Josh Mackey

To get angry or not to get angry? – Customer Feedback Strategy (CFS).

In Customer Relations on March 10, 2010 at 12:20 am

The idea for this post came from two questions I have wondered about for some time. ‘As a customer is it more effective to get angry and upset when you receive ‘bad’ customer service or just stay calm and simply explain the situation in a mature way?’ and ‘Have businesses created an aggressive customer feedback culture by generally only ‘rewarding’ angry and upset behavior? Most businesses, from Multinational Corporations to the mum and dad corner stores seem to handle different styles of feedback (in my opinion) in a counter intuitive way.

First off, all businesses should train or talk to their front line staff about their “Customer Feedback Strategy” (CFS). The area I think businesses fall down in their CFS with regards to the above questions is their handling of a ‘Friendly Customer Complaint’, the FCC. All staff should be trained to recognize and effectively handle the all important FCC. To start I’ll define the standard FCC customer. These are people who understand that mistakes happen, that no business is perfect. They aren’t initially angry and they don’t yell at staff or write to the newspaper. But bet your future profits if you don’t value their feedback and satisfy them in your response they probably won’t come back, but most importantly if they do come back they will not give your business the opportunity of another FCC.

The biggest problem is that most staff and many managers handle FCC’s with the relaxed approach of “Thank god they are not angry, that was a close one!” Believing it’s a positive that their boss will not have to be called for, or hopefully even told about the incident that caused the FCC. Some managers/owners even have policies that don’t refund, discount, or give complimentary anything unless the customer make a ‘serious’ complaint which generally has to be an angry one that lasts for over ten minutes. A thing these staff and managers should recognize for their own benefit is that a decent percentage of FCC’s when handled in an inappropriate way will turn into an ‘Angry Customer Compliant’ the ACC, which WILL end up going to their boss.  In support of most frontline staff many management teams do not culturally put a value on the FCC which is ultimately a great form of free constructive feedback and then in turn they fail to maximize the FCC value by haveing a deliberate and consistent approached to their CFS.

It does not make sense!

Effectively most businesses encourage the ACC, but sweeps the FCC under the metaphoric rug. Frontline staff needs to be effective at mining the FCC for the nuggets of gold they can provide, managers then must have systems that can trial, test, and then implement the advice if appropriate. But ultimately the information will stop with the front line staff if owners and managers don’t reward staff for reporting the FCC to them.

I truly believe when businesses don’t handle the FCC  appropriately they are missing out on an opportunity of converting customers to loyal fans, they are missing out on a source of valuable feedback, they are encouraging a culture of ACC at their business and missing out on the opportunity to populate their customer base with the best type of customers….

Those that are already happy to begin with!

I have broken down the steps below to what are in my opinion the most important points management and staff need to cover when handling the FCC.

  1. Instantly correct or explain the problem that caused the issue.
  2. Listen to the feedback and thank them for the information.
  3. Explain back to them what you understood the problem to be.
  4. Offer possible solution or corrective action based on their experience moving forward.
  5. If possible make sure the person responsible is included. EVEN if it is the head chef.
  6. If suitable, incentivize them to come back again to get an ‘unspoiled experience’.
  7. Give the ‘boss’’ contact details “Please let us know how your next experience is”.
  8. At the end of the experience thank them again for the feedback.
  9. Write up and pass on the details of the incident, solution, action, and outcome” to the CFS manager.

You don’t always need to give something away, think outside the box. If you do give something away though try not to think of it as a cost but a marketing investment.  The most important thing is to ensure the customer feels you have valued their feedback, you regret the incident happened and they feel heard.

Like my Dad would tell me when I was young “If you are getting regular response from more than one person, maybe it’s YOU and not THEM? You know what; my Dad was right and maybe so are your customers.

Cheers

Josh Mackey

Passionate about creating, communicating, and executing great customer experiences.

You can contact me at   josh@betteryetventures.com

Getting the right employee post – My response

In Customer Relations on July 22, 2009 at 10:20 am

Check out original blog post here

http://bit.ly/HmLEU

Hi Mac great article,

As a Australian and budding 27 year old entrepreneur living in NYC I agree. But this opinion may not be widely put into practice. In my desire to join a innovative corporation or firm as an internal innovator or project manager for the different experience it offers I have come up against some resistance due to lack of the right experience.

But instead of whining I and many others embrace the task of transcending the cover letter and resume job application process through social media, the web and good old fashioned face to face networking in the event to find and wrestle opportunity into our corner. Your point:

Resumes don’t reflect how well a person can think on their feet when a disruptive paradigm comes into play.

Is actuate, one that I have recently tried to overcome by displaying some innovative skills and sharing my ‘B’ List Initial Business Concepts with the world. ‘B’ meaning ones that did not make it through my business selection process, but still have some legs and possibilities. http://bit.ly/BYV60  I don’ t mind sharing as I have enough ideas to go around and at the end of the day, it’s all about execution and I don’t have enough time to do them all.

America for the most part does seem to have ridged paradigms in selecting people to get interviewed. It seems crazy to me that because I don’t have a degree (maybe it is because I don’t ;-) and I don’t get it) I would be instantly excluded from a majority of job opportunities. (I am not education bashing I want to get my MBA soon). In fairness, with the amount of people applying to jobs it’s hard not to blame HR for culling applicants based on certain selected points. Even as a CEO of my own start up, with my business management experience and great references I would not get a look in.

I also believe there may be a attitude from a majority of HR departments and management teams that believe anyone who considers themselves entrepreneurial is considered ‘flighty’ or not a good employee, “They will leave once they have the experience, lets hire the safe guy who is happy with the pay check, he will do his job and will not leave, meaning we won’t have to replace him in 6 months”. In my experience management must take responsibility to place and nurture operational employees in positions that suit them, and innovative employees in the right positions. Also in my opinion you need a balance of the two employees. because if the entire company is made up of all innovators who would do the grinding operational work day in day out? I believe you definitely need a combination of both to achieve success in business today.

Again thanks for the post.

Cheers

Josh Mackey
Passionate about innovating, communicating, and executing great customer experiences
josh.mackey@ymail.com

‘Don’t make it hard for the customer’

In Customer Relations on July 2, 2009 at 12:28 pm

Today I was in a book store milling around the business section deciding what books to buy next.  Searching for ‘Don’t make me think’ by Steve Krug a book that has been highly recommended to me by numerous people. Apparently the book is the bible for website functionally design and testing, which in my mind is a fundamentally important element to be a successful business topic. After a few minutes looking for the book I resorted to looking for it in the store PC. It was in the Internet section, not the business section. Logical yes, but shouldn’t business decision makers be reading this book as well as the web developer?  Take that one step further and say that all frontline, customer centric managers should read a book like this and apply it to their actual physical locations.  
 
Ask yourself, have you seen someone walk into your store, office or bar and look lost?
 
Do you regularly get frustrated by people who ask you the most basic of questions about your business?
 
Are your staff always complaining about how dumb customers are?
 
If you answer yes to these question you may have  issues with physical location functionality.
 
The premise of web functionally testing is when customers are on a web site and cannot find what they want?  They leave annoyed? This is bad for immediate conversion rates and statistically leads to the loss of a repeat customer who, from now on will think negative thoughts about your business. Why? Basically it all boils down to leaving the user frustrated, angry and feeling stupid. All bad for your business.
 
Today I work with and experience businesses who seem to forget about the functionally of their physical locations. Businesses need to find out how user friendly their businesses are, they need to figure out at what points people get confused and how they can fix them. Functionality can also be affected by things like staffing levels, new promotions, marketing material down to details like are your bathrooms clearly marked.
 
There is a lot to gain by bringing in some fresh eyes on your business systems, your branding, your signage and any processes your customers are involved in. You can bring in a consultant or simply ask someone you know (pay them) that has not been to your business to spend some time helping you. Ask them…
 
Can you find the toilet?
 
From the signs can you explain the current promotion back to me?
 
What are the services that this business offers?
 
Can you call our recorded phone message and retrieve some information?
 
Etc, etc
 
Watch what they do? Ask them where they got lost? Ask what was effective? Ask for their advice on what would improve the business. Tweak the questions to your business and organize follow up questions before starting.
 
The most important thing to realize is, if you make the customer work to hard to spend money with you, you will lose them.
 
Cheers
Josh Mackey
Passionate about innovating, communicating, and executing great customer experiences.

You can contact me at josh.mackey@ymail.com

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