Service: Conversation Piece

Zeppe’s Pizzeria trains staff to talk to customers rather than take orders to win repeat visits.

By Mary Boltz Chapman, Editor-in-Chief -- Chain Leader, 10/1/2006

So often when you order a pizza, you hear, “Hi. Mary’s Pizza. Pick up or delivery?” That is, if you don’t hear, “Can I put you on hold?” first.

Zeppe’s Pizzeria, a 27-unit chain based in the Cleveland suburb of Bedford Heights, feels much of its success has come from moving beyond that. “We don’t take an order; we have a conversation with them on the phone,” says Larry Mench, director of operations for Zeppe’s Franchise Development Co.

Order takers have a script to follow, and their computer screens tell them if the person calling is a repeat customer. But Mench says the important part is to make sure the guest has a good experience. “Certainly we’re here to make money. But it’s not in the forefront. Because I have a conversation with a customer, my average check goes up. That’s not my initial thought process,” he says. “It’s recognizing we’re in a service industry and embracing that, and affecting guests in a positive fashion. It really takes us and separates us from that pizzeria stigma of the low-cost leader.”

Quality Food, Quality Service

Zeppe’s calls itself a “high-quality leader” with its varied menu of pizza, pasta, salads, subs, wings, ribs and other dishes. Pizza and calzone comprise between 58 percent and 67 percent of sales at most locations. The company’s specialty pies include the Midwestern, spicy ground beef and bacon, topped with mozzarella, provolone and cheddar, $10.99 small, $13.99 large, $16.99 extra large; and Joey’s Original Clevelander, with ham, capicolla, salami, mozzarella, provolone, Parmesan, tomatoes, onions, mild pepper rings, fresh veggies and Italian sauce, $10.99 small, $14.99 large, $17.99 extra large.

The average transaction is close to $20, “at least $6 over the average of the top 200 pizza chains,” says Mench. “We’re selling quality. All of our systems are designed to sell at full menu price.”

In fact, 72 percent of guests don’t use a coupon. According to Mench, the industry standard for pizza restaurants is about 70 percent using a coupon. He equates that with guest loyalty. And Zeppe’s believes the customer experience will drive that. The company’s current incentive program is called Mission Possible 80, to increase the guest loyalty figure to 80 percent.

Another measurement is speed of service. The chain’s point-of-sale system tracks how long it takes from the time a ticket prints to the time the driver leaves. It should be 18 minutes or less until departure. If the driver is going within a 2-mile radius, as most are, the goal is 28-minute delivery. The company’s standard is to reach those milestones 80 percent of the time, and its goal is to achieve 90 percent. Mench says the best restaurant is running at 84 percent and is also running about 20 percent to 25 percent monthly increases over the same months last year.

Zeppe’s mission is to create a world-class guest experience every time. “The great food is a given,” Mench says. “Then we talk about selling not the steak but the sizzle.”

Staff Meeting

Key is hiring the right people with the right personalities, then putting them through the proper training system. “We adopted the Montessori method of training, which is experiential training,” Mench says. “We realize we’re in the hospitality industry, and we choose the people who understand service and hospitality, and we train them in the Zeppe’s way.”

Zeppe’s has a six-week program in its training center for franchisees and managers, and 16 hours of training at the center for hourly employees. First employees learn via the manual, then by watching others perform the different tasks. Then they are coached through performing the functions over and over. The training manager also works with staff on site for a few weeks at opening and as needed.

Even drivers go through a lot of training before they ever get in the car. They learn safety, such as driving in the rain or how to get out of a skid in the snow. They also know how to find each order in the POS system so they can see how long it’s been since it was placed.

Zeppe’s pays drivers higher than minimum wage and higher than the average wage in the area. The company also gives them the delivery fee and lets them keep their tips. “Drivers can make $28, $30 an hour, which is a great way to make a living,” Mench says, adding that it helps keep turnover low.

Cooks as well might be making $10 an hour because they tend to stick around. As an incentive, the best workers in the kitchen wear logoed Zeppe’s chef’s coats rather than the standard black polo. “We gave it to the best people, so we expected a good response,” Mench explains. “But without exception, they love it for the feeling that it means something, it’s special, I contribute to what we’re trying to do.”

Steady as She Grows

The average Zeppe’s unit does about $42,000 in sales a month, and Mench says some are above $60,000 and close to $70,000.

The 16-year-old concept has four franchise deals signed and a few other deals in the works. The company is looking at Columbus, predicting 35 units there. It plans to have close to 40 open by the end of next year. “We have the leadership team now that will allow us to open 10 to 15 a year,” Mench says.

To keep focus on the customer relationship as the chain expands, Mench says Zeppe’s will continue to prioritize headquarters’ relationship with franchisees and employees. Which means keeping the dialog open.