Average Ticket & Company Culture | 5 Minute Wins with Chris Hunter

Chris Hunter explains how measuring average ticket creates a performance-oriented culture by giving technicians a visible scoreboard to improve against. Watch for three pitfalls: reduced lead turnovers, misaligned compensation, and brand messaging conflicts. Pair it with complementary KPIs and align pay to your brand.
If you start focusing on average ticket, guess what's going to get improved and repeated? Average ticket. Hey Titans, we're going to talk about average ticket and culture. These two things can play nice together. So what we're going to do, we're going to talk about three key things that it'll do for your company and then also three things that, yeah, we want to be aware of because it can have some negative consequences. So let's dive in. So the number one thing that by starting to measure average ticket will do for your culture, it'll turn it into a culture of performance and not tenure. So I remember one time I had a technician come into my office and he laid out on the table all these different licenses and certifications and he wanted, he thought he deserved a raise. And I said, okay, all right, great. Well, let's look at your performance. And his performance didn't quite indicate that he needed a raise. So by measuring and rewarding on average ticket, this is what I'm talking about. No longer is it just on, hey, I think I'm qualified. I've been here a long time. We actually start to develop a culture of performance which is actually really good for your company. Alright? The second thing that it'll do for your company by starting to measure average ticket is what gets measured and recognized, gets improved and repeated. So it's a scoreboard. It gives instant feedback to all of your technicians that are there on how they are performing. And people nowadays, they want to know if they're winning or not. So having a scoreboard, having it really easy to access, very key for your culture. And the third thing is it creates a culture of training and personal development. So why is this so important? Because we know that this industry changes so fast. We have to keep training and developing our team. We know as a leader that's one of our most important jobs. Well, by measuring average ticket, it encourages them to want to get the training to improve, especially if their compensation plans are aligned with it or their performance evaluations. They now no longer that that early morning training session isn't like, oh crud, we gotta go in for training. They crave it, they want it because they know it's gonna make them better. And once they get that knowledge and they can go apply it and actually start winning, they'll start doing it over and over. Alright? Now here's three things though I want you to be aware of that by starting to measure average ticket could do for your culture and the performance of your business. The important thing is just to be aware of these things. Alright, so number one, if you start focusing on average ticket, guess what's gonna get improved and repeated? Average ticket. But what may happen is you may start to get a reduction in lead turnovers. This can be kind of a bad thing. So what we wanna do is we probably wanna develop a KPI for both. That way we're recognizing and rewarding both of them equally. Otherwise we can start to get one sided results. We'll start to repair a whole lot of stuff, probably a lot of stuff that we should have offered options on to replace. So just be aware of that, start to see it fall. Maybe we need to make sure that we're measuring both of those things and providing what winning looks like to our text. All right. The next thing is if we have a misalignment with compensation, that's where problems start to happen. People are always going to gravitate towards how they're compensated. So if you're preaching average ticket and hey, we got to get it up, we got to do better, we got to offer options, but your technicians aren't compensated that way, then what's going to happen? Right, they're going to go on however they're compensated. So just make sure that we don't have a misalignment with compensation and it'll prevent a whole lot of culture issues in your company as well. The third thing is we need to make sure that we don't have a misalignment with our brand messaging. So what I mean by this, if I am known as the low price leader out in the market, but now my technicians are going in and they're doing a really good job of giving options and finding things that'll keep people comfortable and save them money and protect their home and their family. And they're offering this and people are actually buying and the prices are going higher because they're wanting it. People want to, they want to buy stuff, they don't want to be sold. But what can happen is it may have a mixed message on our branding message. So just be aware of these things. Overall though, average ticket and service titan is so easily measured and it provides that instant feedback. And we know that what gets measured and recognized gets improved and repeated.
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