Category: Sales

3 Who Did It Right: A Year-End Customer Service Salute

I’ve spent some time on bad customer service lately — Best Buy, Ocean Marketing and Penny Arcade, and, of course, SuperBookDeals have offered plenty of material.

So it’s only fair to salute three companies — two national, one local — who did some small things that made things just a little bit nicer. In December alone:

  • The folks at the Lloyd Center Mens Wearhouse in my hometown of Portland called me last week to remind me that I had a $150 credit that would expire at the end of the year. Yesterday I went to the store and burned $149.49 of it.
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  • ZipCar sent me an email reminding me that my drivers license was about to expire. I’d received a notice from the Oregon Department of Motor Vehicles about a month ago, and had forgotten about it. Since I’m a ZipCar member, they had my license info on file. Somebody was smart enough to realize that this kind of reminder would be quite valuable, and made it part of their automated database program. My license is now up to date.
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  • And finally, a thank you goes out to Phil Schlaadt, who runs the Portland MyDoor Dry Cleaning franchise. MyDoor does dry-cleaning pickup and delivery, one of the great time-saving inventions of modern life.
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    Phil Schlaadt had given his customers plenty of warning that there would be no pickup or delivery the week after Christmas. At least one of his customers (umm… Phil Bernstein) had forgotten this until late last week. I emailed him asking for a recommendation for a cleaner who’d be open.
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    He had one, and went me one better — he picked up my bag of laundry last Friday and dropped it off for me at a local shop he uses. Yesterday I went by that shop and picked my laundry up. Crisis averted.

Yes, Virginia, there are people out there doing it right, and they don’t get nearly enough credit. Thank you, and Happy New Year — see you in 2012.

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Penny Arcade, Ocean Marketing, and an Email Lesson

Let’s start with the lesson: email is social media.

Even if it starts out private, it can be made public. Extremely public.

The short version: in November, a guy named Dave orders a pair of PS3 controllers from an outfit called Ocean Marketing. The controllers don’t arrive. In mid-December, Dave writes to the company asking what’s going on.

He hears back from a guy named Paul Christoforo. Paul’s initial reply is not particularly helpful. Dave gets irritated, and Paul gets insulting. My favorite:

…put on your big boy hat and wait it out like everyone else.

At some point, Dave forwards the email chain to Penny Arcade — a website/webcomic devoted to the gaming industry that has, according to Wikipedia, about 3.5 million readers

Mike Krahulik of Penny Arcade enters the conversation, and Paul insults Mike. Mike then publishes the whole exchange on Penny Arcade (did I mention that they have 3. 5 million readers?)  and the real fun begins.

I am not a gamer, and was familiar with neither Penny Arcade or Ocean Marketing until reading the story. But a quick look at Ocean Marketing’s website reveals that their primary business is… social media marketing!

So here, in three parts, is the lesson I hope Ocean Marketing has learned today:

1. If you accept money for an order, ship the product on time.

2. If the product gets delayed for reasons beyond your control, be pro-active and notify the customer.

3. Apologize.

4. “Put on your big boy hat and wait it out like everyone else” is not an apology.

5. If you’re going to insult your customers, remember that emails can be forwarded.

For further reading, Google “Penny Arcade Ocean Marketing”. It just keeps getting better.

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SuperBookDeals and the Limits of Crowd Power

Alternate title: “Some Companies Just Don’t Care”

People in the customer-service advice-giving business love to tell the story of United Airlines and Dave Carroll. It’s a very entertaining tale of a customer who, having felt mistreated, used the power of the internet to do an enormous amount of damage to a large company’s reputation.

It’s an article of faith to many of us that in the age of the internet, poor customer service will result us a huge loss of good will, and money. As Mike Frichol of Marketance put it,

Companies that don’t pay attention to what their customers are saying about their business/brands/products/services/solutions via social media sites pay a serious penalty in bad publicity and lost revenues.

Your business/brands/products/services/solutions reputation is open to positive and negative social media discussion online. This is your reputation – you need to be engaged – you need to monitor what’s going on – you need to respond appropriately.

But then, there’s SuperBookDeals, an online book dealer who sells books  via their own site, along with partners such as Amazon.com and Barnes & Noble. In 2008, I had an extremely bad experience with SuperBookDeals and wrote about it here. I wondered whether SuperBookDeals would see the post — and whether their concern for their online reputation would cause them to reach out to me.

They didn’t.

Nearly four years later, a Google search for SuperBookDeals returns this:

The top listing is the company site, which is fair. But the Number Two listing when you look up the company is a consumer review site, Reseller Ratings. There are 80 reviews on the site, and almost all of them are extremely negative. A quick sampling:

“I will NEVER EVER order from here again!!!!! I order a book for school and was advised i would recv it in 14 days which would have been on the 16th of sept. Did i get it ?? ummmmm.NO!”

“Horrible, horrible horrible.”

“Do not order from this company.”

It goes on for page after page — dozens of angry consumers complaining bitterly about the books they ordered and did not receive… and the complete disdain they did receive when they tried to find out what happened to their merchandise.

More important, perhaps, than the stories themselves is this notation at the top of the review site:

Superbookdeals does NOT actively participate at Reseller Ratings to monitor feedback and resolve your issues. Are you this merchant? Help your customers!

In spite of 82 separate reviews — 81 of them extremely negative… in spite of the fact that this is the second listing on the page when someone Googles the company name… SuperBookDeals ignores it.

Meanwhile, my nearly four-year-old blog posts appear at #3 and #6 on the page. Although both posts get regular traffic and occasional comments, SuperBookDeals has not bothered to contact me, either.

So, this appears to be a case study in a company — an online seller, at that — completely ignoring its online reputation. Anyone wondering whether to do business with them can look them up and easily determine that they should not. Has this cost them anything?

As of this morning, SuperBookDeals still in business, still angering customers on a daily basis, and laughing all the way to the bank.

So the question for the group is this: how important is your online reputation? Leave a comment below.

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Why Facts Alone Won’t Always Persuade

“Facts tell, but stories sell” — Jim Doyle

It’s interesting to watch the political left and right — especially those at the extremes — shout past each other. Each has its own set of facts, and each is firmly convinced that if the other side just accepted these facts the argument would be over.

And each believes that the other side’s “facts” are lies.

Seth Godin tackles “The Limits of Evidence-Based Marketing”, using as an example an acquaintance who is firmly convinced that the vaccine for polio is harmful. Stacks of information and studies from the Gates Foundation and the World Health Organization — “evidence-based marketing” — would not change the acquaintance’s mind.

…evidence isn’t the only marketing tactic that is effective. In fact, it’s often not the best tactic. What would change his mind, what would change the mind of many people resistant to evidence is a series of eager testimonials from other tribe members who have changed their minds. When people who are respected in a social or professional circle clearly and loudly proclaim that they’ve changed their minds, a ripple effect starts. First, peer pressure tries to repress these flip-flopping outliers. But if they persist in their new mindset, over time others may come along. Soon, the majority flips. It’s not easy or fast, but it happens.

Which is why testimonial advertising is so powerful, and why I push the television salespeople I coach to replace the charts and graphs with stories of clients who’ve used the station and won.

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Reducing Choice, Increasing Revenue

According to the Toronto Globe and Mail, some major retailers and consumer product companies are experimenting* with reducing the choices they offer. The results are often positive:

Several months ago Wal-Mart  Canada Corp. decided to overhaul one of the staples of its grocery business – the peanut butter aisle.

It dropped two of its five lines of peanut butter to free up scarce shelf space for cinnamon spreads. But the decision didn’t cost the retailer a single jar in sales. With fewer selections to browse, customers wound up purchasing more than before.

“Folks can get overwhelmed with too much variety,” said Duncan Mac Naughton, chief merchandising officer at Wal-Mart in Mississauga. “With too many choices, they actually don’t buy.”

… P&G, maker of Tide detergent and Ivory soap, recently reduced the number of its soap and other skin care offerings by about one-third at one retailer, while cutting the array of detergents and other fabric care products by about 20 per cent at another chain.

Following the cutbacks, sales grew in each category. “In the skin care example, shoppers reported they felt that they had more choices because the selection on the shelf was clearer,” spokeswoman Jennifer Chelune said.

* An executive at Costco who read the same article told me this:

Costco has been “experimenting” with limiting the number of items in our warehouses for over 30 years.  We carry no more than 4,000 items in comparison to a Wal-Mart or Fred Meyer, which may carry 120,000.   So when we stop carrying someone’s favorite item (White Cheddar Popcorn or Pickled Asparagus), we aren’t trying to offend them — we are just audacious enough to want to make MORE MONEY.

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