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Showing posts with label Customer Retention. Show all posts
Showing posts with label Customer Retention. Show all posts

January 31, 2009

How do you function at maximum capacity?


No doubt you have walked into a restaurant or establishment and seen the maximum capacity sign. I often wonder what some of these places look like when they get that full. But as a business owner do you have a plan to handle that kind of traffic? Will your service drop off or will the people being served still get the same feeling as if they were the only people there.

Today I had the pleasure of seeing this comparison between two companies. It started when I left the house to run errands and noticed it 45 degrees out-- which is really warm for Iowa in January. So I did like everyone else in Iowa and went to the car wash. I figured I could breeze through with only a minimal wait considering they have 8 wash bays. I was wrong. They were choking in a big way. There were many cars in line- good if your the car wash owner- bad for the rest of us. The owner was running around trying to get quarters to everyone because the change machine was broke. As well was the credit card machine, which I found out after waiting for 10 minutes, getting a wash bay, and then seeing the blue screen of death.

Frustrated, I left. He lost my business. He was at maximum capacity and couldn't handle it.

Two stops later I arrived at Panchero's Mexican grill for lunch. They too were at maximum capacity. The line was easily twenty people deep, and the seating area was full. The difference was how they handled it. They were prepared. The line never stopped moving. And when I ordered the workers were pleasant- not the usual frustrated and short tempered-which can often happen to restaurant workers during busy times. In only a few minutes I had my burrito and I was given a frequent buyer card with a brief explanation by the cashier while he ran my credit card. I then sat down to a clean table that had just opened up. Yes-- a clean table.
I was in in awe! So I sat back, sipped my soda, and watched what was happening. They had a system, each worker did their time on the customer service line before being rotated out to wipe down tables, check the soda area, or refill the ingredients.

They were at maximum capacity and thrived on it!

Whats the Great idea here?
A good business gives customer service when its slow and expected. A great business gives customer service all the time, especially when its unexpected. So as a business owner when was the last time you took the company out and ran it hard? I mean really pushed the workers?
I recommend doing this as soon as possible, especially in this economy, when every decision by the customer is important.

Getting great customer service like I did today from Panchero's means that when I want to spend some of my hard earned cash I will go there first. I have seen them in action and they don't disappoint. This is important to me and I bet its important to your customers.

So go out there today and run your business hard, who knows you may find some weak spots that are areas for improvement.


January 1, 2009

2008 Zeitgeist

Google has posted their 2008 Zeitgeist and once again it provides an interesting picture on the year that was. So the question that I am pondering is this: should we be surprised that Google tracks this information?

My belief is that the majority of the masses like to believe they move around the internet anonymously, popping in and out of websites and no one is the wiser. Unfortunately what they think is reality is far from the truth.

Everything online is trackable.

That sentence will scare you, but its true. So as Sales and Marketers we shouldn't be surprised that Google tracks this or that you track similar information; your customers will be. They will shocked to receive an email suggesting the perfect purchase-- like Amazon. They may get unnerved to find out that you are monitoring them, but that is our job.
Don't be afraid of your data, but don't scare your customers with your knowledge. There is a fine line between knowing and telling. Google knows a lot and tells us less, which less us sleep at night.

For 2009 my suggestion is this. Track everything. Use your data and really target your customers. The days of going after every customer are over. Determine your market and go after them. Stop appeasing the outliners, instead keep to your core group.

And most of all take a page from Google, watch for trends.



December 29, 2008

Tan paint and hyphen drop


Recently my friend Nick has been keeping us up to date on the transformation that Walmart has done to their brand.


First they dropped the hyphen, cleaned up the font, and added some tan paint to the wall. It does bring the look up to date and fresh.
Now if you have been living in a cave for the last quarter century or so this may be enough for you. This overhaul could be the tipping point for some people that brings them back. But for the rest of us this is only phase 1.

So what is phase 2?

Phase two is making the customer talk about their experience with their friends. If you hang around me and my friends long enough you will hear a story about Target. We love Target! Its clean, they have scanners to check prices, and the packaging doesn't feel cheap. Oh, and did I mention its clean? This is the next step for Walmart in my opinion.



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September 18, 2008

Discover and the (866) 402-1044 number


It's a bitch working in Marketing and being on the recieving end of marketing.


A couple of weeks ago I needed a new Discover card. No problem. I jumped on the website, requested a new card, and bingo-- a couple days later there it is.

I called to activate it. And presto up and running with a new card. The point should be made that I have been an avid Discover card user for over four years now. So the whole card requesting/activating process is nothing new to me as I burn through cards at a pretty good clip.

Then the calls started. (866) 402-1044- missed call.

I ignored it.

Then the next day. (866) 402-1044- missed call.

I ignored it.

Then the following day. (866) 402-1044- missed call.

Now, I called back. They said it was Discover with an offer. I told them I was not interested, thanked them politely for calling. But to not call me.

Wanna quess what happened next? Yeah, the next day-- two missed calls from that number. I called them back, told them I wasn't interested and to not call me.
Well, this went on for more than a week and a half. Two calls a day, at very predictable times--9:45 and 6:30. You could almost set your clock by it.

I got fed up. Last night I called them back and gave them the ultimatum. You call me one more time, and you lose my business--forever. The lady on the other end (who I have no beef with) said it takes two to three weeks to be removed from a call list.
Umm. Why? I asked. It didn't take two to three weeks to add me. Its not like you have some tired soul trapped in a dungeon with a quill pen writing these call lists.

So here is my wake up call for us Marketers. If you are going to conduct a marketing campaign in this highly digital, highly permissive based age--make sure your database is updated HOURLY.
I know. I hear the complaints already. --Oh, thats difficult--oh, thats expensive.

Is it? Or are we just complacent to build lists and pound them into submission?

August 16, 2008

How to keep your customer information updated

I got this email from Ikea yesterday. Its a perfect example of how to keep your customer database up to date.

The email is simple.
The email is a fast read.
The email includes an action item.
And the best part-- for $550 they keep their database up to date.

Don't get forgotten


About a year ago I dropped Verizon wireless to get an iPhone. There was no other reason. Verizon also didn't give me a reason not to drop them. They were like the "steady ok looking" girlfriend. They were always there, never posed me a problem, and never gave me a reason to give them much attention. I gave them up for the sexy chick (AT&T) down the street.
Now I kind of regret it. But I have an iPhone!

I take Netflix for granted, as do most subscibers. This week they had a problem and I have heard some people are canceling. My relationship with Netflix is much like my previous relationship with Verzion. Dependable. Reliable.

So what are they both doing wrong? They are too dependable, too reliable.

Verizon and Netflix both gave me online billing statements and automatic payments. No noise, very simple. Its the first part that is the problem. My bills were paid automatically-- charged right to my card, so I never thought the service. Which made it very easy for me to quit them.

If I was Verizon what would I do to not be forgotten. First, I would take a page from Netflix. They email me when they receive a movie and mail me one. But they could do more, when they credit my card for the subscription they could remind me of the transaction and engage me in conversation. They could ask me to rate more movies, or remind me that some of the movies I have rented are available for sale. Maybe include a button to automatically buy it and have it shipped to me with one click.
Verizon could have done just about the same. They could have reminded me of my payment, and included a link to text my friends for free and tell them how pleased I was with my Verizon service.

So what does this all mean? If your going to make your transactions with your customers easy-- online bill payments, electronic statements, etc. you need to engage them in a conversation every time to stay at the top of their mind. This is a perfect chance to make your message viral and offer your customer the ability to send a message to a friend.

The main point-- don't let easy lead you down the path of forgotten.



May 14, 2008

Taking it for granted

A colleague just sent me this article. It appears to be a few years old but the lesson remains the same.

"A city councilman in Utah, Mark Easton, had a beautiful view of the east Mountains until a new neighbor purchased the lot below his house and built a new home. The home was 18 inches higher than the ordinances would allow, so Mark Easton, mad about his lost view, went to the city to make sure they enforced the lower roof line ordinance.

The new neighbor had to drop the roof line at great expense. Recently, Mark Easton called the city, and informed them that his new neighbor had installed some vents on the side of his home. Mark did not like the looks of the vents and asked the city to investigate. When they went to Mark’s home to view the vents, this is what they found..."









Mark Easton took it for granted that he would always see the mountain. That his view would never change. This is true in sales a lot. When we sell a customer we take it for granted that they will stop looking for a solution. When a customer does decide to leave it can lead to anger.

Mountain views are great. But they shouldn't be taken for granted. Which customers do you take for granted?

May 12, 2008

I want to talk to the Sales Manager

Today we got a cold call from presumably a telemarketer. They asked for the sales manager, when our secretary (uh hum... Administrative Assistant) asked why, they said they would answer that when the sales manager answered.
So she took his number and hung up.
I'll save the suspense-- I am not calling him back.

He did many things wrong. All of them are good for us, so lets take a look.

  1. He didn't know my name. If your going to cold call- get an updated list with names. If your not willing to do that quit now and go work at Gap or something.
  2. Be NICE! That Administrative Assistant that answered- yeah she is going to do that every time you call. So I would make her my friend. For tips on that read this.
  3. (This could really be an extension of 2) Say why your calling! Even if we are doing business your attitude is not getting me past our gatekeeper.
Its been about a year since I last posted about effective use of the phone. But I think deserves a revisit.

Here is what I do to have a successful sales call.
  1. Names, Names, Names.
    - Whoever answered the phone I addressed them by their name. And immediately told them my name and the company I was with. By addressing the person by their name it made the conversation much more personal. And I acknowledged them, and not the person I was trying to get to.

    "Hi Denise, this is Mike with ACT,Inc.[...]"


  2. Admit defeat right-away
    - I wasn't afraid to let the person on the other end know that we had dropped the ball and needed to update our information. In one word-honesty. No smoke and mirrors here, we lost contact and I want to re-establish it.

    "[...] I was calling because somehow we lost contact with Gene Kelly at your company. I know it shouldn't have happened, but I was hoping to update his email address. He had inquired about our product at the ASTD trade show and I was hoping to send him an email follow-up."

    If Gene didn't work there: "Ok, so it looks like my info is really out of date, do you by chance know who replaced them? And if so could I have their name?"


  3. My number-YOU BET!
    - Because I wanted someones information I wanted to make sure they had mine, so I offered my contact information to them. That way if the call got interrupted or they received another call the ball was in their court. Basically I offered trust.

    "Just in case we get cut off, I want to give you my direct line, that way if they have any questions they can contact me."


  4. More than happy to email
    -I really didn't need to talk to the person, and the secretary being the adamant gate-keeper most of the time didn't want me too, I knew that my information could be ascertained from them. So I asked for what I needed and told them why and what I was planning to do with the information.

    "I really don't need to talk to Gene, I am just looking to update his email address. That way I can just send him the information he needs and he can view it whenever he wants."


  5. Thanks, I really appreciate your help.
    -After I received the info from the person I thanked them personally for helping me. And in the show of gratitude I used their name.

    "Denise I wanted to thank you for taking the time to help me out. I am going to email that information to Gene, and if either of you have any questions please don't hesitate to contact me."



February 22, 2008

Real vs. Reality

I just ordered a combo meal from a restaurant. What I got was real. What they presented me with was a painted reality.
So my question to you is what does your company perceive as reality and what is real to your customers?

January 30, 2008

Selling isn't dating- Part two


One year ago today I posted "Selling isn't dating- I can cheat on you". Today I am back to that subject- no I didn't run out material. Instead I read this post today by Scott Ginsberg "ZOINKS! The customer actually came to ME! Now what?".

And it got me thinking. I completely skipped the asking out part.

Good thing for us, Scott was on top it.

So read his post, then read mine, and ask yourself- "what am I like when a customer calls?" And how can I improve my relationships with my customers? It could be you are just starting off on the wrong foot.

January 27, 2008

Policies and procedures

Fresh off a recent viewing of 'The Bucket List' - I was thinking...

Have you thought about what policies you have put in place lately? How you would feel if they were used to affect you?

My Point?
We all like to be treated special. So why do we make policies that treat people like a group instead of an individual?

December 23, 2007

Putting it in perspective



"Serving people an enjoyable experience."

-Michael Gill









September 5, 2007

Changing the rules


Remember when you were on the playground as a kid. It never seemed to fail, there was always one kid that changed the rules when they weren't winning.

You could never win. The rules kept changing.

So what happens when Apple decides that they priced the iPhone too high?

They changed the rules. They said--now its $399.

But wait. What about all of those early adopters that spent $599, not but a few months ago?

Did they just get trumped by the big machine? I think Apple was right in changing the price. $599 was high, but I don't they were right in their timing. Apple was the company that taught us $349 was the right price for music in our pocket. They were also the same company that said you should get what you pay for. So-- to have the internet, phone, ipod, YouTube, etc. in your pocket will cost you.

They just did the price decrease too soon.

May 27, 2007

A Marketer's responsibility

Just because we can, doesn't mean we should. Yesterday, on yahoo sports, I read that they were selling tickets to the right field and filling the seats! The catch? All you can eat at the stadium, dogs, nachos, soda--it's a free-for-all in the right field.

This is all an attempt to increase game attendance and fill the typically empty right field. I am calling it 'The gut appeal'.

What an easy way out. I can just see the headline in a year or two 'Dodger fans: the fattest on earth'.

I highly doubt the reason people were not attending the games was the price of the food. If I had to solve this problem I would give fans a reason to attend and buy tickets in a certain section.

I would make it unique to increase the experience of the game and not their waistline.

Let fans in those seats experience a different side of the game, have players enter on their side of the stadium, make them available for autographs to only ticket holders in those seats.

The Point?
It's easy to temporarily drive up sales or attendance by motivating your base with gluttony, but you have a greater responsibility. When those fans go to the game, they'll say they go for the food, not the love of the game. They don't go because they are brand loyal, they go for the freebie. When people buy your brand do they buy for the discount? Or do they buy because they are loyal to your brand?


April 14, 2007

A miracle worker I am not. Part 2

Back in February I posted about my experience with a local Mr. Movie's store after receiving coupons in the mail. Since then I have received more and we will see how that goes, but for a refresher on the post you can read it here.

This posting has received many comments, the most compelling being the one below left by mistab.

"I stumbled across your site doing a deep Google search and found what you had to say VERY enlightening. Being someone who has spent large amounts on marketing promotions, to be left wondering why didn’t they do as well in one location vs. another, this is one reason why. As a small business owner it is hard to know how the person will be received at the store level. You can do all the training you want, and have the manager be available all the time, but when it comes down to it for those moments when the customer is there face to face with that young person at the counter they are representing the entire business. They are representing the store, other stores, and the entire cooperation. Upon seeing your posting I printed a copy of it and had all of my employees talk to me about how they felt. It was enlightening and a chance to open their eyes to the bigger picture and what role they play in the success of the business. Thank you for sharing your insight."

The most important statement in her comment was that it was enlightening for their employees to see what role they play in the success of the business. I think this is the biggest hurdle to great retail customer service that companies face today. Your front line employees work for a large nameless, faceless organizations and they don't develop a positive relationship with the company like they would a small business. It then makes it impossible for them to care about the customer service service they provide.

The Selling Point:
We live in a mass society. Don't believe me watch this video. We consume and produce massive amounts of everything and have an increasing level of choices presented to us. But the one thing that we can't do well in mass is customer service. That still needs to be done one person at a time. The best way to do this and drive your point home is to make customer service personable.
Mother Theresa is quoted as saying "If I look at the mass I will never act, if I look at the one I will." She of course was referring to charity, but I think it applies here. If you look at the mass of your customers its easy to gloss over and give general service, but if you look at each customer individually you have the chance to give great service.

Thanks for the comment mistab! And for everyone else keep them coming!


April 4, 2007

Know when to say when.

I am here to tell you that doing business with your customers is a privilege and not a right.

At anytime they can fire you.

When a customer decides to stop doing business with you of course you should find out why and try to turn those objections into reasons to buy. You don't just say "ok, thanks!" and walk away. But don't make them feel obligated to stay with you.



Case in point.
I recently fired a salesman who was trying to sell me a product. The product was decent but didn't fit me and my application. Being the customer I know this much better than the salesperson. He tried to save me, and I of course informed him that if my situation changed he would be the first person I contacted.

[It's at this point that you and he should thank me for my time and put me on the back burner.]

But he kept calling and emailing me. He doesn't get it. I fired him. If he would leave me alone I might recommend him or call him when I am in a position to buy. But he won't back away and let me get air. He doesn't know how to back down!

There comes a point in every sale that you have to let the customer come up for air. Regardless of what all of your sales books tell you, this is a good thing. If you give them a chance to look objectively at the situation and keep your distance during this time they will appreciate you more. However, if you continue to smother them they will only back away further.

The Selling Point:
Kenny said it best "You got to know when to hold em, know when to fold em." As a salesperson you have to know when to hold on to a customer and when to let them go. Letting a customer go won't be the end of your career. In fact it will only help to strengthen your relationship with them. If you know when to back off, they will appreciate you more.
Selling is give and take. Sometimes you have to give up a little. Knowing when in the relationship that its best for the customer is the key. Don't overwhelm them and worst of all don't badger them. It will only drive them further away.
Learning how to keep your distance when needed will pay off in long the run.
You are in it for the long run right?


March 29, 2007

Would you miss your salesman? Part 3

Here's another question about salesmen: "Would people buy your company's product(s) in spite of their salesmen?" -Tobin Johnson

Tobin's company is going through a major purchasing process. They like company A's salesperson, but not the product. Company B is the exact opposite, they don't like the salesperson, but the product is exactly what they need. He says they might buy Company B's product, but not because of the salesperson.

YIKES!

This should be an easy decision right? Buy the product that fits best for your organization, not a hard decision? WRONG! In one of my previous posts, Sales and Service, I explain why. "How you sell me is indicative of how you will service me." For Tobin's company those alarms are going off, and they should be. When you are buying something you aren't just buying the product you are buying everything else that comes with the product; such as the service, support, etc.

Lets look at it this way, would you buy a car from a dealership that had a sketchy salesperson and gave you an unsettling feeling about their service department? No. Even though it was hands down the best car on the market? Nope. Why? Because you would feel like you were all alone on a deserted island.

Now lets look at the reverse.

The dealership is top-notch, and you would let the service manager date your daughter. But the car is well... a bit less-than desirable. I bet 9 times out of 10 you buy from this dealership. Why? You feel like someone has your back. If that car blows a johnson-rod, or specs on the inline girder aren't spot on... no problem they will have your back.

Your not just buying the product, but the implied relationship that goes with the product.

So back to Tobin's question. "
Would people buy your company's product(s) in spite of their salesmen?" Initially I would say yes. But the chances of a repeat sale, and buyers remorse are incredibly high. And the odds of keeping that customer for any period of time are stacked against you. Why? Well there is only so much relationship building a product can do, before you need the intervention of a contact person.

The Selling Point:
Sales is more than a transaction. It's about building a relationship with the customer to solve a problem. Good salespeople build solid relationships, and don't leave it to the product to do all of the leg work.
In my opinion, if your going to spend the time to develop a market dominating product, you should put as much effort into training and educating your salesforce as you did into building your product.


As always keep the comments coming on Part 1, 2, or 3.

March 3, 2007

Are you ready to buy yet?

Brian Carroll in his most recent post points out a crime that all of us in sales is guilty of committing. You know what I am talking about.

It's the "Hi, I was just calling to touch base" phone call.

STOP! No you weren't. You were calling to see if I wanted to finally buy your product.

The Selling Point:
I can't emphasize enough how important it is to not abuse the phone. I can't say that I am perfect, (I once called a contact just to see how she liked her new car and I wasn't selling cars). But what it comes down to is how important the message is and the delivery of that message. Take the advice from Brian, before you pick up the phone--just to pick up the phone. Get with you marketing department, determine a reason for the call and get a relevant message.


March 1, 2007

And that's why Google will win.

I recently switched and consolidated all my email accounts to Gmail. In the process of doing so I discovered how Google will win over the public.

Simplicity.

One page takes care of all of my Google Apps, Blogger, Analytics, Gmail. Everything.

The Selling Point:
This isn't meant to be a plug for Gmail, even though you should switch. But what's important is that if Google can make something so simple for any user, why can't your company? Honestly, take a step back and look at your company's protocol for a new client or problem. Is it a simple solution? Simple makes customers happy, customers who are happy--blog.


Thanks for great headline Nick!

February 26, 2007

What is customer service?

If your in sales, and you probably are if your reading this. Then at some point in your career someone has asked you this "what is customer service?"

Here is my answer.

Customer service is EXACTLY what the customer thinks is service.

Long before you even get a chance to meet the customer they have "painted" a picture in their mind of what you should do for them. It's this perfect picture that they will hold you to and use it to evaluate how well you are or are not servicing them. This picture is based on all of the previous experiences they have had when making a similar purchase.

Notice how none of this is based on you.

So what do you do?

  1. Start by interviewing your customer. Find out the purchasing timeline, and what need they think this want will satisfy.

  2. Stay attentive to their body language. If it's a phone conversation you will have to listen to the tone of their voice. But inflection and body language are big indicators of how much they are paying attention to you. Lack of attention should draw a red flag!

  3. Adjust your personality. People like to buy from someone they can relate with. Small adjustments to your demeanor could be the difference between landing the sale and loosing it.

  4. Find their Hot Button. I can guarantee that everyone has one. It's the triggering factor for them to make this purchase. It could be envy, greed, or social status. Whatever it is make sure that you push it often.

The Selling Point: Customer service is different for every single customer. Those that do it well have patience and can pay attention to the non-verbal cues they receive. Establishing great service early on will perpetuate the positive customer experience and generate more returning visits. Customers who return will remember the outstanding service they received the first time. In short you need to take that "painted" picture of customer service and make it the Mona Lisa.


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