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Always Give People More Than They Bargained For

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A Guest Post by
Lou Imbriano

I grew up in East Boston in a three-decker dumbbell tenement building. My grandparents lived on the first floor and we lived on the third floor. We spent a lot of time on the first floor with my grandparents and ate dinner there practically every night. My grandmother was a seamstress and worked piecework in Boston, and my grandfather worked construction, tended bar, and worked at Suffolk Downs race track as a pari-mutuel teller. He juggled all of these jobs to make ends meet, and needed all three because of the seasonality of the work. What he really wanted was to own his own breakfast place and sandwich shoppe.

When I was about 9 or 10, he scraped together enough money to rent a store near the square and purchase all of the items needed to get things going. I used to walk to the store every chance I got to watch him in action. He loved making food for people and seeing them enjoy every bite. The shop wasn’t a cash cow, but he took great pride in it, and enjoyed owning his own place. One day, I noticed that a couple of firemen were there getting sandwiches and my grandfather told them it on was on the house. Another day, I saw him do the same for a couple of policemen, and then one day I saw him not charge a very popular business man in the city.

So one day, when we were alone, I asked my grandfather why he gave away sandwiches to certain people. Why didn’t he charge them? He sat down with me and said, “Louis, it’s a very small price to pay for their loyalty.” He proceeded to tell me that those folks were out in the community and people trusted them, so when they talked to folks about lunch, they will think of his store and mention it fondly. He also said that, especially with the police and firemen, if there was an emergency, they will be quick to respond, because of how nicely we treated them. Being a naïve child, I asked, “Isn’t it their job to respond quickly?” He agreed that it was, and that they probably would anyway, but by treating them nicely and with respect, the likelihood was that they would pay a little extra attention to us, and the store.

My grandfather further explained, “You see Louis, everyone thinks that if you give people what they bargained for, you have been fair and done your job. But, there is more to it than that. If you give people more than they bargained for, and the better of the deal, they will always think of you first, and they will always speak positively about your business.” My grandfather never went to college, never studied business, never got a masters, but he had a PhD in people. My grandfather’s words and actions stuck with me and his demeanor when interacting with customers strikes a chord even to this day.

When we opened TrinityOne, we threw a huge launch party for 800 people in the Castle at the Park Plaza Boston. It was quite a gala event with all of the bells and whistles. When we were planning the event, the head of security for the venue was laying out all the rules, regulations and protocols for the night, and stated that we had to hire a police detail with two officers. I immediately said to him, “Hire six.” He pushed back and said, “But you only need two.” I repeated, “Hire six; it’s a small price to pay for everything to run smoothly.” And it did. I have my grandfather’s wisdom to thank for that and many other similar instances. His words are always present: “Always give people more than they bargained for.”

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Lou Imbriano, the Vice President and Chief Marketing Officer of the New England Patriots football team from 1997-2006, is President and CEO of TrinityOne, a marketing company specializing in creating strategy for corporations to maximize revenue generation through building customer relationships and custodians of the brand. Formerly a radio and TV producer, he has appeared on numerous radio and television programs. Lou has been profiled on Forbes.com as one of their “Names You Need to Know” and has written multiple columns for the Sports Business Journal. Lou, who teaches sports marketing at Boston College, is based in Boston, MA and is the author of the newly released Winning the Customer. Lou can be found at LouImbriano.com

–ME “Liz” Strauss
Work with Liz on your business!!

Did You See the Netflix Movie that Bombed?

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As a business owner, you oftentimes have to put things out there and see what sticks.

What does stick can prove profitable, while other attempts can fall on deaf ears. Anyone remember the new Coke?

For business owners, effectively communicating with your customers and potential customers can mean the difference between turning a profit, breaking even and even going under.

Upset Customers are bad for Business

As many of you know, Netflix alerted subscribers a few months back that it was going to employ separate prices for its DVDs-by-mail and streaming video plans.

The end result would be a significant price increase for its customers, with the least expensive bill for customers who sought both services going from $10 to $16 a month. While $6 a month doesn’t sound like much, that is $72 a year that could go for other indulgences.

With the price increase kicking in this month, many Netflix subscribers indicated they would be turning elsewhere for their DVD and streaming video needs. Upset customers bombarded the Netflix site with countless comments, along with a barrage of tweets via the hashtag #DearNetflix.

According to the most recent data, it appears a significant number of those subscribers are holding true to their word.

Netflix recently trimmed its subscriber forecast for the present quarter, reporting it now expects to conclude the period with 24 million customers, some one million less than it had forecast just a few weeks back. When Netflix ended its second quarter at the end of June, it reported having 25.6 million global subscribers.

So, how did Netflix respond to this issue in hopes of righting the ship?

In yet another public relations nightmare, the company said it was separating its DVD mail rental and video streaming services, renaming the new DVD service Qwikster (the streaming service will remain under the Netflix name). Individuals who choose to both rent and stream videos will be required to log in to a pair of different sites and get two different credit card charges.

Research Ahead of Time Potential Fallout Issues

Not only have many subscribers expressed their dismay with the price increase, but they also were probably left scratching their heads as to the new name for the service.

As it turns out, Netflix apparently did not do enough research on the name Qwikster ahead of time, or officials would have known that the Qwikster name on social media venue Twitter is currently held by a male whose avatar is that of Elmo displaying a joint. Oops!

So not only now do you have a company upsetting many of its subscribers by hiking the costs for its popular service, but now you leave them confused with the name change, not even apparently taking the time to check and see who might hold that label on one of the most popular social media sites. Again, oops!

Due to the company’s recent gaffes, Netflix CEO Reed Hastings issued a statement to customers upset with the price increase for the service in recent weeks. “I messed up,” he remarked on the company blog and in an e-mail to subscribers. “I owe everyone an explanation.”

Running a successful business takes time and effort, but above all, the ability to always be one step ahead of the game.

In this instance, it appears Netflix and the changes it enacted, are getting tuned out by a large percentage of customers.

Photo credit: benzinga.com

Dave Thomas writes extensively for business.com, an online resource destination for businesses of all sizes to research, find, and compare the products and services they need to run their businesses. Among the topics he writes about is business cash advance.



How to Produce a Fireworks Display or Launch into Social Media Without Experience

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Our Customers Face Situations Like This All of the Time

As I uploaded the photos from this year’s fireworks show over the lighted North Bridge on the Chicago River, I began to think of the event. It’s quite a business to put on a 15-20 minute display of fireworks. As I considered the teams of people and the skills that were needed, a thought kept occurring, suppose that a client said to me …

Your charge, should you decide to keep working with us, is to pull off the best fireworks display the city has ever known!

The more I thought about the idea, the more I realized that the question I was pondering isn’t so different from what we ask new social media managers every day of the week.

5 Questions for Putting on a Fireworks Display or Launching into Social Media

A great fireworks display is the result of planning, preparation, resources, and timing. The pyrotechnical art of combining noise, light, smoke and floating materials into design that burns with colored flames and moving sparks is a display of teamwork, technique, strategy and tactics in action! And that’s just to get the display in the air!

Beyond that crowd control and the traffic are a consideration. At the event I attended, the show was visible from the lake, the river, the streets, the pier, and a double decker bridge. The distraction of fireworks while people are managing transportation could cause more than minor accidents.

No wonder the colorful, brilliant displays are symbols of celebration, which often lead to competition!

I don’t know a thing about putting on a fireworks display. I don’t know makes them work, what’s dangerous, and what’s just for show. I don’t know what things cost and don’t have pyrotechnical experts in my most intimate networks.

Yet I’m an intelligent person.I’ve run a business. I’m good at asking questions.

What follows are 5 questions I would ask to make sure that I would know I was making an intelligent, solid and outstanding investment to pull off the best fireworks display (or social media launch) the city (or the industry) has every known.

  1. The mission and the vision: What does “the best fireworks display” or “the best social media launch” look like” in it’s visible and measurable result? Before we set out on a quest, we have to know what we’re doing and why we’re doing it. I might not know how to produce a great fireworks display, but I know how I define one. Leaders take the time to articulate the vision and the mission to ensure that everyone who joins the quest is moving toward the same destination and to ensure when we communicate our vocabulary means the same things.
  2. The team: Who will bring the expertise, commitment, and the thinking to share the risk and share the benefits? Leaders reach out to people who can contribute to the thinking, not just the building. We look for folks who “get” the seriousness of the work and the fun of being part of building something no one can build alone. Start with the question, “Have you ever held a job – run a business – where if you made the wrong decision many other people beyond yourself would be hurt?” People who know their business can explain the controls they put in place to ensure right decisions and mitigate the risk. Experienced candidates can give simple explanations that show solid thinking about where the possible problems in your exact situation.
  3. The resources and quality standards: What do we need to do the job right — what adds quality and what adds cost? A wise boss once said to me, “Spend as much as it takes to do the work well and not one penny more.” When we ask about tools and resources, we can’t separate out the definition of quality.

    Quality is the customer experience, not in the builder’s standards. If the customer cannot see, feel, hear, taste, touch, smell, understand, or perceive meaning from the difference, we are not adding quality — we are adding cost.

    Read that bold paragraph again. Quality is in the customer experience.

  4. The systems and logistics: Who will own which part of the process to achieve optimal results? It’s easy to get this one backwards. Any production process needs to be talked through considering both values — the big picture order in which the stages must occur and the flexibility within each stage that allows the highest performance from the team. In any complicated production, every step has different time-goal orientations. It takes longer to produce the art than the words that might go with it. When one person’s output relies on another person’s input, it’s important to talk through the way the work flow will travel, how we’ll track it, and who will report on things that break or jam up.
  5. The time-frame: What’s a realistic time frame to get the fireworks display (or social media launch) done right, allowing flexibility for unforeseen detours? Inside any discrete event or first-time project is a new decision, a problem, or a complication that we didn’t foresee at the outset. Making room for such adventures from the beginning builds strength into the infrastructure, allows us to under promise and over deliver.

It’s only natural when we’re working on something truly exciting, that we want to get up and running. Making things happen is thrilling! However, watching things break isn’t quite as much fun. To get more of the first and far less of the second, take the time to do the planning and ask the right questions. The right questions can lead to a production that moves as seamlessly as water flowing on a summer day.

Even if you don’t know a thing about putting on a fireworks display or running a social media launch, the right questions can get to you to a successful outcome far more quickly than hoping you’ve found the right expert to do it for you. After all, it’s about a unique and spectacular outcome that serves the customer.

Did I forget any questions that you use to keep your projects in the success column?

–ME “Liz” Strauss
Work with Liz on your business!!

How To Socially Date Customers.

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A Post by Matt Krautstrunk

We all know how important customer service is to your long term success as a business. You probably don’t need a briefing on that, so I’ll spare you the lecture on why the “customer is always right.” However, what you probably haven’t realized is the fact that customer relationships are becoming more fragile.

 

We all remember the days, going to the local grocery store with our parents, and having the employees greet us by name. Loyalty is a wonderful thing; however something seems to have changed since the 50’s. Customer relationships aren’t what they used to be, they are becoming more fragile than ever. As businesses strive to create relationships it seems one negative experience can cause a breakup, according to Social Media Paige, “negative online shopping experiences result in brand abandonment. Smart consumers are very unforgiving.72 percent said they would share a negative online experience with friends and family. Another 70 percent said they would turn to a competitor as a result.”

Many managers also fail to realize how important social media is to their customer service. Whether you are trying to attract new customers or keep existing customers engaged, having a social presence gives your company a platform to reach your audience. I think businesses who try to “date” their community are able to retain a higher percentage of customers for life.

Link Multiple People To Your Businesses Social Account. Putting your PR, customer service and sales people on the same account, not only improves your reach but integrates your customer knowledge. Say for instance you only have one PR professional running your Twitter, he/she may not realize who they are actually speaking with. Having an integrated internal social media account improves your communication strategy by leveraging knowledge across multiple units. A good idea would be to add email contacts to your social networks from multiple accounts within your business. You can use your salespeople’s, marketing department, and anyone you deem fit’s email address book to upload their contacts and follow them.

Although it’s important to integrate your internal departments on social networks, make sure they understand their roles. Have your sales person answer all sales inquiries, and all customer inquiries be handled by customer service.

Build Loyalty. Building loyalty is essentially taking your customers on dates. Keep your community engaged, active and excited about your brand. When the spark dies, you are much more willing to have a tragic breakup. Do this u

Solve Simple Problems Transparently A major advantage of conducting your customer service on social media is the fact that everything you do is transparent. Other followers will see your activity and you generate good PR for every issue you’ve solved. Don’t limit yourself on these platforms; figuring out how to work in social in to your strategy will help you keep your date for longer.

Keeping a customer for life is one of the most valuable things any business can ask for. We all know that 80% of business comes from 20% of your customers, so it makes sense to make sure that these people are happy to the fullest extent.

Matt Krautstrunk is an expert writer on postage meters based in San Diego, California.  He writes extensively for an online resource that provides expert advice on purchasing and outsourcing decisions at Resource Nation.

 

 

Customer Service or torture?

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by Patty Azzarello

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service-or-torture

Be careful what you measure…

BMW serves as a good example of a company that measures service vs. providing it.   But many companies fall into this trap.  Does yours?

Here is an example of what I mean:

My last car service:

  • I felt bullied by the sales and service people when they told me, as they do each time, that I “have to give them a 5 on everything” when the survey people call.
  • That is not service for me.  It’s gaming the measures for them, (and torturing me).
  • In my last car service, they failed to reset some system.  A warning light came on, and I was forced to go back.  It really screwed up my day.
  • When they realized it was their fault, I got only a cursory, “sorry about that”.
  • After telling them, “you know, when the survey people call, I am not going to give you a 5 this time” and giving them several opportunities to make it better – “Is there something you would like to do for me to improve my experience”? – there was no response.
  • I then gave the low scores on the phone survey – by the way, the survey taker/process is designed only to ask the questions, not to offer any service when someone is upset.
  • Later I got a call from my service guy. It was clear he was forced to call me to follow up on his low score. But the call was about him giving me a hard time because I got him in trouble. (more torture for me)
  • As much fun as that was for me, I decided to give them another opportunity.  I said to him – “actually I was going to call you because I need two other [small things], can you help me?”
  • Now here was a chance to provide actual service, when no one was watching or measuring.  He assured me he would call me back later that afternoon to let me know if he had the part so I could stop by on my way home.
  • I never heard from him again.

Do your measures and service processes serve your customers or torture them?
Example:

Do you measure the speed of closing problems?

This is a very typical measure.  But it’s important to understand that this measure can cause you to ignore customer problems, because your service staff is motivated to close out problems quickly, vs. take the time to actually fix them, because spending that time would result in a poor measured result.

So you end up with a backlog of problems that could have been fixed, unhappy customers, and sparkling measures for speed of closing problem reports.

Instead try:

  • Measuring the number of problems whose root cause has been resolved.
  • Or measure the number of customers who report their problem has been solved to their satisfaction.
  • Or look for customers who have multiple open issues, or issues open for long time periods and just call them!

Question:

Is your service staff trained in following service processes or in providing service?

In my example above, at every step, people were correctly following a process, resulting in my getting more and more tortured.

Customer service people who are trained in processes often delight in not-helping customers when they confident they are correctly following the process.

This is particularly infuriating to customers who want to be made to feel like someone at your company cares about the suffering you are inflicting.

Instead try:

  • Training people on the right triggers to throw out the process
  • Then have them ask “What do you think we should do to make this better for you?”
  • And give them the ability to act.

Another idea:

Involve your customer service people in creating great service.

In the BMW example I would have each dealership manage a contest for their service team to get together and come up with three new ideas for how to provide outstanding service.  You could pay $1000 each for the best 10 ideas.

Instead of putting $10k into a survey, where you have sales and service people training the customers to give the right answers, which are of no real use to you anyway, you could be motivating Actual Service!!

The existence of the contest alone would inspire thinking about service, and you get much better ideas when you involve the people who actually do the work in coming up with the best way to improve it.

Getting it Right

Look at what you measure and then look at the dark side of it.?If you were going to game the measures to come out looking good what would you do??What non-intended result would occur?  Because it will…

People like to make customers happy.  Let them.

At the very least, if you are not serious about providing actual service, don’t torture your customers with surveys and processes that only annoy them, and give you a false sense of your greatness.

What do you think?

How have you seen customers get service really right or really wrong? Share your stories in the comment box below!

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Patty Azzarello is an executive, author, speaker and CEO-advior. She works with executives where leadership and business challenges meet. Patty has held leadership roles in General Management, Marketing, Software Product Development and Sales, and has been successful in running large and small businesses. She writes at Patty Azzarello’s Business Leadership Blog. You’ll find her on Twitter as @PattyAzzarello

How to Defuse Customer Skepticism and Cynicism

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A Guest Post by Scott P. Dailey

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Want to eliminate the healthy skepticism your customers have of you and instead be seen as a trusted servant? Terrific. Here’s what you do: don’t give them cause to be skeptical. Trust me, they’re skeptical. Real skeptical. Mark Twain once said the wisest people are also the most cynical. That’s your target audience. Cynics – every last one of them. Don’t blame them either. It’s our fault they’re that way. Years of forcing ourselves on them has created doubters of most of our potential buyers. I’m the same way and if you’re smart, so are you. Frankly, I like being skeptical and cynical. Healthy doses of both arm me to buy smarter, shop carefully, invest intelligently – in life and in business. I can sniff out a phony and I don’t hang with them. Your prospects can sniff just the same. They’re diligently watching as much for the BSer as they are the best buy. [More…]

Being honest isn’t achieved in telling the truth alone. Being honest has an end point. Be truthful. There’s a difference between being honest and behaving truthfully. Let your actions, not merely your words, speak of your truthfulness. Truthful actions have no vanishing line. They just go on and on, resonating with your audience well after you’ve stopped yapping. Make your contribution to the networking landscape count to the skeptical buyer that’s questioning your motives. If your networking efforts are fraught with hurried, self-promoting drivel, think again before inserting yourself into the fray. If you know you’re being disingenuous and let’s face it, you do know, then what are the odds we know too? Here, let me help you with this one: the odds are extremely high.

Deputize yourself.

Do your part to clean up the sales noise found in networking and prospecting circles. On or offline, the rules are the same. Mean it! Make selfless contributions to talks, meetings and mixers. Shape and guide the conversation, not your latest opt-in initiatives. If you do this well, people will want to know what you do and what you sell and never because you forced it upon them using absurdly urgent sales tactics. Authenticity is a commodity in sales, your transparent attempt to bait me is not.

Patience, Patience, Patience

Proving to prospects that you’re not full of it takes time. After all, you’re starting out with people who suspect you’re motivated by your sales goals alone and believe nothing matters more to you. So the prospect is ready for you to strike fast – while the proverbial iron is hot. Etc, etc. Blah, blah, blah. Borrrrr-iiiiiing.

Business relationships, like those you share with your spouse, partner, brother or mother, require time to develop. This is not news to us. Yet often, I see salespeople and business owners go for the quick close and forgo the opportunity to build repeat business through authentic bonding rituals. Prove you’re interested by forgetting what you sell and instead, talk with your prospect, not at him or to him. Imagine the pleasure derived from business conversations had through conversing about stuff other than your business. Ironic, right? Try it. You’ll be surprised how effective a salesperson you become the moment you stop trying to sell your stuff. Again, ironic.

Have you ever pushed too much, too far, too fast? Maybe you got this right the first and every time. How do you dispel the myths that the sales process must include a pushy pitch?

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Scott P. Dailey is a Web designer, copywriter and network administrator. Recently Scott launched ( http://scottpdailey.com ), his social media blog that makes connections between social networking etiquette and the prevailing human social habits that drive on and offline business engagement patterns. You can connect with Scott via Twitter at @scottpdailey.

Creative Commons License photo credit: Jody McNary Photography

Thanks, Scott!

–ME “Liz” Strauss
Work with Liz on your business!!

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