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How customer surveys can save theater owners money

Posted by Ethan Hawkes on Aug 10, 2016 2:38:44 PM
Ethan Hawkes
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Customer feedback is crucial for any business as it provides the ability to learn about its customer’s likes and dislikes; but, besides the obvious, what additional benefits can businesses receive from collecting such input?

SurveyMe has been working with some key movie theatre operators in the United States to gauge how effective its mobile survey app can be in helping grow per cap sales, streamline business operations and increase customer loyalty.

Over the past four months, SurveyMe has worked with Pearl Theaters to see how real-time customer feedback could impact their business. Pearl Theaters set up a survey and, in exchange, offered its guests a voucher for a free small popcorn as a way to increase the customer response rate.

By using immediate rewards as an incentive, the customer response rate doubled that of email surveys with a success of about 10%. During the trial, the surveys not only gathered customer feedback, but also informed guests about products and services.

Pearl Theater’s Bar and Grille benefited by seeing a 3% increase in alcohol sales due to an increase in guest awareness.The survey also allowed the theater to reach customers they might have been missing with traditional advertising tactics, due to SurveyMe’s unique geolocating features allowing people to find surveys or rewards nearest to their location.

Similarly, the theater saw a 4% increase in birthday parties after customers were informed through SurveyMe that the theater hosted events and parties. Pearl Theaters also saw a 10% increase in loyalty card sign-ups and usage after customers learned about all of the benefits the card provides.

Through the use of surveys, theater owners were able to better figure out how to optimize their managers’ time. For example, the survey found that most guests access showtime information from sites like Fandango and the theater’s website but never the theater’s Facebook page or the newspaper.

As a result, the theater no longer makes it a priority for managers to spend time updating Facebook pages or newspaper ads. Instead, that time and energy is invested into something that customers surveyed to loved, such as assembling advertising standees.

Once the customer arrives at the concession stand to claim their free small popcorn, the concession stand would then use this opportunity to upsell the customer into buying a soda or a candy to go with their free popcorn. Pearl Theaters saw an overall increase in per capita income of 3%, which for a one screen theatre equates to an average increase of $24,000.

They could have given these coupons out using traditional methods such as newspaper ads or by email, but with SurveyMe they were able to collect customer feedback as well as increase their income. The Pearl Theaters was also able to pinpoint expenses that simply weren’t paying off.

Since very few on the survey said they used a newspaper to find showtimes, the theater lowered the amount of run dates and shrunk the size of the paper ad in the newspaper, saving them $7,000 a year. Another $30,000 was saved per year by cutting expenses on a company to keep the Facebook page updated with movie times.

At another theater circuit in Fairfax, Virgina, SurveyMe was able to find a new-old market in their concession stand. SurveyMe found 4 out of 5 people would actually buy a soft pretzel if the concession stand sold them, despite soft pretzels not being sold for years.

With SurveyMe, business owners are increasing profits, advertising services more efficiently and better allocating their resources with real-time customer surveys.

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Topics: Case Studies

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