Guest Post from The Amazing Service Guy Kevin Stirtz

Six Steps to More Loyal Customers

We all know it’s important to have loyal customers. But do you know how important it is? A study by Bain & Company suggests that a 5% increase in customer loyalty can improve profitability by anywhere from 25% to 95%. It shows us there are big opportunities available for owners and managers who are willing to do what it takes to increase customer loyalty.
The good news is, it’s not hard. And you can do it with the people and resources you have right now. It takes time, effort and patience to make it successful. But you can make a huge impact on your business.

Here’s what you need to do:
1. Ask your customers what they want.
This is different than what they expect. What customers expect is usually less (often a lot less) than what they want. But you need to know what they want.
What do they want in general? What are they trying to accomplish (or avoid)? Why did they choose you instead of your competition? What are their priorities and preferences?
Keep in mind different customers focus on different aspects of what your business does and how you do it. But if you speak with enough, you should see patterns and trends. You should develop some profiles of what various customers want.
Also look for how your customers want to be served. This will vary a lot and is harder to discover. Most people focus on what they want because it’s easier to talk about. But people like to be treated well. We all have different definitions of what being treated well means. You need to learn what it means to your customers.

2. Tell your customers what to expect.
Some companies try to be all things to all customers. They do too much and none of it well. Every company has a unique set of resources that gives it a competitive advantage. these are your company’s strengths. Learn what they are. Use them to determine what your company can do better than anyone else in your market.
Once you know what your company does best, compare that list with what your customers want. These two lists should overlap. (If they don’t, you have a problem!) Where they overlap is what your company should focus on. These are the things you need to do for your customers: the combination of what they want most and what you do best.

From this list you need to develop your message. You might call it a brand promise. You might call it your Customer Service Standards. What you call it is not as important as what you do with it. Use it to tell your story. It tells people why they should do business with you. and it helps them know what to expect when they do business with you.

Then make sure your customers, employees and management all understand your message. Do everything you can to share your message with these three groups. Post it in your store, on your web site, on your business cards, in your ads and anywhere else your employees, management and customers will see it. Get it noticed!

3. Create easy ways for your customers to offer feedback.
This is where many companies stumble. They focus so much on getting new orders and delivering the product or service, they forget what happens afterward. The only way you can consistently get better at what you do is with a steady flow of honest and direct feedback.
Find many ways for your customers to let you know what they think. Brainstorm with your employees. Make it a contest. Copy other businesses. Ask your customers. Do a Google search! Try different communication channels and keep trying until you find a bunch that deliver the amount of feedback you need (which is a lot).

Make sure this step is done by your employees. Don’t rely on outsiders (consultants, survey companies, etc.) to do this for you. They are your customers and you need to communicate with them directly. You’ll learn more from them this way and you’ll develop closer ties with your customers. You’ll also get another benefit. Customers love it when a company pays attention to them after the sale. They feel important because you’re asking them what they think.
Finally, make sure your customers know how they can contact you. Publish and promote the many ways customers can connect with you. Encourage them to reach out to you often.
4. Listen to what your customers say.
Many companies talk about customer feedback. Some do it well. Most don’t. Because they don’t work vary hard to hear what customers are saying about them. They might hear the obvious, like complaints and “thank yous” but nothing else. If you want to increase customer loyalty, you need to do better. You need to make a special effort to find out what customers are saying about your company, your products and your service.

This includes more than the feedback mechanisms you create (Step 3). It includes the many other ways people communicate about your company. The Internet is full of people’s comments about their customer experiences. Make sure you are mining this resource on a regular basis.
When you build trusting relationships with your customers and you open the lines of communication. You position your customers as partners. They can help you learn how to do a better job. But you need to communicate with them to make this happen. You need a steady flow of quality customer feedback.

Are you doing what you said you would? If not, what’s missing? Are they getting what they want? Is the message you’re sending the right one? If you have developed a brand promise, is it really what your customers want? And since things change, you need to stay abreast of changes in what your customers want.

Look for the Amazing Service Gap. This is the difference between what you promise your customers and what you’re actually delivering. Their feedback is how you know what your gap is. So listen for ideas on how to do better. Find ways to close the gap.

In addition to listening to your customers, you need to gather and store what they tell you. Most companies have plenty of contact with customers. But they never keep track of what their customers say. And if they do keep track, it’s often hard to access because it’s in a file drawer somewhere or buried in a database that nobody knows how to use.

Make sure the feedback you gather is stored in a way that people can get to. In fact, you should publish it. Make it available to everyone in your company. The more people who see it the more ideas you can generate to use it (Step 5). By having a lot of people look at it and talk about it, you’ll be able to see your customers more clearly.

Conduct regular and frequent meetings to talk about the feedback and draw conclusions about what it means. Look for trends and patterns. Also, look for what’s not there. Are there things you think are issues or concerns but that do not appear in any customer feedback? If so, what does that tell you? If it’s not important to your customers, should it be important to your company?

5. Act on what your customers tell you.
Information is no good if ignored. Beyond listening to your customers and considering what they say, you have to use it. This doesn’t mean you act on everything. Remember, Step 2, you can’t do everything everyone wants. So you need to pick and choose what feedback to act on. Focus on what will help your company do what you do best. Choose ideas that will help you close the gap (Step 4).

You might find feedback that takes your company in a different direction. Your brand promise (Step 2) might be missing the mark. Maybe you have a changing customer base or a changing market. If your feedback suggests this you need to consider how it affects your business. Then either act on it or make an informed decision to not act on it.

The bottom line in Step 5 is to do something with your customer feedback. It’s a gift from your customers so treat it as such. Make sure your thank every customer every time they offer feedback. And, let customers know what you do with the feedback. If they know it gets used they’re more likely to keep offering it. Help them get involved and stay involved as your partners.

6. Repeat.
Like the shampoo bottle says, “lather, rinse, repeat”. But in this case you should be repeating forever. This is a never ending process of learning, sharing, and working together.
Managing your company is no different than practicing a sport or hobby. The more you do something, the better you get. And since people and situations change constantly, this process needs to keep repeating so you don’t miss these changes. Keep cycling through again and again.

You’ll get better at knowing what your customers want and at giving it to them. Your customers will see you are truly focused on helping them get what they want. They’ll have little incentive to go elsewhere.

You’ll never please every customer every time. But if you follow these steps you’re much more likely to please most of them most of the time. That will keep your customers coming back again and again.

Kevin Stirtz is the Amazing Service Guy, a speaker and trainer who helps organizations of all kinds deliver Amazing Customer Service. His recent book: "More Loyal Customers" has won 5 star reviews at Amazon.com. You can find more at his website: http://AmazingServiceGuy.com

I Am NOT a Table: aTale of Medical Customer Service

This morning I went in for a medical procedure, and left with some pretty strong opinions on how medical personnel can improve their customer service.

The first nurse I encountered was perfect. She walked in, greeted me immediately, introduced herself, and then, told me step-by-step what she was going to do. So that there were no surprises, she explained that she was inserting an IV in my hand, commenting that this would be the last pain I would feel for the rest of the procedure. It went down hill from there.

"I Am NOT a Table": Lesson #1
The anesthesiologist was the next person in the room. He walked in, placed my medical records on my legs (No! I am not a table) and then proceeded to review it without either greeting me or introducing himself. A few minutes later he finally decided that I could know who he was and introduced himself.

Customer service tips:
Do not use the patient as a surface to place your records, there are tables in the room. It is disrespectful to use the patient as a table.

When you walk in the room, introduce yourself to the patient immediately. The patient shouldn’t have to guess who you are and why you are there. It is stressful enough without the added mystery. What may seem like seconds to you can feel like an eternity to your patient.

"I Am NOT a Table": Lesson #2
I was then wheeled into the procedure room. The anesthesiologist nurse complained to me that she was starting to get sick and her throat was hurting her.

Customer service tip: If you are sick, you have no business working with patients. And even if you feel that you have taken every precaution to not spread your illness, there is no need to discuss it with your patient.

"I Am NOT a Table": Lesson #3
As I was waiting, other medical personnel were in the room. They all started chatting with one another as if I was not in the room, or, to continue my metaphor, like I was merely a table.

Customer service tip: The procedure room is not a place to chat with one another. If you want to chat you can talk to the patient, unless they prefer quiet, in which case you should be quiet. Not including the patient in your conversation is disrespectful and unprofessional.

"I Am NOT a Table": Lesson #4
As I was lying on the gurney I started to feel woozy. I had no idea why. I asked the nurse why I was feeling that way. She responded that she had started to giving me a sedative.

Customer service tip: Do not start giving medication without informing the patient what you are doing and explaining how she might feel from it. Feeling woozy shouldn’t be a surprise. Once again I felt like a …yes you guessed it “a table.”

So medical personnel, whether you are a Doctor, nurse, or whatever, remember that the person lying on the gurney is your customer. Treat this person with respect. Not only is it the right thing to do, it makes good business sense. If your customer/patient doesn’t like how you treated her she might never come back, or she may tell all her friends not to go to you, or even worse—she might write an article about you.

Customers like to be remembered

Last week I was working in Orlando. I was staying at the Disney Contemporary Resort. Of course I am aware that Disney prides itself on superior customer service, so my expectations were pretty high. Even with those high expectations I still found myself amazed by a specific event.

After my class was finished I walked up to the reservation counter for the California Grill. Apparently it is a very popular restaurant so reservations are not easy to get. I was dining by myself so I thought I would check to see if I could eat later. A lovely woman behind the desk greeted me and told me that there should be no problem. It was a short unremarkable encounter and I walked away.

Later that night, after changing into more comfortable clothes, I decided to try and eat at the California Grill. I had no problem getting in (even though the place was packed.)

I was enjoying my meal at the sushi bar (the food was amazing,) when the woman who greeted me walked up to me and said “Wow, I am so glad you decided to come back.”

This blew me away. As I said, we had an unremarkable conversation, it lasted only seconds and I wasn’t even wearing the same clothes. But Ashley Call, the restaurants Guest Service Manager remembered me. And by the simple act of remembering me and telling me she was glad I came back she transformed my evening.

I felt important. I felt valued. I felt appreciated. She took a good evening and made it great. I eat at a lot of good restaurants, but I would go out of my way to go back to this one because of Call and her staff.

Call told me her goal was to make sure every guest leaves happy.

What do you do to make sure every customer leaves happy? How do you make your customer feel important, valued and appreciated?

Try doing something today to transform your customer’s experience.

You Lost My Sale Today

Yes you did. You probably don't care. At least that is how it appeared to me. I came into your store. Oh, I bet you don't think of it as YOUR store. I imagine you just think of it as the place you work. Which is probably part of the problem. But, I think of it as your store. And you ignored me. I walked in looking confused but interested. You were talking to your friend. I know you saw me. You just thought your friend and your friend's boyfriend were more interesting. You looked at me without acknowledging me or greeting me. You never stopped talking to your friend for a minute.

So, I walked out. The fact that I walked out without buying anything didn't seem to bother you one bit. Well, why should it? It's not YOUR store after all is it?

But wait, you get a paycheck right? Who do you think funds that check? Yes, it is me. And all the other people who buy things from your store. If you keep ignoring customers, the "owners" of the store won't be able to afford you. And in these tough economic times, that time may be sooner than you imagine.
So, please, the next time a customer enters your store greet them. Ask how you can be of assistance. Treat that customer as if your job depended on it...because it does.

Seriously, you don't want my business?

I need your help. I want to hear your stories. Tell me about the many ways that businesses tell you that they don't want your business. Please post your stories here or email them to me at lauriebrown@thedifference dot net.

Here is a favorite of mine:

My sister-in-law was recently visiting NYC and wanted to buy a pair of comfortable walking shoes. Her husband googled "Comfort shoes New York." He found a number of shoes stores, one of which was Treadeasy shoes.

She called the number and this is the conversation:

Treadeasy shoes (TS): Hello

Sister-in-law (SIL): Hello, is this comfort shoes?

TS: (Deep sigh) NO! This is TREADEASY comfort shoes.

SIL: Well I am looking for comfort shoes and my husband looked on the internet and your number came up.

TS: (Sigh) This happens ALL the time. You need to return some shoes? They are on the internet and we are not. We are referral only. DId someone refer you?

SIL: No, I am just looking for comfortable shoes.

TS: Well our shoes start at $250 dollars and I am not sure THAT is what you are looking for.

SIL: Well, you are a shoe store, right? And I am looking to BUY some shoes.

TS: (Laugh) Well, OK.

SIL: Where are you located?

TS: Well, we can meet you on 42nd st.

By this time my sister-in-law was tired of trying to give this business her money. She thanked the woman and ended the conversation.

Now to be fair, maybe there is a great deal of confusion about the differences in the stores. But imagine if the conversation went this way instead.

TS: Hello. Treadeasy shoes. My name is______________. How may I help you?

SIL: I am looking for comfortable shoes.

TS: Well, that is great. We specialize in high end comfort shoes through referrals. May I inquire who referred you?

SIL: Actually we found you on the internet. Is there anyway that I can still buy from you?

TS: Of course. Let me tell you a little about our business and how we can show you our shoes.

Now, I don't know their business model. But, I truly believe that a warm greeting and not showing frustration is a good start no matter what your business model is.

I would like you to think about the way that you make it difficult for people to give you their money. Try instead to be warm, helpful and gracious. I can't imagine ANY business in this economy that doesn't need each and every one of their customers.

Good Old Fashioned Customer Service is New Again

I just read an interesting article in the Bay City Times, about retailers in Bay City Michigan. I am sure you are aware of how tough things are in Michigan. But the retailers in this small town have figured out what to do to keep their customers. Not surprisingly, their secret is, as they say, "good old fashioned customer service and building relationships"

In the article, Susan Yaklin-Everson, a co-owner at Violets Blue, said that "she is going the extra mile on customer service." Water Front Market owner Greg Schultz said "he's surviving a tough economy by putting himself in the customer's shoes."

These simple ideas can make a huge difference in YOUR business. I recommend that you (or a friend or family member) pretend that they are a customer and try to do business with you. They should look at your policies and processes. Your phone system, can they get to who they need easily (no far cheating on this one?) Have them pretend that they don't have the secret direct number. Have them try to return something, or make an appointment or reservation.

Most businesses that I have worked with have found that they made it hard for their customers to do business with them, in one way or another. You might be surprised at how hard you have made it for your customers.

Do what they are doing with great success in Bay City, go back to providing good old fashioned customer service and start today.

Can You Afford to Give Exceptional Customer Service in Tough Economic Times?

Okay, perhaps the better question is "Can you afford not to?

Recently, J.D. Power and Associates reported that exceptional service satisfaction enhances automotive dealer and manufacturer profitability by improving customer retention even as sales decline.

I have one comment on their finding. "Duh!"

OK, seriously, they are absolutely correct. NO business can afford to NOT provide exceptional service 100 % of the time.

You have experienced it yourself. You walk into a business, whether it is your physician’s office, a fast food franchise, a department store or the offices of a large corporation, and you are welcomed like a valued guest. The greeting you receive is warm, sincere and immediate. The rest of your experience is made better by this simple act. But, you have also experienced the completely opposite experience—probably more often. You walk in and you are treated badly or maybe worse—totally ignored. No matter how positive the rest of your experience with this business may be, you are much less likely to be a satisfied customer.

Great customer service has always been important. But, in these tough economic times, businesses can’t afford not to get their customer service absolutely right. And yet, more often than not, this best practice eludes most service providers.

An online survey showed that 77 percent of customers will never return to a business simply because of how they were greeted. Most of them leave without ever saying why. With that huge of a loss in business, it’s clear all businesses need to greet their customers properly.

Today, create goodwill and great experiences at your business by providing exceptional customer service. Write and share what you did.