Mystery Shopping: The Most Honest Feedback Your Venue Will Ever Receive

When was the last time you walked through your venue as a paying guest? Not as the boss, but as a customer? Most leaders never do. We assume we know what our customers experience, but we rarely see it through their eyes. That’s where mystery shopping comes in. It’s not about catching your team out. It’s about seeing your business as your customers see it and finding the truth you can’t get from a survey or a star rating.

This month I’ve interviewed four incredible guests on my podcast to re-evaluate how we offer our guests those “moments that matter”. Every guest I’ve spoken with – from AI expert Tracy Sheen, to hotel owner Emily Stanton, to emotional intelligence coach Janice Laraine, to purpose-driven restaurateur Nathan Toleman – has reminded me of one thing: the importance of courage.

The courage to look honestly at your business through the eyes of your customers.

Mystery shopping does exactly that. It takes you out from behind the counter and puts you back in your guests’ shoes – online, on the phone, or at the front desk. It’s humbling, eye-opening, and absolutely essential.

What Mystery Shopping Really Reveals

Our proprietary software, OARS, was created over two decades ago and now encompasses over 10,000 questions that provide real time data to hundreds of clients. We create bespoke reports that are customised for each client, offering benchmarking against the industry and providing qualitative and quantitative analysis.

In my two decades of mystery shopping and countless discussions with our clients, I’ve learnt that a great mystery shop tells two stories:

• The functional story: what happened

• The emotional story: how it felt

Guests don’t just remember what you did, they remember how you made them feel.

It’s easy to miss those “micro moments” that make or break your reputation. Maybe it’s the lukewarm coffee, the rushed greeting, or the website that doesn’t match your brand promise. Mystery shopping captures those blind spots and mirrors them back with honesty.

And while we now have AI to analyse reviews, track wait times and measure response rates, it still can’t feel the room. It can’t tell whether a guest’s smile is polite or genuine. That’s why emotional intelligence (EQ) still reigns supreme.

Mystery shopping sits at that intersection of data and empathy. AI tells you what happened. Mystery shopping tells you why it mattered. Together, they create clarity that fuels real improvement.

Four Emotional Checkpoints Every Business Should Test

Hospitality EQ expert Janice Laraine shared four key checkpoints that every brand should evaluate:

1. Online experience – the promise you make
2. In-person delivery – the promise you keep
3. Post-visit connection – the relationship you maintain
4. Community impact – the story you belong to

Mystery shopping measures all four. It tests whether your brand promise is lived out from the first click to the final farewell.

But the biggest mistake leaders make is treating mystery shopping reports like scorecards. They file them away instead of bringing them to life.

The real power is in the feedback huddle – a 15-minute, no-blame team chat where you ask three simple questions:

• What did we do brilliantly?

• What surprised us?

• What will we do differently this week?

Feedback should be fuel, not fire. When it’s shared with empathy and purpose, it builds a culture of continuous improvement instead of fear.

How to Start Your Own Mystery Shopping Program

You don’t need a huge budget to begin. Here’s how to start smart:

1. Define your focus. Choose one area – like check-in or table service.
2. Use qualified external shoppers. Friends and staff won’t see what strangers see.
3. Balance the criteria. 50% operational accuracy, 50% emotional tone.
4. Report quickly. Feedback older than seven days loses impact.
5. Celebrate wins first. Confidence builds consistency.

And if you’d prefer an expert-designed solution, that’s where my team comes in. We create tailored OOPS Business Insight Reports, delivered within 48 hours, to help you act fast and lead better.

For me, mystery shopping has never been about policing, it’s always been about perspective. Highlighting the shining lights in your team, the consistency that builds loyalty, and the subtle friction points that hold you back.

Because when you fix the friction, you free the magic.

The best businesses don’t just deliver great service – they see their customers – and mystery shopping helps you do exactly that.

🎥 Watch the full episode on YouTube: https://youtu.be/UWCmFk8BYeY

🎧 Listen to the podcast: https://www.michellepascoe.com/The-Michelle-Pascoe-Hospitality-Podcast

If you’re ready to see your business through your customers’ eyes, let’s talk. Book a discovery call or learn more about OOPS Business Insight Reports and our Leadership & Frontline Training Programs.