Allan Hirsch: Crafting a Legacy of Customer-Centric Innovation in Retail – Humans of Globe (2024)

In a world where businesses come and go, what makes some companies not only survive but thrive for decades? What drives entrepreneurs to keep pushing boundaries, evolving, and creating lasting impact in an ever-changing market? How does one build a brand that becomes synonymous with trust, quality, and customer service?

The answer to these questions can be found in the story of Allan Hirsch, a visionary entrepreneur whose journey is a testament to the power of perseverance, innovation, and unwavering dedication.

Allan Hirsch, the Founder and Chairman of Hirsch’s Homestores, recalls that one of the biggest challenges he faced when starting the company was the lack of finance. With only R900, the resources were extremely limited. Another significant challenge was training. During the early days, Hirsch was often busy not only running the business but also training team members to be polite, courteous, and to maintain a spotless store. It was a struggle to foster teamwork and ensure that everyone worked together to support one another. As the business expanded, Hirsch realized that he could no longer do everything himself. This realization led him to focus on staff training and collaboration, emphasizing the importance of keeping customers happy. He instilled this customer-centric philosophy into the team from the very beginning, making it one of the fundamental principles of Hirsch’s success.

Industry Evolution and Maintaining Competitiveness

Allan Hirsch attributes Hirsch’s ability to stay relevant and competitive in the rapidly evolving appliance and electronics industry to its strong relationships with global suppliers. He highlights how these suppliers have been instrumental in keeping Hirsch’s up to date with the latest technology. “In the past, we were behind the rest of the world, but now we are up to date and often way ahead of them,” says Hirsch. Through frequent trips to factories around the world, Hirsch has ensured that the company stays ahead of technological trends and continuously offers cutting-edge products to its customers.

Building the Business Together

Reflecting on his partnership with Margaret, Allan shares how their differing skills have complemented one another over the years, both professionally and personally. “We are totally different in every way, and this has helped ensure that we cover all bases,” says Hirsch. He was deeply involved in buying and marketing, while Margaret took charge of day-to-day operations, handling admin, HR, and customer service. This complementary dynamic has been key to the success of Hirsch’s, allowing them to build a solid foundation for the business while maintaining a strong personal bond.

Solidifying the Reputation for Customer Engagement

For Allan, the first major turning point in the company’s growth came in 1983 when they introduced microwave cooking lessons. “Panasonic sent us to Japan to educate us on their use,” Allan recalls. Upon returning, Margaret opened South Africa’s first independent microwave cooking school. This innovative approach, teaching customers how to use microwaves effectively, led to exponential growth in sales. To this day, Hirsch’s stores feature cooking demonstrations and working kitchens, further solidifying their reputation for customer engagement and education.

Maintaining Family Values Amidst Business Growth

Allan emphasizes that Hirsch’s is run as a family business, where everyone who works there becomes part of the Hirsch family. He believes that the key to maintaining family values in a growing business lies in fostering a sense of belonging, honesty, integrity, and loyalty. “Happy staff ensure that we have happy customers,” says Hirsch. This culture of care and support extends to regular team motivation sessions, which keep staff inspired and connected. Allan sees the recognition of great service from customers as a reflection of the company’s values and culture.

Balancing E-Commerce with Physical Retail

Allan acknowledges that while e-commerce has become a dominant force, Hirsch’s managed to balance its physical presence with online shopping through trust and reputation. “The fact that we have been trusted for the past 45 years meant that a lot of people felt reassured by shopping with us,” he explains. The company’s online store continues to grow, servicing the entire country with efficient service and delivery. However, Allan highlights that for large purchases, customers prefer the in-store experience where they can interact with trained staff and fully enjoy the shopping process.

Customer Service at the Heart of the Business

Customer service is a cornerstone of Hirsch’s success. “We induct new team members and the company culture of service is instilled into them on day one,” says Allan. The company invests heavily in training to ensure that its team members are constantly improving. Many employees start in the service department, where they learn to handle various in-store situations before transitioning to sales. This focus on service excellence is at the core of Hirsch’s operations, ensuring that customer satisfaction remains a top priority.

Balancing Profitability with Quality

When it comes to making difficult decisions, Allan Hirsch follows a guiding principle: “Our policy is always to do the right thing—often at our cost.” This philosophy, grounded in honesty and integrity, has guided the company through challenges and contributed to its enduring success. He further adds, “Our golden rule is ‘do unto others as you would have them do unto you.’” This unwavering commitment to doing what’s right has earned Hirsch’s the loyalty and trust of customers over the years.

Leadership Transition: The Next Generation’s Role:

Allan’s children, Richard and Luci, have been part of Hirsch’s since they were young, accompanying their parents on trips and participating in the business from an early age. “They have come on many trips with us, and today they and our other managers are the ones who go on the trips with our suppliers to choose ranges overseas,” says Allan. With both children now involved in key decisions, the company’s leadership is successfully transitioning to the next generation, ensuring that Hirsch’s remains adaptable and forward-thinking as it continues to grow.

Sustainability and Corporate Social Responsibility at Hirsch’s:

Hirsch’s has placed a strong emphasis on environmental responsibility and sustainability. “We have a foundation that takes care of all our charity work,” Allan says. The company also ensures that returned appliances are ethically recycled and educates staff on energy- and water-efficient products. “We encourage customers to buy better quality products at a slightly higher price, but in the long term, it’s going to cost them a lot less,” he adds. By promoting sustainable choices, Hirsch’s encourages customers to make environmentally conscious decisions while ensuring they save money over time.

Innovation and Technology: Staying Ahead of the Curve:

Innovation plays a crucial role at Hirsch’s, especially with regard to technology. “Our computer system has been our saving grace,” Allan explains. The company has consistently upgraded its technology, ensuring everything operates in real-time. Through its advanced computer system and mobile apps, Hirsch’s can track stock, cash flow, and deliveries across the country. “We have an app so that we and our clients can track a delivery anywhere in the country,” says Allan, highlighting the company’s commitment to using technology to enhance customer experience and operational efficiency.

Paving Better Paths

Allan’s advice to aspiring entrepreneurs is rooted in passion and persistence. “You need to work at something you are passionate about,” he says. He encourages entrepreneurs to try different ventures until they find their passion, believing that once you do, every day becomes an exciting adventure. “This is not a sprint, it’s a marathon,” Allan advises. His approach to business is simple yet effective: do the basics right, build slowly, and success will follow. He believes that running a business is not rocket science, and if entrepreneurs focus on the fundamentals, they will thrive.

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Allan Hirsch: Crafting a Legacy of Customer-Centric Innovation in Retail – Humans of Globe (2024)

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