authors say that it is wise to make sure any solution is appealing to all five.
Even though there are psychological predispositions toward self-service — higher education, higher income people are more risk tolerant, more likely to frequently use a computer, etc. — Cammarano is quick to point out that the company deploying the technology still plays a large role in getting consumers to adopt it. He said that the individual's motivation to use self-service can often be a strictly emotional one — like getting mad when you notice that airline tickets are more expensive when you book them on the phone with a live operator.
"This emotional response, coupled with economic pressure, increases the likelihood of usage," he said.
