Expressing genuine interest in the customer that exceeds the functional requirements to complete the transaction is an effective way to express one’s uniqueness while making it memorable for customers.

For instance, a bilingual employee who speaks Spanish may say, “Bienvenido. ¿Cómo está usted?” to a customer she overheard speaking Spanish to a colleague. Or perhaps a well-traveled employee could ask a specific question based on where the customer is from that communicates his interest in the customer. If the customer is from Kauai, for example, and the employee recently vacationed there, then he might say, “Kauai is amazing! I recently traveled there and explored the entire island from the Waimea Canyon to the Na Pali coastline.” This customer will likely smile and engage in some conversation about his homeland, perhaps sharing a local’s perspective on a place this employee should be sure to visit during his next trip to Kauai.

But you don’t have to be bilingual or well-traveled to express genuine interest in your customers. To me, when Nordstrom employees walk around the counter to hand me my purchases—while smiling, making eye contact and sincerely thanking me for my business—they are expressing genuine interest in me as a customer.

The opposite of expressing genuine interest is to ignore or express disinterest in serving customers. Have you ever felt ignored as a customer? Have you ever felt like an interruption in a service provider’s day (i.e., “If customers would just stop bothering me, maybe I could get some work done around here!”).

Customers can easily detect when employees are genuinely interested and engaged versus apathetic and merely going through the motions. According to one study, 68% of customers quit doing business with a company because of perceived indifference toward them as a customer. They didn’t say that the service provider was blatantly rude or obnoxious—the word was indifference.

Customer service reps who make me laugh create positive memories for me—of them, the service experience, and the company or brand they represent. Using appropriate humor is an authentic way for employees to express their uniqueness while making it memorable for customers.

Here’s an example from my local Starbucks drive-thru. I pulled up to the speaker to place my order and the conversation went something like this:

Me: “I’d like a Double Shot with Energy.” (Note: Energy is a supplement that Starbucks adds to its beverages upon request.)
Barista: “I’m sorry but we’re out of Energy this morning.”

Me: “Yeah, I can hear it in your voice.” : )
Barista: “Oh wait! I lied. I found some more Energy!”
Me: “Yeah, I can hear it in your voice.” : )

I then pulled up to the drive-thru window where I was greeted with:

Barista: “Was that a Grande Double Shot with Energy?”
Me: “Yes. Sorry—I don’t think I mentioned the size.”

Barista: “That’s okay. I’m psychic. I heard it in your voice.” : )
Me: “Ha! Ha!”

Compare this exchange with a typical drive-thru interaction at a quick service restaurant. What’s different about it? It was so unique to me that I’ve already shared the story with dozens of people and have blogged about it. When so many retail transactions are characterized by indifference, experiences like this one are a breath of fresh air!

I welcome your comments—if you have the energy! ; )

Sharing unique knowledge that goes beyond the common, mundane, and expected information (i.e., job knowledge) is an effective way to express one’s uniqueness while making it memorable for customers.

Unique knowledge is not the same as job knowledge. Job knowledge is necessary for an employee to be proficient in his or her job role. It is expected by the customer and, generally speaking, is transactional—not memorable. Unique knowledge, when provided by the employee, is unexpected, refreshing, valued, and memorable!

To illustrate, allow me to share a true story: One evening a former colleague and I were discussing customer service and he asked me, “Steve, what are some of the names of the meeting rooms at the hotel where you work?” I responded, “Odets, Wilder, Cantor, Jolson…” He interrupted, “If I were a customer and asked you why the meeting room was named Odets, what would you say?” I thought about it a moment and realized that I didn’t know the significance of the name Odets. I admitted this saying, “You know, I just got so used to the name representing a meeting room that I didn’t really give it much thought.”

My colleague made the point that it’s our responsibility to know the significance of proper names and to learn the histories and stories that reflect the cultures, neighborhoods, and buildings in which we work. This unique knowledge has character, is memorable, and—from the customer’s perspective—may be the difference between an ordinary transaction and a unique experience.

I took his advice to heart and later learned that the Odets meeting room was named after the playwright Clifford Odets who wrote the plays Waiting for Lefty and Awake and Sing. Several of the hotel meeting rooms were named after other well-known playwrights. Having this unique knowledge to share with customers enabled me to provide a richer, more interesting experience for them and certainly beat the alternative response: “I don’t know.”

How about you? What unique knowledge do you possess that is relevant to your workplace and will leave a lasting impression on your customers?

Providing a pleasant surprise that adds an unexpected perk to an otherwise ordinary experience, is an effective way to express one’s uniqueness while making it memorable for customers.

Have you ever received an unexpected upgrade, a complimentary appetizer, or some other pleasant surprise when you were not expecting it? How did it make you feel? I bet you can recall many details from the experience—probably because you’ve shared the story with others many times.

My wife was once sought out by a United Airlines flight attendant who thanked Julie by name for flying the airline as she handed her a coupon for a complimentary in-flight glass of wine. Not only was Julie pleasantly surprised, she continues to go out of her way to fly United Airlines, in part, due to positive memories like this one.

Dan Cathy, president of Chick-fil-A restaurants, loves to add service touches that people don’t expect from a fast-food restaurant. Here are just a few pleasant surprises you’re likely to find at your local Chick-fil-A:

• After your order has been fulfilled, you’ll hear “My pleasure” rather than “No problem.”
• At the bottom of your to-go bag of food you’ll find one individually wrapped mint for each meal ordered.
• If you use the restroom, you’ll find that the last sheet of toilet paper is folded into a triangular point—similar to a luxury hotel.

Each of these service touches has the potential to pleasantly surprise customers and, as a result, to make a lasting positive impression!

How about you? Have you provided a pleasant surprise to a customer lately—or been on the receiving end of a pleasant surprise yourself?

The results are in from the J.D. Power and Associates 2008 North America Hotel Guest Satisfaction Study. According to the study, hotels are feeling the double economic pinch of less leisure travel and higher operating expenses costs. They are trying to manage their costs at the same time they meet ever-higher customer expectations, but that effort hasn’t been totally successful. In 2008, overall satisfaction with hotels is down notably in four of the six segments measured by the study.

In my own 2008 survey regarding factors contributing to the decline in customer service industry-wide, the number one contributor to the decline was workforce optimization—which is just a fancy way of saying that operators are keeping a close eye on labor costs which account for roughly half of all total operating expenses in the hospitality industry.

Presumably, operators are faced with the dilemma of reduced guest satisfaction resulting from lean scheduling during these difficult economic times that reduces the ratio of employees to guests—leading to longer waits in line, on hold, etc. There’s no doubt that this becomes a balancing act as lines begin to form and guests grow impatient…

That said, I’m frequently reminded that it doesn’t cost any more for a guest-facing employee to smile, make eye contact, and have some “life” in her voice. These basics cost nothing at all and, regardless of staffing levels, may mean the difference between mediocre and stellar service from the guest’s perspective.

A penny for your thoughts? (I used to offer a nickel but times are tough!)

Last night I pulled into the parking lot of my local Chick-fil-A and noticed an employee wearing a bright yellow Chick-fil-A raincoat and holding an over-sized black and white umbrella—as it was pouring outside. At first I thought he was leaving work and heading to his car but then I watched as he came alongside the driver’s door of a car that had just pulled to a stop in the parking lot. He proceeded to escort the driver and passenger through the rain to the restaurant entrance under cover of the umbrella.

I was amazed! Now, keep in mind that my expectations of Chick-fil-A customer service are pretty high to begin with. After all, they’re sort of the Nordstrom of quick service restaurants. If you have visited one of their restaurants in the past, then you know what I’m talking about—Chick-fil-A customer service is not typical of the fast food industry. Even so, I was amazed by this outstanding and unexpected act of service!

At a time when most operators in the restaurant industry are cutting back—and for good reasons: soaring food and energy costs; reduced sales due to consumers feeling the pinch of record gas prices; not to mention the recent increase in the federal minimum wage to $6.55 per hour—Chick-fil-A is raising the bar!

It reminds me of an interview I saw on CNN the other day. The story was about the massive decline in gaming revenues in Las Vegas as a result of the anemic economy. In the interview, one developer who is in the midst of building a multi-billion dollar casino was asked, “Aren’t you taking a big risk by developing a multi-billion dollar casino in this economy?” He responded that he was not thinking about the investment paying off next month or next year, but that he was in it for the longterm.

To me, that’s the same statement that Chick-fil-A made with the umbrella-holding employee escort. Good for you Chick-fil-A! Rain or shine, I’ll be back!

Thanks to all of you who participated in this year’s survey! The unique perspectives shared in the survey feedback and analysis produced some interesting results. My hope is that the information can be used to improve the product and service quality for those who choose to read it, share it, discuss it, and act upon it.
All the best,
Steve

Abstract

In a recent survey, industry professionals identified the top three contributors to the industry-wide decline in customer service. Each of these causes is presented along with suggestions intended to mitigate them and support employee and customer satisfaction. Additionally, examples from The Ritz-Carlton, Nordstrom, and Starbucks are provided as illustrations of what each company does, in part, to consistently excel in employee and customer satisfaction. Finally, interpretations of the data are offered with an eye toward providing cost-effective training and a follow-up structure that improves employee commitment to continuous improvement.

For more complete results and analysis, click here.

Starbucks card winners:

Jeff B., Phoenix, AZ
Mark C., Frankfurt, Germany
Lisa G., New York, NY
Ron H., Fullerton, CA
David M., Easton, CT
Robert M., Englewood, CO
Kent P., Lincoln, NE
Marianne S., Washington, DC
Jane U., Dallas, TX
Joe V., Indianapolis, IN

My wife had ordered a set of Batman and Robin walkie-talkies on-line from the website of a national toy retailer. After they arrived and my boys had a chance to try them out, we learned that the reception was poor if the handsets were more than one or two rooms apart.

The retailer has a store in my area, so I stopped by to return them. I explained the reason for the return to the customer service rep and provided the receipt from the on-line purchase. She called for her manager. Her manager arrived and, after assessing the situation, told me that no refund or in-store credit could be offered because I didn’t have a “bar code receipt that would have accompanied the product.”

I responded that I was not aware of another receipt and that the receipt I had was, to the best of my knowledge, the only one issued from the on-line transaction. The manager said, “I know, I know. But we were bought by new owners about a year and a half ago and they’re sticklers for the new policy.” I asked him what the new policy was and he said, “That all product returns are accompanied by a bar code receipt.” He then poured salt in the wound by saying, “Before the new policy went into effect I would have at least been able to give you in-store credit, but now I’m afraid there’s nothing I can do for you.”

I asked him what he thought Nordstrom would do under the same circumstances. He said, “Yeah, I know.” I then said, “Listen, I know it’s not your fault. You are not responsible for the new policy. But I’ll tell you, my son’s birthday is coming up and if I had received in-store credit, I’d be shopping here today. But, since I didn’t, I’ll be shopping elsewhere.”

And it’s true. I left the store disappointed, with merchandise that didn’t work properly, and with a better understanding of this retailer’s restrictive return policy. But I still needed to shop for my son’s birthday present. Then it occurred to me that, at the mall across the street, on the third floor in the children’s department, Nordstrom sold toys!

Have you recently encountered a customer-unfriendly return policy that prompted you to exercise your consumer right to vote with your feet and shop across the street?

I’d like to contrast my last post, When people compete, products get better, with an illustration of abundance mentality and consumer choice.

My father-in-law is a restaurateur here in Denver. Several years ago, he took out a full-page ad in the local newspaper that read, “Take this ad to your favorite restaurant and receive $10 off dinner for two.” The ad did not specify the name of a restaurant or any contact information.

Diners then began to show up at restaurants located throughout the Denver area with the coupon and puzzled restaurateurs contacted the paper to see who took out the ad. As the word spread between restaurateurs that my father-in-law was responsible for the ad, they began to call him at his restaurant.

The conversations went something like this: “Hey Ed, there are some customers here at my restaurant who are trying to use your coupon!” to which my father-in-law responded, “It’s not my coupon. It’s everyone’s coupon. But if you don’t wish to be their favorite restaurant, then send them to me. I would be honored to be considered their favorite restaurant!”

To me, that illustrates an abundance mentality versus a scarcity mentality. While a person with a scarcity mentality sees the world as a finite pie—and feels threatened by forces that may reduce the size of his or her slice—a person with an abundance mentality sees the pie getting larger and larger with more opportunities for everyone to increase the size of his or her slice!

There’s a bagel restaurant in my neighborhood that posts a sign on its front door that reads, “No outside food or drink!” Apparently, the owner feels threatened by the Starbucks kiosk located inside the Albertson’s supermarket next door.

The owner must think that by posting this sign he will deter the competition from cutting into his sales of high-margin lattes and espresso drinks. What he doesn’t realize is that people do not want to be forced to drink a mediocre substitute for their favorite coffee beverage.

The last time I bought a bagel in his shop was four years ago. At that time his sign was more specific and said something like, “No Starbucks beverages allowed on the premises!” It was such a turn-off to me.

I understand the owner’s underlying intent: to limit the erosion of his own beverage sales by keeping the competition’s beverages out of his sit-down bagel restaurant.

Ironically, the message had a different effect on me. That is, I’d rather enjoy a good cup of coffee than eat one of his bagels. In fact, I presently drive to another bagel restaurant that is four miles further from my home. It also sells coffee and has a Starbucks retail store next door. The difference is that it does not censor the competition’s coffee.

I wonder what would happen if the bagel restaurant owner would remove the sign and accept (or at least tolerate) customers who entered the restaurant, Starbucks in hand, and ordered one of his bagels for dine-in?

On the one hand, bagel sales from people like me who resent the sign would increase. On the other, perhaps beverage sales would decrease due to granting customers the option of whose coffee to drink while enjoying their bagel.

What might the owner do differently in order to address a situation where customers are consuming more beverages from Starbucks than from his own restaurant?

What if he invested in the quality of his coffee beverages to rival top brands such as Starbucks and Dunkin’ Donuts—who are renowned for their coffee? Perhaps he could then offer a complimentary 12 oz. refill to (in addition to customers who purchase his coffee) customers who come in with a coffee beverage from the competition.

Imagine the effect this could have. Customers who have never tried his coffee may, after sampling it, agree that it’s as good as or perhaps better than the coffee they ordinarily drink. Customers will appreciate the value they’re given by enjoying another 12 oz. of coffee. If the customers choose to remain at the restaurant rather than taking their refill to go, maybe they will order a second bagel or a muffin to enjoy as they linger?

Instead of putting up barriers to the competition and limiting customers’ freedom of choice, why not relax the barriers and let customers decide? Customers will naturally choose what satisfies them the most. The responsibility of the business, then, is to provide that product or service – not to deny customers their freedom of choice.