Leading Pediatric Hospital Overcomes Logistical Challenges to Increase Retail Food Sales and Customer Satisfaction The Situation Nemours/Alfred I. duPont Hospital for Children in Wilmington, Del., is one of the nation’s largest integrated pediatric health systems, providing primary and specialty care in more than 100 pediatric specialties. The hospital is a part of a children’s health system that serves 250,000 patients annually in Wilmington (just south of Philadelphia, Pa.) and Orlando, Fla. A five-story patient expansion at the Delaware site, set for completion in 2014, will add 144 beds and other amenities to enhance duPont’s high level of care to patients and families, which is reflected in the hospital’s annual ranking among the top pediatric hospitals in America. During construction, the front entrance of the main building has been closed, requiring a temporary relocation of an existing café’s entrance until a dining facility opens in the new building. The relocation represented a significant logistical challenge, as the café was the primary dining option for 3,000 employees and thousands of patient family members and visitors. Approximately 48 to 50 thousand meals were served to this customer base each month. In addition to logistics, the retail dining operation faced other challenges. The facility had last been updated in 2003. The design and décor were outdated, and the café’s small size hindered customer throughput, especially at peak times. The menu lacked nutritious food options and did not reflect the hospital’s culture of wellness and its new commitment to the Partnership for a Healthier America, the nationwide initiative to combat childhood obesity. Not surprisingly, customer satisfaction was at a low of 50% Instead of simply maintaining the existing café concept in a new location until the new dining facility was completed in three years, A.I. duPont’s’ new hospital administrator wanted to make immediate improvements, despite the anticipated short life span of the temporary café. Working with Nutrition Services partner, Sodexo, A.I. duPont planned to overhaul the restaurant to not only improve the customer dining experience, but to reflect the hospital’s culture of wellness. Three months into the café renovation, Nemours also began an association with Partnership for Healthier America to make changes to its Food and Nutrition Services to increase the availability of nutritious food options. The café overhaul proved critical in meeting the partnerships’ requirements that 60% of all à la carte entrees offered by the hospital meet specific nutrition standards, with all food items labeled with calories per serving by 2014 and all fried food options removed by 2015, among other criteria. To continue providing food service to its sizeable customer base while generating revenue, the hospital required a quick turnaround on the café renovation. And, as the refurbished café would be replaced in three years, the project also had a limited budget. Sodexo Solutions Sodexo converted the existing café into its Fresh Inspirations retail dining experience. Understanding that dining is an integral part of the caregiver’s and patient family’s well- 1 being, Fresh Inspirations offers an innovative approach to nourish both audiences with an inspiring menu of healthy and locally sourced food choices and beverages prepared from fresh ingredients and served in a friendly and inviting retail environment in which consumers can relax. Offered as a complete package, Fresh Inspirations focuses on delivering quality foods, creating healthy and friendly environments and training staff for a higher level of professionalism and engagement. Matching DuPont’s specific care-giving mission and environment, Sodexo utilized a Tier II (“limited facelift”) strategy that also stayed within the hospital’s budget and short turnaround requirements. The retail foodservice strategy focused on dining room reorganization for greater appeal and traffic flow, food presentation for maximized appeal and healthier food selections that reinforced the hospital’s wellness goals. To optimize throughput, especially during peak periods between 11 a.m. to 1 p.m. when the café could have more than 1,400 customers, the dining space was reconfigured to maximize customer capacity while creating a comfortable, contemporary environment. Self-service food offerings also improved food selection convenience and customer flow. And a second register was added to expedite customer transactions. These substantial café enhancements were accomplished in 52 days, an aggressive renovation schedule. Prominently displayed menu boards also feature healthy menu options, helping to engage customers before they actually reach food stations. In addition, healthier food options are strategically placed for easier selection, with menu items labeled with nutritional information, an upgrade that both visitors and staff value and one that meets wellness requirements by Partnership for a Healthier America. Nutritional food substitutions such as replacing French fries with sweet potato fries, are now on the menu, providing for lower calorie menu options. Sodexo buying power also proved key in procuring new food items that broadened the café’s menu with more popular and healthier brands. In addition to offering an everday value meal, the café features a classic meal at a medium price range and a more upscale signature meal. New uniforms and training reengaged staff with a new sense of pride and understanding of market tactics, which translates to enhanced customer service and sales. In fact, a new culture of behavior was created by combining DuPont’s behavior standards with Sodexo CARES behavior training that instructs employees on five key performance commitments on compassion, accountability, respect, enthusiasm and service. Results Fresh Inspirations elevated the quality of hospital food operations to a new level. Despite a move from the hospital’s entrance to a more remote location that requires customers to travel through an ambulatory care unit, the café experienced substantially improved performance since opening in September 11, 2011, with an 11% year over year sales growth coupled with a 3% per transaction increase. 2 Capture rate, or the proportion of potential customers that enter the café and actually make a purchase, also increased to 72%, substantially higher than the typical hospital’s rate of 45-65%. A benchmark satisfaction survey conducted before and after renovation revealed a 20 point jump in overall customer satisfaction to 70% among all customers. The introduction of the Fresh Inspirations strategy also met the guidelines of the Partnership for a Healthier America by more than 50% when the agreement was first signed by the hospital three months into the café renovation. Lessons learned during the café renovation will guide the hospital when opening a larger restaurant planned for the new facility using another Sodexo food concept. 3