Category Archives: Huh?

Siriusly?

Sorry about the length of today’s screed, but the tale is a doozy and requires some explaining. I’ve been a customer of XM radio (now SiriusXM) since 2005. I love the clear sound and diversity of channels, and the fact that several of my favorite artists have dedicated channels keeps me paying those subscription fees without remorse. I’ve also found that on the few occasions I’ve needed something from customer service they’ve been helpful and efficient. That changed yesterday and it can serve as a lesson for any business.

I dropped an old XM radio a couple of weeks ago and it refused to turn on. I reached out to Sirius customer service and they offered me a new radio at a very attractive price. Unbeknownst to me, they also attached a new subscription to the radio, even though I already had a subscription (which I had just renewed) attached to the now deceased radio. In other words, 3 subscriptions and 2 radios.

I reached out to Sirius yesterday to cancel one of the radio subscriptions. The experience was like finding out that your kindly old aunt is really an ax murderer who flies into a killing rage at the mention of a secret word. In Sirius’ case, the word was CANCEL. The lovely customer service agent understood why I wanted to cancel and transferred me to what I guess is the department assigned to customer retention. I explained the situation – 3 subs, 2 radios – and was immediately offered a third radio. I politely declined – I only have 1 car and 1 house and there are radios in each. I was then told there would be a $50 early termination fee. Needless to say, that didn’t go over well and I reminded this agent (less politely, I’ll admit) that I didn’t create this problem: the agent who added a new subscription to the new radio rather than just transferring the old one over did (you don’t suppose they’re paid commissions on new subscription sales, do you?).

I was transferred to a manager.  After she began reading me a script (“when you first got the service, what did you like about it?”), I interrupted her and said she needn’t go through a retention script because I was not dropping the service – I just wanted to drop an unnecessary subscription.  After then having basically the same chat I’d had with the other agent, I was transferred to the department supervisor.  By now I’d been on the phone with them for well over 30 minutes and I was beginning to get angry.  The same chat ensues except it ends with I can send you a new radio and then we can cancel without a termination fee.  WTF?  I reminded her that her actions would cost her company money (the cost of the radio, shipping, etc.) as well as cost me the time it would take to call them back after I get the new radio to cancel.  I will spare you several other details, but the situation was resolved when I realized that they were trying to cancel the “new” subscription and not the subscription assigned do the broken radio, even though I had read them the ID of the radio I was trying to cancel.  Once I was very specific – cancel the subscription assigned to radio XXXX, we were done in about a minute.  Total time on phone: 53 minutes.

In no particular order:

  • Service” implies helping the customer reach his or her goal for the interaction.  In this case, Sirius threw up barrier after barrier.
  • At no point did any of the 5 people with whom I spoke offer to apply the money from the third subscription to extend the others.  Big missed opportunity.
  • I realize that the cost of a radio is tiny compared to the lifetime value of a subscriber, but Sirius was not losing a subscriber and was sending the radio fully knowing that the subscription would be canceled anyway.  What COULD cost them a subscriber was the ill will generated by obfuscation and delay not to mention the time it took when I should have been working.

I also realize that nearly every subscription business – cable, magazines, etc. – employs the same tactics so I’m using Sirius as an example.  I really was considering canceling all my subscriptions at one point – streaming music in the car is pretty easy these days – but that seemed self-defeating.  Still, none of us can afford to alienate our best customers, let alone the marginal ones, can we?

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Filed under Helpful Hints, Huh?

Standards And Practices

After selling a schedule of TV ads to a sponsor, there always came a moment during which you held your breath.  It was the time when the sponsor’s commercial was reviewed by the Standards And Practices folks.  They reviewed the commercial to be sure that it complied with governmental and network rules about such areas as comparisons to competitors or “taste.”  Any claims about a product’s efficacy had to be supported by actual research. We weren’t even allowed to present avails (the beginning of a negotiation) unless a new advertiser could pass a background (read Dun and Bradstreet) check by the finance folks. 

I have no idea if those processes are still in place at my old network homes (I suspect they are), but I know that they’re not in the digital world.  Marketers often wonder about the ad blocking phenomenon but one aspect of it might just be the tremendous number of scams and consumers’ wariness of all ads as a result.  As a former web publisher, I always had a concern about the ads that came to our site via an ad network and I felt incredibly bad when we accidentally ran some banners that installed malware.  In retrospect, there were a number of red flags on the order that we should have caught, but the desire for the cash outweighed our wariness.

It’s much worse today, given the number of “imported” pieces of advertising and advertising disguised as content most sites run.  Even the best of publishers have revenue pressures that can blind them to the dirtbags to which they routinely direct their readers.  One solution?  Maybe the industry – publishers and advertisers – need to set up and pay for a central review board through which all ads need to pass.  Call it the digital advertising Standards and Practices department.  No sign off from them, no seal of approval, and the ad won’t run.  Maybe not every site will take that on, but promoting it to your readers as a scam-free site might just help both readership and ad blocking.

Worth a try?

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Filed under digital media, Huh?

Misplaced Marketing

Way back when in the dark ages before digital, I used to be involved in selling sports programming to sponsors.  One of the truisms with respect to selling golf was that a lot of CEO’s played and that they would have no problem instructing their marketing folks to sponsor a tournament so they might have a chance to rub elbows with the best golfers on the planet.  Heck, they’d even get to play in the pro-am with the golfer of their choice. The assumption was that they would see the world through their own prism and justify the marketing expense based on their own views of the world.

You might think that marketing in that manner is a piece of ancient history but you’d be kidding yourself.  One can see exactly that same mindset at work today.  For example, how many companies are spending way too much of their budgets on traditional media because the CMO never has streamed anything?  How about the companies whose social media efforts are totally devoted to Facebook – a place where the head of social media spends hours reading her 50-something friends’ posts – when most of their young audience is over on Snapchat?

We can’t be everywhere.  Even the biggest brands have limited human and financial resources and the smart ones allocate them to the places and platforms their customers use.  You might find Buzzfeed ridiculous but if your customers find it entertaining, that’s where they need to find you.

One of the biggest mistakes we can make is to assume that our customers share our media habits, both content and social.  It’s not a bad idea for you to share theirs, learning to use the platforms they use, even if those platforms aren’t where your friends and family hang out.  You can laugh at the CEO who assumed all of his customers shared his love for golf, but you might be making the same mistake.  Are you?

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Filed under Huh?, Reality checks