Elevating the Customer Experience with Services, Food and Fuel
The Services, Food & Fuel Directorate is a vast network that includes all third-party businesses, vending machines, gift shops, salons, restaurants, movies, Express gas pumps, and lunches in Department of Defense schools overseas. Net earnings for Services, Food & Fuel were $362 million in December 2016, $15 million above plan.
Services and Vending contributed $154 million in net earnings in 2016 with a two-fold approach of optimizing existing business, while adding new name-brand concessions to the Exchange assortment.
More than 50 concessions were added in 2016 including Haggar, Toys “R” Us Express, Coast Dental, and Napa Auto Parts. With an additional 50 conversions/openings projected for 2017, pursuit of new business and growth strategies with current business partners is top priority.
“The Services team is leading the way with new business and initiatives designed to elevate the customer experience from the moment they enter an Exchange mall.”
—SVP Trini Saucedo
“The Services team is introducing a new look for Exchange malls this year, with a blend of welcoming, modern and vibrant design elements to attract and capture customers’ attention,” said Senior Vice President Trini Saucedo, adding that the new designs will get tested at JB Andrews, Md., and Fort Benning, Ga., before being introduced at other Exchanges. “The Services team is leading the way with new business and initiatives designed to elevate the customer experience from the moment they enter an Exchange mall.”
Claire’s, Haggar, healthcare and dental operations, and car washes are a few of the expanding businesses. Thirty National Vision centers will convert to Vista Optical, while five durable medical equipment stores are slated to open to sell braces, canes, walkers, wheelchairs and other items that help people recover from surgery, injuries or illness.
Not only will Exchange mall storefronts get new looks, the lineup of concessions will introduce alternative businesses like Cross Fit, escape rooms and cryotherapy. Services business managers are providing yet another dimension by adding regional businesses that speak to local demographics.
The Services team continues to work with the concession point-of-sale and property and asset management projects to gain critical information for analysis on the Exchange’s shopping center business.
The property and asset management project will further automate Services programs and leasing capabilities. The goals are to build a foundation on which to pursue new businesses and further grow existing businesses by concentrating on increasing sales and profitability per square foot.
