Tag Archives: customer loyalty

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Bonefish Grill and The Importance of Being MORE than Earnest

Back in February I posted a comparison between two, quite different, customer experiences: Mike’s Camera vs Bonefish Grill.

For those who’ve not seen it the post tells the story of how each company messed up a reservation and how they handled it. It describes how Bonefish Grill had been a family favorite of ours but that they had so badly goofed on a Mother’s Day reservation that we probably would never go back.

Well, I’m here to say we finally gave them another chance. I’d received an email promotion for a steak and lobster meal that sounded too good to pass up so, against my better judgement, and swayed by memories of good meals, we decided to give them another shot.

The evening started off fine, we were seated quickly, and promptly served drinks. Then things started to slip a little.

We were told that they were out of one of the items on the specials menu and that the pork chops were gone as well. No worries, neither item had been on our radar. Moments later we were told that they were also out of tilapia. I thought it was kind of odd that they’d be out of so many different items at 6:45 on Sunday with no wait. The big issues now though was that the global tilapia shortage meant there were three or four additional items that were out of play and those items WERE on our radar.

As the server left to give us a chance to reassess our orders I leaned across the table and said, “If they’re out of the special I’m thinking we just leave.”

When the server came back to take our order she apologized for the tilpia scarcity and offered free desserts, on them, to make up for it. “Ok,” I thought, “At least they’re trying and they’re landing in the sweet spot for customer service so…good on ’em.”

To make a long story short…

The special was great, and in stock. The other meals were up to snuff, our expectations for good food exceedingly well met. Our drinks were kept full. All in all an earnest effort by the staff even if we’d been mildly put out by a certain level of snarkiness that would normally have been just on the outer edge of not quite good but barely acceptable.

Three desserts duly arrived and a short time later so did the check. Full charge for the post dinner dainties included.

Normally, with good food and good service we would merely have pointed out the mishap. But with a recent history of bad experience, snarky service, and a failed promise we’d had enough.

My children and I were all for writing “free dessert” in on the tip line on the bill but my wife is much nicer than we are so we tipped the staff somewhat below our normal standard and departed somewhat put out by the experience.

So what can be learned by the failure of a second chance?

1. You never know when a customer is giving you a second…or last…chance.
Because of that the level of service needs to be consistently high whether people are coming in for the first time or the last chance.

2. When circumstances conspire against you, up the game, for real.
Being out of goods isn’t the fault of the staff. But the ability to make it better IS in their control, or should be. When circumstances go bad you have to up the game not just with lip service but with over the top customer experience.

3. When you’ve lost a fan you’ve lost more than a sale.
Bonefish may or may not care if I ever come back. They can point to the fact that they swayed me back with an enticing promotional offer. Fair enough. What they have lost though is the fact that I no longer recommend them, something I used to do regularly and often.

Have you ever had a customer experience that took you from fan to ban like the one we just had last night?

 

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The NFL and an Interesting Revelation

Somewhere along the way I think I must have missed something. It seems to me, and maybe I am wrong, that I used to be able to choose between two NFL games in the Sunday morning slot and two in the afternoon slot.

Even with the advent of Sunday Night Football I thought I still had my pick of two in the morning and two in the afternoon.

What happened to my afternoon choice?

Perhaps it is different in different markets but here in Colorado we get one game in the afternoon and it seems like it is almost always either a Cowboys game or a Giants game. Unless of course the Broncos are playing in the afternoon then we get them…but only that one.

As I started pondering this woeful dearth of afternoon football watching options during the Giants dismantling of the Saints and was struck by a startling revelation.

The NFL doesn’t care if I have choices.

You see, in almost any business providing choices means more cost. It can, and typically does mean more revenue as well but it can double or triple costs often making the additional revenues less than worthy of consideration.

Providing choice means there will be people who DON’T watch one of the games. Providing NO choice means people watch what they’re given.

My simple analysis was completed in less time than it takes for a boy named Suh to come up with an excuse for kicking someone in the groin but it did land me on a new customer type: The Addict.

Whether or not you consider yourself a football , or more particularly an NFL addict the truth is the NFL considers their customers to be addicts and I’ll provide three pieces of supporting evidence.

1. Other leagues have failed
Remember the WFL or the USFL? Who could forget the XFL? All leagues that saw the potential for an expanded football market, all failed. Even college football has a different kind of following than the NFL.

Of course this lends support to the leagues assertion that their product is unique enough that they have a corner on the professional football market…and addict fans.

2. We’ll watch anything with our teams logo on it.
NO matter what the challenge, replacement teams in the 80’s, back up who aren’t ready to play, replacement coaches, replacement refs…as long as it is our squads logo we turn out to watch.

Maybe that’s another reason people don’t watch the pro bowl…wrong uniforms.

3. Teams that sell out, always sell out.
This indicates there is no shortage of backup customers to be had if the current pool of season tickets holders and regular buyers should all suddenly contract the plague.

This steady stream availability, probably more than anything, makes the NFL comfortable with measuring out the goodies to their addicted fans.

Now of course I’m mostly being facetious here. But there is a nugget of truth buried in the midst of this madness. If we can somehow find ways to control output and build a big enough customer pool it may be possible for ANY enterprise to develop addicted customers. Mange to do THAT and you’re on the gravy train.

What do you think are the key ingredients for building a customer base that is addicted to your product or service?

 

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Black Friday: A Customer Experience Perspective

Madness. It’s all madness.

I do not normally enter into the fray on Black Friday (what color will they give Thursday now that they’re stretching the shopping hours backward into Thanksgiving?) but with Walmart less than 1000 yards from my backyard and half off a premier item on one of my kid’s Christmas lists we decided to give it a “dive in / dive out.”

This wasn’t my first time truth be told. In years past I have ventured out on Black Friday. I just think it has gotten substantially more insane in the last half decade.

There is a distinct difficulty in starting BF shopping hours while the store is already open. Supposedly the sale started at Walmart at 8:00. I was to the item location by 8:04, having seen literally hundreds of them in place in the case earlier in the day…they were all gone. In four minutes? Really? Somebody had to have broken the rules.

To make a long story short we found both the items we were after and we got in and out in about 30 minutes. But I believe I am forever scarred.

In my observation Black Friday is one very specific time of year when the retailers do not care about the customer AT ALL. They throw out a tantalizing array of loss leaders and teasers then stand back and watch the feeding frenzy.

  • You were fifth in line so you get that laptop? Sorry we only had three of that model.
  • You came in at 7:45 hoping to get positioned for the 8:00 start and the shelf was empty already? Yeah, people started grabbing them at 7:00 when we put them out.
  • You stood for 30 minutes in what looked like a queue for Mortal Death Match 19 for XBox 360 and someone just walked up and got one ahead of you? Sorry, we can’t control this size crowd.

The ultimate measure of success for Black Friday is sales, fair enough. But I sometimes wonder how many customers get really ticked off at some particular retailer who either couldn’t think crowd control or who went in with low inventory on all the big sale items and as a result decides not to shop there any more.

Of course they’re hoping that we’re SO consumption driven that we’ll overlook those things that bother us and keep coming back like Pavlov’s dog.

So what lessons can we learn from Black Friday retailers approach to customers?

1. You CAN compete on price alone.
Obviously I am big proponent of service. Price has to be competitive but there are studies that show that customers are willing to pay higher prices for better service. Of course in a 12 hour rushed frenzy you can’t serve people well, you just need to get out of the way right?

I suppose I’d argue that if you choose to compete on price alone don’t be surprised if your customers start thinking of you as a commodity, something I may need but will get along without if I can.

2. Volume is king.
It doesn’t matter how much one person buys if you get 10,000 to just come in the door. That’s the thought behind the loss leader approach, get a bunch of people in the door knowing they’ll buy more than just what they came looking to purchase. I suppose that approach works too if you are basing your approach to building a customer base on a couple or crazy, gimmicky events. Loyalty? Nah…overrated, right?

3. Customers CAN be fooled all the time.
retailers keep putting out the teasers and consumers keep running in, many reveling in the competitive edge they got  by grabbing items at 2:00 and waiting in tot store to pay the sale price at 8:00, other happy to have shoved their way to the front and grabbed the last Mortal Death Mach 19. The vast majority don’t get the one big thing they came looking to get but went away with a few other items on their list, happy to have saved money…and they’ll do it again.

And now please excuse me, I have some sarcasm still dribbling down my chin.

What are your thoughts on the madness of Black Friday?

 

 

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Customer Experience Shout-Out of the Week

It was a touch and go thing there for a minute. Usually I list Kohl’s Department Store amongst the companies that “get it” from a customer experience, or at a minimum a customer service, standpoint. This past week however they slid dangerously close to my list of “I don’t shop there any more” vendors.

Somehow, back in August, our usual Kohl’s Card back-to-school-shopping-bill didn’t arrive in the mail. My wife, who is ever diligent about such things, wondered at that, but we got caught up in the stuff of life and didn’t think too much about it. We eventually just paid what we owed based on receipts we had.

Unfortunately that payment crossed in the “mail” and we were charged a late fee in September. We didn’t pay it, we called in a disputed it, but apparently did THAT too late because we were charged a late fee for the late fee. Now we were expected to pay $30 in late fees for $24 worth of goods.

Again we called to dispute. This time we got a fairly rude gentleman on the phone who suggested that he could take off one late fee but not both. We countered by suggesting that if he bothered to look he’d see we had been Kohl’s customers for nearly a decade, never had a late fee prior to this, in fact rarely ran a balance, and that this was unacceptable. He countered our counter by saying he could remove both late fees IF we paid the one dollar interest charge on the first late fee.  Sheesh.

We agreed.

This month our bill had…wait for it…two late fees. The one he didn’t take off after we paid the dollar and a late fee on top of that.

I called once again. I wasn’t in the mood to negotiate this time really so after the requisite confirmation of who the operator was speaking with I launched right in. I explained the series of events succinctly and then said:

“So, I’m calling today to see if we can either get these two late fees reversed or to just pay you the thirty dollars, cancel my card and never do business with you again.”

The operator responded:
“Yes, Mr. Fletcher I see the conversation history here. Can you hold for just a moment please?”

When she returned, in what truly WAS just a moment, she launched right in:
“Alright Mr. Fletcher those charges have been removed. Is there anything else I can do for you today?”

I kind of felt cheated, she’d stolen my steam. At the same time I was glad it was so simple.

So what’s the moral of the story?

1. Companies with a history of good service will usually come through.
As I mentioned I have had good experience with Kohl’s correcting things that needed correcting. If I hadn’t I probably wouldn’t have given then a couple attempts.

2. Consistency is crucial.
I say this because if I had NOT had previous experience from which to draw I may have left them hanging after the first botched attempt. Making sure all of your service people can handle things right the first time is crucial to building those good experiences.

3. It all starts with the right attitude.
Attitude drives behavior. Setting an attitude that says lets help the customer goes a long way towards creating consistent behavior and developing quality customer experiences.

What examples have you run into lately of companies who have managed a customer experience save based on your past experience with them?

 

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Do Churches Have Customers?

So with all the work I’ve been doing lately on Customer Experience I can’t help but as this question. After all I spent the first decade or so of my working life in churches. So for the sake of argument let’s create a generic profile of what makes a customer and see if it applies:

1. Customers start from a point of need.
Ok, sometimes the “need” is more of a want but you wouldn’t buy something you didn’t want or need so this is where a “customer” begins.

2. Customers typically do some shopping
There are certainly times when people make an impulse purchase but in general they do some research before making a buying decision.

3. Customers make a commitment.
Typically we think in terms of a financial commitment but there may also be contract terms like when you purchase a contract for cell phone service.

4. Customers repeat or defect based on service.
If the product does what is expected, in other words it meets the need/want, then service determines whether a customer makes another purchase or defects to a new provider.

5. Customers promote products they really like.
The end goal in getting satisfied customers is to have them promote your product.

 

In the interest of full disclosure I have to say that I have had this conversation with several “church people”. In every case the immediate answer has been “no, we don’t have ‘customers’, we have members. Our people are more involved than just being customers.” But really? Doesn’t that behavior list look a like like a church goer?

On top of that let’s think about some of the jargon we use around church:

  • “We all NEED Jesus”
  • People can be said to be “church shopping”
  • We ask members to commit or talking about “committing our lives to Christ”
  • Churches often talk about the “back door being larger than the front”
  • Church members “vote with their wallets” when the offering comes plate by on Sunday morning.
  • And of course all are expected to “do the work of an evangelist”

I’m being slightly tongue in cheek here but not overtly so. Is it possible that where churches start to miss the mark is where they DON’T think of attendees as customers? When I think of someone as a “member” or as part of a “church family” then there are certain expectations that go along with those words. Expectations like “sacrifice” or “volunteering” or “staying committed through tough times”. We might ask those things of family members but we’d never ask them of customers. Would we?

There is certainly something deeper about being a committed member of a church than just being a mere customer, however; I can’t help but wonder what it would look like if a church were to start to embrace some of the same principles that businesses use to create satisfied, promoting customers and applied them to their congregation.

What do you think? Would churches see a positive change if they were to start adopting some corporate best practices for acquiring and retaining promoting customers?

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3 Prerequisites for Creating Better Customer Experience

Many companies are starting to come to grips with the reality that providing better customer experiences can be incredible differentiators.

That leaves them wondering where to start. Do they look at customer service metrics? Do they give away freebies to their loyal customers? Do they invest in new information systems?

All or any of the above may be required but allow me to suggest three prerequisites, three places to start before you start investing largely in reinventing CX in your organization.

1. Examine Your Processes
It is all too often the case that the connection points between sellers and buyers are owned by siloed departments within larger organizations.

Before you start budgeting for new CX systems you need to examine your end to end processes, including all the places where customers have a touch point with you. You’re looking for consistent voice, consistent messaging, and consistent knowledge of the customer.

Imagine you attend a networking event where you engage in deep conversation with someone you believe will be a potentially great business partner in the future. You spend nearly two hours talking about mutual interests, past experiences, and possible future endeavors. You make plans to meet for lunch the following week.

What would it be like if you met for lunch and this promising new connection had no recollection of your previous conversation? What if they found everything you had talked about at lunch fascinatingly new even though you had shared it all before?

Examining your processes allows you a way to discover if your customers are having an experience similar to that lunch meeting.

2. Explore Your Purpose
It’s not just processes that need to be looked at in a new light. In most organizations the purpose of the marketing group is to fill up the pipeline, the purpose of  the sales group is to bring in customers, the purpose of the support group is to keep them happy.

What would change if the purpose of all three groups was to create customers who advocated on behalf of your product? What if the objective was to create every customer as a positive reference from the first time they ever heard about your product or service?

Creating end goals that are larger than departmental goals continues the process of breaking down silos and lays the groundwork for better customer experience.

3. Empower Your People
Have you ever found yourself talking to a customer service agent who just doesn’t seem to be able to fix something simple only to find out that when they pass you to their manager the problem gets cleared up straight away?

What would happen if that front line person was empowered to solve the problem themselves rather than having to pass the call to a manager?

By empowering your people to solve problems for the customer you not only streamline process but you create an environment in which every person who connects with a customer feels like they can impact the business positively.

Taken all together it becomes apparent that customer experience starts as a cultural imperative. No matter what systems are put in place, no matter what practices are changed if the corporate cultural doesn’t support the idea of creating amazing experiences for your customers any efforts to change won’t last.

If you were to start today to look for ways to increase customer satisfaction and psotivie experience where do you think you’d encounter the biggest challenges?

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How Likely Are You to Recommend?

If you’ve purchased anything online lately, or even walked into  a store where you’ve had to interact with a sales person, odds are fairly high that  you’ve received the follow on questionnaire that asks:

“How likely are you to recommend us to a friend?”

It has become almost startling now as my iPhone receives that email with the survey attached before I even walk out of the store. It also seems to me that I am being asked this question more and more frequently.

Now, as a marketing guy I understand that… companies are trying to calculate their Net Promoter Score.  They really just want to know how well they’re doing.

Just briefly today I want to pose some questions that are worth considering when you start to think about using Net Promoter Score as a measure of how well your organization is serving your customers.

1. Is the answer to the question of whether someone will promote you or not reflective of your overall relationship or just the most recent transaction?

I have had great experiences with front desk people at hotels, airlines folks, cell phone sales people (and just as many bad ones) and my response to the question of whether I’ll promote or not is typically based on that most recent few minutes.

That means that in order to get an accurate picture of my relationship to any of those businesses they’d need to get me to answer that question after every significant transaction and calculate an average. I can guarantee you I won’t fill out the survey every time!

As a result it is important to remember that:
Timing and frequency are crucial to get right

2. Does a customer’s positive response mean that they’ll actually promote your organization?

Obviously that differs person to person and situation by situation but it cannot be assumed that “yes I WOULD promote” equates to “yes I WILL promote”.

Rather than asking the blanket “How likely are you to recommend us to a friend?” it becomes more useful to suggest where and when you might recommend: “How likely are you to recommend us to a friend who is looking to book a vacation?”

Remember:
Providing context makes it easier for the customer who wants to promote you to recognize the opportunity to promote you.

3. How can you make it easier for your customers to promote you?

Asking the blanket question gets you a philosophical response, providing context makes it easier for the customer to consider action, but you’re still asking them to engage in creative effort.

  • Why not, instead, provide customers with a couple of options: “If you’re willing to promote us would you please like our page on facebook?” or “If you had a great experience with us today would you be willing to post the following tweet: etc. etc. etc.”

Remember:
The easier you make it for someone to promote you the more likely it is that they will.

Rather than just asking folks if they’d be willing to promote your organization provide them with the ways and means to do so and you’ll find you get much more mileage out of the practice of capturing net promoter information.

When was the last time you answered positively on a “will you recommend us” survey? How quickly did you actually recommend and what means did you employ?

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Three Reasons to Understand the Customer Perspective

I received an email offer the other day that was attempting to persuade me towards an upgrade of a graphics software package I’ve used off and on for a couple years.

I went to the web site and discovered there were three different versions available: Basic, Advanced, and Pro. I could click on each of them, even compare them side by side, and in the end couldn’t decide which one I wanted based on anything other than price…so I bought nothing.

The trouble was that the descriptions of the packages were all written from a sales perspective, this or that attractive feature designed to entice me to buy. But when a feature is described in technical jargon, Dyspeptic Flabberhaven Interface, it sounds impressive but confusing. WHY do I need a DFI? Who knows.

A web site I have really come to appreciate and frequently use is CNET.com. CNET reviews products like cameras and laptops and home appliances but the bit I like best are the buying guides. The CNET buying guides aren’t there to help you compare Flabberhaven capability but to solve your problem.

You want to buy a digital camera? Cool. What do you want to do with it? Kids sport photography? Portraits? Landscapes? Start a business? The buying guides use a series of question to guide you toward the right model and feature set. In short, they take the customer perspective.

In my last post I suggested that the customer experience is guided by a couple of simple questions:

  • Should I explore?
  • Should I buy?
  • Should I promote?

So much of what you find on web sites these days is designed to drive right to that second question: Should I buy? Without providing anything other than a call out of feature and function to persuade a prospective buyer.

And if that seems to work why think about the customer perspective at all?

Reason #1: It says you understand the customer
As mentioned above the CNET buying guides are a great example of how to communicate an understanding of the customer. If I am looking for technology I go there first before I go to any retailer of manufacturer site BECAUSE those guides scream out…we know you.

If you can show that you know me as a customer it helps convince me that your product will meet my need.

Reason #2: It changes the way you present information
If you understand that there are a number of people coming to your web site or contacting you via phone or email that are exploring, looking to learn more about you as a possible solution to a need, you start to present information differently.

I love using churches as examples. Think of one major reason an non-attender would decide they want to go to church. Life Crisis? Return to childhood faith? Searching for meaning? Curiosity?

Go to most church web sites however and what you’ll find…well, you’ll find a mess if you look at enough of them…but what you’ll find it a list of features and functions. “We’re a welcoming community where you’ll feel right at home.” “We’re not like your parents church.” “Church for today’s generation.”

Understanding WHY people are exploring you changes the information you present. True for churches, true for purveyors of software.

Reason #3: It sets the foundation for customer loyalty
When a vendor shows from the outset that they care enough to help me explore them and assists me in buying by displaying an understanding of my need they communicate an expertise that drives me towards loyalty from my first interaction.

If you can show that you know as much about me as a perspective customer as you do about your product you build trust from the start.

This simple list doesn’t come close to uncovering all the changes in business process and strategy that a deep understanding of the customer perspective engenders but it is a good place to start. Which leads me to today’s question:

How well does your organization, business, newsletter, understand the perspective of your customers and if you understood that perspective more intimately what would you change?

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Managing Customer Experience: Two Perspectives

There is quite a lot being said, and written, about Customer Experience Management these days and it can easily be overlooked as something that only applies to a small number of specific industries: retail, services, CPG etc.

The truth is that the thought process around managing customer experiences applies to just about ANY interaction between an organization and the people who use the goods or services of that organization.

  • Non-profits like to think of these people as donors of constituents, but they ARE customers.
  • Churches like to think of these people as members but they ARE customers.
  • Youth sports organizations like to think of these people as players but they ARE customers.

I think you get the idea.

When thinking about managing a customer experience it is important to remember that there are two distinct perspectives involved, each with their own set of drivers.

Perspective #1: Inside Looking Out
This is the easy one to think through because it is the perspective of the organization that has customers.

The inside looking out perspective is generally guided by four questions that drive ever deepening levels of engagement with customers. The answers to these questions help shape the experience from the inside looking out point of view:

  • What do we Know? (General customer demographic info)
  • What do we Do? (Segmentation and campaigns)
  • What do we Suggest? (Loyalty and engagement)
  • What do we Create? (The set of experiences that drive movement)

Obviously a lot more could be said here but these four question provide the framework for developing progressively more robust customer experiences.  Using one of our less obvious “industry” choices from above:

  • Churches first need to know who is attending, even basic name address and phone number helps, but learning more about their family is even better information: kids? ages? interests?
  • Then they need to target communication that is pertinent to the attender. You wouldn’t want to send a new visitor who is a 65 yr old retiree information about nursery services on Sunday morning.
  • Once they get to know the person and their family suggesting ways to get involved, ways to feel plugged in, that are specific to them becomes important in terms of creating stickiness.
  • Thinking through how you then keep the new family coming based on multiple anchor points is important. How many churches have had the discussion about having services for everything from pre-school through high school on the same night mid-week in order to create “family time”?

Perspective #2: Outside Looking In

This perspective is often the forgotten point of view. Customers are the one “having the experience” so it is crucial to remember they are looking at it through a different set of questions:

  • Should I Explore? (Deciding if they want to know more about you)
  • Should I Buy? (Deciding if they will buy)
  • Should I Promote? (Deciding if they’ll recommend you to friends)

How about a youth soccer program this time:

  • Parents know about clubs other than the ones their kids are involved in and have to make a decision about whether or not to explore a competitors policies, costs, teams, and coaches.
  • Once they becomes educated the next decision is whether or not to have their child play for that club.
  • If the experience is a good one they can become a significant recruiting source based on what they tell other parents.

I’ll write more about how to manage these two perspectives in days to come but for now it is important to remember that they both exist and they’re both driven by different sets of questions. Understanding how your customers move through their own questions is key to bringing these two perspectives into alignment.

What do you provide that helps your customers make their three decision to explore, buy, and promote?

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How Would You Rate THIS Customer Service?

I am currently in residence at The Ship in Weybridge, England where it is costs, with exchange rate, just under $250 per night.

This morning there was no water. None.

All the guests received the following:

Dear Guest,

Please accept our most sincere apologies for the inconvenience caused to you this morning by the lack of hot and cold water within the hotel.

Further to investigation it appears that the main external supply had been interrupted overnight, resulting in the storage tanks on the property running dry. This was resolved as soon as we were able;however it did take considerable time for the water tanks to refill and heat. Please rest assured that the system is now functioning normally again.

It is extremely unusual for The Ship to encounter an issue such as this, and I appreciate your understanding with the disruption experienced.

Should you require any assistance for the remainder of your stay with us, please do not hesitate to contact either myself or a member of my management team, who will be delighted to help in any way possible.

Kind Regards,
A. S. ( name omitted out of kindness)
General Manager

You make the call, customer service success or failure?

If you would like a hint look here.