I was back in my local running store, Eclipse Running, a few days ago to buy a water bottle and a pair of socks. I brought my new Nike SportWatch GPS that I purchased at Eclipse last month with me because I could not figure out how to set the time and I knew they would be able to help.

I described the problem I was having with my watch to the owner and he told me that to fix it, I needed to download the software from the Nike website and connect my watch. I told him I had tried to find the software on the Nike site when I first bought the watch but could not find it. I found the Nike site to be a navigation nightmare; however, I told him I would try again and continued my shopping. The fact that Nike forces you to download their software to set the time on your watch is just plain stupid.

The owner’s son was at the cash register when I checked out. He wears the Nike watch, so I told him my sad story of not understanding how to get the time to display correctly. He also told me I needed to download the software to make it work, and I told him the same thing I told his dad – I tried that once, could not figure it out, but would give it another try.

At that point he asked for my name and phone number and told me he would call me to make sure I got it to work. No one ever asks for permission to call me at home to make sure products work properly, so I figured “yea, OK.”

Guess what? Two days later he called to follow-up.

That, my friends, is impressive customer service.

Exceeding your customers’ expectations does not have to be big deal. Many times it’s as simple as caring enough to put yourself in the customer’s shoes and standing behind the products you sell as if you had purchased them yourself. Look for simple opportunities to be more relational and less transactional. Earn my loyalty by giving me a reason to trust you. Give me the chance to do for you what you can’t do for yourself – tell my friends with shareable social objects that you are the best in town at what you do.

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Employee Empowerment Is Good Social Business

I am going to review Gary Vaynerchuck’s new book “The Thank You Economy” on March 8, but I wanted to share this long quote with you now because I so strongly agree and am glad someone as influential as Gary said it:

Ninety-five percent of the worst social media engagement I’ve seen was produced by PR companies that were hired to manage a brand’s profiles, pages, or blogs. Please, companies, stop hiring your PR companies to do your community management. PR is in the push business; they send out press releases and book appearances and work B2B. They’re used to talking with editors, writers, and producers, not the public. They have no idea what is going on in the trenches, and they’re awkward and shaky when they try to go there. The only reason PR claims they can do it is because they see which way the wind is blowing, and it’s not toward them. They’ll say anything to avoid losing your business….Select the employees who know your business well, and care about it as much as you do, and can demonstrate quick, creative thinking, flexibility, and compassion. Those are the people you want representing your brand to the masses. If you don’t feel like you have the knowledge in-house, hire a company to get the ball rolling and train your staff, then hand the reins off to your team.

Thank you! I can smell an agency voice at your site easily because they don’t really engage. They work on the tell and the sell and neglect the process of developing authentic conversation around helpful social objects. It’s very unremarkable, the exact opposite of what your business really needs to leverage the tremendous opportunity these new social platforms provide.

As David M. Scott so correctly points out, there is only one question you need to ask someone before you hire them to help you with social media – show me your social media presence. If they can’t blog, tweet, and run a Facebook page successfully for themselves, how are they going to be able to do it for you? If the person your hired or the one they assigned to help you can’t get their own name to appear at the very top of a Google search, thank them for their time and move on.

The most powerful voices you have available to truly engage your customers belong to you and your employees. Get outside help if and when you need it, but never surrender your voice. You don’t have to do it all, but we do need to know you are there and personally engaged somewhere in the process. If you aren’t there, it’s because you simply don’t care.

In his new book Enchantment (which I will also review on March 8), Guy Kawasaki defines enchantment as the process of delighting people with your product or service so much that you produce a voluntary and long-lasting support that is mutually beneficial (p. xix). Trust me, your agency lackey has ZERO chance of enchanting YOUR customers. Only you and your employees can do that on the front lines of your business and online as well, and if you are not enchanting them, they are not being enchanted.

Unless, of course, your competition is enchanting them.

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A.G. Lafely spoke to the World Business Forum about customer centric growth and innovation.

Lafely subscribes to Peter Drucker’s idea that the primary purpose of a business is to create a customer and then to serve that customer for life. Innovation is critical in order to keep current customers and to attract new customers.

Innovation must meet a consumer need, the consumer must be willing to purchase it, and the innovation must create value for both the company and the consumer. Invention alone is not innovation. It’s a mistake to think of innovation only in terms of products. Innovation is a process, and to be really good at it you must continuously innovate the way you innovate.

Innovation requires both creativity and discipline. Ideas are important, but those ideas have to be developed such that the good ones make it to market and the ones that don’t work are abandoned as soon as possible. That requires a culture and process of discipline.

Even if the leadership of your company does not support customer centric growth and innovation, don’t let that stop you from assuming the responsibility for doing whatever you can to connect with your customers and learn how you might be able to make the products and services you provide better.  When it comes to innovation, it’s better to attack yourself than to be attacked by your competitors.

Innovation requires true openness, real curiously, connecting, collaborating, and courage. Pick one of those and give yourself permission to do something different.

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Excellence Is A Form Of Deviance

Never in my life have I been so unhappy at check-in that I told the front desk clerk I would never be back. But that’s exactly what I did a few days ago when I visited Harrah’s Lake Tahoe. In all fairness, the room I finally stayed in was spacious and comfortable, which makes the experience Harrah’s delivered before I ever got to to the room all the more unfortunate.

This was my first stay at Harrah’s, and I was looking forward to it. I teach several Harvard Business School cases on Harrah’s evidence-based approach to management in my MBA class, so I was looking forward to being impressed.

The front desk is well positioned and easy to find right inside Harrah’s entrance. I did not have to wait in line, and the front desk clerk greeted me with a smile. But things quickly went awry.

I was certain my room was pre-paid, and that I would only need to provide a credit card to cover any incidental expenses. The clerk told me that was not the case, which pissed me off because I left my business credit card at home. I didn’t bring it because I did not think I would need it.

The next thing the clerk told me was that if I even touched anything in the bar in the room, I would be automatically charged. I’ve never had that said to me on check in – ever. “Just touch it?” I asked. “Yes, just touch it,” she replied. Why would any business create a system that they have to WARN their customers about in the first five minutes of the service encounter? That’s insane.

I was still thinking about how ridiculous the process had been so far when she dropped the next bomb on me – I could not have the room I reserved. I reminded her that I had RESERVED my room package, and she politely reminded me that it was not guaranteed and they were very full that night. Like I am supposed to give a damn about how their good fortune was now the cause of my misfortune.

That’s when I told her “I will never come back to this hotel.”  She finished getting me a room, then gave me her name and invited me to call the front desk if I needed anything else. I thought to myself “you’ve got to be kidding!”

I finished checking in and walked to my room thinking what a shame that transaction was. I was so very prepared to love this hotel, and they pissed away their good reputation in the first five minutes.

Was my encounter with the front desk clerk a person or system failure?

I think the person that checked me in took pride in her work. I don’t think this was a new employee; in-fact, I think she believed that she was very well trained. I could tell by the way she warned me about touching things in the room bar that she thought she was doing me a favor, and that it was part of her standard operating procedure to do so.  I could also tell by the way she told me my reservation was not guaranteed that she had done it many times before. I was struck by how routinely she broke the bad news to me and reminded me of the fine print of the reservation policy.

The next day at the conference I attended, an executive with the company stood before the group and asked for suggestions on how to improve reaching customers. I raised my hand but there was no chance to get my comment in. I saw the executive in the lobby later talking on her phone. I handed her my card and told her I had some things to tell her about her property. I’m not surprised she did not make more of an effort to get my feedback. She did e-mail me the next day, but if I were in her shoes and a customer had something to tell me, especially after a public invitation for suggestions, I would not have left without that face-to-face feedback. What if something was very wrong and she had the opportunity to fix it right then? Just think how impressive that would have been?

Was my encounter with the executive a person or system failure?

Unfortunately for Harrah’s, I’m guessing my experiences are not “isolated” incidents. I’m betting they have a track record of paying close attention to and impressing the hell out of “high rollers,” but have a consistently inconsistent record with folks like me.

I know some of you are probably thinking all of this is really not a big deal. But it’s little things like this that determine the difference between operational mediocrity and sustainable excellence. Operational mediocrity is not a growth strategy. These little things are actually easy to fix. But they are also impossible to fix if you don’t care enough to create a system to find them and fix them. For a business like Harrah’s in today’s economy, that irresponsible management.

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Guest Post by Adrian Gostick and Chester Elton

Over the last few years, our series of business books has focused on “carrots,” our catch-phrase for recognition offered by leaders to appreciate the great work of their employees. And yet in a new 350,000-person study, we learned that the same practices of appreciation and recognition that create great leaders also contribute to the success of breakthrough teams.

Here’s what we found: Cheering is the secret sauce that can create a spirit of camaraderie so strong that the act of supporting each other becomes second nature, where the vast majority of pettiness and finger-pointing stops. And it was appreciation (or recognition) that was the key cheering factor that unlocked commitment, drive, and ultimately, success. As team member talents and efforts were rewarded frequently and specifically, colleagues also strove for the same treatment. They wanted a bit of cheer too.

Sounds good, right? But what if your cheering was under scrutiny from the Wall Street media?

We found that’s just what happened recently at Texas Roadhouse, a restaurant chain with 330 locations and 40,000 employees system-wide. The restaurants were built to resemble a traditional roadhouse found throughout rural Texas, serving great food amid line dancing and country music.

Company founder Kent Taylor opened the doors on his first restaurant in 1993 with a simple people-first philosophy; take care of your employees and they will take care of your guests. His focus on employee happiness was a departure from the conventional management wisdom at a time when competitors were focused solely on taking care of the guest. In this remarkable culture, awards were created for meat cutters, bartenders, and even line dancers. Other national promotions and contests combine for a line-up of employee recognition that is impressive.

It’s an approach that recently earned Texas Roadhouse careful attention from the press. Recently at the company’s annual managing partner conference, CEO G.J. Hart was invited on air by CNBC to discuss the company’s decision to continue recognition practices. While media focus at the time was critical of using company resources to celebrate in a time of rampant economic cutbacks, Hart used the opportunity to create a rallying cry for Texas Roadhouse employees.

Read the words of Service Manager Wendy Ennis of the Clarksville, Indiana, restaurant, as she described to us Hart’s appearance on the news network: “The whole interview was pretty incredible. Not only did GJ not apologize for celebrating his people’s accomplishments, he said he wasn’t sure it was enough. It’s an honor to be a part of a company that’s so committed to taking care of its people—especially now. At a time when most companies are saying, ‘Don’t love your people, don’t do anything extra, just tighten the belt as much as you can,’ it’s almost as if our leadership does just the opposite. The message we get is, ‘Take care of your people especially right now. Love your guests especially right now. Take care of your community especially right now.’ And you know what? The guests tell us they can feel it too and they love it.”

By continually engaging employees through a platform of consistent appreciation, Texas Roadhouse has inspired such employee commitment, not to mention stronger performance and customer loyalty, all of which contribute to better business results. “We have seen a double digit drop in turnover from just a year ago,” says Dave Dodson, communication and recognition program director.

Other company metrics also speak to the success of the Texas Roadhouse’s approach to culture. In 2009, again during the recession, company earnings were at record levels.

The moral of the story: Texas Roadhouse is one of many great examples that illustrate the power of cheering in this economy. Despite the doom and gloom, there is potential in every team to be extraordinary.

New York Times bestselling authors Adrian Gostick and Chester Elton are the authors of The Orange Revolution: How one great team can transform an entire organization coming Sept. 20 from Free Press, an imprint of Simon & Schuster. Learn more at carrots.com. Subscribe to Adrian and Chester’s blogs at http://adriangostick.com and http://chesterelton.com

Thanks, Adrian and Chester! Bret

I just witnessed a remarkable exchange between a customer and a service provider.

My favorite local coffee spot during my stay here in London is Sacred Coffee on Torrington Place. The same guy (let’s call him Danny) works the booth every day, and he takes great pride in his work. Even if there is a line, and there often is, Danny takes great care to craft your cup of coffee as if you were sitting in his own kitchen. I can see the design he puts on the foam of my flat white even through the lid. He knows he is going to put a lid on the cup, but he makes the effort to leave a design in the foam anyway.  I’ve told him before that he makes the best coffee in the area and after thanking me, acknowledged that he knew it. He is the best because he wants to be the best.

Today Danny was in a very down mood, and the customer behind me in line noticed it. She asked him what was wrong, and he told us he was late to work today and his crumby boss chewed his butt out. She told him “Don’t worry about it; I’m sure your boss has also been late to work a few times.” She continued her encouragement of him “Let it go, Danny. We need you smiling. This place is better when you are smiling. Come on, cheer up!”

Wow.

The exchange I witnessed between the encouraging customer and the exceptional service provider was a perfect example of the cycle of success spiral that I discussed in my post entitled “Service-Profit Chain: There Is Something Right With This Picture.”  People – your service providing employees – create loyalty with your customers. Your people (not you, Mr. Manager) delight or disgust your customers, and when the impact is positive, your loyal customers create a powerful virtuous cycle that can enhance your service climate. But never forget (Mr. Manager ) that you create the service climate that delights or disgusts your employees, thereby affecting their ability to serve your customers.

Yes, Danny should have been to work on time. I’m sure his boss is oblivious to how much money he would lose in sales if it was no longer Danny working the booth. Sure, the coffee is great, but there are at least 8 coffee shops (including 2 Starbucks) within 4 minutes and I can get pretty good coffee cheaper just 2 minutes down the street. Customers line up at the Sacred Coffee booth for Danny as much as they do for the coffee. As good as Danny is, his manager’s behavior is a systemic factor that limits what the business is capable of achieving.

Are you aware of how your customers behave when they come in contact with your service providers? If you have to hesitate to answer this question, I guarantee you that YOU have not provided the service climate your employees need to impress the socks off your customers.

Stop scratching your head wondering why your top-line sales are evaporating. No amount of wishful thinking or exhortation is going leave your employees impressed with you and your business, which is exactly what is necessary if you want your employees to impress your customers. And if you don’t realize that you need to enable your employees to impress every customer with every transaction, you deserve the competitive parity that you have imposed upon yourself. Unfortunately, your customers and employees don’t deserve you.

When you return from your vacation in La La Land, get to work partnering with your employees to design the systems that enable them to delight your customers. Only then will your company reap the benefits from the virtuous cycles of success that you and your employees earned because you created them by design.

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Enablement

I recently wrote about an experience I had where ATT had a service failure that they used Twitter to help them recover from. As a result of my laments about ATT service on Twitter, my complaint was addressed and I received two separate calls from people at ATT to make sure I was satisfied. One of those folks, Randy Brown, also sent me a letter to apologize and invite me to call him directly if I have any more concerns about ATT service. You can see that letter by clicking on the link below:

attletter

I think that is impressive. In fact, I can’t recall ever getting a letter like that when a company as giant as ATT dropped the ball. But that is the way that it should be.

We can think of all kinds of excuses why companies should not send letters of apology to customers after they recover from failure, but excuses are irrelevant. Customers rightfully expect more when they spend hard earned and increasingly scarce dollars, and smart companies will listen to those customers, strive to impress them, and drive their competitors out of business.