Dive Brief:
- AutoZone will double down on its commitment to employee and customer experience in the coming fiscal year with an operating theme of “Great People, Great Service,” executives said on a Q4 2024 earnings call Tuesday.
- The auto parts retailer is focusing on improving the associate experience to help workers deliver best-in-class customer service to professional and DIY shoppers in fiscal 2025, which began Sept. 1, according to Philip Daniele, president and CEO of AutoZone.
- AutoZone will further improve CX in the coming year by investing in faster delivery of hard-to-find parts and IT improvements designed to help associates serve customers, Daniele said.
Dive Insight:
AutoZone credited its customer-first mindset for 5.9% year-over-year sales growth in fiscal 2024, and the company is turning to its more than 120,000 employees to build on that momentum.
"Our AutoZoners have built this culture,” Daniele said during the call. “This year, we will focus on our AutoZoners like never before. We are determined to improve upon an already existing culture of service.”
Frontline workers shape the brand experience every day, and employee experience affects customer experience, experts say. Satisfied employees are more likely to deliver great service to customers.
AutoZone’s planned capital expenditures for fiscal 2025 include investments in IT systems that will improve customer service by helping associates help customers, according to Daniele.
Speed is particularly important for a good customer experience at the auto parts retailer. Associates are responsible for actually getting products into customers’ hands, and technology investments that help them comb through inventory faster will play an important role, Daniele said.
The company is opening new locations and fulfillment centers in areas that will enable quicker access to a broader range of items as well. These initiatives, including improved store inventories, are expected to enhance the shopping experience.
“We continue to put our capital to work where we'll have the biggest impact on sales — our stores, distribution centers and technology — to build a superior customer service experience where we are able to say ‘yes’ to our customers' needs,” Daniele said.
