ECMW

I just heard a psychologist talking about how people perform better when they feel they are being watched or ‘on show’. It reminded me of Pine & Gilmore’s book The Experience Economy and the notion that all business is now theatre and your people are players.

It reminded me of last year’s European Customer Management World. Chris Daffy had invited some of us to a pre-conference dinner. Each course was introduced by the chef and then the servers swept in, around ten of them I think, from two doors on the side.

I watched them - five on each side of the long table - step back in unison and glance at the head waiter, who gave a small signal with a nod of his head, like a conductor of an orchestra setting the timing.

All ten moved forward at the same time, like dancers, and placed the next dish before the guest in front of them. Then they stepped back, all turned as if in military formation, and strode out the door. Some of them were smiling to themselves in satisfaction. I wanted to give them a round of applause.

This wasn’t serving a meal. It was choreographed theatre. It was art. When I was a student I used to be a room service waiter in the summer holidays, at a five star hotel. It was boring work with long hours and a gruelling regime in the kitchens when you ordered and collected the meals as the lowest of the low - the waiter (think lots of Gordon Ramsays shouting at you; on more than one occasion waving a meat cleaver at you that you had to duck to collect the dish you had ordered - I think it was their sense of humour. I hope so).

But these people weren’t at the bottom of a pecking order. They were artists on show, part of a flawless team. And they knew it. Whatever your sector is, you can do the same. The Geek Squad (I’m looking forward to interviewing their founder at ECMW next month, in the leadership track) even does it with IT service and repair.

All work is now theatre. Your customer experience will be all the better for it once you realise that.

Phil Dourado
www.PhilDourado.com

If you log onto http://www.TheBorgata.com The Borgata hotel, casino and leisure complex in Atlantic City, the website says “Take me to my happy place” just above the menu of things to do there. 

Only six words, but shows a real understanding of how to see yourself through your customer’s eyes and be clear on the part you are offering to play in their lives. 

Starbucks positions itself a The Third Place (a respite between home and work). The Borgata presents itself as ‘My’ Happy Place (more personal and also a lot clearer as a proposition than ‘The Third Place’, which means nothing to most people and is a bit pseud-y, to be honest). So, what part do you play in your customers’ lives? What place are you, from their perspective? How do you fit into their lives? This is the new marketing. It’s not about you as a product or service or company. It’s about you as a piece of someone else’s jigsaw, and about how you make them feel.  

http://www.PhilDourado.com Phil Dourado

There’s increasing evidence that going for the extremes – being bold – gains more attention and loyalty from customers. In over-crowded markets, bold stands out. If you want ‘fans’ instead of customers, then to gain that kind of extreme reaction you need to provoke strong emotion. And for that, you need to be bold, not bland. 

Richard Branson, who will be with us at European Customer Management World next month, knows all about being bold.  His latest bold venture is to take the brand literally out of this world. He has teamed up with aviation designer and inventor of ‘Spaceship One’, Burt Rutan, to launch Virgin Galactic.   

If all goes to plan anyone with £100,000 to spare can fly Virgin Galactic into space (or you can use your Virgin frequent flyer miles!) 

So, just how bold is your business?  Take part in my short online survey, which is part of the research for my new book with my co-author Andy Milligan, called Bold Business.  All participants receive a summary of the survey findings. Click here to take the Bold Business survey.   

Richard Branson will be interviewed by One Minute Manager author Ken Blanchard in the Annual ECMW Keynote on Wednesday 14th May   

Shaun Smith will be running a Case Study & Q & A in The Customer Experience Summit, Monday 12th May, and will be chairing the Brand & Marketing Innovation Track of ECMW 2008 on Wednesday 14th May.  

More detail on this link: European Customer Management World 

Back to the story of my bike. I wanted a racing bike suitable for triathlon, I thought it would be easy but my experience was bewildering.  After visiting dozens of retailers, my enthusiasm had waned and I was drifting into frustration and despair.  Then I found Freddie and the cycling emporium in
Barnsley that changed my life.  Freddie greeted me as I walked in and stated the obvious – ‘you need a bike that fits’.  Three hours later I was lighter of pocket but well on the way to having a fabulous new bike. 

So how did Freddie succeed where all others had failed?  Freddie really knew his stuff, he had a big range in stock and he had the technology to measure me up properly. All this is important but not unusual and many other retailers offer the same.  The difference was that Freddie made an effort to get me to engage with his company, the company who made the bike I wanted to buy and with cycling in general.  I was hooked.  I would not go anywhere else and (as here) would recommend Race Scene to everyone.  For those familiar with Net Promoter Score (http://www.netpromoter.com) I give them a 10.

‘Customer synergy is the highest level of customer service and it delivers the highest level of customer loyalty. Nothing is as powerful. And, with it, you can leapfrog the competition’.Who said it? Dr. Stephen Covey, author of The 7 Habits of Highly Effective People.

Er…what does he mean? Well, as he’s going to be one of the keynotes at ECMW 2008 next month, I dug my notes out to give you a quick primer in advance. So, here’s your sneak preview of how to put the customer at the heart of your business, courtesy of Dr. Covey:

“Synergy happens when both supplier and customer are changed by the experience, creating something new that neither knows about in the beginning. That creates a bonding. Synergy assumes that a solution lies between ‘us’ and we find it together.

It takes a leap of imagination to craft customer service around the idea of synergy. But, as Einstein said: ‘Imagination is more powerful than knowledge’.

As the business climate evolves at white water speed, the danger to avoid is that of meeting new challenges with old, inappropriate responses.

You can avoid this disconnect between your organization and its customers by exploiting the four unique endowments that allow each of us to choose a course of action, rather than follow a prescribed and perhaps inappropriate response.

Many elements combine to produce customer service and they have to be aligned like a combination lock. Align and deploy them effectively within yourself and among your front line people and you will break down the four great barriers holding back most organizations that are trying to become more customer-centred:

i. No common purpose
ii. Low trust
iii. Disempowerment
iv. Misalignment ”

ABOUT THOSE SEVEN HABITS…

And, of course, you know what the Seven Habits are by heart, don’t you? Just temporarily misplaced them in the mental filing bank? Okay, here they are so you can impress someone by writing them on your sleeve and reeling them off in your next meeting…Don’t say we never give you anything:

i. Be Proactive
ii. Begin With The End In Mind
iii. Put First Things First
iv. Think Win/Win
v. Seek First To Understand, Then To Be Understood
vi. Synergize
vii. Sharpen The Saw (renew)

But, of course you do all those things anyway, don’t you…

Posted by Phil Dourado, www.PhilDourado.com

We’ve all heard it said a zillion times:  “You can’t successfully drive customer-centricity without c-suite buy-in.“ But what about boardroom buy-in? It’s an area of support often overlooked (or considered off limits) in fighting the internal corporate tugs of war that typically accompany a firm’s struggle for customer-centricity. 

Since 2003, I have served as corporate board director for a New York Stock Exchange company. Take it from me: A lot more can happen for the customer with boardroom support than without it. Here’re four suggestions for getting your customer strategies on the boardroom radar screen—and winning boardroom advocates for your hard-fought initiatives:     

1.  Push to get customer strategies on the board room agenda.  Are your firm’s customer strategies and programs getting face time with board members?  If not, why not?  

The Enron-era of “hands off” boardroom oversight is dead. Personal liability, outside regulators and aggressive investment funds have forced board members to amp up strategic oversight like never before.  Listen in on “best practices” seminars for board directors, and you’re likely to hear this philosophy: The most important part of a board’s role is to set corporate strategy in cooperation with management, define the risk parameters inherent in the strategy and ensure the corporation has the talent to realize the strategy. Moreover, the board is also tasked with periodically testing the strategy’s competitive resilience.

Do you and your customer management teams have meaningful input to assist the board in its strategy oversight? Yes! The key is in how you deliver that input. Push your program awareness through the c-suite and into the boardroom by “packaging” it through the lens of corporate governance and directorship.
 
2.  Speak the language of the boardroom.   Now’s the time to pull your corporate finance and accounting texts off the bookshelf.  “Earnings per share,” “EBITDA,” “net income,” “cash flow,” “same-store-sales,” “market capitalization,” “margin”—this is some of the language of corporate governance. As a dyed-in-the-wool customer advocate, I would love to tell you that board director education programs and board meetings consistently overflow with discussion concerning customer engagement, customer experience, customer relationship management, customer centricity and the like. Instead, my board experience has taught me that public company boards are often seated with financially-oriented directors tightly focused on four key elements:

a  Financial performance
b  Operations performance
c  Risk management
d  Strategy    

Your best bet for getting and keeping customer advocacy issues on the boardroom radar screen is to report on your strategies through the context of one or more of these board agenda items.    

3.  Make your data matter.  How about your customer survey insights? Employee engagement insights? Here’s one way to harness board interest in your findings: 

Overlay this information on same-store-sales data or other financial performance data that the board regularly reviews. Can you demonstrate the predictive abilities of your customer/employee data? For example, did the softening in Quarter 1’s customer satisfaction ratings foretell the dip in Quarter 2’s same-store-sales? Your ability to “connect the dots” and identify trends is an important step to earning and keeping boardroom attention focused on customer management issues.

Most public boards are accustomed to evaluating corporate performance using what I refer to in my board work as “lagging” indicators. Think about it: Same-store-sales, earnings per share, EBITDA and the like are measures of what has occurred, rather than what is coming.  Therein lies your customer management team’s huge opportunity! Measured “correctly,” such gauges as customer loyalty metrics, customer value metrics and employee engagement metrics should help predict what’s coming. But it’s important that the data’s predictability is reliable. That’s why the constant historical analyses I suggest earlier is so critical.

4.  Lobby strategically. When you are given the opportunity to spend time with board members, invest the time wisely. Consider this scenario: You are part of a handful of managers invited by the CEO to have dinner with the board. How do you prepare?  Read the board director bios (and any other information available) well ahead of the dinner and consider which board members are most likely to be your easiest-to-win allies. If possible, target those directors first. For example, if the director has a deep banking background, over dinner conversation compare some of your current customer challenges and initiatives to high-profile banking case studies.  

Always remember, this seemingly informal conversation time is an incredibly fertile bridge-building opportunity. But guard against the oversell. Let the director get to know you as a person, too. In the end, though, your ability to demonstrate how customer initiatives are driving corporate performance and success is how you build boardroom advocacy.

There has never been a better time to nurture boardroom awareness and support for your customer centricity strategies. The backlash from sleep-at-the-switch board directors (think WorldCom and Tyco) has fed an unprecedented culture of boardroom accountability. And that’s just the opening you need! Start now to think about how to get your firm’s directors on your customer advocacy team. It’s time well spent.

Just reflect for a minute on the last 24 hours.   Focus on the times when you were out and about travelling, going into shops, interacting with people.  How many spring to mind?  Maybe one or two?  Often I ask people to do this and they can’t remember a single incident.  They have gone through a whole day and nothing has engaged them.

Now flip the perspective and identify those interactions where other people might say that you have made them feel special. How many would there be?  Of course we will say there are plenty, but are there?  Do we make a conscious effort to really engage with people – would they ride 15 miles on their bike to see us?

This brings me to my bike, more of which to come.

As Richard Branson will be doing a Q & A at ECMW in May, it’s worth noting that Virgin has refined its Upper Class customer experience still further.

You may have seen their new campaign, which is all about whizzing through security to their clubhouse. The point is that Virgin chooses to compete on the customer ‘touchpoints’ (the parts of your business process that touch the customer, affect how they feel about you, and collectively make up their customer experience) that other airlines do not even think about.

Here’s the ad (below), a great reminder, if you need one, that you need to design your customer experience to be distinctive, which I’ll be helping you with at ECMW 2008’s Customer Experience Summit Monday 12 May, in a case study presentation with David Rowntree, Retail Divisional Director at Waterstone’s, on ‘Boosting Sales Through The Customer Experience’ :

Posted by: Shaun Smith, http://www.shaunsmithco.com . As well as his case study at the Customer Experience Summit on 12 May, Shaun will be chairing the Brand & Marketing Innovation Track at ECMW 2008 on Day Two of the Main Conference, Wednesday 14 May.

Virgin’s group brand manager for customer service, Michael Murphy, will be talking to us at ECMW 2008 in an extended session on Wednesday 14th May, called ‘Living The Brand: Bringing The Brand to Life Through Customer Service’. Here’s an interesting slideshare from Michael that I’ve just come across that gives you a preview of some of his thinking and practice:

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Posted by Phil Dourado  www.PhilDourado.com

I am often asked this question, what elevates customer experience beyond the everyday and transforms it into something special?  Then over the weekend I had an experience that sums it all up…

On Saturday morning I nipped into town to do some jobs.  I went to the supermarket for the weekly shop and then filled my car with petrol before heading home.  As I unpacked my shopping, I thought about the morning. I had experienced the customer service of two highly successful companies, I had personal contact with a number of their employees - but I could not recall a single one of them.  I had given these companies my time and custom but they had done little to make sure I would return.  In short, Saturday morning felt like a bit of a let down.
 
That afternoon I cycled 15 miles to a butcher’s shop high in the Pennine hills to buy sausages.  It took real effort to get there as it is mainly uphill so why did I make this journey just to buy sausages?  Put simply - Brindon Addy at Hade Edge is extraordinary.  They know how to engage with their customers and make them feel special, of course it helps that their sausages are the best for miles around!  In short, Saturday afternoon was brilliant.

I believe any of us can be extraordinary, any team can be extraordinary, any organisation can be extraordinary.  So why do we experience so much mediocrity?  I am sure people do not go to work thinking “I’m going to do a bad job today”, managers do not tell their teams to “avoid engaging with their customers.”   So why do so many people see work as a chore – something to be suffered until home time?