CUSTOMER SERVICE
Soothing the Savaged Customer Soul
Times are tough for customers. Rise above the competition by
showing your customers some love.
IN SUCH ECONOMIC times, when our nerves are raw and we are
stretched like a rubber band ready to snap, we all need a kinder
hand, a kinder voice — just plain more kindness in our life.
Nearly every interaction tests us now. Opening the cell phone bill
and gasping, then endeavoring to get a bit of help. First the queue,
then the call. Not much kindness there. Putting gas in our car.
Buying groceries that are creeping up in price daily. Trying to sell
our home or buy one. Calling the support line to fix the appliances
that chose now to conk out.
If you are in the business of serving customers, now is the time to
seek out the intangible opportunities to soothe the savaged consumer
soul. Here are ideas that will bring you dividends by rising above
the fray and soothing the frayed nerves during these times of
spending woes.
1. Become wizards at alternative solutions. Creative
solutions that help customers cope and manage with the current
financial pinch will be long remembered. Can you offer revised
payment plans or offer different pricing schemes? Can you coach your
front line on how to hold a diagnostic conversation to understand
the financial implications of the current market with customers? Can
you reach out to customers proactively, especially if service
contracts or annual commitments are due?
In this economy, customers are more likely to opt out and disappear.
If you show up proactively with a helping hand, empathetic approach
and creative options prior to their decision to leave, you can save
business and build allies.
2. Listen, then repeat. This sounds ridiculously simple,
right? Think again. Eight out of 10 phone calls, retail interactions
and service calls begin with prescribing a solution to a customer
before the customer need is really listened to, understood and
validated.
This is a time when customers will want to vent. Let them. Then
repeat back to the customer what they said. Because not only do
customers need to vent right now, they need validation; that times
are tough, that prices are high and that they’re in pain. If your
customer is not in dire straits, good results will also follow.
Repeating the reason a customer walked in the store, called your
number, or emailed your “contact us” contact will take you to a
level that is just not being received today — which is internalizing
what the customer needs and using that knowledge to drive an outcome
that is right for them.
3. Practice wild empathy. Customer empathy is not a
pity-party! The ability to empathize, and to put ourselves in our
customers’ shoes so we understand what they are going through, tests
the humanity of our organizations.
Bring your team together and have them identify the top 10 customer
frustrations that are occurring right now and discuss how customers
are responding and coping with challenges. Then, in groups of two,
have them role-play customer conversations. Film these and make them
available to everyone. This action will send a signal internally
that it is recognized that times are tough. Giving people permission
and good examples for how to empathize will provide not only comfort
to customers who receive it but also to your employees who are
feeling the pinch themselves.
4. Deliver small heroic acts of kindness. Small kindnesses
will go a long way right now. We are all so fatigued from walking
away empty-walleted, that small gestures will really stand out.
Zane’s Cycles, a bicycle shop in Connecticut, sells $15 million a
year from a single shop. They give away any item that a customer is
in a panic about finding that costs under a dollar (e.g., a link
that will fix a broken chain). Think Dad with a 10-year-old whose
bike is broken; one stop at Zane’s and they save the day — without
charging anything. Such small heroics send customers away shaking
their head in amazement. What can you do?
5. Find your best customers. Love them! Your best customers
deserve all the love you can give. First, let them know that you’re
glad they’re sticking around. Then reach out to them. Are you
developing new products or services? Bring a group of your best
customers in for an evening of food and feedback. Perhaps you can
send them a letter acknowledging that you value your relationship
with them and offer an extra service.
6. Play defensive end for the front line. Your people who are
working directly with customers are likely feeling two things right
now: their personal pain in the wallet and the pain of their
customers. Now, especially, is the time to come up with uncommon
acts of kindness for them. Create a monthly casual conversation with
your front line so they can tell you what they are hearing and where
they are perhaps being beat up a little by beleaguered customers.
Host something fun once a month, such as bringing in lunch or
hosting a karaoke night.
Most importantly, listen to what they have to say. Make a list of
the biggest issues they say customers are having and work to
systematically cross items off the list. You may need to create some
tools to help them coach customers down from that ledge that some
may be standing at right about now. Don’t wait to do this!
7. Hire those with dash and daring. Indications are that this
financial crunch will take some time to recover. Profile the type of
person who will thrive with customers in this type of economic
environment: listeners, creative thinkers and naturally
service-oriented people for those serving and interacting with
customers.
Hire for passion and the natural ability to empathize. Find leaders
who find the glass half-full and can motivate creativity and inspire
creative solutions. While these skills are always desired, they are
a necessity when times are tough.
8. Call customers who have left you. This is the time when
acts of heroism for consumers and business accounts will not go
unnoticed. So reach into your customer database and identify some
customers who have left you. Then reach out to them. But before you
do, build some creative financing and pricing options for them.
When you call, first apologize. Then listen. Asking why a customer
left and then really listening and repeating back the reason is
extremely powerful — and yet few do this!
Finally, ask to be given another chance and then offer your new
creative finance and pricing options. Even if they don’t bite right
away, this type of gesture sticks with customers. One financial
services company that implemented this strategy ultimately got back
35% of customers who had departed. Just the shock value that you
realized they were gone and cared enough to ask “what happened” will
set you apart from the rest!
Jeanne Bliss is the founder of CustomerBLISS (www.customerbliss.com),
a consulting and coaching company, and the author of Chief
Customer Officer: Getting Past Lip Service to Passionate Action.
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T R E N D S
The rise of single consumers
One-person households are expected to account for 36% of all U.S.
household growth between 2010 and 2020, according to the Joint
Center for Housing Studies of Harvard University. And singles are
forecasted to be the fastest-growing household group in the world,
according to Euromonitor International. While the burgeoning
demographic is a potential boon to marketers, the challenge is
targeting an audience that covers such a wide range of ages. Singles
could be graduating from college or celebrating their 80th birthday.
Singles are more apt to splurge on themselves. A study by WSL
Strategic Retail found that singles are more likely to spend money
on self-indulgences, even though 70% of them earn less than $50,000
annually.
You can market your products to singles by focusing on the following
key needs: 1) Mobility. Singles are often on the go. Help them get
around easier and win them over. 2) Companionship. Like anyone else,
singles desire companionship and, for example, will spend big bucks
to keep pets healthy and happy. 3) Entertainment. Singles have more
discretionary income and more time on their hands and often seek out
entertainment. 4) Romance. Events that allow singles to meet one
another can be combined with other product and service offerings. 5)
Space. Singles often live in smaller homes with less space, so
packaging products in smaller containers might win over this
demographic.
Sources: FuelNet, August 26, 2008; www.jchs.harvard.edu
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N E W S
Local media websites bring results
According to a new report by the Online Publishers Association,
local media websites hold a distinct advantage when it comes to
delivering results for advertisers. The study finds that consumers
trust advertising on local newspaper, magazine and television
websites, and are very likely to take action after viewing ads on
these sites.
Newspapers rank first, with 46% of consumers taking action,
including making a purchase, going to a store or conducting
research, after viewing a local ad; followed by local television
sites (44%); local magazine sites (42%); user review sites (39%);
and local channels of national portals (39%).
Consumers on these sites are desirable advertising targets,
concludes the report. Local magazine, newspaper and TV sites attract
significant percentages (48%, 40% and 39%, respectively) of
consumers who spent more than $500 online in the past 12 months. The
study also shows that an important common trait of all local online
content sites is an ability to attract high concentrations of
influencers.
Furthermore, consumers express significant faith in advertising on
local content sites. Newspaper sites lead the way, with 56% of
visitors expressing strong trust of the advertising found on these
sites, followed by local TV station sites and portals.
Source: Research Brief by MediaPost, August 27, 2008
Experienced recruits may bring ‘baggage’
Companies looking to jump start growth and productivity may be
inclined to hire skilled, experienced job candidates, as opposed to
workers that need training. Experienced workers, however, often
bring baggage from prior jobs that can negate the benefits of their
prior experience, according to new research at The Wharton School of
Business at the University of Pennsylvania.
For example, during the study, a human resource manager said, “We
tried to hire from our competitors and paid a premium for the
experience — but those hires were the least successful.” Another
manager commented: “People are weighed down by the baggage they
bring in.”
Companies might be better off investing in training fresh recruits
with little experience in an industry so the companies can have more
control over how the new workers adapt to their new employer’s
corporate strategy and culture. The research found that training may
be more productive than paying a premium to hire experienced workers
who might come from a different sort of corporate environment.
Source: Knowledge@Wharton, September 3, 2008
New postal tracking system helps small biz
The U.S. Postal Service (USPS) is going digital on bulk mail
service. Unique scannable bar codes will start to show up in May
2009 on business- and first-class mail and packages. The codes
should speed up processing of that mail and will allow businesses to
track the movement and delivery of each piece sent.
Named “Intelligent Mail” by the USPS, the new system will help
companies zero in on their best prospects by much more quickly
gauging response rates to mail offers and tweaking pitches if they
flub.
Intelligent Mail will deliver benefits on the businesses operations
side, too. Customers won’t be able to brush off collections calls by
saying “the check is in the mail” because companies can verify that
instantly. The system will automatically alert companies to customer
returns, helping them to reduce processing time and improve
inventory operations. And no more mail forwarding delays caused by
address changes, a problem for businesses sending time-sensitive
offers and bills.
The cost to get the Intelligent Mail system up and running will vary
from a few hundred dollars for small firms to millions of dollars
for the largest companies mailing millions of bills, letters and
direct mail ads annually.
Source: Kiplinger.com, September 18, 2008
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T I P S
- When building trust, a picture is worth a thousand words. So
instead of simply listing the names of your clients and telling about
the results you have delivered, take a photo of every one of your
clients using your product, meeting with you or doing something goofy
involving your name brand. It’s proof that people are happy with your
company. After all, they wouldn’t let you take their picture if they
didn’t like you, right? One way to get photos is to hold a contest for
the best picture of a client holding your product or logo near an
obvious vacation landmark.
Source: www.ducttapemarketing.com
- Be careful checking out job candidates on social networking
sites. If you reject them based on what you see, you could be
subject to charges of discrimination. Employers could be accused of
making hiring decisions based on candidates’ race, sexual
orientation, political stance or other factors that are easy to find
on websites such as MySpace and Facebook. A recent survey by
Vault.com found that 44% of employers use social networking sites to
examine the profiles of job candidates. As a result, “failure to
hire” lawsuits are expected to increase due to the growing use of
social networking.
Source: www.workforce.com
- When is it appropriate to give a gift to a customer? Jerry
Acuff, author of The Relationship Edge in Business, says that you should
use a gift to deepen a relationship, not to develop one. Giving a gift
too early in a relationship seems phony and desperate. Therefore, limit
gifts to established customers, not prospects. Also, watch how much you
spend — expensive gifts could be perceived as a bribe. Acuff once
developed a long-term business relationship through a Star Trek poster
he got for free at a drug store.
Source: www.bnet.com
- Is your pricing strategy producing the desired effect? If
not, consider the following: People associate the number nine (e.g.,
$29.99) with value and the number zero (e.g., $30) with quality. The
extra penny isn’t so much about gaining extra sales as it is about
communicating whether you offer value or quality. Another strategy
is to require monthly payments. While it may seem advantageous to
ask for a one-time or annual payment, customers may actually
perceive the item as free after awhile and not use it as often —
think gym memberships — thereby limiting satisfaction. This strategy
also makes high-priced products and services seem more affordable.
Finally, be sure to boast about a discounted price. Big “sale” signs
make bargain shoppers feel good about their purchase.
Source: www.smallbiztrends.com
- IRS is on the warpath against firms that misclassify workers.
The Internal Revenue Service has signed up most states to share
payroll tax exam data, made it easier for independent contractors to
claim they’ve been misclassified and revved up their document
matching program. An electronic matching system, for example, lets
the IRS spot businesses issuing 1099 forms with payments of $25,000
or more to at least five workers with no other income sources.
Source: The Kiplinger Tax Letter, 1729 H Street NW,
Washington, DC 20006
- Maximize your trade show investment by making small
improvements that can generate big gains in traffic. Start by
sending a short and sweet pre-show mailing. Give a short description
of your products, let the prospect know where to find your booth and
entice them with the promise of something great once they get there.
Also, backdrops are key to getting people to gravitate toward your
booth. Before the show, set up your booth in a space where you can
stand back 50 feet and take a look at it. Does the backdrop entice
you? Finally, create an eye-catching one- to two-minute video,
running on a continuous loop. The video should be the perfect
introduction to the conversation you’ll start with anyone who stops
at your booth to watch.
Source: The Marketing Report, 370 Technology Dr., Malvern,
PA 19355
- Never ask anyone to do something that you wouldn’t do.
Entrepreneurial guru Guy Kawasaki says that this is one of the most
important lessons he’s learned as an entrepreneur. That goes for
customers (e.g., “fill out these 25 fields of personal information
to get an account for our website”) and employees (e.g., “fly to
Mumbai, meet all day the day you arrive and fly back that night”).
If you follow this principle, you’ll almost always have a good
customer service reputation and happy employees.
Source: www.sun.com
- Need financing for your import business? The financial
unit of package delivery company United Parcel Service recently
launched a bridge loan for small U.S. businesses that import goods
into the country. Under the UPS Capital Cargo Finance program, the
company will advance 50% of the value of goods to U.S. importers for
up to 60 days upon pickup of the merchandise in a foreign country.
The goods themselves will serve as collateral. The loans are
available to companies based on criteria such as profitability, a
track record of at least three years in business, market share and
company management.
Source: www.reuters.com
- Get the most from pay-per-click advertising by
considering the buying cycle. With many products and services there
are several buying stages. At the beginning of the buy cycle,
searchers may be looking for general information and product
reviews, while at the end of the cycle they may be looking for
return policy information or where to make a secure purchase. For
effective ad copy, segment keywords and write ad copy that’s
appropriate for the buy-stage of the keyword(s). For example, you
may want to promote a white paper to attract early-stage buyers,
while a time-sensitive offer may appeal to those ready to buy.
Source: www.wdfm.com
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