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<channel>
	<title>Service Encounters</title>
	<atom:link href="http://servicemarketer.com/feed/" rel="self" type="application/rss+xml" />
	<link>http://servicemarketer.com</link>
	<description>One Customer&#039;s Account of Service Moments of Truth.</description>
	<lastBuildDate>Mon, 08 Aug 2011 23:59:45 +0000</lastBuildDate>
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		<title>When a referral reflects badly on the referrer.</title>
		<link>http://servicemarketer.com/2011/08/08/when-a-referral-reflects-badly-on-the-referrer/</link>
		<comments>http://servicemarketer.com/2011/08/08/when-a-referral-reflects-badly-on-the-referrer/#comments</comments>
		<pubDate>Mon, 08 Aug 2011 23:59:45 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[service experience]]></category>
		<category><![CDATA[Wendy's]]></category>
		<category><![CDATA[Zagat]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=85</guid>
		<description><![CDATA[This past weekend, this sign stopped me in my tracks as I was walking into a Wendy’s. Apparently, famed restaurant survey company and industry reference – Zagat – rated Wendy’s the #1 restaurant. A claim like this is so amazing it has to be true, so I investigated further. It turns out that Wendy’s had [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://2.bp.blogspot.com/-QoNSbqy5-jQ/Tj8KBBWoFrI/AAAAAAAAAFk/GSAmVEGoqsE/s1600/IMG00098-20110807-1006.jpg"><img id="BLOGGER_PHOTO_ID_5638236271150634674" style="margin: 0px 0px 10px 10px; width: 209px; float: right; height: 400px; cursor: hand;" src="http://2.bp.blogspot.com/-QoNSbqy5-jQ/Tj8KBBWoFrI/AAAAAAAAAFk/GSAmVEGoqsE/s400/IMG00098-20110807-1006.jpg" border="0" alt="" /></a> This past weekend, this sign stopped me in my tracks as I was walking into a <a href="http://www.wendys.com/">Wendy’s</a>.</p>
<div>Apparently, famed restaurant survey company and industry reference – <a href="http://www.zagat.com/">Zagat</a> – rated Wendy’s the #1 restaurant. A claim like this is so amazing it has to be true, so I investigated further.</div>
<p>It turns out that Wendy’s had both the Top Food and Top Overall rating among mega chains in Zagat’s 2010 Fast Food Survey. Still, something doesn’t fit.</p>
<p>What do you use Zagat for? To find which breakfast sandwich will work best on the way to your son’s Saturday baseball practice? Which fast food restaurant you should be dining at during the spare fifteen minutes in your crazy day? Which children’s meal your little ones will enjoy most while doing the least long term damage to a lifetime of healthy eating?</p>
<p>If I’m considering a fast food meal, it’s unlikely that I consult Zagat, or any ratings agency. The rating is far too vague to be of much use, even if it is credible, which, coming from Zagat, it may not be.</p>
<p>Zagat may conduct a survey rating the “mega chains” (their term, not mine), but the rating applies at the system-level, and gives little indication as to the quality of a specific location. As evidence, the “#1 rated restaurant” was out of both biscuits and sausage during the service encounter when I took this. Without debating whether they were doing me a favor, I wanted a sausage biscuit, as did the people behind me and the people behind them. Does a restaurant that on a Sunday morning negates 6/13 of their breakfast menu warrant the top rating?</p>
<p>A referral is a promise, usually given by a trusted 3rd party, that your experience is going to be a good one. Its critical characteristic is its credibility.</p>
<p>Zagat is, in general, a credible restaurant referral. It’s a good thing too, because their entire business hinges on the credibility of their referrals.</p>
<p>You have to wonder whether rating the mega chains doesn’t undermine their overall credibility in the view of customers who see a sign like this as they engage in a mediocre dining encounter. It did for me.</p>
<p>If Zagat can’t be a credible referral for all restaurants, perhaps they should focus on those in the core of their model – those where customers actively seek their opinions and rely on their credible referral.</p>
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		<title>Brevity is overrated.</title>
		<link>http://servicemarketer.com/2011/08/07/brevity-is-overrated/</link>
		<comments>http://servicemarketer.com/2011/08/07/brevity-is-overrated/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 21:05:43 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[brevity]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=81</guid>
		<description><![CDATA[Some terrific business strategy leaders espouse brevity as a virtue in business writing. There are hundreds of examples of books, articles and programs on the suject. Seth Godin, Mike Brown, and many others others have, in the in the last few months, reinforced the requirement for brevity in business as a cultural truism. And some [...]]]></description>
			<content:encoded><![CDATA[<p>Some terrific business strategy leaders espouse brevity as a virtue in business writing. There are hundreds of examples of books, articles and programs on the suject. <a href="http://sethgodin.typepad.com/seths_blog/2011/06/writing-naked-nakeder-than-orwell.html">Seth Godin</a>, <a href="http://brainzooming.com/?s=brief">Mike Brown</a>, and many others others have, in the in the last few months, reinforced the requirement for brevity in business as a cultural truism.</p>
<p>And some believe the benefit of brevity in correspondence extends to the customer experience, with the emphasis on finishing engagements as quickly as possible. I&#8217;d argue that for the best of service encounters, brevity is not always the best course of action.</p>
<p>Does <a href="http://www.thephoenician.com/spa">The Phoenician</a> spa shepherd guests out of the immediately after their experiences?</p>
<p>Does Art Smith at <a href="http://www.tablefifty-two.com/">Table 52</a> hustle patrons out so he can get in another seating?</p>
<p>Does Chris Zane get customers out of his shops in the absolute minimum of time?</p>
<p>Damn right he does &#8211; when it’s appropriate. But <a href="http://zanes.com/">Zane’s Cycles</a> doesn’t have an espresso bar in the shop to give customers the bum’s rush as soon as they’ve been seen by an associate. It’s there because the experience is about more than keeping dialogue to the bare minimum needed to make a sale – rich dialogue with customers makes Zane’s service experience work better.</p>
<p>What makes your favorite book your favorite? Its length? Or that it is well crafted, appropriate for you and therefore memorable beyond others?</p>
<p>Brevity can be efficient. Brevity can be effective. But use it when its appropriate. If your experience hinges on being memorable, on being crafted specifically for someone, be selective with brevity.</p>
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		<title>Trader Joe’s: Can you join a cult slowly?</title>
		<link>http://servicemarketer.com/2011/08/07/trader-joe%e2%80%99s-can-you-join-a-cult-slowly/</link>
		<comments>http://servicemarketer.com/2011/08/07/trader-joe%e2%80%99s-can-you-join-a-cult-slowly/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:24:03 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[customer-customer interaction]]></category>
		<category><![CDATA[service experience]]></category>
		<category><![CDATA[Trader Joe's]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=78</guid>
		<description><![CDATA[Trader Joe’s arrived in my community last month. I had reviewed them before, but inspired by this week’s post at Write The Company, I planned an excursion to see if the home town service encounter was more compelling than the one I wrote about on a trip to the west coast. Not unexpectedly, the place [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://www.traderjoes.com/">Trader Joe’s</a> arrived in my community last month. I had reviewed them before, but inspired by <a href="http://writethecompany.com/tag/trader-joes">this week’s post</a> at <a href="http://writethecompany.com/wheres-trader-joe">Write The Company</a>, I planned an excursion to see if the home town service encounter was more compelling than the one I wrote about on a trip to the west coast.</p>
<p>Not unexpectedly, the place was packed.</p>
<p>Trader Joe’s enjoys a cult-like following wherever it crops up, and suburban Kansas was no exception. The number of patrons was the major difference between this visit and those I’ve had previously, in mostly west coast stores, and those other customers that finally turned the light on for me as to what the Trader Joe’s experience was all about.</p>
<p>It seemed every time I picked up a store-branded item – I’d guess 6 times in a 30 minute visit – a nearby customer either asked me whether the product I’d picked up was good, or offered their opinion on the product. The customer-to-customer interactions were rich throughout the store, and all based on the unique merchandise that Trader Joe’s carries. As time went on, I felt badly, as though I wasn’t contributing as much to the experiences of other shoppers as they were to mine.</p>
<p>All of my previous visits to Trader Joe’s had been in the middle of a mid-week day, few patrons, mostly rushing in to rush out. Now, I had seen it for the other side – where unhurried customers stroll through the store, asking other customers about the products and referring products they like to them, in a social network defined by the outer walls of the store.</p>
<p>At the checkout, the attendant gave me details about each of the products that I had purchased. When I asked her what proportion of customers she thought had been Trader Joe’s customers in other areas of the country and were familiar with the store, she astonished me with a reply of 90%.</p>
<p>90% seems like a high estimate. But even if it were half that, you’d have a retail store, completely foreign to the region and open less than a month, where almost half of customers were familiar brand users. That’s still amazing.</p>
<p>I used the word “cult” before, and I think it does apply, in that a cult – in this case the Trader Joe’s experience – doesn’t make sense to people that aren’t “in” it, but it makes complete sense to those who are. My service encounter was terrific, and as a result, I&#8217;ll go back and get a little more familiar with the cult-ure.</p>
<p>A sign near the exit reads, “There’s no place like Trader Joe’s.” The quote is likely a an outsider&#8217;s nod to Kansas culture based on their perception, but for those that have indoctrinated into the experience, it’s an apt comment. For cult members, there really is no place like Trader Joe’s.</p>
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		<title>Restaurant reviews also help the reviewed.</title>
		<link>http://servicemarketer.com/2011/08/07/restaurant-reviews-also-help-the-reviewed/</link>
		<comments>http://servicemarketer.com/2011/08/07/restaurant-reviews-also-help-the-reviewed/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:21:19 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[service experience]]></category>
		<category><![CDATA[Celina Tio]]></category>
		<category><![CDATA[Julian]]></category>
		<category><![CDATA[Top Chef]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=76</guid>
		<description><![CDATA[My wife and I are fans of the Top Chef television series, so I was thrilled when this year the one of the Top Chef Masters contestants was Celina Tio, proprietor of Julian here in Kansas City. A Top Chef Masters selection represents a strong endorsement of a Chef’s work and, by extension, their restaurant. [...]]]></description>
			<content:encoded><![CDATA[<p>My wife and I are fans of the <a href="http://www.bravotv.com/top-chef-masters/season-3">Top Chef</a> television series, so I was thrilled when this year the one of the Top Chef Masters contestants was <a href="http://www.celinatio.com/">Celina Tio</a>, proprietor of <a href="http://www.juliankc.com/">Julian</a> here in Kansas City.</p>
<p>A Top Chef Masters selection represents a strong endorsement of a Chef’s work and, by extension, their restaurant. In the show, they showcased Celina&#8217;s credentials as a Top Chef, which included Chef Magazine’s 2005 Chef of the Year and the 2007 James Beard Best Chef: Midwest region.</p>
<p>Impressive stuff, and my wife &amp; I were excited to try her service experience.</p>
<p>But when we started looking at some reviews, we noticed that not everyone who had an encounter at Julian had come away impressed. OpenTable users rated it 4.2 out of 5, but had chared some negative comments about the service. Google reviewers were less kind, rating Julian 2.5 out of 5.</p>
<p>Among the comments on Google:</p>
<p><span style="color:#ff99ff;">“Our server was also unattentive and our water glasses sat empty for most of the meal.”</p>
<p>“Food was excellent, however the service and atmosphere left much to be desired.”</p>
<p>“The servers were very unkept and unmotivated.”</span></p>
<p>Its tough to say &#8211; we may not have felt as good about the food had the reviewers’ comments not tempered our Top Chef-level expectations, but the meal was terrific all around.</p>
<p>The most notable thing about the service encounter: How unlike the reviews the service staff were.</p>
<p>Sure, they were dressed casually, but casual is the vibe of the place. Every person we interacted with went out of their way to thank us for coming, asked multiple times how the evening was going and if they could do anything to improve on it. As we left, service staff we passed but had never otherwise interacted with thanked us for coming. It&#8217;s a small place, but by the time we hit the door, it felt as though every employee of the restaurant had helped us or thanked us.</p>
<p>Its possible that the service staff, who the comments largely reflected on, had read the negative comments and amended the service behavior themselves. If they didn’t, it is likely that Celina read them and conveyed their content to the staff, with some additional direction.</p>
<p>For anyone labeled a Top Chef Master, their name is their brand. Their reputation is on the line not just with every meal, but with every service encounter. The negative reviews didn’t just give prospective diners information about what they can expect, it also gave the service provider additional cues on what customers think they can improve on.</p>
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		<title>Great failure AMC – keep ‘em coming!</title>
		<link>http://servicemarketer.com/2011/08/07/great-failure-amc-%e2%80%93-keep-%e2%80%98em-coming/</link>
		<comments>http://servicemarketer.com/2011/08/07/great-failure-amc-%e2%80%93-keep-%e2%80%98em-coming/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:19:54 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[service experience]]></category>
		<category><![CDATA[service failure]]></category>
		<category><![CDATA[service innovations]]></category>
		<category><![CDATA[AMC Theatres]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=74</guid>
		<description><![CDATA[I’ve written about the service innovation going on at AMC Theatres – both the introduction of Fork &#38; Screen and the rollout of reserved theatre seating. So I was surprised when, taking in a movie with my children, I noticed this sign stating that AMC is discontinuing the reserved seating process later this month. AMC [...]]]></description>
			<content:encoded><![CDATA[<p>I’ve written about the <a href="http://servicemarketer.blogspot.com/2011/03/dinner-movie-gets-completely-new.html">service innovation going on at AMC Theatres</a> – both the introduction of Fork &amp; Screen and the rollout of reserved theatre seating.</p>
<div>
So I was surprised when, taking in a movie with my children, I noticed this sign stating that AMC is discontinuing the reserved seating process later this month. </div>
<div>
</div>
<p><img style="TEXT-ALIGN: center; MARGIN: 0px auto 10px; WIDTH: 327px; DISPLAY: block; HEIGHT: 400px; CURSOR: hand" id="BLOGGER_PHOTO_ID_5629948830231422434" border="0" alt="" src="http://2.bp.blogspot.com/-Dd5LT5zAZqw/TiGYoeGR5eI/AAAAAAAAAFc/Ykto00rPYI4/s400/IMG00087-20110703-1357.jpg" /><br />
AMC says that the while theatres were intending to improve the viewing experience by introducing assigned seating, customers were not receptive to the $2 additional charge above the standard movie ticket required to cover the cost of the additional technology to guarantee a seat and an usher to guide you to it.</p>
<p>It has been positioned as the kind of value that a customer appreciates but isn’t willing to pay extra for. This kind of decision happens all the time, when would-be innovations are doomed because customers aren’t willing to pay for them. If this were a hyper-competitive local market where little things made the difference in brand selection, I might suggest that the “sunk costs” of the technology were just that, and that any additional value perceived by the reservation system would help bunker them from the ever-present competition. But it’s not. AMC is almost the only choice in local cinema, and if the variable cost of the ushers isn’t offset by people willing to pay for the experience, the sunsetting of the offering (or storing it in a closet until a more appropriate time) is likely best.</p>
<p>But beyond the immediate decision, I’m hoping more that someone at AMC isn’t fretting over the result and hoping that they never make a mistake like that again.</p>
<p>Whatever the strategic decision, I appreciate that the theatre was willing to take the chance that ultimately made the mistake. I wish that more service companies I deal with did the same. Many service encounters could use a fresh perspective and the benefit of a new take on their old models. Movie experiences are high among them, having not changed much since the 50’s.</p>
<p>Companies like AMC aren’t letting nostalgia for one format get in the way of creating a better model. Many other service businesses – those stuck in the “this is how it has always been done” mode, should take note.</p>
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		<title>Efforts too small to matter.</title>
		<link>http://servicemarketer.com/2011/08/07/efforts-too-small-to-matter/</link>
		<comments>http://servicemarketer.com/2011/08/07/efforts-too-small-to-matter/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:14:56 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[physical evidence]]></category>
		<category><![CDATA[service experience]]></category>
		<category><![CDATA[Garry Gribble's Running Sports]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=70</guid>
		<description><![CDATA[Terrific use of physical evidence to reinforce the experience from Garry Gribble’s Running Sports, a local running shop where my wife got her most recent pair running shoes in advance of her first half-marathon. It reminded her of why she went there in the first place and the value her unique experience provided. It differentiated [...]]]></description>
			<content:encoded><![CDATA[<div>Terrific use of physical evidence to reinforce the experience from <a href="http://www.garrygribbles.com/">Garry Gribble’s Running Sports</a>, a local running shop where my wife got her most recent pair running shoes in advance of her first half-marathon.</div>
<p><img id="BLOGGER_PHOTO_ID_5627695045076613490" style="text-align: center; margin: 0px auto 10px; width: 400px; display: block; height: 300px; cursor: hand;" src="http://3.bp.blogspot.com/-PsMxtXRqvO4/ThmW06IEeXI/AAAAAAAAAFE/8YJ5XiVdwKE/s400/DSCF3266.JPG" border="0" alt="" /></p>
<div>
<p>It reminded her of why she went there in the first place and the value her unique experience provided. It differentiated their experience from the alternatives, and reinforced what a great decision she had made by purchasing from Garry Gribble’s.</p>
<p>It would be easy to skip this step. Every other place I have ever bought shoes simply puts the shoebox in a bag and lets the customer walk out the door.</p>
<p>It takes more effort – though not much more – to commit your service manifesto to a printed 3&#215;5 card and tape it to an outgoing package. They also sent a handwritten note shortly afterwards. Three lines thanking her for her purchase and wishing her luck in her run. Again, more effort required, and again, nothing backbreaking.</p>
<p>You know who does this, takes the time to perform these small experiential elements that are so small that others see them as not worth the bother, because how could something this minor really make a difference when after all our price on the same shoe is 8% lower?</p>
<p>People who care about their business and who they serve.</p>
</div>
<div>People who succeed in building the unassailable brands most of us talk, tweet and write about.</div>
<div>People who get these. (Not that it matters to them)</div>
<p><img id="BLOGGER_PHOTO_ID_5627697130361175170" style="text-align: center; margin: 0px auto 10px; width: 330px; display: block; height: 400px; cursor: hand;" src="http://2.bp.blogspot.com/-iYIAmrLX4Eo/ThmYuSapvII/AAAAAAAAAFM/9d5jhcwxGX4/s400/IMG00085-20110701-1647.jpg" border="0" alt="" /></p>
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		<title>Asking customers to play a role? Ask plainly.</title>
		<link>http://servicemarketer.com/2011/08/07/asking-customers-to-play-a-role-ask-plainly/</link>
		<comments>http://servicemarketer.com/2011/08/07/asking-customers-to-play-a-role-ask-plainly/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:12:56 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[customer role]]></category>
		<category><![CDATA[Southwest Airlines]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=67</guid>
		<description><![CDATA[Today I was booking a trip on Southwest.com for my two sons (and I) to head home for their summer visit with their grandparents. They’re 6 and 2 years old. When asking for the ages of the travelers, Southwest asks for travelers by category. Curiously, the “full fare” category is labeled “Adult Age 2+”. Now, [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://4.bp.blogspot.com/-Ir5TTj9ce1o/ThU1TzZ1lNI/AAAAAAAAAEg/Ooja1ovYjq8/s1600/Picture1.png"><img id="BLOGGER_PHOTO_ID_5626461923801666770" style="margin: 0px 0px 10px 10px; width: 277px; float: right; height: 400px; cursor: hand;" src="http://4.bp.blogspot.com/-Ir5TTj9ce1o/ThU1TzZ1lNI/AAAAAAAAAEg/Ooja1ovYjq8/s400/Picture1.png" border="0" alt="" /></a></p>
<p>Today I was booking a trip on Southwest.com for my two sons (and I) to head home for their summer visit with their grandparents. They’re 6 and 2 years old.</p>
<p>When asking for the ages of the travelers, Southwest asks for travelers by category. Curiously, the “full fare” category is labeled “Adult Age 2+”. Now, my youngest is mature for 30 months, and might arguably identify more states on a map than several people whose opinion is showcased on prime time game shows, but I’m not sure I’d describe him as an “Adult, 2+”.</p>
<p>Seniors are identified as a separate category, exclusive of “adults. I could see and can understand a member of The Greatest Generation getting offended that my LEGO aficionado and my Elmo fanatic are considered adults, while they are classed otherwise.</p>
<p>I don’t know the operational reason behind this. I’m guessing that the term “full fare” may not be as marketing friendly as “adults”. It’s unnecessary. Companies are better off in a service environment in describing their process and its inputs as plainly as possible.</p>
<p>Since the only people that are subject to a reduced fair are those under two or 65+, identify the category as “full fare travelers”, defined as anyone 2 to 64.</p>
<p>Don’t forego accuracy for a term that sounds a little more appealing. Say what you mean. At worst, the simplified language will reduce confusion. At best, it will earn a measure of respect for being forthright with customers trying to fulfill their role in the service encounter.</p>
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		<title>Sewing the seeds of defection.</title>
		<link>http://servicemarketer.com/2011/08/07/sewing-the-seeds-of-defection/</link>
		<comments>http://servicemarketer.com/2011/08/07/sewing-the-seeds-of-defection/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:09:40 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[service failure]]></category>
		<category><![CDATA[service innovations]]></category>
		<category><![CDATA[service operations]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=63</guid>
		<description><![CDATA[This holiday weekend, my county got a good lesson in how a failure with one service encounter can create a trcikledown of additional failures. The local water company, WaterOne, experienced a loss in pressure in their lines. Because they couldn’t guarantee the safety of the water during that time, they issued a countywide water boil [...]]]></description>
			<content:encoded><![CDATA[<p>This holiday weekend, my county got a good lesson in how a failure with one service encounter can create a trcikledown of additional failures. The local water company, WaterOne, experienced a loss in pressure in their lines. Because they couldn’t guarantee the safety of the water during that time, they issued a countywide water boil advisory for roughly 36 hours.</p>
<p>From the beginning to its (thankfully) rapid end, the boil advisory impacted local residents and businesses significantly.</p>
<p><img id="BLOGGER_PHOTO_ID_5625705066138742946" style="text-align: center; margin: 0px auto 10px; width: 400px; display: block; height: 353px; cursor: hand;" src="http://4.bp.blogspot.com/-yE2nXy2tACY/ThKE845QsKI/AAAAAAAAAEI/FRDTF-meUIE/s400/IMG00084-20110701-15.jpg" border="0" alt="" /></p>
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<div>The idea that Johnson County might not have safe drinking water for a few hours sent residents into a frenzy. Water flew off the shelves of local grocery stores, leaving local businesses failing their regular local customers at a moment when those customers perceived they needed them most.</div>
<p><img id="BLOGGER_PHOTO_ID_5625709400410515522" style="text-align: center; margin: 0px auto 10px; width: 383px; display: block; height: 400px; cursor: hand;" src="http://4.bp.blogspot.com/-9T0s3ctcsmc/ThKI5LULaEI/AAAAAAAAAEQ/N8wUkmQrsvs/s400/IMG00086-20110702-16.jpg" border="0" alt="" /><br />
Service businesses that use water as an input to their experience (i.e. most food services businesses, including this Starbucks) had a major operations hurdle to overcome. At best, they increased cost to work around an input quality issue not of their making. At worst, they were unable to operate.</p>
<p>For businesses that depend on other services as an input to their experience, what is their recourse for the a failure like this? Usually, the utility tells them they don’t have to pay for service for the period in which it was inaccessible or unreliable. But what about increased operational cost? Lost revenue? Utilities are often insulated from the threat of customer defection due to dissatisfaction. They almost as often act that way.</p>
<p>It’s a reminder that service failures at utilities are unusual, but when they happen, they’re deeply felt. They&#8217;re the kinds of events that, even if they only ever happen once, get companies thinking about contingency plans, “what-if” scenario planning based entirely on the idea that “we don’t ever want to go through that again.”</p>
<p>No matter how secure a business is in their local market &#8211; even if they enjoy a monopoly &#8211; this exercise gets customers looking for alternatives.</p>
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		<title>Customer-centric leadership? I&#8217;ll take Sir Richard, thanks.</title>
		<link>http://servicemarketer.com/2011/08/07/customer-centric-leadership-ill-take-sir-richard-thanks/</link>
		<comments>http://servicemarketer.com/2011/08/07/customer-centric-leadership-ill-take-sir-richard-thanks/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:06:20 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[leadership]]></category>
		<category><![CDATA[service culture]]></category>
		<category><![CDATA[virgin]]></category>

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		<description><![CDATA[We’re in an interesting time, where the ubiquity of business has created an environment where some CEO’s have become celebrities like their entertainment and athletics counterparts. There has been much written about whether having a celebrity CEO is good or bad for a business. But it is good for service businesses, in that celebrity CEO’s [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://2.bp.blogspot.com/-DsludakAuTQ/Tf_5fqvy6aI/AAAAAAAAADw/W4nwRIzoFGk/s1600/G90Q6CAX03MFICA3U2UIPCABP6PNBCAXWR63RCAP2AP1RCAB7T3PBCACA7MW0CAPKBWUPCA34UHSSCAWUQGO6CA3ZAPNICA1FKN8PCAXJMYO3CAWXWEETCACG25R5CA1O89PTCAI0HPDVCAX1TW3VCAUJET9E.jpg"><img id="BLOGGER_PHOTO_ID_5620485182427687330" style="text-align: center; margin: 0px auto 10px; width: 300px; display: block; height: 168px; cursor: hand;" src="http://2.bp.blogspot.com/-DsludakAuTQ/Tf_5fqvy6aI/AAAAAAAAADw/W4nwRIzoFGk/s400/G90Q6CAX03MFICA3U2UIPCABP6PNBCAXWR63RCAP2AP1RCAB7T3PBCACA7MW0CAPKBWUPCA34UHSSCAWUQGO6CA3ZAPNICA1FKN8PCAXJMYO3CAWXWEETCACG25R5CA1O89PTCAI0HPDVCAX1TW3VCAUJET9E.jpg" border="0" alt="" /></a> We’re in an interesting time, where the ubiquity of business has created an environment where some CEO’s have become celebrities like their entertainment and athletics counterparts.</p>
<p>There has been much written about whether having a celebrity CEO is good or bad for a business. But it is good for service businesses, in that celebrity CEO’s keep companies honest by keeping them in touch with customers at the highest levels.</p>
<p>Lack of interaction between management and customers is a problem that has long plagued all kinds of companies. How many service businesses do you support through a regular billing cycle, for which if the CEO rang your doorbell on Saturday morning, you would recognize them?</p>
<p>The flipside also applies. I know several senior leaders who couldn’t pick one of their customers out of a lineup. Not that they don’t know any individual customers, more that they are too far removed to be empathetic to their customers’ lives and experiences.</p>
<p>But take a handful of celebrity CEO’s. Richard Branson of Virgin, Mark Cuban of HDNet, Gary Kelly of Southwest, Tony Hsieh of Zappos. They’re highly recognizable to their customers, but more importantly, they are often caught moving among them in the service environment. When a customer recognizes one of these business leaders in the service environment, there’s a good chance they’ll take a second to give feedback – good or bad – about their encounter. There’s also a good chance that these CEO’s spend a minute or two asking customers about how their experiences are going.</p>
<p>Feedback – solicited and unsolicited – begets questions that CEO’s ask their teams. Why do we have this policy? Couldn’t we change this process to make things easier? Why can’t we deliver this part of the experience better?</p>
<p>That kind of connectivity is contagious. Leaders that report to a CEO that spends a good portion of their time interacting with customers, aren’t going to spend less, and so on and so on.</p>
<p>Many senior leaders never bring these questions up because they don’t have the context to do so. Their only connection to customers is through the customer satisfaction reporting and 4 layers of staffers at corporate headquarters. The only hard questions they have to answer come from Wall Street. If that’s the only constituent input to base future business direction, it’s a bad one. Celebrity CEO’s may have their problems – it seems that more of them are prone to incarceration, though that may be a visibility thing too – but for customer service driven by the interaction of business leaders and customers, they have the built-in advantage of customer connection.</p>
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		<title>Every businessperson is a service agent first.</title>
		<link>http://servicemarketer.com/2011/08/07/every-businessperson-is-a-service-agent-first/</link>
		<comments>http://servicemarketer.com/2011/08/07/every-businessperson-is-a-service-agent-first/#comments</comments>
		<pubDate>Sun, 07 Aug 2011 02:03:08 +0000</pubDate>
		<dc:creator>chris reaburn</dc:creator>
				<category><![CDATA[service culture]]></category>

		<guid isPermaLink="false">http://servicemarketer.com/?p=56</guid>
		<description><![CDATA[Through a strange set of circumstances, a junior colleague was scrambled on short notice last week to be the lead contact for our company at an industry tradeshow. As he was getting ready for his first major solo customer-side contact, someone in our group asked him if he was prepared to answer customer questions onsite. [...]]]></description>
			<content:encoded><![CDATA[<p>Through a strange set of circumstances, a junior colleague was scrambled on short notice last week to be the lead contact for our company at an industry tradeshow.</p>
<p>As he was getting ready for his first major solo customer-side contact, someone in our group asked him if he was prepared to answer customer questions onsite. He rattled off corporate positioning detail and product knowledge like the most heavily-trained sale professional, gaining confidence as he did. As he was about to leave, we threw him one more question.</p>
<p>“What if someone asks you for service?”</p>
<p>“What?”</p>
<p>“We’re a service business that runs 24/7. How do you handle a customer who approaches and would like you to help with a service issue?”</p>
<p> Blank stare.</p>
<p>“Do you know how to get him / her to someone locally who can help?”</p>
<p>We spent some needed time giving our friend some critical detail on how to resolve a few service issues without reaching out, and hooked him up with someone that would know most local customers and could step in to provide assistance.</p>
<p>This story is unfortunate, but not unusual. Every time you see a company’s social media expert ask a customer with a complaint if they have called customer care, it is this dynamic at work. We’re a culture of corporate specialists. If you are unlucky enough to work in a corporate headquarters, picture all the people that could serve a customer immediately, if one approached them in a crowded airport and asked for help. Probably not many. (As an aside, are any of the faces C-level executives?)</p>
<p>It’s flawed logic to say that because serving a customer is not a role that everyone in an organization plays, not everyone needs to know it is done. Anyone in a support role ultimately plays a part in serving customers. Consequently, we should know how that job is done and be able to do it. Support organizations (that army of staffers most of us are part of) provide better internal service and customer support when we know the details of the customer experience.</p>
<p>The Army gets this. The idea that “every soldier is a rifleman first”, doesn&#8217;t mean that infantry is everyone’s primary responsibility. It means that everyone should know how to help the organization achieve its most basic objective, because that knowledge helps the organization better support those that play that critical role.</p>
<p>Zappos knows it too. I hear experts claim that the Zappos culture can’t be replicated – that their culture is specific to their business model and doesn’t translate to other organizations. That may be. One aspect of their business that is transferable to any company is their core understanding of each function’s role in supporting the overall mission.</p>
<p>My new colleague did spectacularly well in his impromptu field assignment, because he carries a service orientation and had the willingness to learn a role others might feel was beneath his level.</p>
<p>Organizations that aren’t top performers are the ones that don’t stress to all employees the importance of understanding the service role.</p>
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