SUZUKI RUNS WITH THE  MYSQL PACK

A consultant group teams up with Suzuki’s dealership kings to come up with a kiosk system accessing MySQL to boost dealership sales.

   
 
by Nancy Cohen

August 4, 2004
   
     
  Just think: Pre-millennium futurists actually spent time mulling the question over the future of brick-and-mortar retail establishments. They thought about how the digital age would grind the bricks to dust. Surely information technology would succeed in applications that would eclipse any consumer’s need to shlep miles to a mall? Surely we would all sit back in our garage-sale swivel chairs and press a few keys to order our Old Navy t-shirts on-line? Didn’t happen. Park Avenue consultants more correctly predicted a multi-channel retail world. And software vendors translated that into plainer terms to their banks and investors: Brick and mortar stores would leverage information technologies to support, not supplant, in-store sales.

One outgrowth in that direction has been the information kiosk, churning out on-site information linked to a master database. This has represented a very user-friendly way for which the customer or sales associate can access product information and pricing.

Recent research at Summit Associates  shows that retail accounts for 31% of kiosks worldwide and that retail kiosk activity shows no signs of slacking off. Kiosk technologies are enabling what the retail trade calls “assisted selling,” whereby the customer can get answers from the touch-screen that he or she might not necessarily get from sales associates. When it comes to big-ticket or complicated products, that’s a definite plus. And when it comes to people who want to buy all-terrain vehicles, scooters, and motorcycles, American Suzuki Motor Corp. took a look at their market and realized that smart kiosks weren’t just a definite plus; they were a definite must.

Biker-for-life devotees don’t just want to kick a few tires. They want a dealership experience where they can kick some science about life with cam chains, gel seats, and low throttle response. The problem is, research showed that many salespeople in motorcycle, ATV, and scooter dealerships don’t have as much product knowledge as the people who walk into these dealerships. And those dealership customers have become even smarter because of the Internet: Bike enthusiasts have had the opportunity to self-study the latest and greatest on their own, further sharpening their interest to know more about what they might want out of the latest models, features, and accessories.

Truly? Can that research be correct? "There's really a good chance that you will find that the case," says Margo Zenk, technology director of Matrix Consultants, the company that teamed with American Suzuki Motor Corp. (ASMC) to create the kiosk system.

We're not talking about a haiku poetry major who with effort accepts distinction between mirror and bell. "We're talking about motorbike enthusiasts who are more likely to be the racer guys," she says, "or somehow connected to the motorcycle enthusiast world, and who enjoy working there because they own a bike." Trouble is, bikes that do road-racing are unlike bikes manufactured for off-road riding. "When you're an expert in one type, you may not be an expert in the other," says Zenk. "Or, as a new hire, you may not yet be aware of the distinguishing features that set Suzukis apart from Hondas. And when you are talking about high-performance items, you really have to know the details."

Suzuki’s planners sought to meet the challenge by using kiosk technology to (1) provide product information to salespeople at their fingertips and (2) to enable customers to create the bikes of their dreams by changing colors and adding accessories real-time at the dealership.

Dealers have the ability to access automatically updated product information; Suzuki executives get peace of mind that the dealers are offering the latest products and relaying the latest details.

Systems integrators Matrix Consultants gave Suzuki the answer, in the form of “Suzuki Sales P.R.O” a retail kiosk system. The kiosk system went successfully from prototype to production version, ready for deployment in Spring 2003 and just in time for Suzuki to capitalize on its peak spring-summer buying season. Zenk says that now full implementation has been completed. "We had more functionalities that we knew we were going to phase in."

At the core of the Suzuki Sales P.R.O. system is the database. This dealership database for the kiosk system is being used to:

Store product configurations and price information about Suzuki’s motorcycles, ATVs, scooters, and accessories
Automatically update product catalogs by distributing changes from a master database
Maintain a customer relations database to promote specials and open houses
Track which models and accessories are most popular to improve inventory management.

Salespeople get to use the kiosk to access details about motorcycles, ATVs, and scooters. Potential buyers get to view and customize the Suzuki products closest to their dreams with the use of 3D.  And which database should it be to service the kiosks at Suzuki’s 500+ dealerships? Matrix asked that question, looked at a number of database options. MySQL is the database being used for the kiosks. "Each kiosk has its own database. For stores with multiple kiosks, the non-product portion of the database runs in client server mode," she says.

 “In any undertaking, we always select the database that matches the application," says Zenk. Signposts for a good MySQL fit in this case included price points.  Zenk says that it took 10 work days to port from Microsoft SQL Server over to MySQL. "MySQL was the only database that combined ease of use and reliability with an affordable licensing model, so we could deliver the Suzuki Sales P.R.O. on budget."

 
         
 

Matrix Consultants is doing all of the day to day operations for ASMC, including managing backup of the database. Suzuki dealerships were in no inclination to man technical resources; the database would have to be one for which they could anticipate minimal—preferably no—headaches with no need for administrators on-site. Matrix serves as administrators of the technology.

To ensure dealerships gets the latest information, Matrix uses rsycn on Linux to distribute database updates, images,  video, screen savers, and virus-protection updates. "We do backups of every dealership database on to a server. If an electrical problem causes a system outage at a dealership, we help them rebuild the computers. We can download data so that they have all their customer and sales-performance files."

Getting to the bottom line, however, it's clear that proof of the kiosk system's success does not lie at Santa Monica headquarters of Matrix Consultants or at Uppsala headquarters of MySQL AB.

 

SUZUKI SALES P.R.O.

Kiosk Appliance at
Each Dealership

Dell Optiplex 260, 270
  Pentium 4 Processor, 2.4Ghz
  RAM: 1GB
  Hard Disk: 40 GB
Windows XP OS
MySQL Server 4.0
Visual Basic.NET

Data Distribution Server at
Matrix Consultants

OS: Red Hat Linux
rsync
 

 
     
 

Is the Suzuki Sales P.R.O. system seen by dealership reps as a convenient resting place for their coffee mugs? Or more? So far, figures are inarguably impressive. The owner of a dealership in Loganville, Georgia, sounds pleased with the numbers. "We have sold about 35% more bikes in the first seven months with the help of the Suzuki Sales P.R.O. It's been 100% reliable and paid for itself many times over."

A sales manager of a New Castle, Delaware, business says his sales staff don't just rely on the systems for certain customers, but "for every customer we talk to." He reports that since getting the Suzuki Sales P.R.O. in the store, "We've sold 20% more Suzuki bikes and improved accessory sales."

Those kinds of results would not surprise an inside retail industry watcher like Joseph Gagnon, a partner in IBM’s retail business consulting services. Quoted in the a recent article appearing in KioskMarketplace.com,

“The more complex product or the more expensive product drives the need to support the associate with some type of technology," Gagnon said. “It could be a kiosk, a handheld device or some other type of POS information."

He adds, "The most successful model combines qualified sales associates with assisted selling devices to provide information when the customer needs it. " With assisted selling, he adds, "You are putting the information into the hands of the customer when they need it to make a decision, and when you do that they feel satisfied."