Service is the New Marketing

Been hearing that for ages; I even spoke at  a conference of that name 2 years ago! But what I believe is really trying to be said by this statement is that each interaction with the customer (each customer touch) has an impact on the customer’s impression of your company. That impression often imparts more about the brand than any marketing campaign. The contact center/customer service team/retail clerk is usually the place in the company with the most direct customer interaction (this is especially true for B2C companies). Hence, each customer service “touch” is an opportunity to “market” to the customer – or to leave them with a positive impression of your brand. In that sense, customer service is marketing – but I wouldn’t consider this to be new!

Community

My current role is in this area, and it is indeed a complex one. There are many types of communities: branded, customer-run, service-focused, etc. Interestingly, customers who are part of an online community are even MORE sensitive to “corporate marketing” than other customers, and they have a strong voice that will ring out over it. The main thing to remember here is that many of these communities have been around long before social media (for example, the customers participating in the San Diego Chargers forums are much more loyal than other customers participating in their other social media outlets), and the communities belong to them. Brands need to be aware of this type of “social customer” and realize that they cannot take-over these groups. They need to collaborate with  their communities to be successful.

Customer Experience

The customer experience is very important to understand across the organization. There has been talk about whether various departments will merge together in the future as social media begins to blur the lines of corporate siloes. However, I don’t believe the customer experience can or should be managed just through one department; our customers don’t see us that way! There is indeed a place for separate functions within the organization. There is also a place for metrics that will help companies understand how well they are doing with the customer experience and how well they are performing against customer expectations. Companies that are customer-focused tend to have customer-focused metrics that bring disparate business functions together, working towards one common goal: customer retention, loyalty, and evangelism. When these metrics are corporate, everyone wins.

The Social Customer

Yes, customers are much more socially connected in this day and age, so many of the aforementioned “marketing” activities are now taking place between customers (ratings/reviews/blog posts/tweets/etc.) rather than being broadcasted by the company.  However, that does not mean that each customer doesn’t want to be treated as an individual by the company. One-to-One Marketing has less to do with sending separate direct mail pieces to each person as it does with treating different customers differently. Having worked for/with Peppers & Rogers Group for many years, the 1to1 marketing process is mostly about managing the entire customer experience – which may be different for different customers (and likely is!). In order to do this properly, one needs to understand the needs of the customer. Now that many customers are interacting online, it is easier to listen and hear what they need. Companies just need to make sure they act on what they are learning – before their competitor does.

Your Turn

What do you think? How does an organization’s view of their customer need to change in today’s “social” world?

(Image credit: sqursozlu)

Now, I am cautiously optimistic about this focus on customer service, but let me tell you why I feel this way.

- Brands are using a focus on customers as a competitive differentiator in their advertisements. Frank Eliason mentions the new commercial for the Chase Sapphire credit card service. It features the ability to talk “directly to a live person when I call” rather than being routed around an automated call queue. The new Domino’s Pizza commercials talk about how they have been listening to their customers and have improved their pizza as a direct result. Phil, who Tweets for them from Domino’s HQ, talks about how they have been serious about customer feedback and been researching this for 2 years. Kudos to these two companies and the many others who are making it public that they care about their customers and what they think of their brands.

- I am hearing more and more that “Customer Service is the New Marketing” from smart folks in the social media space (including in the above post from Frank Eliason). This isn’t a new concept; in fact, I spoke at a conference of the same name 2 years ago this February (where I first met Tony Hsieh from Zappos). Every customer touch is another brand impression of the company. Each contact with customer service, whether by phone, email, Twitter, or self-service is a brand impression. Each customer service representative says more about the brand by how they treat a customer during an interaction than any marketing campaign.

- Customers are having ongoing conversations with brands and with each other about products and services. Companies are realizing how influential these conversations are now that they are starting to listen to them via social media monitoring. And it is a good thing they are doing so. As I tweeted out earlier this week,

“Customer service is more critical than ever. The combo of social media and mobile devices = the perfect storm for an angry customer.”

Think about this scenario. A customer is standing in line at a retail store. The line is very long, and the checker seems to be taking forever. The customer feels like complaining to the closest person who will listen, and it is at his fingertips: Twitter/Facebook/posterous via his mobile phone. It is imperative that brands and companies constantly listen, and more of them than ever seem to be doing so. Those who are not will fall behind in 2010.

In my opinion, all the signs are pointing in the right direction for a focus on great customer service, and with it a rockin’ customer experience in 2010. Those companies that “get it” will rebound from this recession faster than those that don’t. Those companies that “get it” will have loyal customers who shout about how great that company is to anyone who will listen. Those who don’t may just hear a lot of shouting as their customers complain very publicly and then walk away.

What do you think? Is 2010 the year for a focus on the customer?

(Image credit: michaeldb)

Barry is also my guest author today here on the first Customers Rock! post of 2010. Enjoy!

What Gets in the Way of Offering Great Customer Service? Guest Author: Barry Moltz

As consumers, we all want it. As companies, we all promise to give it. Somewhere in between, we lose good customer service. Why?

One of the biggest obstacles blocking customer service is confusion about why a company provides customer service in the first place. It’s a myth to believe that ethics, pride, or altruism are the reasons for a company to provide customer service. A company provides good customer service because it delivers an economic advantage—either in terms of increased revenue or reduced cost. Altruism isn’t a valid reason to provide good customer service. We like our customers a lot—as people and as customers, but our relationship is based on mutual economic advantage. We provide services that our customers need, benefit from, and are willing to pay for. BAM!-good customer service is part of our economic model.

Ethical standards of business behavior are unwavering. We believe that every company should behave ethically in all matters. The measure of ethics is whether or not a company keeps all its commitments in an honest and trustworthy way—these commitments may or may not include customer service. A side benefit of keeping customers happy and satisfied is pride in a job well done—but pride is not the  reason to provide customer service. The reason to provide BAM!-good customer service is because it increases the bottom line.

Here are some of the things that get in the way of offering great customer service. We call them BAM! Blockers.

• Many businesses have economic models that work only if front-line customer positions pay minimum wage.
• The computer or manual support system the company has stink.
• Customers are fundamentally unreasonable people who set out to prey on business owners, nicking away at profitability by asking for more than they are willing to pay.
• Our company believes in setting high goals and standards for our company, and higher expectations for our customers, whether we can deliver on those goals and expectations or not.
• There is nothing we can do in customer service since our products in the marketplace are so far from perfect.
• Just because the customers aren’t mad doesn’t mean you are delivering good customer service.
• What was good customer service yesterday may not be seen as good customer service today.
• Conditions have changed and the company cannot deliver the same level of customer service as before.
• The cell phone!
• The company leadership is saying one thing about customer service, but acts a different way.
• Employees don’t like their jobs. They kick the cat, taking their frustration out on the customers.
• The company doesn’t train employees with the specifics of satisfying customers.
• The company has set a price point that doesn’t leave enough margin to provide the level of service or quality that customers want.
• It’s inevitable that every business will keep customers waiting.
• Customers want a human relationship, and not every business can provide that.
• All businesses must use voice mail in order to keep expenses down.
• Well-trained and well-intended employees will not make mistakes that cause problems for customers.
• Employees may not be trained to efficiently and cost-effectively address customer problems without degrading service in other areas.
• Employees will never be able to figure out the right balance of authority and employee empowerment

What prevents you from offer good customer service? Tell us!

(Image credit: iqoncept)

I have been spending more time lately on Twitter, Facebook, and LinkedIn as I continue to build a Customers Rock! presence on those sites. I also created a Customers Rock! Facebook Fan Page and have been testing out a new Customers Rock Twitter account where, daily, I am sharing POSITIVE customer service stories and experiences I find on Twitter. Please feel free to come and chat with me at any of the above places where you also hang out!

I have also started a new radio program, Customers Rock! Radio. This came from my appearances on nationally-syndicated The Big Biz Show, where the hosts suggested I spin-off my own radio show focused on customer service, marketing, and social media to create rockin’ customer experiences. I have had some fabulous guests including Jeanne Bliss, Michael Brito, Don Peppers, Amber Naslund, and Tony Welch. You can listen online at wsRadio.com or download the mp3 files to your computer or iPod. Please check it out and let me know what you think! (I am also actively looking for sponsors for the show. Give me a shout for more info or if you have clients who might be interested.)

Again, thank you for everything, my faithful readers. For your holiday reading pleasure between now and the New Year, here are some great links to posts that I think you will enjoy. Some are newer posts, some are older, but they are all worthwhile reads.

Holiday Reading

MediaPhyter features a guest blogger, David Hauser of Grasshopper who shares five ideas for how to build loyal customers.  I wholeheartedly agree with you, David. I especially like #3, Create a Culture of Responsibility. Taking care of customers goes far beyond customer service!

One of my favorite customer service bloggers, Meikah Delid, wrote about the new report showing how much poor customer service affects global business. How many billions are lost per year due to bad service, and why do customers leave? Read this post and find out.

Steve Woodruff, fellow speaker and consultant, writes about a great customer service experience he had at Chick-fil-A. Even the simplest acts can make a huge impact.

Terry Starbucker’s post on 15 Basic Steps to Mind-Blowing Customer Service is fun to read – and it hails from his recent experience in a Parisian produce shop. Merci beaucoup, monsieur Terry!

Enjoy, and Happy New Year to all of you!

The Bathroom Blogfest 2009 has been taking place all week this week, with a variety of bloggers providing insight. While this is the fourth year of the Blogfest, I have participated in it since 2007 (see the end of my post for links to my previous posts as well as links to other Bathroom Blogfest bloggers). My previous posts have featured interesting bathrooms from Disney (both Disneyland and Disneyworld) as well as from the airport in Maui, HI, and Las Vegas.  This year’s Bathroom Blogfest post looks at bathroom theming in the guest rooms at the Disneyland Hotel in Anaheim, California. (Note: I took these pictures last year when I was at the Disneyland Resort for the NACCM Customers 1st Conference, where I am giving a keynote speech this year at the event in Phoenix, AZ. My speech will be about using social media for customer loyalty.)

Special thanks go to CB Whittemore for pulling together the Bathroom Blogfest this year and for our first ever Bathroom Blogfest sponsor Kaboom! (Disclosure: Kaboom! sent me a Bathroom Cleaning Kit to trial.)

Find the Hidden Mickeys

A popular game for Disney enthusiasts is to find the “Hidden Mickeys” throughout the theme parks (images of Mickey Mouse’s ears). This bathroom had Mickeys everywhere, including his hands. Take a closer look at these lights around the bathroom vanity. Mickey Mouse’s hands are holding the lamps – thanks, Mickey!

Check out that wallpaper; nice pattern, huh? Now take a closer look. The pattern actually incorporates Mickey’s entire image – welcoming us into the water closet.

The vanity itself is decorated with the Mickey ears as well as Sneezy, one of the Seven Dwarves, above the tissue container. Clever!

My favorite part, however, are the toiletries. Mickey ears adorn the top of the shampoo, conditioner, and hand lotion containers. These little beauties definitely came home with me!

These are just a few examples of the way branding can be carried through in even the smallest details of the guest experience, all the way down to the toiletries in the bathrooms. As a Disney fan, I was completely delighted with the entire hotel experience, but having these surprises in the bathroom told me a few things. One, Disney is very focused on making sure their brand continues to stand behind Mickey Mouse and his unique ears – and they should be. Second, Disney likes to pay attention to details, so I can feel confident that I will be taken care of throughout my entire Disney vacation experience. Third, these little touches are very clever, and they had me looking forward to my visit in the theme park so I could be surprised even more!

What Does Your Bathroom Say?

Whether you are a retail establishment, a restaurant, a service (such as a doctor’s office) or a corporate business, every aspect of your customer experience speaks volumes about your brand, your organization’s culture, and the way you conduct your business. While you certainly don’t need to “decorate” your bathroom with as many details as they did at the Disneyland Hotel, you do need to ensure at least the basics are met:

• Bathroom is neat and clean
• Bathroom has all the necessary supplies refilled on a regular basis
• Bathroom has the appropriate services to help meet your patron’s needs (purse hook for ladies, for example)

Ideally, your bathroom can also go a bit further and be a clear reflection of your brand or business. Carry through the color or decorative theming from the rest of your facility. Add a small something to “surprise and delight” your customer – could be a sign, a nicely framed photo or picture, or a fun color theme. (A note on fun – Macaroni Grill, a casual-dining Italian restaurant, has “learn to speak Italian” lessons playing over the bathroom speakers instead of music!)  Whatever you decide to do, don’t let your bathroom be an after-thought, or your customers may decide they don’t want to think about you anymore, either.

Bathroom Blogfest Resources

Here is a list of the other Bathroom Blogfest bloggers; go and check out their varied perspectives on bathrooms. You can also find them via tag #ladiesrooms09 on Twitter. Below the list are my links to Customers Rock! Bathroom Blogfest posts from previous years.

• Susan Abbott at Customer Experience Crossroadshttp://www.customercrossroads.com
• Reshma Anand at Qualitative Research Blog http://onqualitativeresearch.blogspot.com/ 
• Shannon Bilby at From the Floors Up http://fromthefloorsup.com/ 
• Shannon Bilby and Brad Millner at My Big Bob’s Blog http://blog.mybigbobs.com/ 
• Laurence Borel at Blog Till You Drop http://www.laurenceborel.com/
• Jeanne Byington at The Importance of Earnest Service http://blog.jmbyington.com/
• Becky Carroll at Customers Rock! http://www.customersrock.net
• Leslie Clagett at KB Culture www.kbculture.blogspot.com
• Katie Clark at Practical Katie http://practicalkatie.blogspot.com/
• Iris Shreve Garrott at Checking In and Checking Out http://circulating.wordpress.com/
• Julie at Julie’s Cleaning Secrets Blog http://cleaningsecrets.greatcleaners.com/
• Marianna Hayes at Results Revolution http://www.resultsrevolution.com 
• Maria Palma at People To People Service http://www.people2peopleservice.com/ 
• Professor Toilet at Professor Toilet’s Blog http://www.professortoilet.com/ 
• David Reich at My 2 Cents http://reichcomm.typepad.com/ 
• Bethany Richmond at The Carpet and Rug Institute Blog http://www.carpet-and-rug-institute-blog.com 
• Carolyn Townes at Becoming a Woman of Purpose http://spiritwomen.blogspot.com 
• Stephanie Weaver at Experienceology http://experienceology.blogspot.com
• C.B. Whittemore at Flooring The Consumer http://flooringtheconsumer.blogspot.com and Simple Marketing Blog http://www.SimpleMarketingBlog.com
• Linda Wright at Lindaloo.com: Build Better Business with Better Bathrooms http://lindaloo.com/

Customers Rock! Bathroom Blogfest Posts

The Disney Experience

Luxury Disney

Door Signs

Hawaiian and Venetian (Sort of)

As many of you know, I teach a popular class at UC San Diego Extension on Marketing via New Media. I help my students understand how to look at social media as an opportunity to build relationships with customers rather than just as a campaign or tactic to “increase buzz”. This summer, I had Joel Price from the San Diego Chargers as a guest speaker. He shared with my class how the football team has been using social media to get closer to its fans and create a “virtual tailgate party”. Joel took us on a historical journey of fan interaction during his presentation.

Die hard fans – 300,000 of them.

Facebook Comes In
The Chargers next started a Facebook Fan Page. These 75,000+ fans tend to be people who like to be affiliated with the team but are not as deeply into Charger knowledge as the fans interacting on the forums. Interestingly, these also seem to be people that were not being previously reached online. Demographically, they are about 60% male and 40% female.
These fans are more likely to come to games, and they are quick to react to new information. For example, just before coming to speak to my class, Joel posted on the Chargers Wall about the throwback uniforms the team would be wearing at a few games this season. Within the hour, there were already hundreds of people who indicated they “liked” this information, with over 100 comments as well.


Tweet, Tweet
The most recent addition to the Chargers social media efforts is their Twitter feed, @chargers. With over 15,000 followers (and counting), the Chargers were the first NFL team to be on Twitter. In addition to the main account, there are several players that Tweet including @shawnemerriman and @kassimosgood. The latest Tweets were around items such as EA’s latest Madden Football 2010 video game (who is in it, what are their ratings, etc), open practices, and the upcoming Chargers FanFest.

Social Media Goals
According to Joel, it is rare for an NFL team to communicate well with its fans. The San Diego Chargers want to break through that barrier and do their marketing by communicating closely with fans – and not in a “hard sell” mode, but in a fan appreciation mode. When asked how social media is currently being measured in the organization, Joel described it this way:

“How do we measure social media? How can you measure a hug? We are giving back to our fans.”

Thank you, Joel, for giving back to us and speaking to our class. It was extremely interesting. Go Chargers!

(Professor’s note: The alert student will notice this blog post was taken from the class blog Teaching Social Media. There one will find some of the student blogs as well as posts from previous class sessions.) 

Photo credit: San Diego Chargers Facebook Fan Page

As you can probably surmise, I have had a very busy summer and haven’t been able to blog as much as I would like! (Note: You can find me fairly frequently updating on Twitter at twitter.com/bcarroll7). As the summer wraps up, I am scheduling some new posts for you, my loyal readers, which focus on customer service, marketing, customer experience, and social media.

Today I have a guest blogger for you. Sean McDonald was formerly the director of Global Online Activities at Dell and is now a principal at Ant’s Eye View. I love these guys because they are cut from the same cloth as me with a passion for customers. Enjoy Sean’s post on who owns the customer.

1.     Listen and determine what is Relevant – What are the customers discussing today? (packaging, rude retail employees, return policy, friendly environmental practices, etc). Note: Not  all conversations are negative.

2.     Engage – Pick one topic that is relevant, find that passionate employee that is savvy on the topic and unleash the passionate employee to join and create online conversations. Not sure how to create online conversations, 3 easy ways to get started.

3.     Wash, Rinse, Repeat with steps 1 and 2. You will evaluate success on your first topic. What should be your second topic? (again, listen to determine relevance).

Enjoy the post, and let us know what you think!

Improving Customer Service From the Ground Up

In need of a new laptop, you spend hours walking around your local Best Buy comparing prices and features of endless devices each claiming to be the thinnest, sharpest and fastest on the market.  You select a winner, bring it home and it immediately begins to malfunction.  Figures.  After a dozen fruitless attempts to unfreeze the screen or retrieve your very important lost document, you finally give in and call the manufacturer’s support center.  The agent on the end of the line proceeds to put you on hold for 5 minutes, and then connects you to sales rather than support.  The following transfer takes another 5 minutes.  You explain the situation (again) to the appropriate agent, slightly annoyed but overall maintaining your cool.  The agent, furiously typing, apologizes for her system being slow today.  “I don’t know why it isn’t letting me do this today? It let me yesterday…” she mutters.  After 30 minutes on the phone, your computer is running smoothly but you hang up frustrated with the service, bitter towards the company, and just plain angry at your new computer. 

Invisible Problem

I am sure that you have felt this frustration before, if not during support calls, then paying your mobile phone bill, or waiting in a long line at a Macy’s counter.  Customers are constantly frustrated with the services they receive.  Many businesses don’t realize however, that a negative customer experience is often a direct result of the sales rep or agent’s inability to correctly execute customer service technology.  Due to the complexity of systems such as CRM, agents are frequently misusing applications or experiencing system errors which result in slow response times and inaccurate support for the customer.  

If a customer service agent does not make the experience seamless, it causes irritation and possible loss of business.  Despite the recognized importance in delivering an exceptional customer experience in this economy, companies have relatively little insight into how customer service agents are using, or misusing the technology they are given to interact with the customer. Managers have relatively little visibility into agent behavior and performance during each and every customer interaction.  This presents a major business dilemma: how can you fix a problem that you can’t see?

Taking a Closer Look

There is a new breed of optimization technology, Experience and Performance Management (EPM), which is helping to remedy these problems. This set of solutions provides a window into agent interactions with corporate customer service technology.  The software monitors the agent’s execution of processes and provides comprehensive metrics in two dimensions.  First, EPM monitors the agent experience to highlight problems with the technology itself. Then it analyzes agent behaviors and workflows to pinpoint issues with the agent’s performance. These metrics are used to identify and eliminate impediments that the technology is presenting to the agent and gives managers insight into problems with agent performance that are impacting customer experience.  With these metrics business managers are able to answer the following questions and create logical, direct solutions:

•          Are the transactions/response times slow?
•          Is the agent being presented with incomprehensible system errors?
•          Are agents using the correct transactions for the process?
•          Are they following the correct processes or creating workarounds? 
•          Are they using the applications effectively or making errors?
•          Are they utilizing all the tools available, such as the knowledge base?  

With these issues identified, managers can ensure that an appropriate solution, such as one-on-one training or a technology upgrade, is implemented.

Experience and Performance Management technology fills the need for a comprehensive, systematic approach for measuring agent experience and behavior with customer service technology.  These solutions can help identify the root of application problems, and improve the agent’s productivity.  Overall, the more efficiently agents are interacting with customer service technology, the better the customer service.  With a positive and productive relationship between the agent and technology, customers can receive fast, accurate service, ensuring long-term customer satisfaction. 

About Lori Wizdo

Lori Wizdo is a software industry veteran who, over the past 25 years, has helped launch several new technologies in emerging markets.  She has held senior positions with global companies such as BMC, Xerox, NCR and Unisys, as well as a number of smaller software innovators.  Lori was an early pioneer, championing the role of the individual in enterprise business applications. That belief inspired the launch of communities of practice and employee networking solutions at Unisys.  In her present role, she continues to evangelize the cause of the end-users as a key stakeholder of enterprise applications.  

About Knoa Software

Knoa Software was recently selected as a Gartner “Cool Vendor,” for its capabilities in end-user experience and performance management and was listed as a Leader in the “Forrester Wave: Passive Agent End-user Experience Monitoring.”

Chip R. Bell is the author, with John R. Patterson, of the newly-released book Take Their Breath Away: How Imaginative Service Creates Devoted Customers. He can be reached through www.taketheirbreathaway.com.

Service with a Grin by Chip Bell

We have an economy to which customers are reacting with despair.  What if the features of customer service could follow the same principles that make humor work?  Let’s example the construction of these simple jokes:

From comedian Joe Weinstein:  “My dog is worried about the economy because Alpo is up to 99 cents a can.  That’s about $7.00 in dog money!”

From comedian Larry the Cable Guy:  “Light travels faster than sound. That’s why some people appear bright until you hear them speak.”

Both comedians create a mental pattern and unexpectedly break that pattern in the last one or two words.  The construction of the humor is simple and easy to get.  Finally, the lines have a “tongue-in-check” levity that is joyful.  What if customer service could be unexpected, simple and joyful?  It could bring comic relief to gloomy customers.

Create an Unexpected Experience

Customer service with an unexpected twist can take a customer’s breath away.  Magic tricks and rainbows have the same effect.  What are ways to take an everyday service pattern and turn it on its ear for the unexpected enjoyment of customers?   What if the forms were in fun colors?  What if the server wore a funny hat?  What if the server had a fun signature greeting?

Keep it Simple

It was not the caramelized popcorn that made Cracker Jack a snack food hit for over a hundred years.  It was the practically worthless free prize inside.  You know you have hit a service home-run with customers when you hear them warmly say, “Why didn’t I think of that?” Simplicity trumps complicated.

And, Make it Joyful

Service is joyful if it is grin-qualified.  There will always be a few sour pusses that would never reveal their pleasure no matter how lively the deed.  Don’t let these “hearts of darkness” undermine your resolve to make the other 99.9% enjoy a service surprise.  Today’s customers are gloomier than ever.  They deserve your commitment to deliver your creative best.

(Image credit: Clivia)

However, I believe that participation applies to much more than just social media!  If we get our customers to participate with us on an ongoing basis, we learn so much more about them than we could in any other arena.  This will lead to (on the customer’s part) trust, better engagement, preference, word of mouth, and ultimately brand loyalty. 

I also had the opportunity to talk about this subject to Chris Brogan at the MarketingProfs event. We discussed why those who want to build a relationship with their customers should consider using social media. And not using it just to talk; using it to finally, truly listen to customers. Chris recently wrote about the difference between having an audience and having a community on his blog. I think an audience is something that you talk at; a community is something that you talk with and participate in.  Chris was nice enough to put his thoughts on video for me as I asked him to talk about social media and customer loyalty. (Note: the conference was in Arizona, hence the cacti – and the slight wind noise)

Here at Customers Rock!, I endeavor to have a place where we talk together about taking care of customers. I realize I have not been carrying on my side of the conversation a lot lately as I have been heads-down working on my new book. I will hold up my side of the bargain and be here to talk with you more frequently – now it is your turn to join in! Thank you all so much for being part of this, and many thanks to you, Chris, for your valuable time. 

(Image credit: Paha_L)