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Measuring Employee Performance in Retail Companies

If you’re a small business owner, measuring employee performance can mean the difference between success and failure. It’s vital to be able to measure performance with specific skill-related questions that will give both you and your employees the means to pinpoint strengths and areas in need of improvement.

5 Valuable Specifics Particular to Employee Performance
The following are five valuable specifics particular to employee performance retail. Questions are also included that you may ask yourself and/or your employees during evaluations.

Sales Experience/aptitude for Sales
How proficient has the employee been at his or her job?

While there will almost certainly be a learning curve with less experienced employees, the overall assessment early on should be that the employee is a fast learner and has a knack for sales.

Motivation
How motivated is the employee to look for and create sale opportunities?

It takes both tenacity and efficiency to make a sale. The motivated employee will engage prospective customers as they browse and create sales opportunities.

Communication
How good is the employee at communicating with customers about products, and following up on leads?

The employee who is truly interested in helping people – not just in “making the sale” – will go above and beyond to communicate with customers about products, follow up on leads, and close the sale. With the best employees, the lines of communication are always open, and customers will always get their questions answered.

Education and Product Knowledge
How knowledgeable and educated is the employee about the product or service in question?

Depending on the industry and the employee in question, formal education may or may not be necessary; for example, an employee who works in computer sales may be better at the job because he/she also has a degree in computer science, although this is often optional.

The most important thing is that the retail employee is educated and is knowledgeable about the products he or she sells. The employee must be able to converse knowledgeably about the product in great detail with customers, to know its advantages and benefits without fail. He or she must be able to answer questions about the product, what it can or can’t do, and what alternatives may be available if a particular product doesn’t quite fit what a customer needs.

360 Appraisal
What does customers, managers, peers, and other people who interact with the employee think of him or her?

This is one of the most effective evaluations of employee performance, since the employee is assessed by everyone he or she interacts with. This includes typical performance measurements by managers and peers, but it also includes evaluations from customers and other people the employee interacts with on a regular basis. This is one of the most comprehensive and accurate ways to measure performance.

Ready to take your 360 feedback system to the next level? Contact Grapevine Evaluations to learn more about implementing 360 employee assessments in the retail industry.

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