Creating a great customer experience is essential for building customer loyalty, satisfaction, and positive word-of-mouth. Here are key strategies to ensure a memorable and positive customer experience:
1] Understand Your Customers: Invest time in understanding your customers’ needs, preferences, and pain points. Conduct surveys, gather feedback, and use analytics to gain insights into their behaviors.
2] Define a Clear Customer Journey: Map out the customer journey from awareness to post-purchase. Identify touchpoints and ensure consistency in communication and service at each stage.
3] Personalization: Tailor your interactions based on customer preferences and behaviors. Personalized experiences make customers feel valued and understood.
4] Effective Communication: Communicate clearly and transparently. Keep customers informed about their orders, services, or any changes. Use multiple channels to reach out, including email, social media, and phone.
5] Train Your Customer-Facing Staff: Equip your customer service and sales teams with the necessary skills and knowledge to provide excellent service. Customer-facing staff should be empathetic, knowledgeable, and solution-oriented.
6] Quick Response and Resolution: Respond promptly to customer inquiries, whether through email, phone, or social media. Resolve issues efficiently and make the customer feel heard and valued.
7] Consistency Across Channels: Maintain consistency in your brand messaging and service quality across all channels, including in-store, online, and social media. This builds a unified and reliable brand image.
8] User-Friendly Website and Apps: Ensure your digital platforms are user-friendly, intuitive, and provide a seamless experience. A well-designed website and easy-to-use apps contribute to a positive customer experience.
9] Proactive Problem Solving: Anticipate potential issues and address them proactively. This can involve providing FAQs, troubleshooting guides, or reaching out to customers before problems arise.
10] Reward Loyalty: Implement a loyalty program to reward customers for their repeat business. Offer discounts, exclusive access, or personalized perks to show appreciation.
11] Solicit and Act on Feedback: Encourage customers to provide feedback and actively use that feedback to improve your products or services. Demonstrating that you value customer opinions fosters trust.
12] Surprise and Delight: Occasionally go above and beyond by surprising customers with unexpected perks, discounts, or personalized gestures. This creates a positive emotional connection.
13] Community Engagement: Build a sense of community around your brand. Engage with customers on social media, respond to comments, and create opportunities for customers to connect with each other.
14] Empower and Train Employees: Empower your employees to make decisions that benefit the customer. Provide ongoing training to ensure they are equipped to handle various situations.
15] Measure and Analyze: Use key performance indicators (KPIs) and customer satisfaction metrics to measure the effectiveness of your customer experience initiatives. Analyze data to identify areas for improvement.
By incorporating these strategies into your business practices, you can create a positive and memorable customer experience that fosters loyalty and contributes to the overall success of your brand.
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Loyal customers are always good for business. But there are customers who are a notch better than them. Before I dive into this category, I will define what a “loyal customer” is. It’s one who regularly purchases from a particular store or chooses a certain brand repeatedly. Although they are repeat customers, their loyalty may be driven by low prices, convenience, and/or a frequent positive customer experience. A business should strive to not merely create happy and loyal customers but the type who are so enamored by your company or brand that they are willing to go out of their way to become your advocate – even if you may have disappointed them once or twice. They forgive those occasional services and quality issues but let you know when quality slips. They are beyond loyal and make purchases for themselves and others. They passionately recommend you to friends, relatives, colleagues, and others, as well as provide unsolicited praise or feedback. This is the “customer evangelist” category of customers.
Customer Evangelists as Your Indirect Salesforce
Customer evangelists influence and, in some cases, become part of a company’s volunteer salesforce and/or brand ambassador. They will not hesitate to want others to benefit as they have. The term “evangelist” is derived from the religious believers who roamed the backstreets of the world to spread the word of their faith. Beliefs are based on emotional connection, profound convictions, and arise through experiences. Strongly held beliefs impel many to tell others about theirs.
Customer Acquisition: Word-of-Mouth Still Rules
Evidence shows that acquiring a new customer is five times more expensive than keeping a current customer happy. Moreover, customer profitability tends to grow the longer a customer stays with you as it costs less to keep a customer coming back for more. Results of a study reported in 2001 by Euro RSCG Worldwide, one of the largest advertising agencies in the world, regarding the influences on buyers of consumer technology products, found how consumers get most of their information about technology products: 13 percent from advertising, 20 percent from Web sites, and 34 percent from word-of-mouth (WOM). Furthermore, 78% of people rave about their favorite recent experiences to people they know at least once per week. These results are testament to the power of what is also referred to as “word-of-mouth advertising,” WOM marketing includes buzz, viral, blog, emotional, and social media marketing.
Social Media Customer Advocates & Influencers
An “influencer” is someone who, either through his or her professional or personal brand, has a large following or audience on his or her blog and/or social media accounts such as Facebook and Twitter, whereas an “advocate” is an actual customer who has a passion for the brand and expresses that love by sharing his or her experience with others. Influencers may have a large social media following but not necessarily create the ability to drive action ─ rather it gives the ability to drive awareness. Effective influential results require audience and advocacy. Thus, advocacy is driven by the depth of conviction, and influencers typically are less committed to the product or brand than are actual customer advocates.
Loyalty or Reward Programs
There are also reward or loyalty programs specially designed by companies and brands to incentivize customers who frequently buy their products or services to be their first choice each time. Cases in point are with rewards programs such as with Starbucks where each purchase brings a customer closer to free drinks and food, Virgin Atlantic’s Flying Club a frequent flyer program that allows members to earn tier points. There are three loyalty tiers – Club Red, Club Silver, and Club Gold, each of which provides different benefits to the most loyal customers. Then there is Amazon Prime ─ a premium Amazon membership, for a certain annual cost, which provides its regular buyers with a bunch of benefits including free 2-day shipping on a wide range of products. Research shows that an effective, fair, and well-managed loyalty program works. According to Yotpo, 52% of American consumers will join the loyalty program of a brand they make frequent purchases from, and according to Bond, 84% of loyalty program members have made a redemption from the program. However, to stand the best chance of success in tough market conditions, programs must enhance the overall value of the product or service if they are to incentivize the customers to make their next purchase.
In the End
Customer or brand evangelists are customer advocates who stay loyal to a brand and make it recognized to the public on social media or word of mouth. This doesn’t simply occur on its own. It’s a process that a company/brand must design and manage through trust-building, positive customer experiences, and marketing activities. This should lead to an organic pool of natural advocates as satisfied customers are often very happy to share their experiences. Programs should also be considered and created to reward and incentivize these advocates. This is often a good return on investment. Additionally, finding and choosing people with authoritative opinions, who are followed closely by the company’s target demographic, called “influencers” may turn them into supporters as well.
The hospitality domain has begun recovering from its 15 month or so pause in bookings and vacancies due to the Covid-19 pandemic. Getting back to a new normal business mode requires a refined approach to attracting and retaining guests/clientele. Hopefully, the operators will profit from lessons learned from recent history along with adequate time they were reluctantly bestowed for reflection. From the following five types of hotel guests, each requires a different approach to effectively attract them. However, in regard to retaining them, the approach is the same across the board. Seamless service and creating a pleasant total guest experience will most certainly turn them as your raving fans. Nowadays, and moving forward, contactless check-in and check-out will be expected. Exceptional service should not be merely exclusive with luxury properties. Nothing can and should be taken for granted. Do not meet guests’ expectations, instead, surpass them.
1. The Leisure Traveler
The leisure industry is the segment of business focused on entertainment, recreation, and tourism. To the leisure traveler, it is about going on holiday for fun, excitement, and relaxation ─ a vacation get-away whether for a few days or weeks. This may include relaxing on a beach or on the premises and/or going on guided tours and experiencing local tourist attractions.
Offering the guest enjoyment with the ultimate mix of relaxation and inspiration is key to winning them over repeatedly.
Along with the expectations of the staff being quite accommodating, the discerning leisure traveler in a luxury hotel expects generous property amenities and refined services such as:
Complimentary fashion house brand toiletries
Nutritious breakfast
Hair styling tools
Flexible checkout
Complimentary electronics chargers
Spa & wellness niceties
Exercise facilities
Distinctive and artistic entertainment
Custom offers
Curated experiences
Fancy bathrobes
Limousine service available
Kid-friendly rooms
Premium bedding
2. The Business Traveler
Unlike a leisure traveler, the business traveler is a hotel guest who arrives strictly for work. He or she is not there to view the sights. However, this traveler will be interested in local restaurants and coffee shops he or she can use for business and personal purposes. Typically, their days are long and full of meetings. More than likely, they’ll want to come back to their rooms to relax and have a quiet meal before doing it all over again the next day. While also in town for work, make time in their schedules for more leisure and tourist activities. The business traveler might extend his or her work trip into a long weekend and have a brief vacation before returning home.
To appeal to business travelers, keep the following into consideration:
Easy check-in: Business travelers demand a quick and effortless check-in process. Always make certain you have adequate, efficient and polite staff at the reception desk to meet this need. Consider offering online check-in with keyless room entry.
In-room business features: Fast, reliable internet along with conveniently locatedample power outlets
Co-working spaces: Create spaces and perhaps restaurants too where business travelers can work or have meetings.Loyalty programs: Creating a strategy for repeat business, like offering some free nights for a minimum number of overnight stays during each check-in is one effective way to attract and create repeat business. Alternatively, extend the negotiated discounted room rate through the weekend or add a few days pre-conference to encourage guests to stay longer or arrive early.
Work with local attractions and businesses: Offer incentives like discounts at local restaurants and shops or tickets to a museum or a show.
Having a solid CRM set-up, with proper usage, will make engaging with the guests/clients seamless.
3. Families
Families that travel together want to have shared experiences. With families, there will likely be differing styles of travel and preferences within the group. The key is to have something for everyone. Think like a parent and provide in-room amenities that can keep the youngsters occupied, like game boards, books, and fun snacks. Also, offer a nanny or babysitting service and a list of family care services in the area, as well as kid and family-friendly attractions and activities, such as discounted vouchers for the zoo, aquarium, and/or museums.
In addition, offer the ability for families to avoid carrying heavy cases and flight bags by providing essential items that enable families to travel lighter. This can be accomplished with guests reserving baby/toddler equipment online via the hotel’s website. In addition to an array of essentials, such as playmats, potties, and buggies, parents should be able to also request, ahead of time, non-essentials such as storybooks, swimming jackets and even car seats requested for private transfers.
4. Event Attendees
Event attendees can be a mixture of business and leisure travelers. Some might want to attend the conference and relax alone in their rooms, and others might be looking to explore the city more in their off hours. Most often, event attendees are interested in networking with others at the event and will seek entertainment after the end of the day’s events. This is where, as a hotel operator, you can attract and retain them by providing unique experiences for attendees that they will much appreciate and distinguish you from competing nearby hotels. To entice them, offer to organize receptions and other social activities for them, prior to checking-in, and make it easy for the attendees to add on their reservation. Additional activities can include a poolside happy hour, a dinner cruise (if applicable), or other group activities at a local attraction. Provide those guests incentives and special deals such as discounts for additional night stays or an exclusive dining experience at the chef’s table of your hotel restaurant.
5. Health and Wellness Travelers
Aside from travelers in general being more aware of cleaning and sanitization due to COVID-19, wellness travelers are those who are taking a trip to promote their own health and wellbeing. This type of traveler will most likely be interested in holistic wellness packages which include relaxation, detoxing, and practicing healthy habits during their trip. Some will be more concerned with physical and mental wellbeing, therefore features such as fitness, outdoor excursions, as well as yoga classes, workout sessions, spa treatments, guided meditations, and healthy dining options could be appealing. Additionally, more people will be looking for staycation trips. As a result, hotels should consider focusing their marketing efforts on guests who reside within a two-hour drive.
Creating Loyalty through Exceptional Service and The Total Customer Experience
What good is it to be an upscale hotel establishment with generous amenities if the service is weak? The “total customer experience” is defined as the interactions and relationship between a company and its customers. The customer experience journey can include how a customer interacts with a company’s employees, facilities, and marketing, in both the real and digital worlds.
The holistic approach to the total customer experience will make the difference between a single visit type of customer and a repeat and loyal customer.
The service dimensions consist of reliability, responsiveness, assurance, empathy which characterize an emotionally intelligent and spirited staff with tangible elements in the ensuing way:
Reliability reflects the service provider’s ability to perform service dependably and accurately.
Responsiveness is a strong indicator in assisting guests and providing prompt service.
Reassurance reflects the courtesy and knowledge of employees and their ability to inspire trust and confidence.
Empathy involves the caring individualized attention the brand provides its guests.
Tangible elements include the facilities, amenities and ambiance felt by the guest directly or indirectly.
A company’s reputation for excellence in the services sector can be developed and supported, as long as the firm has a strong organizational culture oriented in high quality service, customer focus throughout the organization, as well as a dynamic set of employees. They are conscientious and committed to act within the quality standards which the company has established.
For a hospitality organization to achieve high levels of customer service and maintain constant satisfaction, it should develop and implement a structured service strategy, which covers all necessary actions on what measures and actions will be taken to:
Create a customer-centric culture.
Develop and install appropriate infrastructure service delivery system.
Identify the necessary procedures to recognize and meet the needs and expectations of guests.
Refine and encourage staff to speak with the right attitudes, skills and behaviors to internal and external environment of the company and towards the guests.
Measure – evaluate the degree of guest satisfaction.
Continuously implement practices to improve internal operations and procedures relating to excellent guest service.
Credit: Deloitte
Contactless Check-in & out
A 2020 study revealed that 73% of hoteliers agree that self-service tech will become increasingly more important to their business and when asked what makes a good hotel stay, 90% of millennials said they would be interested in checking-in in a hotel through their mobile phones. If those statistics were pre-pandemic, imagine what they would look like nowadays. Guest expectations are not static, they evolve indefinitely. Contactless check-in and check-out do not have to be impersonal. The experience can be seamless and pleasant, whereby the hotel staff can still remain in touch with guests even without ever seeing them in person. During─and eventually post Covid-19, guests are demanding the highest levels of hygiene, ‘sanitization’ and social distancing. Study shows that 84% of guests would feel much safer with social distancing practices in a hotel and 71% of guestsare more likely to stay in a hotel offering self-service technological capabilities.
On a Final Note: Targeting the Most Profitable Segments for Your Hotel
There are five main generational segments recognized by marketers. Each generation certainly differs and each of whom have unique spending patterns and personal preferences. Their main characteristics are summarized as follows:
Credit: Hotelbeds
For advice on attracting Millennials and Gen X, reach-out to me at jdrazure(at)gmail(dot)com
Much is touted by companies about customer satisfaction but surprisingly only a few actually deliver on their promises. Prominent brands are not immune either. At the outset, it appears that many lack a vital customer relations policy and strategy. Inadequate staff training and stifling policies, amongst other factors, further aggravate the problem. The frontline customer service, staff entrusted with and consented to solving various customer irks and issues, lack the empowerment to use critical thinking and initiative to offer satisfactory results – rather, the results are disappointing.
Picking up the telephone and calling certain companies can sometimes lead to an exasperating experience. Moreover, people love to hate the phone tree where you have to go through a maze of menus until you eventually get to speak to a human – assuming you’re lucky. This is totally unacceptable!
The executives who are in charge of finance and operations respectively (consider the CFO, COO including the leader of the pack, the CEO) consider customer service as an expensive, time-consuming obligation. Those leaders – most notably in public companies are under pressure to cut costs with the intention of delivering quarterly results for their shareholders.
Consequently, they will measure the calls answered per minute – regardless of the outcome. In contrast, a customer focused executive will reward those who take their time to listen, engage and solve customer issues.
The customer centric organization: solving issues before they occur
“Customer Service” is the set of behaviours which an organization undertakes during its interaction with its customers and how customers perceive the behaviours.
Going above and beyond customer expectations is focusing on customer centricity. This entails being proactive rather than reactive. It begins by developing, implementing and continuously delivering a total positive customer experience at every touch point and beyond. The costs and benefits of this practice are equally beneficial for the customers and the business. A University of Michigan study revealed that companies which received high scores in the American Customer Satisfaction Index (ASCI) consistently outperform the S&P 500. Those companies include Walt Disney and Amazon, amongst others. Those are most certainly organizations that focus on quality over quantity and measure what truly make them remarkable.
The after sales service department should be designed with an efficient infrastructure in place so as to make the entire experience an effortless task for both the customers and employees who are assigned with the responsibility. It should be easy for the client to reach a customer service agent and/or online agent to chat with. Moreover, the client should not have to be placed on hold for more than 5 minutes. Whenever the wait is more than two minutes, there should be an option to offer a simple way to be called back. The organization’s mindset should be to constantly think of ways to release tensions and give solutions to the client promptly.
Since many of the inbound calls normally concern frequently asked questions, why not have them prominently displayed on the website and/or printed on the product insert. Having them recorded as an option on your phone line, in a clear English voice (and second or even third most popular language relevant to the region’s business demographics), can eliminate unnecessary calls and waiting times with a live person.
Staff tasked with customer service should:
Possess a positive attitude under duress;
Be initially trained and occasionally re-trained,
Treated with respect, and
Be empowered to make timely customer satisfaction decisions on their own.
There is no better example to illustrate this than online shoe retailer Zappos. What customers get to see displayed prominently on the web site:
– 24/7 1-800 number on every page
– Free shipping
– Free return shipping
– 365-day return policy
What customers will experience:
– Fast, accurate fulfillment
– Most customers are “surprise”-upgraded to overnight shipping
– Creating a “WOW” factor
– Friendly, helpful “above and beyond” customer service
– Occasionally direct customers to competitors’ web sites
What’s done behind the scenes?
– No call times, no sales-based performance goals for representatives
– The telephone is considered for them one of the best branding devices available.
– Run warehouse 24/7. Inventory all products (no drop-shipping).
– Five weeks of culture, core values, customer service, and warehouse training for everyone in Las Vegas office.
– A Culture Book
– Interviews & performance reviews are 50% based on core values and culture fit.
Empathy, strategy, training and empowerment
Any business, regardless of industry, should be concerned about keeping customers content. It is their fundamental responsibility to retain them. Rather than treat them as a cost, the customers should be treated as an asset as it costs more to attract a new customer than to keep them loyal. Think about it! A customer who feels snubbed and disrespected, may take his or her business elsewhere, receive a better experience and never return. What would be the ultimate cost of this outcome?
Four nouns applied can make a difference.
Empathy: This takes into account a focal job in making a palatable client experience by exercising genuine sympathy to the needs and concerns of the client, front and center.
Strategy: A plan is a start in defining the standards of service and customer care that is offered to customers and sets the requirements for meeting those standards.
Training: It is the act of educating employees what “customer service” means, the standards it comprises and how to offer a confrontational-free customer support and satisfaction. It is a process which comprises of teaching the competencies, necessary skills, and tools required to better serve customers so they derive more value from products and services which create the positive customer experience.
Empowerment: This means giving your front-line staff the proper training, tools and encouragement to use their instinct and critical thinking skills to do the right thing for customers without much delay. This entails not waiting for management to give approval. For example, the the Ritz-Carlton Hotel group, the gold standard in hospitality service empowers its employees to spend up to $2,000 to solve customer problems without asking for a manager.
Customer centricity should be everyone’s job in an organization. It’s to be embedded in the internal culture. It begins with the top leadership and permeates through the entire organization. Implementation of new and refined strategies and tactics equate to daily and long-term success in building profitable customer relationships. Been helpful with your customers, even if there’s no immediate profit in it, is simply a good business practice with pragmatic thinking for the long-haul.
During my days in the mega yacht charter industry, I recall dealing frequently with assertive clients who were judicious with their expectations and utterly demanding with their occasional extraordinary requests. As a case in point, a VIP couple was cruising on a chartered mega yacht in the Aegean Sea and during one morning, unexpectedly, insisted that an additional stewardess be brought on board to increase the service level. He also requested five cases of Louis Roederer Cristal champagne. Despite the minor challenges, both requests were fulfilled within a few hours. My staff and I arranged for a stewardess to be flown in from Athens to the island where the yacht was docked that particular day. As for the champagne with its limited supply, I couldn’t locate all the quantities from any major purveyor in Athens. Consequently, I secured the remaining cases from Salonika – a city 188 miles (304 km) north of Athens. All five cases were eventually delivered to the yacht on the same day. It goes without saying that the client was elated.
The “discerning”, also referred to as the “discriminating” consumer, is characterized as showing careful judgment and savvy especially in matters of taste and judgment. This person is finicky and possesses an acquired taste habitually for premium products and services. Essentially, he/she falls short of a compromise. Going above and beyond the call of duty to meet and, at times exceed, expectations is an important principal to apply.
An Inside Look at the Discerning Consumer
More often than not, the discerning client typically possesses a high net worth. This translates to owning financial assets not including primary residence) in excess of US$1 million (source: CapGemini, “2017 World Wealth Report”). High net worth individuals (HNWI) cherish their time and know what they want, to such a degree that they would rather spend their funds for efficient results than waste the limited resource of time. They value time as a luxury, thus saving time greatly trumps saving money. This is part of the reason service is crucial for them.
In a nutshell, the discerning client can be generally described as:
– To a greater extent, belongs in the “affluent” (an investor with less than $1 million but more than $100 000) and “HNWI” (in excess of $1 Million) category;
– Seeks a higher and exacting standard with a minimum set of expectations;
– Fussy in nature;
– Values his/her time;
– Often requires customized solutions to mirror his/her lifestyle – whether a product or service;
– Takes pleasure on getting extra attention;
– Expects to be offered unique choices and experiences;
– Desires value for money under all circumstances;
– Synonymous with a taste for luxury with pedigree and craftsmanship which he/she is willing to pay for;
– Aspires an aura of exclusivity;
– Craves an experience heightened by exceptional service along with a personal relationship;
– Seeks products which are different and more sophisticated – whether it’s apparel, electronics, food or insurance.
– Wants to feel in command of his/her purchase decision without any buyer’s remorse.
Moreover, what he/she purchases is a visual extension of his/her personality, individuality and lifestyle. A well crafted product, for example, reflects his/her individual call to beauty.
Discerning vs. Demanding
There is a clear distinction between a “discerning” client and the “demanding” type.
A discerning client is one capable of good judgment. This client will typically:
– Appreciates the difference between quality and quantity;
– Carefully considers what his/her requirements and needs are and be able to prioritize them;
– Value good service and products, and acknowledge them;
– Be able to judge which consultant can be trusted and be relied upon to do great work;
– Understands that there are other clients and other priorities beyond himself/herself and his/her own.
Thus, the discerning client appreciates what is really required and feasible to obtain, understands the concepts of quality and function, and appreciates the value of good products and services.
On the other hand, a demanding client is one that could, in the worst sort of instance, be summed up by the word “demand.” This type of client could typically display one or more “imperfections”, for example:
– Simply wants everything he/she feels he/she wants or needs to be done;
– Wants everything done promptly;
– Persists in making additional requests for further work (products, changes, etc.) while reluctant to consider the issues of impacts on other factors of function, schedule, cost or quality;
– Expects a lot of attention on demand;
Hence, the demanding client expects plenty, regardless of the true value of it, whilst failing to properly appreciate core concepts such as quality and value. Additionally, his/her behavior is typical of someone who is self-centered and selfish.
Catering to the Discerning Client
It takes skill, patience, resolute and a good understanding of needs to cater to discerning customers – most notably in the luxury sector. It takes an even greater effort to keep them coming back repeatedly.
To succeed in gratifying the seemingly sophisticated client, the organization should develop a comprehensive strategy along with efficient implementation tactics. These include:
– Having a clear and unique value proposition that hooks them;
– In retail and hospitality sectors, exploiting the five senses to attract and retain them – categorized as “ambiance”/”sensorial” marketing and branding;
– Staff must be customer centric, patient, empathetic, and good listeners – remaining calm under duress during client interactions;
– Employee retention – hiring for attitude and training for skills;
– Utilizing a hands-on approach;
– Probing clients’ specific needs/requirements – know their motivations;
– Earning their trust and confidence;
– Offering a personal touch – individualized attention with customized solutions;
– Being frank and transparent with pricing, offers, proposals and promotions;
– Proposing an expansive product selection and service options;
– Outstanding and consistent levels of customer service throughout the organization;
– Reducing or eliminating waiting times – whether on the phone (reservations, customer service etc.), as well as for service or an appointment at the physical location;
– Offering customer loyalty programs – a great way to make them feel special and that they’re getting something extra;
– Asking for feedback with regards to service and product experiences and ways to improve those experiences – they’re typically strongly opinionated and relish giving it;
– Implementing the latest technology with all touch points (where applicable).
In addition, keep your brand offerings constantly refreshed. Give discerning customers a reason to repeatedly do business with you. Macy’s in New York, considered the world’s largest department store, underwent through a four year $400 Million makeover. Product is organized by lifestyle to help customers create looks and build wardrobes across categories.
Sell a distinct lifestyle which is what discriminating clients crave and gladly relate to. Be in the forefront of creativity and have all your staff, regardless of department/responsibility, on the same marketing page.
Occasionally, organize exclusive by invitation only events as a patron appreciation gesture. Being invited to an exclusive event makes one feel notable. For example, Italian sports automaker Maserati invited a select number of brand loyalists to a new experience in Europe that gave them the opportunity to sail on-board the 70 ft./21,3 m Maserati sailboat. In addition, they drove models in its current range including the new Maserati Gran Turismo Sport model.
Create/publish an upscale lifestyle magazine, every other month or quarter, which should include noteworthy information on the brand – in an environmentally friendly print format, as well as in digital format. The Bentley motors magazine is a good case in point.
Putting it All into Perspective
Discriminating customers’ purchasing attitudes are based on personal beliefs and taste for finer things in life. They are quite selective, know what they want and aspire to be catered to effortlessly. They seek the total customer experience along with pampering, personalized service and value for money. Some will argue that discriminating customers also consider transacting with companies that demonstrate corporate social responsibility.
A key difference between “discerning” and “demanding” is that the former requires what is important and expects it when it can be reasonably obtained, whilst the latter requires everything regardless of other considerations.
A brand which is involved in the business of offering a luxury and/or premium product or service should be well prepared to cater to a discerning clientele and avoid complacency. As a result, the entity will benefit through repeat business, as well as a word-of-mouth angle, since such customers are likely to tell friends and relatives about their experiences – especially in the world of social media.
Whether offering products or services, a business is expected to create connections and engage in conversations with its prospective clients ─ but equally important, with its existing clienteles. While these connections might come in the form of attractive print ads, or utilizing social media/digital platforms, or even face-to-face interactions at various touch points, they should all be tailored to initiate meaningful conversations between brand and consumer. Conversations that can achieve sales targets along with obsessive fan followings which ultimately boost the popularity of the brand.
Customer engagement: the essentials
More than 20 years ago, a popular method for companies to obtain sales was to utilize a sales force and apply pressure tactics. Some companies used the telephone as their tool of choice for cold calling. This was a typical marketing and sales approach. Sales staff where trained in persuasion and closing techniques including answering the most popular objections. This is what is known as a “push” strategy. Today, customer engagement works in reverse. It is the customer, whether an end-user or a business, who decides if and when to communicate with a company. The typical contemporary consumer has the power of the internet and word of mouth in determining great deals and which brands they should be transacting with. Moreover, on the consumer side, there are countries with strict national regulations concerning telephone solicitation. This has had companies scrambling to stay relevant with the times and is considered a “pull” strategy. There is also a refined marketing method known as “Permission Marketing” (opposite of interruption marketing) which was coined by marketing maven Seth Godin. As a result, marketers have been adjusting their strategies and integrating them with online and offline marketing activities, along with a laser focused approach with their specific audience. This has resulted in deep customer engagement.
Customer engagement is not a single outcome ─ it is an ongoing dialogue. They have come to expect more personalized interaction, customized solutions, timely results and most certainly a “bang for their buck.” This requires brands to be customer centric ─ with everyone in the organization on-board, in addition to being well versed in the digital age. This includes blogging, Twittering, Instagram posting and viral marketing among others. One other notable trend is towards widespread audio and video production and communication. From podcasting to mobile video, audio and video is predominating in our digital world.
Push vs. Pull marketing
Push marketing and pull marketing are different yet complementary marketing methods for promoting a business – most notably online.
Push marketing is more traditional methods of advertising – essentially, you are pushing your message to your audience, regardless of whether they want to receive your message or not. Push marketing focuses on product features and awaits the audience to respond. Examples of push marketing include email marketing, website advertising, and cold calling.
Pull marketing is more proactive, pulling the customers toward your brand/product with targeted messages they care about. Pull marketing is all about brand building. Examples of pull marketing include media interviews, public speaking, and word of mouth advertising.
The holistic approach
Consumers today are more brand conscience, better informed and with more options. Despite this, there are companies which continue to spend money advertising and selling product rather than brand. They place emphasis on price and quality as differentiators despite these two being overused by many copycats. Successful brands take a holistic approach to selling by exploiting the five human senses which now constitute the brand. This is accomplished by what I regard as “ambiance marketing” and “sensory/sensorial branding”, through a captivating designed setting, yet alluring. This adds character and invites clients to truly feel the brand experience.
The five senses, when applied toward the customer, are regarded as follows:
Visual – lighting, decor, colors, layout…you can get a real sense of movement using these elements.
Auditory – music, effects, volume, vibrations…you set the tone and the energy of the room with your sonic selections.
Tactile – textures, comfort, climate…this is all about how your guests interact with the environment. This is a big thing to consider when you are designing the layout.
Olfactory – fragrance, emotion, ambiance…this sense is under-rated and powerful. Of all our senses, the sense of smell is most closely linked to emotion and memory. You can use something as simple as burning incense or candles to something far more complex like computer controlled scent machines to enhance your environment. This could just be the extra touch needed to set the mood.
Gustative – with food establishments, the challenge is in finding the perfect balance between sour, salty, sweet, and bitter during menu designs and beverage selections. The presentation also makes an impact on the overall image.
Storytelling along with the total customer experience
Standard products and mundane user experiences don’t offer compelling reasons for consumers to do business with certain brands. If a business can’t articulate its USP (unique selling proposition) ‒ as to why anyone should do business with your brand, your product and/or service merely becomes a “commodity” whose price will be the sole determinant in any transaction. Being formidable and considered top of mind in your B2C sector requires a philosophy – a certain culture which will develop a following by consumers who share your values.
Quality materials, assembly and final product look increase a company’s competitiveness. The quality of a product may be defined as “its ability to fulfil the customer’s needs and expectations”. If the characteristics and specifications of a brand’s product line are equal or superior to its competitors, along with a fair price-value equation, the brand will turn out to be a preferred choice.
Storytelling, on the other hand, builds relationships by the stories that are well told. Stories add personality and authenticity to products which customers can better relate to and feel affinity with. Luxury brands tend to boast their pedigree since their discerning clientele desire a deeper level of involvement and understanding of the history and heritage of the brand when it comes to their luxury purchase. This is referred to as “experiential luxury.”
It is essential that the sales professional be product proficient and adept at assisting and guiding the client to the purchase making use of flattery, romance and showmanship. To illustrate, when selling a niche automobile such as a Porsche, the sales consultant can talk about racetracks, describe road-holding capabilities, build-up a fascinating story – after which time he/she can bring-up reliability and the technical details which confirm to the discerning client what he/she is already aware of.
When consumers are delighted by a particular brand experience, they begin to bond emotionally with it. They become brand loyalists and advocates – purchasing the brand more often and recommending it to others. This behavior serves to build the brand’s reputation.
In the end
With a plethora of marketing noise, differentiation in the delivery of non-evasive communication, personalized service and focus in niche markets will be the determining core value equation for success in attracting and retaining clients.
When consumers are treated with honesty and delighted by a particular brand experience, they begin to bond emotionally with the brand. They become brand loyalists and advocates – buying the brand more often and recommending it to others. This behavior serves to build the brand’s reputation. This approach is priceless –even though it may take longer to take positive effect.
Delirious, confused and frustrated are merely three terms which best describe what clients typically experience when dealing with many customer support representatives. Excellent customer service is a crucial component of your business image and philosophy. Regardless of how good your products and prices are, if you can’t offer a positive experience for your customers, they will likely not return. Moreover, you can be certain they will spread negative word-of-mouth. With social media so prevalent, a brand’s reputation can eventually take a nose dive. Today, customers are more demanding than ever. They want to know their issues are genuinely acknowledged and demand timely results. Simply apologizing to them does not suffice.
Do head honchos get it?
Much is touted by companies about customer satisfaction but surprisingly only a few actually deliver on their promises. Prominent brands are not immune either. At the outset, it appears that many lack a vital customer relations policy. Inadequate staff training amongst other factors further aggravates the problem. Picking up the telephone and calling certain companies, for example, can sometimes lead to an exasperating experience. People love to hate the phone tree experience where you have to go through a maze of menus until you eventually get to speak to a human – assuming you’re lucky. It shouldn’t have to be that way.
The executives who are is in charge of finance and operations respectively (consider the CFO and COO) are mainly focusing on costs and productivity even to the detriment of the average customer. Consequently, they will measure the calls answered per minute – regardless of the outcome. In contrast, a customer focused executive will reward those who take their time to listen, engage and solve customer issues.
Deliberate bad customer experience
Sadly, some brands have a built-in mechanism to test their systems with some clients in the hopes they will give in which in the short term will not entail refunds or product returns which can hurt bottom lines. However, this approach is quite short sighted with long term negative consequences. Those companies use their seemingly discounted prices to lure customers but their real business model seems to be in tricking customers with inaccurate payment information and then charging extra for any delayed payment amongst other inconveniences and unpleasant surprises along the way. Many gym memberships and website hosting service organizations are notorious for such trickery. Their hope is that through a lack of awareness, or constant frustration an average customer will simply cave in. This ultimately backfires with constant negative consumer publicity and an unusually excessive business turnover. Most modern consumers are too sophisticated to relinquish their rights to fair treatment. Companies may ignore this syndrome claiming it’s a ‘numbers game’, as well as a cost of doing business. Though, in the process, they also corrupt their front line staff who have to address an abnormal rate of legitimate grievances.
Marketing maven and best-selling author, Seth Godin rationalizes it this way:
“Unfortunately, just about all big customer service organizations do this precisely backward. They don’t escalate to a supervisor or roll out the kindness carpet until after someone has gone to Defcon 4. They decide that it’s too expensive to be flexible, to listen or to treat people fairly, and they wait until the costs to both sides are really high, and then they give an empowered person a chance to solve the problem. There’s huge waste here, as the problem costs more to solve at this point, and the unseen challenge is that they’ve established a cycle in which umbrage is the rewarded behavior.”
The customer centric organization: solving issues before they occur
Going above and beyond customer expectations is focusing on customer centricity. It begins by developing, implementing and continuously delivering a total positive customer experience at every touch point and beyond. The costs and benefits of this practice are equally beneficial for the customers and the business. A University of Michigan study revealed that companies which received high scores in the American Customer Satisfaction Index (ASCI) consistently outperform the S&P 500. Those companies include Walt Disney and Amazon, amongst others. Those are most certainly organizations that focus on quality over quantity and measure what truly make them remarkable.
The after sales service department should be designed with an efficient infrastructure in place so as to make the entire experience an effortless task for both the customers and employees who are assigned with the responsibility. It should be easy for the client to reach a customer service agent and/or online agent to chat with. Moreover, the client should not have to be placed on hold for more than 5 minutes. Whenever the wait is more than two minutes, there should be an option to offer a simple way to be called back. The organization’s mindset should be to constantly think of ways to release tensions and give solutions to the client promptly.
Since many of the inbound calls normally concern frequently asked questions, why not have them prominently displayed on the website and/or printed on the product insert. Having them recorded as an option on your phone line, in a clear English voice (and second or even third most popular language relevant to the region’s business demographics), can eliminate unnecessary calls and waiting times with a live person.
Staff tasked with customer service should:
Possess a positive attitude under duress;
Be initially trained and occasionally re-trained,
Treated with respect, and
Be empowered to make timely customer satisfaction decisions on their own.
There is no better example to illustrate this than online shoe retailer Zappos.
What customers get to see displayed prominently on the web site:
– 24/7 1-800 number on every page
– Free shipping
– Free return shipping
– 365-day return policy
What customers will experience:
– Fast, accurate fulfillment
– Most customers are “surprise”-upgraded to overnight shipping
– Creating a “WOW” factor
– Friendly, helpful “above and beyond” customer service
– Occasionally direct customers to competitors’ web sites
What’s done behind the scenes?
– No call times, no sales-based performance goals for representatives
– The telephone is considered for them one of the best branding devices available.
– Run warehouse 24/7. Inventory all products (no drop-shipping).
– Five weeks of culture, core values, customer service, and warehouse training for everyone in Las Vegas office.
– A Culture Book
– Interviews & performance reviews are 50% based on core values and culture fit.
Putting it all together
Within every organization, decision making drives performance. Every day, employees at work make decisions that impact performance. These decisions, at every level of the organization, including customer service policies and tactics, define the corporate culture and drive performance.
It’s important to keep in consideration that measuring customer satisfaction is a way to assess its effectiveness, and refine what’s necessary along the way. This is performed by evaluating communication at your help desk or and/or call centers, as well as conducting surveys or sending out brief questionnaires soon after a call has been consummated. How satisfied were your customers with the level of service they received and will they do business with you again in addition to recommending you to others?
Customers are not concerned about your operational problems, your costs and margins, your lead times, your staff shortages, and much more. They are only interested in themselves and the benefits they may be able to obtain from your business instead of the one down the street, or the other ones found over the internet.
Thus, a priority need for every (selfish) customer or prospective buyer is timely and personal service.
Bill Marriot said it succinctly with “Take good care of your employees and they’ll take good care of the customer—and the customer will come back.”
This management philosophy isn’t common but it is shared by both Southwest and Costco. When using either company you can experience it as employees are generally in a great mood, and in turn, happy to help.
Customer centricity should be everyone’s job in an organization. It’s to be embedded in the internal culture. It begins with the top leadership and permeates through the entire organization. Implementation of new and refined strategies and tactics equate to daily and long-term success in building profitable customer relationships. Been helpful with your customers, even if there’s no immediate profit in it, is simply a good business practice with pragmatic thinking for the long-haul.
We constantly hear remarks and stories of deplorable customer service. I would think that brands would be more attentive and proactive. Unfortunately, this is not the case. You would have thought that they would make “devotion” a coherent strategy.
It should begin with the “trust” factor. Seth Godin, the much regarded marketer, asserts, “Institutions and relationships don’t work without trust. It’s not an accident that a gold standard in business is being able to do business on a handshake. Today, though, it’s easier than ever to build a facade of trust but not actually deliver. “Read the fine print,” the financial institutions, cruise ship operators and business partners tell us after they’ve failed to honor what we thought they promised.”
“Devotion” on the other hand, is instinctive – an emotional connection to you, your brand, your company, and your products. It’s what your customers (new, existing or former) are saying about you on Twitter, Facebook and other online social networks.
Customer experience as the key competitive differentiator
Your best defense and your competitive differentiator is your ability to create great experiences for your customers. It goes without much thought that loyal customers come back and purchase more because they get their needs served and/or problems solved.
Marty Neumeier puts it clearly in his book, “The Brand Gap: The brand is not what you say it is. It’s what they say it is.” Talking to prospects and customers is paramount to get a sense of what they’re thinking. What values are your customers receiving from your business along with its products or services? How does that experience compare with what other similar providers you may know deliver? Then how does what the consumers have said about the brand experience line up with what the company believes it delivers?
If we compare the customer experiences of say, Best Buy vs. Amazon, the differences are quite evident as to who is doing a proper job making their customers content and devoted. When a client mistakenly purchases the wrong DVD at Best Buy – one he already had and returns the next day to exchange it for the correct one and all he hears from the customer service staff member is, “Sorry, DVDs are “software” and can’t be returned or exchanged once sold – no exceptions!”, it makes you think how aggravating it is to do business with that big box retailer. Amazon, on the other hand, not only allows easy return or exchange for DVDs without restrictions; the company will even buy back ones you’re finished with. Moreover, even if the customer is outside the return window or is otherwise technically not entitled to do what he’s/she’s asking to do, the company will go out of its way to bend its policies in the interest of happy customers and the enduring customer relationship. The difference? Amazon does what customers want – it completely crafts its business practices, its systems, and its people to support it, whereas, Best Buy does what would be most convenient for the company for consumers to want but don’t, then hope for the best. That’s not a consumer driven strategy by any stretch of the imagination.
Customer loyalty in the luxury domain
Over in the luxury sector, sought after by discerning clientele, the product itself does not suffice. Hermès has impeccable products, the top-tier of luxury goods,” said Milton Pedraza, CEO of the Luxury Institute, New York. “In terms of what customers want, they have the top design, quality and craftsmanship. What Hermès may need, however, is a refresher course in customer experience.”
“Consumers tell us in research and anecdotally Hermès is the pinnacle of product delivery, but they could become far better in customer experience,” Mr. Pedraza said.
Automobile manufacturer Audi focuses relentlessly on being the number one premium car brand, and number one for customer satisfaction among competing brands. This approach is firmly rooted in building satisfaction and loyalty among existing customers so when it’s time to replace their car they buy another Audi. In developing a clear differentiation from its competitors, they don’t solely emphasize the quality of their cars – they add the pizzazz of customer experience and service. Achieving this relies in part on two key factors defined by the executives at Audi: delivering excellent customer satisfaction, and making Audi the best place to work in order to attract the best quality people, who will deliver that customer experience.
What can those on the front lines do to enhance the customer experience?
There are companies which spend a significant amount of money in marketing to entice prospects into a paying customer. However, once the prospect is at the stage of dealing with a company’s staff, the outcome lies in the hands of those employees who many are not adequately trained, if at all, to offer a positive experience. This type of “human marketing” undoubtedly moves beyond the marketing department. It’s about every employee and manager in the company delivering on the promise made to the new customer and giving them additional reasons to purchase repeatedly from the same outfit and receive recommendations too. In essence, this requires all employees and managers to be on the same page and understand that their job is to retain happy customers. The name of the game is to build a lasting, profitable relationship with them, and turn them loyal and devoted, thus, repeat customers who become passionate and recommend/refer your company to their friends, family and business associates.
Whether it’s B2C or B2B, sales and marketing people should co-exist, as well as the people in finance who are normally not considered marketing oriented but rather analytical. Equally trained to be customer centric is the receptionist, delivery people, and in the manufacturing industry, the product development division should be well versed with their target consumers’ requirements.
Founded in 1997 in the UK, YO! Sushi brought the concept of a Japanese “kaiten” sushi bar that delivers food to customers via a conveyor belt traveling 8cm (about 3 inches) per second. It has become the original and most famous sushi brand in the UK. The experience is fun and exciting, whilst the food is considered, by many of its patrons, revolutionary and made lovingly. Simon Woodroffe, its visionary entrepreneur and founder, built his business beyond the “buy”. For him the profit is in the “buy again.” He doesn’t want you to just come and eat at his restaurant once, he wants you to become a customer for life and repeat buy from his establishment, so that his marketing spend on initially attracting you to his restaurant in the first place can be recovered. By the time you are on your second and third visit, he has recovered his marketing investment in getting you as a customer, and you are now becoming a profitable, loyal and devoted repeat customer.
All employees should be considered as an entire marketing team. As such, they must be placed at the center of the business and continually developed, inspired, trained and given the tools to perform at the highest level. There is no such thing as an ideal time to do so – regardless of the economic downturn as all companies must work harder to attract and retain customers.
Take into account that:
– In a progressive customer driven entity, training and developing the human assets should be an ongoing process;
– Companies should be an enemy of the “status quo”;
– Mystery shopping (in person and/or by phone, as well as online) should be frequently conducted to get a sense of what an actual customer experiences – then taking action to rectify and improve the experience.
Case Study: Zappos
The following is the Zappos business mantra which should serve as inspiration for customer driven enterprises.
What customers get to see displayed prominently on the web site:
o 24/7 1-800 number on every page
o Free shipping
o Free return shipping
o 365-day return policy
What customers will experience:
o Fast, accurate fulfillment
o Most customers are “surprise”-upgraded to overnight shipping
o Creating a “WOW” factor
o Friendly, helpful “above and beyond” customer service
o Occasionally direct customers to competitors’ web sites
What’s done behind the scenes?
o No call times, no sales-based performance goals for representatives
o The telephone is considered for them one of the best branding devices available.
o Run warehouse 24/7. Inventory all products (no drop-shipping).
o 5 weeks of culture, core values, customer service, and warehouse training for everyone in Las Vegas office.
o A Culture Book
o Interviews & performance reviews are 50% based on core values and culture fit.
All employees should be marketers
• What are you and your team presently doing to make certain that your active customers don’t belong to your competitors tomorrow?
• How is the present customer experience perceived with your organization, product and/or service? How would you describe your internal culture, core values, and customer service policies/procedures?
• Finally: Are your customers devoted, loyal, or simply bored doing business with your organization?
Devotion should be considered a walking and talking advertisement – a potent word-of-mouth. Consequently, customer devotion should be the ultimate goal of every business leader and sales professional.
It doesn’t take a genius to realize how few companies these days actually “Walk the talk”. What does this mean, you ask? I refer to “the total customer experience”.
Richard Owen, vice president of Dell online worldwide, says: “It’s the sum total of the interactions that a customer has with a company’s products, people, and processes. It goes from the moment when customers see an advert to the moment when they accept delivery of a product and beyond.
Sure, we want people to think that our computers are great. However, what matters is the totality of customers’ experiences with us: talking with our call-center representatives, visiting our Web site, buying a PC, and owning a PC. The customer experience reflects all of those interactions.”
You can claim that Richard Owen would say this considering the customer centric position of Dell and the nature of their business. However, his poignant statement is applicable to any business of any size. Having a vitally active and dynamic Customer Relations Policy is should be crucial to your business.
If your staff is inadequately trained, this lack of insight into CRM only aggravates the problem. When we act as clients ourselves, we can clearly see this process in action. Just pick up the telephone and call a company, which does not value CRM. It can be an exasperating experience.
People love to hate the phone tree where you have to go through a maze of menus until you eventually get to speak to a human. To make matters worse, there are companies that outsource their call center offshore to a country where employees have a peculiar accent and pronunciation not well understood by the average North American or European – and who simply follow a script they can’t deviate from.
Common intelligence tells us that it shouldn’t be this way. How a customer is dealt with reflects on the integrity of the brand, and the image of the company in the mind of the consumer.
Out of 362 leading companies surveyed, 80% believe they deliver a superior customer experience, but only 8% of their customers agree, states Bain & Company, a leading management consultancy firm. Moreover, the larger the market share of the firm in question, the greater the risk that this firm will take its customer base for granted.
Much is touted by companies about CUSTOMER SERVICE but surprisingly only a few actually deliver on their promises. At the outset, it appears that many lack a vital customer relations policy. Inadequate staff training amongst other factors further aggravates the problem. Picking up the telephone and calling certain companies, for example, can sometimes lead to an exasperating experience. People love to hate the phone tree experience where you have to go through a maze of menus until you eventually get to speak to a human – assuming you’re lucky. It shouldn’t have to be that way. How a customer is dealt with is a reflection of the brand – the image of the company in the consumers’ mind.
“Customer service is a philosophy that starts with how a company or individual demonstrates their behavior in service and product,” says Marvin Sadovsky, founder of Leadership Strategy LLC and author of Selling the Way Your Customer Buys.
The organization may call its division “customer relations”, “customer experience”, or other fancy designation. No matter what’s decided to label it, its focus will be primarily on serving the customer. Yet, it won’t make a difference if its executives/owners all the way down to those directly involved with clients, are not on the same wavelength. They all ought to be committed. This applies for business-to-consumer, as well as business-to-business markets, product or service industries.
Unconventional Business Wisdom for the refined entrepreneurial mindset - by James D. Roumeliotis 