CARR GOTTSTEIN USING STAFFED KIOSKS TO SELL MORE CELL PHONES

JOEL ELSON

ANCHORAGE, Alaska -- Kiosks staffed by a local telephone carrier are boosting cellular telephone sales and store traffic at Carr Gottstein Foods here.

Although the chain has sold cellular phones for two years from a display case at the photo department, the new service kiosks, which offer a larger variety of phone styles, have generated higher weekly sales and attracted more new customers, said Gary Schloss, vice president of general merchandise.

"[We are] trying to capture more of this business, and the service kiosk program has increased our sales tremendously," he said. "The wider assortment in the staffed kiosk and the service personnel there have made a big difference."

The 100-square-foot kiosks have been installed in two locations, where they are situated at center store, in a shared-revenue arrangement with MACtel Cellular Systems, a cellular service provider here.

A joint advertising campaign between the retailer and the vendor includes print ads and a radio campaign that started last month. Plans call for bringing the service kiosks to two or three additional Carr locations with the space to accommodate them.

"Two or three employees are always in the kiosk, where shoppers can discuss the various packages and different models available, pay their cellular phone bills, activate their phones and pagers and purchase phone accessories," Schloss said.

The kiosk offers 30 assorted styles from Sony, Motorola, Nokia and Erickson, compared with only six models available in the photo-department display case. Price points range from $19 to $300, depending on the service options customers choose.

The first kiosk went on-line at Carr in January, the second in May. They are open from 10 a.m. to 8 p.m., seven days a week.

At Carr's other stores, cellular products are sold from a 4-foot-wide display case near photo counters, where employees assist customers. The telephones can be activated on a wireless telephone linked to MACtel's customer service department.

For the supplier, the kiosks represent an initial foray into retail sales.

"Our expansion into Carr's stores better meets our customers' needs. Now they can do their grocery and cellular shopping in one stop," said Chris Spoerhase, MACtel's vice president of sales and marketing.