Monthly Archives: September 2014

Pay In Advance

Foodie Friday at last! Here is a question for you: why is it that we pay for a meal in most restaurants after we are done and yet we pay at most quick service places before we actually even get the food? I’m guessing the immediate thought you had was that you sit and enjoy the meal in a restaurant, perhaps ordering as you go, while at a fast-food joint you’re eating and running. Is that really true though and what effect might changing that thinking have on both your experience as a customer and the restaurant’s business?

A meal at Claim Jumper which has its headquart...

(Photo credit: Wikipedia)

Let’s give it some more thought. How often does your party order additional food (other than perhaps dessert and/or coffee) once the initial order is given? Do you usually order your appetizers alone or are you specifying your entrées at the same time? I’ll bet it’s the latter.  I’ll make an argument that changing that thinking might be better for both parties: the customer and the restaurant.  There’s a business point in here too.

First, the customer (always in this space!). By ordering the entire meal upfront and settling the bill even before the food arrives the customer is free to leave when they’re done.  How many times have you finished a meal and then had trouble getting the server’s attention?  Haven’t you ever given a server your credit card only to have them get another table’s food while you wait around?  Annoying, isn’t it?  And good luck if there is an error on the bill – that can take quite a while to fix while you’re ready to leave.

The tip isn’t an issue either.  In many other countries, service is stated upfront and tipping is discouraged.  Sure, we like to think of the size of the tip coinciding with the level of service but there is nothing that prevents you from putting some additional cash on the table as you leave if you feel the service charge isn’t enough.

Next, the restaurant.  Turning over tables is the business.  The longer people stay put the fewer meals you’re serving.  With the bill settled I’m wagering people will leave sooner.  In doing a little research on this I found that when upfront payment was tried it increased table turnover by over 80%.   Sounds like a win-win to me.  So why isn’t this the norm?

That’s the business point.  Too often we do things just because that’s how we (and in this case almost everyone else) do things.  Part of our job as businesspeople is to ask questions about our systems and processes and remember that made sense a year ago may not make any sense now.  Even if it does, maybe there is a better way that works both for your business and for your customers.

Make sense?

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Filed under food, Thinking Aloud

The Data Sandstorm

One client is in the midst of the back to school season and the data is flowing in like water over the Niagara Falls.

English: A massive dust storm cloud () is clos...

(Photo credit: Wikipedia)

There is so much coming out of web activity, social activity, email activity – where does one begin? It got me thinking about how it is like driving around in the fog or a sandstorm. The data get more dense and navigation becomes impossible.

One thing some people do to clean off the windshield is to wipe away the data.  They regularly make decisions based on gut feel or something they read that may have worked foe someone else.  Why let facts get in the way of a good story, after all?  I am not a fan of using data as a crutch nor as a shield.  It should be used to guide decision making but not as a replacement for your own vision. However, if you don’t measure the impact of whatever decisions you’re making and confronting the results of those decisions, the business is managing you and not vice-versa.

Data needs to support decisions.  When someone says we’re going to do X ask them what data they used in deciding to take that course of action.  The less data-driven the decisions was (and that’s OK), the more rapidly the action needs to be measured and the result quantified (although some of the results may be qualitative instead of quantitative).  I’ve found that just asking the questions can have a beneficial effect.

Yes, it’s inconvenient when the numbers don’t back up the course of action you (or your boss!) have in mind.  It may be inconvenient but it shouldn’t be ignored.  It may be hard to navigate in the sandstorm of data that overwhelms us but no one said business was easy.  Thoughts?

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Filed under Consulting

Stand By Me

Every once in a while something happens that restores my faith in how smart businesses deal with their customers.

Wüsthof

(Photo credit: Wikipedia)

Today is such a day and the company is the folks at Wusthof.  Let me relate the particulars and hopefully it brings a smile to your face as it did to mine.  More importantly, hopefully there is a business point that’s helpful in your business.

As you might know if you read the screed, I like to cook.  One very important part of the effort for me is having sharp knives.  Over time I’ve actually convinced the other cooks in my home that keeping the knives sharp makes cooking easier and accidents less likely.  While the knives get honed all the time, every so often they get a real, professional sharpening.  Today was one of those days.

The Mrs. took many of the knives in our collection to the local Wusthof outlet which does sharpening.  Most of our knives are that brand and we’ve been assembling the collection for the last 20+ years.  She gave them to the salesperson who looked them over and said that she wouldn’t sharpen some of them since the handles were beginning to crack and they ought to be replaced.  Since we never put knives in the dishwasher this must have been from normal use (although frankly I never noticed anything).

This is where my faith was restored.  The salesperson informed my wife that Wusthof stands by their knives and she was going to replace all the ones in question.  For free.  After having the remaining knives sharpened, my wife walked out with 5 new knives – easily worth a few hundred dollars – and a shocked smile on her face.  She never asked to have them replaced – we never even noticed anything was amiss other than they needed sharpening.

What is the official knife of me?  What brand will I be recommending?  Duh.  But this is how customers should be treated, whether it’s a high-end knife or something else.  Brand loyalty is a two-way street.  It’s earned before it’s given and you have to stand with the customer, not oppose them.  To any of you who will be receiving gifts from me in the near future, expect something sharp.  To those of you trying to create fans, you can use all the social tools and run all the ads you want.  Nothing can do so as well as one customer having an amazing experience and telling the world about how great your brand is.

Got it?

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Filed under Consulting, What's Going On