Tag Archives: Customer service

Not So Great Expectations

The gasoline that keeps a good portion of the sports machine running is sponsorship. I’m using the gasoline analogy today because there has been a high profile sponsorship dispute going on in the world of auto racing and I think it’s instructive to any of us who sell or buy pretty much anything.

You’ve probably heard of Danica Patrick, NASCAR‘s only female driver in its top-level series, The Monster Energy Cup. She drives for Stewart-Haas Racing (SHR), who sold the rights to sponsor her car in 2016 for several years. Somewhere along the line things went south and Nature’s Bakery terminated what was a three-year deal after the first year, claiming that SHR “did nothing other than collect Nature Bakery’s money”. An additional issue was that Danica personally endorsed a competing product (albeit one with no visibility on the car or around the races). SHR sued to recover the agreed-upon payments. As it turns out, Nature’s Bakery will sponsor four cars during this season, split between SHR’s drivers, as part of a settlement.

I spent a lot of years selling sports sponsorships and I know first-hand how hard it is sometimes not to over promise in your zealous pursuit of the sale. In this case,  Nature’s Bakery was told to expect a 4-to-1 return on investment. The reality was there was no significant increase in sales. That could have been due to any number of reasons, including some that had to do with logistics and not with awareness, but it points to a core issue.

When you’re selling anything, setting expectations and agreeing on how performance is going to be measured is key. In this case, many of the measures of awareness did rise significantly, but if the client’s goal was sales then the buyer and seller seem misaligned. Keeping expectations of both parties on the same page and in alignment must be the goal of all parties, and the documents shouldn’t be signed until that goal is reached.

There also seems to be some inexperience in sports sponsorship at work here. A team that has Coke as a sponsor might very well have athletes who endorse Pepsi. An arena with Mastercard as a building sponsor might see an athlete who plays in that building in an American Express commercial. Danica is one of NASCAR’s most visible drivers and her personal endorsements should have been identified to the buyers (even though anyone could find them easily on her personal website). Always remember that a good seller sits on the same side of the desk (figuratively speaking) as their buyer since you’re both trying to accomplish the same thing.

Aligned expectations, appropriate measures of reaching goals, and transparency are how sports sponsorships (and others too!) get done and stay on track. You with me?

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Filed under Consulting, Helpful Hints, sports business

No Water, No Friction

Foodie Friday, and today we’re going to have a think about what microwave ovens can tell us about our business. I don’t know about you, but I use my microwave all the time. I tend to have a fair amount of leftovers around and it seems that my morning coffee gets cold before I can finish it. Both get a quick warm-up in the microwave. But let’s think for a moment about how a microwave actually works.

A microwave is less of an oven than it is a radio transmitter. The thing heats food by causing water molecules in whatever is being heated to vibrate as it sends out electromagnetic radiation. As they vibrate, the molecules rub against one another and it’s the friction that causes heat. If the thing being hit with the radiation contains no water (glass, ceramic, etc.), there is nothing to vibrate and, therefore, no heat created. That’s why the part of the bowl or plate you’re heating up that’s above/outside the thing being heated stays cool (at least until the heat from the food spreads outward). No friction means no heat.

I like to think of a business that way. A big part of what we want to do as businesspeople is to eliminate friction. We often talk about “frictionless” transactions. Business, after all, is built upon transactions between two parties, usually a buyer and a seller. It takes something – marketing of some sort, generally – to get some momentum going towards the conclusion of the transaction, but once that’s happened our job is to remove any impediments that create friction as the deal moves towards a conclusion. It can be a long line a the checkout, it can be unknowledgeable salespeople, it can be a lack of inventory. In short, we want to keep everyone “dry”, since no water means no friction, right?

Ask yourself what “dampens” your process. Where are the friction points? When the deal microwave is switched on, what begins to vibrate and create the heat that too often accompanies a deal?

Microwave ovens aren’t ideal for all forms of cooking but they excel when they’re used properly. Understanding how they work helps us use them appropriately, and we can take advantage of their speed and efficiency. Applying the “no water, no friction” thinking that makes a microwave work to our businesses can help us do the same thing there.

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Filed under food, Thinking Aloud

Cars For Dummies

I bought a new car yesterday. Mine was going on 10 years old and was beginning to show those little warning signs that it was heading downhill. Advocate for proactive action that I am, I decided that 10 years was a good run and that the car and I should part as friends. I know this will come as a shock to you but today’s post isn’t a screed about how my salesperson mistreated me (he didn’t) or how the paperwork takes forever (well, only about an hour) or how I had to negotiate my butt off to get a fair deal (we agreed on numbers in about 30 seconds – yay for the internet bringing transparency).

What has surprised me instead is how much more complex the car is. The decade has turned our vehicles into rolling computers. The owner’s manual – which comes in a few volumes – is roughly the size of a paperback edition of War And Peace. It should have a “hernia hazard” warning on the cover. The car has radar on all sides so that there is no longer a “blind spot”. I can set the cruise control and the radar in front of the car will keep me at a pre-determined distance from the car in front of me regardless of the speed I’ve set. The car will also hit the brakes if it thinks I’m moving toward an object too quickly – useful for idiots that are texting and driving I suppose, but also in case the car in front of you stops short.

I have the ability to connect via Bluetooth, which I had in my old car, but the functionality is much more advanced. In addition, I can link in via a USB cable and have the car perform dozens of functions through my phone and the car’s software. I can install apps in the car, which has its own ISP address. Of course, that’s assuming I can understand how to use all of this. The media center has its own rather large manual as well. My favorite passage in both manuals so far? A warning not to test the collision avoidance system. I suppose some moron thinks driving at a wall doing 40 to see if it works might be fun.

Why am I bring this up? Cars are very complicated machines and while I’m certainly a long-time user of them (as well as a relatively sophisticated user of digital products) I’m kind of overwhelmed. Part of what we need to remember as we introduce new features to current users or our product to new users is that they need help. Jargon isn’t helpful nor are explanations written by technical writers who are engineers first and consumers second. I would have loved a short pamphlet that showed the “Top Ten Things You Will Want To Do First”, written in plain language, highly illustrated, and backed up by a newcomers’ hotline I could call if I ran into trouble. Expensive to support? Sure, but cars are expensive products. Could the dealer have sat with me and provided that service? You bet. Did they? Nope.

Selling the product is only part of the process. Making sure the customer gets every bit of value out of what you’ve sold them is just as important. I’m off to figure out just what I’ve bought here. At least I knew how to get it home!

 

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Filed under What's Going On, Thinking Aloud

The Health Inspector

For our Foodie Friday Fun this week, let’s talk about the grades restaurants receive from the health department. Depending on where you live, you might see an “A” to “F” scale or some number on a 100-point scale. Most jurisdictions require that the establishment display its most recent grade and I, for one, make a point to have a look at it, especially when it’s an unfamiliar place. I don’t know about you, but I won’t eat in a place where the grade drops below 92 or “A”. Better safe than sorry, right?

I looked up the record of a place in which I eat frequently. It’s well-run and I’ve peeked in the kitchen to see if my opinion might change (back of house and front of house are two very different worlds, after all). It too looked well run. Their last 9 inspections confirm this – they run from a low of 96 to a few perfect scores of 100. Does that make the food taste any better? No, but at least I have no qualms about tasting it.

Why do I raise this since most of us aren’t in the restaurant business? Because each of us gets inspected and publicly rated every day. Search for any business and you’ll almost assuredly see several review sites or actual reviews in the search results themselves. I’m not even thinking of influencers here, just normal folk who have some information (if they’ve patronized a business and you haven’t, that’s knowledge) and the ability to share it. I suspect that Amazon’s product reviews are almost as valuable an information source as their purchase data, and Consumer Reports has built a business in doing unbiased reviews for as long as I can remember.

Everyone who interacts with you business is a health inspector of sorts. The National Restaurant Association has some tips on how to prepare for a health inspection and a few just might apply to your business as well:

  • Walk into your establishment from the outside to get an outsider’s impression.
  • Brief your kitchen staff to review any problems post-inspection.
  • Ensure all staff are on the same page.
  • Know your priorities.
  • Train your managers to ensure they are up-to-date on the latest food-safety techniques.
  • Review your local health code.

In other words, approach things from the customer’s perspective, reinforce that need to everyone on the staff, operate as a cohesive unit, listen and respond to customer feedback, stay current and be sure you’re operating under whatever set of rules govern your field of business. Those tips will keep health inspectors of any sort happy, don’t you think?

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Filed under food, Thinking Aloud

Adding Value

I think most of us can distinguish between cost and value. Buying something at a lower price improves the cost, but if the item breaks and needs to be replaced in a month, the value of what we bought at that lower price is quite low. Smart shoppers do that cost/value equation in their heads as they shop, which places the onus on us as businesspeople to provide superior value no matter what business we’re in.

How can we do that? It’s not just by lowering the price, although if what you’re selling is a commodity, the price differential becomes pretty important. To a certain extent, that’s something I deal with as a consultant. You might have noticed, there are a lot of us out here. What I need to do, when talking to potential clients, is to help them to understand why I’m worth the premium I charge when compared to many others out here. I do that by adding value in some of these ways:

  • Understanding their perspective. I see my business through their eyes which means I must research them, ask a lot of questions, and then present myself in a way that is meaningful and valuable to them.
  • Giving them something for nothing. Sometimes it’s just a series of articles I’ve found that are relevant to them but those articles demonstrate how part of my service to them is to help them stay informed and ahead of the competition.
  • For existing clients, I’ll often do many of the “little” tasks that end us distracting my client from their main purpose. That can mean writing up brainstorming sessions, breaking our their web analytics, or updating their website. That helps them by reducing anxiety, by keeping them focused, and because I’m generally not as rushed and more experienced than they are, improves the quality of those lesser tasks.

Adding value needs to be as basic as breathing for any of us in business. The real challenge is in making the type of value you add correlate to the needs of each customer. How will you do that today?

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It’s A Secret

This Foodie Friday, I’m going to let you in on a little secret. OK, so maybe it’s not really that far under the radar, but our topic today is the hidden menu many places have. Some places call it the secret menu, and you’ve probably heard of some of them. In-N-Out Burger‘s is fairly famous in burger-eating circles, so much so that I’m not sure one can call it secret any longer. Arby‘s has one (let’s go climb Meat Mountain!), as does Starbucks, highlighted recently by the Unicorn Frappuccino (yes, but they’re a healthy 56 grams of sugar!). I could list a dozen more chains that have them but the real secret menu is at your local favorite.

English: The menu of a typical kebab shop in L...

(Photo credit: Wikipedia)

I frequent a restaurant that changes the menu seasonally. They’re happy, however, to make me one of my favorite burgers that hasn’t been offered for six months. Its availability is a secret of sorts, and I feel special when they oblige my request for it. That’s really the point of these hidden menus. Putting aside that the more outrageous items become fodder for social media amplification, it’s really about “knowing.” It’s the feeling like you’re a special member of the family and that’s the point for any business.

Turning customers into loyal customers is about care and feeding. It’s about making them feel like Norm from Cheers: everyone knows your name and welcomes you with open arms. Being in the know about the secret menu – getting something about which others know nothing – is something that any business can do. Maybe it’s a simple as a secret sale, maybe it’s a special item of food or clothing or merchandise that’s available only upon requests. No matter what it is, it represents wrapping the customer in your business and fostering community.

I don’t know if you have a special place with a secret menu that you frequent but you might think about making your business that sort of destination for your fans. You with me?

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Filed under food, Helpful Hints

You Calling Me A Liar?

The screed is a little late today because I’ve been tied up on the phone trying to get the central air conditioning fixed. This saga started a week ago when I noticed that the house seemed rather warm. While the vents were blowing air, it was not cold air. I called the American Home Shield folks with whom we have a warranty and they set me up with a local repair firm. This is where the fun – and today’s business point – begin.

Last Wednesday, I set up an appointment for yesterday. They were supposed to arrive between 3 pm and 5 pm. I was not happy that it would take them almost a week to get to me, but I was told that’s the first appointment. On my calendar it went (not knowing that AHS has a 48-hour service policy, by the way, and that I could have asked them to set me up elsewhere. Doh!).

At 4:30 yesterday when no one had arrived or called to say they’d be arriving, I called the repair folks. The customer service rep had my info from AHS but didn’t have my appointment. In fact, she said they’d tried to call me, failed to reach me, and never set anything up.Obviously, someone screwed up and didn’t write down the initial appointment. I was told that after 8 minutes on hold, a hang-up, and calling them back. Needless to say, I wasn’t happy, but I became far less happy when I was told that the next available appointment was next week sometime, two weeks after I initially set up a repair with them. The manager got on the phone to inform me that I was making the whole appointment up. I offered to email him screenshots of my phone’s call log, showing that I spoke with them twice last week but he didn’t care. I asked him if he was in the habit of making up appointments and adding them to his calendar because I certainly wasn’t. He wasn’t either. I asked him if he was calling me a liar and he said he didn’t know what I was but I certainly never had an appointment. Finally, I mentioned that I wrote a business blog and that he was providing me with great material for what a business shouldn’t do and he laughed and said: “as long as you tell the truth.”

So I’m here to tell you the truth. None of us can ever call our customers liars or make them feel that way. None of us can ignore evidence that someone on our end screwed up and blame the customer instead. None of us can shrug our shoulders and tell a customer who has been harmed to get to the back of the line. Finally, none of us can ignore the potential social media backlash. Not that the screed is read by millions, but it only takes a few readers to start a backlash against your business. Hey – don’t you know who I think I am? The odds are you don’t know anything about the megaphone any of your customers hold but you should know that it doesn’t take more than a few minutes of writing to do a great deal of damage to your reputation.

AHS reached out to these bozos this morning. They again denied I ever spoke to them. We set up an appointment with another repair company, who called me 10 minutes after I spoke with AHS. By the way – when the new guys couldn’t see me until next week, AHS escalated my issue to a unit they have that will call all the area vendors to find someone who can cool me off (in both the physical and psychological sense at this point) in 48 hours or less.

So to the folks at Modern Mechanical HVAC, hopefully this will help you see why you can’t call your customers liars, along with the bad Yelp review, the link to this screed I’ll be posting on Nextdoor (a local bulletin board), and a bunch of other local information and review sites that will advise people to stay away from you. I’m just doing as you asked: telling the truth.

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