Church of the Customer: Customer evangelism archives
May 13, 2011
Hamburger love
Two new In-N-Out Burgers just opened in the Dallas area and the burger faithful came out in droves. People camped out for two days to be the first to sample the goods and the drive-through line stretched for 2 miles at lunchtime. Check out the video for a woman who was in tears when asked about her love of the iconic chain.
October 04, 2010
Spreading the word offline
Marketers may be obsessed with social media these days, but spirits marketer Maker's Mark continues to use offline tactics to build loyalty and help evangelists spread the word.
I've been a Maker's Mark Ambassador for a few years, and last week I received a personalized note card along with a stack of business cards with my name on them as a reminder of my ambassadorship. They are the same cards you receive when you sign up to be an ambassador. The note was signed by President Bill Samuels Jr. It's very old-school from a company with a lot of old-world charm.
We interviewed Bill back in 2006 and he told us stories of customers at bars who offer to buy Maker's for new friends they just met, throw down their Ambassador card on the bar, and say "I'll get this round. I'm part of the company." When you give loyal customers the tools to spread the word, and if the opportunity arises, they will.
Listen to our full interview with Bill Samuels and his concept of "marketing without fingerprints" by clicking on the podcast icon.
Tweet
June 16, 2010
Why a complaint is really a gift
At first blush, a complaining customer is not something we have on our wish list of awesome things in the world.
But this type of customer contact provides a great opportunity to do something remarkable that will build loyalty and word of mouth. Research shows this to be true. Customer experience research firm TARP finds that customers who complain and are satisfied are up to 8% more loyal than if they had no problem at all (PDF).
My experience with Adagio Teas is a great example of this principle. I recently lost the little plastic disk that sits under its IngenuiTEA pot. (Seriously, this teapot for loose leaf tea is super cool. Check out this video.) I couldn't find a replacement disk on their site and emailed them asking why I couldn't buy one. They said there was no way to buy one and that the disk was a nice to have but optional piece of the teapot. I pressed again saying that I prefer to have the disk and how could I get one of them. They offered to send me one for free. Nice! When I received their package, there were two disks plus a sample set of teas and a nice handwritten note.
This was my first interaction with the company as I had received the teapot as a gift. What started out as a complaint about not being able to buy the disk turned out to be an experience worth blogging about. Adagio went above and beyond sending the one disk, and created a more loyal customer who is impressed with their service. That's worth talking about.
BONUS READING: For more on this topic, see Janelle Barlow and Claus Moller's book "A Complaint is a Gift: Recovering Customer Loyalty When Things Go Wrong"
May 06, 2010
How to humanize your brand
If you travel for business frequently, take this quiz:
Think of the hotels you've stayed at this year. Can you name even one employee by name?
I can. Felix from the San Mateo Marriott. I stayed there a few weeks ago and noticed this poster in all of the elevators:
Curious, I stopped into the Marketplace Cafe and sure enough, there was Felix.
Friendly, approachable and mostly resembling the man on the poster, Felix told me he has worked for the hotel for 12 years. He said he loves his job and loves meeting people. He recounted the story of a man he met from Europe who, on his second stay at hotel, remarked that we was surprised that Felix was still there. Felix asked him when he had visited the hotel the first time. The man said "seven years ago."
A now-departed manager had thought up the idea eight years ago for putting Felix on the posters. Felix said there used to be a life-size cardboard cut-out of him in front of the cafe that was so life-like that it would stop people in their tracks to say hi. That is, until someone stole it.
I travel alot and for the most part, hotels are nameless, faceless places that aren't very memorable. But I won't forget the San Mateo Marriott because of Felix.
School of WOM May 24-26
Other brands presenting include P&G, Best Buy, PEMCO Insurance, Kraft, McDonalds, Google, Kodak, Coca-Cola, AT&T and others.
Details on the event are here. Use the discount code Friend of WOMMA to get $200 off of the registration cost.
See you in Chi-town!
February 23, 2010
Loyalty lessons from Lady Gaga
There's a lot marketers can learn from artist and musician Lady Gaga.
At age 23, Lady Gaga has rocketed to global fame in less than two years. Playing piano at age 4 and New York nightclubs at 14, she recently broke Billboard's record as the first artist to have her first five six singles reach number one. She's won two Grammys, and has sold 8 million albums and 15 million singles digitally worldwide. While her performance art-style stage shows and bizarre outfits have garnered much buzz, it's her loyalty marketing that may sustain her for years. Gaga is dedicated to her fans and clearly knows the elements of cultivating a community of evangelistic fans.
With that, here are my 5 lessons about building brand loyalty, Lady Gaga-style:
1. Give fans a name. Gaga doesn't like the word "fan" so she calls them her "Little Monsters," named after her album "The Fame Monster." She even tattooed "Little Monsters" on her arm and tweeted the pic to fans professing love for them. Now fans are getting their own Little Monster tattoos. By giving the group a formal name, it gives fans a way to refer to each other. Fans feel like they are joining a special club. (Related business examples: Maker's Mark Ambassadors and Fiskar's Fiskateers.)
2. Make it about something bigger than you. During her concert tour, Gaga recites a "Manifesto of Little Monsters" (text) (video). Although a bit cryptic, most Little Monsters see it as a dedication to them, that her fans have the power to make or break her. (Related business examples: Smoque BBQ (pdf).)
3. Develop shared symbols. The official Little Monster greeting is the outstretched "monster claw" hand. As all Little Monsters know, the clawed hand is part of the choreography in the video of her song "Bad Romance." Gaga tells the story of watching a fan in Boston greet another fan with the claw hand and that's when she knew this was the Little Monster symbol. Even Oprah knows the Little Monster greeting. Shared symbols allow fans to identify each other and connect. (Related business example: LIVESTRONG yellow wristbands.)
4. Make your customers feel like rock stars. One staple of Gaga's "Monster Ball" tour is to call a fan in the audience during the show. She dials the number onstage, the fan screams out, is located and they are put up on a big screen. While the rest of audience goes bananas, she invites the fan to have a drink with her after the show. (Related business example: eBay Live Conference where attendees walk through a gauntlet of applauding eBay staff as they enter the closing gala)
5. Leverage social media. Gaga has the requisite Facebook fan page (over 5 million fans) and Twitter ID (almost 3 million followers) but it's how she uses them that drives loyalty. On Twitter, she tells fans what she is doing, such as tweeting them before she opened the Grammy Awards. She also tweeted to fans that she was buying them pizza for waiting overnight at an album signing.
Some artists are very protective of their image and prohibit recording devices during performances. Gaga doesn't allow professional photographers into her concerts but is ok with fans recording and putting videos on YouTube.
Whether Gaga will have staying power remains to be seen. But she is making waves in the music business and teaching plenty of people the power of fandom.
Wouldn't you like to have fans like these?
UPDATE: To further illustrate Gaga loyalty, watch this fan-created created video card montage of Little Monsters from around the world for Gaga's 24th birthday. Many of the fans get emotional talking about how Gaga has inspired them to be themselves, and not care about what others think.
December 11, 2009
Objectives, goals, strategies and tactics
It's that time: time to create strategic plans for next year.
Most people use some form of objectives, goals, strategies and tactics for their plans, but get a group of 10 people into a room and you might have 10 different definitions of what those terms mean? That's why agreeing on their meaning is vital to your plan. Term agreement is a lubricant to productivity.
With that in mind, here's how we define the intention, purpose and usage of "objectives, goals, strategies and tactics" when assembling a strategic plan.
Objectives
An objective is a high-level achievement. The simpler the better, like "Improve customer loyalty" or "Grow our market share." They can also be mountain-tops of company success: "Make our brand a word of mouth success story." They could be trying to solve a nagging, systemic problem or doing something big, like entering a new market. Objectives are a rally point for leaders who manage day-to-day efforts: "Will the idea being pitched to me help us reduce our churn?" or "Will this project help us develop a new market?" For us, objectives sit at the top of the strategic plan, and an ideal plan has no more than a handful of them. Anything more can be overload -- for leaders and the people who work for them.
Goals
In our framework, a goal is anything that's measured. Goals can be revenue, profit margin, members in a community, certifications delivered, a Net Promoter Score number, etc. Goals determine how you fulfill an objective. Multiple goals can, and should, support a single objective. A goal of "Net Promoter Score (NPS) of 59" can support multiple objectives like "become a word of mouth success story" and "deliver best-in-class service." Just like in sports, a goal is based on numbers.
Strategies
A strategy is a way to describe a series of tactics, or very specific actions. In sports or war, strategy is often described as an action: Increase troop levels in a region. Do man-to-man coverage. The commonality is action performed by a team or group of people. Each strategy description begins with a verb to signify that something is being done. Example verbs include: create, hire, develop, launch, etc. Each strategy is supported, typically, by a series of specific tactics that may or may not be linear in execution or time. Every item in our strategic planning framework begins with a verb.
Tactics
A tactic is a very specific action, like creating a new program or improving an existing one. In our framework, a tactic might be "Launch a online listening program" or "Form a customer advisory board for the manufacturing group." Each tactic has an owner who may rely on the work of multiple people in direct or dotted-line reporting relationships to make the tactic work. Each tactic typically has its own plan, too, whether laid out in a spreadsheet or a Gantt chart. Tactics are best, too, when they are preceded with a verb. Specificity is the driver to improvement.
Later: Afterward, Beth Harte raised this point: Who should own the definition of terms like objectives, goals, strategies and tactics? If you believe language is a reflection of culture, and that culture is largely driven from the top, then I would suggest definitions come from office of the CEO and/or COO. It's from there that planning terminology, and even the planning process, should be taught clearly, succinctly and repeatedly. Beth thinks definitions could be owned by an outside association. If you have an opinion, hop into the comments.
November 18, 2009
New company, new history
When Jackie Huba and I decided eight years ago to start a company, we envisioned it as a consulting firm that would help clients create customer evangelists.
It was March 2001. We'd both just left the web development company we had worked at for three years. Online advertising was king then, but we wanted to explore why some brands experienced strong word of mouth while others didn't. We wanted to understand what fueled the evangelism, how it happened, and how could we help others do the same.
We started with a website and an email newsletter in an era that could only be described as Before Blogs. A few months later, Fast Company did a short write-up on us, which led to a call from a publisher, which led to a book contract, which led to a year's worth of work, which led to the book "Creating Customer Evangelists" and a regular schedule of speaking engagements and workshops. Instead of focusing on building a company, we focused on spreading a philosophy.
Eight years later, there's a wide range of belief systems to choose from: evangelists, influencers, agents, advocates, mavens or sneezers. Social media fuels all of them at remarkable speed; some companies have adapted well while many others do nothing -- not because they're resistant to change, but because they're unsure of what to do. We think it's a good time to help with that.
So today we're announcing that Ant's Eye View, a management consulting company led by our friends Sean O'Driscoll and Jake McKee, is acquiring us and our company that's home to all of our work. We're very excited to be part of a group that helps business get smart about being social. We'll keep blogging here, and we'll continue to speak at conferences like we have for years, but we'll do that while helping grow a management consulting firm.
Ant's Eye View isn't even a year old yet, but it's already growing like some freaky kid prodigy. Sean was the guy behind Microsoft's MVP program, a community that brings knowledgeable Microsoft product users together with others who have questions or problems to solve. Jake was the guy at LEGO who changed the way that company thought about and engaged with loyal fans and customers through community relations (the subject of a Wired cover story in 2006).
Sean and Jake joined forces early in 2009 to launch Ant's Eye View. After that, they brought in Sean McDonald; he'd led the social media efforts at Dell to rebuild the company's image after "Dell Hell" scorched it. That included the company’s first corporate blog and pioneering efforts like Ideastorm.com.
We like Ant's Eye View because its people have led complex, customer-driven projects at big brands. They understand and believe in customer participation -- the fifth P of marketing -- our core marketing philosophy. They're focused, too; in less time than it takes some companies to decide on a name and a logo, Ant's Eye View has built an impressive roster of clients like Cisco, Apple, Intuit and a bunch of others. Word is just beginning to spread.
It's fitting that our announcement happens on the first day of the 2009 WOMMA Summit in Las Vegas. Five years ago, myself, Jackie and a handful of others met with Pete Blackshaw, Dave Balter and Jonathan Carson to hear their idea for an association focused on word of mouth. We're glad they eventually founded the Word of Mouth Marketing Association, which promotes the importance of word of mouth among all industries; Jackie was even named a founding board member. A bit rocky at times in its early years, WOMMA has filled its shoes well lately, especially by partnering with smarties like John Moore.
In fact, tonight at 7:30 pm (Wednesday), Ant's Eye View is throwing a celebration party at WOMMA. We'll be at the Risque club inside the Paris hotel, and the drinks are on us.
October 30, 2009
Kicking out unwanted customers
"Don't talk during the movie or we will take your ass out."
If you've been to an Alamo Drafthouse, the movie theater chain in Austin, Texas, then you've seen that semi-serious warning couched in a fun "public service announcement" before a movie showing. Theater founder Tim League knows that talkers mar the movie-watching experience for everyone else, and he does not tolerate them -- even if they punch the windshield of his car.
See, Tim was a customer recently at one of his theaters. A nearby loud-talker was asked by a theater waiter to keep it down. The customer protested, loudly, demanding to know who was offended by his talking. The waiter pointed to Tim.
Then it gets better... OK, worse.
After the the movie, the incensed customer followed Tim to his car, badgering him with anger. It climaxed with the customer punching the windshield of Tim's car, vowing never to return to an Alamo theater again.
To which Tim wrote on his blog:
"Fabulous.You sir are exactly the type of patron that I never want to see at an Alamo Drafthouse ever again. People who continue to talk when the movie has started are impolite, self-absorbed losers who were never taught common decency by their parents. WE DON’T EVER WANT YOU AT THE ALAMO. Please take your business elsewhere for the rest of your life....To our friendly customers, stay vigilant, report talkers and keep our theater safe from the raging hemorrhoids of cinematic society."
This happens all the time inside stores, movie theaters, sporting events, airline flights; an obnoxious customer makes everyone uncomfortable, and everyone in charge is oblivious.
Commenters on Tim's blog post love that he is standing up for them. If you stand with your best customers at the expense of the bad ones, you'll win bigger. The customer is always right -- if it's the right customer.
BONUS: Here's a years-ago example of an Alamo no talking "public service" video. This one stars the late Texas Gov. Ann Richards.
October 16, 2009
4 questions with author Jeanne Bliss
Many businesses are admired, but only an elite few have passionate, loyal, vocal fans. The kind of customers who not only come back time and time again, but rave to friends, family, and even strangers.
Jeanne Bliss has been the Chief Customer Officer for Lands End, Coldwell Banker, and Allstate, to name a few. Her new book, "I Love You More Than My Dog": Five Decisions That Drive Extreme Customer Loyalty in Good Times and Bad,
Q: You describe five types of decisions companies make; is one more difficult or easier than the rest, and how do they happen?
A: The foundation of every beloved company is their purposeful decision to believe. They believe in their employees. This frees them from rules, regulations and processes that take away ingenuity and inventiveness and spirit. And they believe their customers. This creates a level playing field between company and customer, where no one has the upper hand. By believing customers, companies remove the fine print, the unpublished rules and the just plain old stupid rules that make customers struggle to do business with them. This belief fuels the prosperity of human spirit common to all of the beloved companies. It is the underpinning of what draws customers to them and makes employees want to stay. There's no sequence to how companies become proficient at deciding to be there. It’s a funny way of saying this, but the act of believing is an essential core competency of beloved companies.
Q: Online communities and social media have helped create a sense of transparency. Have these been the drivers of a customer driven community or are they merely the byproduct?
A: What’s different about companies that people are drawn to is that they aren’t afraid to show up as who they are, foibles and all. This means earning the rave when they do things well. But it also means fessing up when things go wrong. These businesses allow people to bring the best version of themselves to work with them. They are nurtured and encouraged to apply their personal business decision making in their business decision making. It’s what enables companies such as Lush Cosmetics to have the open volley and exchange of ideas with employees and customers who debate and defend decisions on which 100 products they cut out each year. They enjoy family talk, not corporate talk. Griffin Hospital, for example, saw a 40% reduction in malpractice lawsuits when they decided to suspend the cynicism and trust families and patients by opening up complete records to them. A lot of companies want to “get” the rave. My take is that they’ve got that backwards. Companies need to earn the right to have customers tell their story.
Q: Do companies need to be customer-driven to grow?
A: Companies forget that customers keep them in business. Customers who love companies grow them. To understand this, think of customer math -- a rigorous way to track incoming customers by volume and value and then reconcile that number with the lost customers in that same period, comparing incoming and outgoing customer volume and value. The ‘aha moment’ comes when the math reveals that company marketing dollars are spent replacing customers lost rather than growing the business with the addition of new customers. In essence, many companies are running in place. I believe in elevating customers as the asset of the business. That means creating a competency for rigor around a) identifying and getting rid of those things driving customers away; and then b) getting really great at specific things that create a distinct memory and impression about a company and its people. We forget the fact that it’s the creation of those memories that we make on purpose or accidentally through our operations decisions or policy choices that connect or repel us from customers.
Q: What’s the biggest obstacle companies face in making them beloved?
A: Always looking at what each decision will get them. In a world where products and services are available in a hundred variations, these companies get a disproportionate piece of the pie because of how they treat their customers and employees. Acutely aware of how their every action impacts how customers feel and respond to them, they take the time to make purposeful decisions about the contacts they have with customers. So I’d say that the two biggest things in the way of companies adopting these decisions, is first, time: The rush of the deadline, of the quarter, and of making the quarterly sales goals. The second is silos. The inability of coming together as a unified operation to work together, fail and learn together and win together.
