Mystery shopping
Mystery shopping
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Mystery shopping

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Mystery shopping

Mystery shopping is a process by which a company measures its own quality of sales and service, job performance or regulatory compliance by having a researcher pose as a customer and report their experience.

Mystery shoppers typically mirror common consumer behaviors to test the consistency of the habits deemed important to a specific brand or industry. Mystery shoppers, who primarily operate as independent contractors or gig workers, submit detailed reports and feedback about their experiences.

The method is also used by marketing research companies to gather specific information about a market or competitors, including products and services.

Mystery shopping can take the form of physical visits to business premises, or calling companies to evaluate their customer experience (often called mystery calling or customer experience research calling).

Mystery shopping assessments and reports range from simple questionnaires to audio and video recordings. This type of market research can be used in any industry, from B2C and B2B, although B2B is rare. Mystery shoppers interact with and report on a wide range of businesses and services, including gas stations, automotive dealerships, transportation services, real estate and property management firms, movie theaters, health and fitness clubs, insurance products, roadside assistance, health care products and providers for both humans and pets, assisted living facilities, and funeral homes. However, the most common industries that utilize this research method are retail, hospitality and travel, restaurants and fast-food chains, banking, and e-commerce.

The mystery shopping industry had an estimated value of nearly $600 million in the United States in 2004, according to a 2005 report commissioned by the Mystery Shopping Providers Association (MSPA). Companies that participated in the report experienced an average growth of 11.1 percent from 2003 to 2004, compared to average growth of 12.2 percent. The report estimates that more than 8.1 million mystery shops were conducted in 2004. The report represents the first industry association attempt to quantify the size of the mystery shopping industry. The Independent Mystery Shoppers' Coalition reports there are 1.5 million mystery shoppers in the United States alone. Similar surveys are available for European regions where mystery shopping is becoming more embedded into company procedures.

As a measure of its importance, customer/patient satisfaction is being incorporated more frequently into executive pay. A study by a U.S. firm found more than 55% of hospital chief executive officers surveyed in 2005 had "some compensation at risk," based on patient satisfaction, up from only 8% to 20% a dozen years ago." In the United Kingdom, a Mystery Shoppers Practitioners' Group has been established under the auspices of the Market Research Society.

Additionally, since 2010, mystery shopping has become abundant in the medical tourism industry, with healthcare providers and medical facilities using the tool to assess and improve the customer service experience.

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