What’s The Impact of a Shitty Employee Experience on the Customer Experience?

Can you deliver a good-to-great customer experience without paying attention to the employee experience?  If you forget theory and look at the practice in large organisations you might just see that the answer is a resounding “Yes!”  There is so much talk about the customer experience and in the process a lot of extra work is put on to the shoulders of the employees. There is almost zero attention to the employee experience. Almost nobody that matters grapple seriously with improving the lives/experience of the employees who face the customers. Especially not the folks in call-centres.

I say that if you provide your call-centre agents with a shitty employee experience then the costs (of this shitty experience) are inevitably passed on to the customers. First the customer experiences a lack in the interaction with the call-centre agent: something just doesn’t feel right. Second, the customer is left with an inadequate outcome whether s/he is aware of this or not: the question isn’t really answered; the advice given is less than optimal; or the advice is plain wrong.

Let me say this again: fine sounding words like customer focus, respect, empathy, customer-centricity, customer delight are not enough. On their own they represent icing on a turd.  I go further and assert this: if you recruit the right people and get the employee experience right then your customer facing agents will deliver good-to-great customer experiences without the need for the fine sounding words.

What happens when you have an environment in which the fine sounding words are in place and the call-centre agent experience is shitty?  Allow me share some experience:

  • The agent is aware that time it ticking and his performance is being monitored so he is keen to get on with the call and close it;
  • The agent is so busy navigating / accessing / viewing / updating many applications (that do not talk to one another) including spreadsheets and Word documents that s/he is not in the state necessary to really listen to the customer, to empathise, to make the customer feel valued;
  • The agent is dealing with a complex issue – which is what customers tend to ring in for increasingly – and he doesn’t know the answer. Under the pressure of the clock the agent finds the first plausible answer and gives this to the customer;
  • The agent is speaking jargon whether he s/he knows it or not. The agent is speaking to a sixteen year old who does not get the jargon. This sixteen year old asks for clarification on some of the jargon. The agent explains this jargon with more jargon all the time his/her tone implies that the customer is stupid;
  • This customer, this call, requires flexibility yet the agent is being monitored and managed on his/her ability to stick to the script. So that agent sacrifices the customer experience and his sense of what is appropriate in order do that which is clearly not appropriate – stick to the script. The customer pays the price in that s/he feels that s/he is talking with an idiot and dealing with an inhuman organisation.

Let me sum it up: If you provide your customer facing employees with a shitty employee experience then the best you can expect these folks to deliver is shitty-to-ordinary customer experience.  And no amount of find sounding words will make any difference. These fine sounding words are as effective as putting cream on a turd and serving it in a restaurant.  Nobody does this in the restaurant business, but this practice is common in large organisations.

Enough for today, I thank you for your listening. Until the next time….

Good Strategy and Effective Execution Necessarily Involves a Sound Appreciation of the Context

I find myself in the midst of an ocean of generalities: frameworks, models, recipes, formulas, 10 steps to…. Every one promising easy/quick arrival at the promised land merely by following the authors secret/revolutionary formula/recipe.

Folks even turn to me, as a subject matter expert, for advice on how to craft a customer-centric strategy, create a customer-centric culture, build meaningful engagements with customers, call forth the very best of the employees.  Sometimes, vanity get the better of me and I do offer an approach.  When reflection sets in I realise my arrogance/stupidity. Why?

Consider deeply, you may just get that the question is not how does one motivates human beings. No! The question is what motivates this flesh & blood human being right in front of me. The question is not how does one build a customer-centric culture. No! The question is how to go about shifting this particular organisation, these particular people, towards a customer-centric way of showing up and travelling. The question is not how one calls forth customer engagement. No! The question is what calls forth engagement in this particular customer.

Put differently, effective strategy, effective execution, effective change require a sound (even intuitive) grasp of the nuances of this particular person, this particular group of people, this particular culture, this particular technology.  Why?  Allowing me to illustrate through the following:

“If a house caught fire, intervention would require an understanding of the type of fire and the strategy required to extinguish it. Clearly and electrical fire cannot be doused with water, and a chemical fire will require will require a specific type of retardant.”

-Dr Eric C. Amberg, The Five Dimensions of The Human Experience

It’s even more complicated than that, the nuances are deeper. You turn up and find it’s an electrical fire. You search for water but there are no water sources nearby. Or there simply is not enough water.  Maybe it is even more complex, it is a chemical fire yet from a distance you cannot determine which chemical is involved. Or you have to persuade some person / group of people to do what they are doing AND make some chemical retardant especially for you.

You get the idea: the nuances present in the concrete, yet always absent in the abstract, have the determining influence on how things turn out. One must be sensitive to these nuances – detect them, and know how to deal with them.  This kind of understanding can only come through a certain repertoire of lived experience. In days gone by this kind of familiarity with the particular was achieve by becoming an apprentice /disciple of a master for many years.

Today we have taken the easy route. Too many folks treat the realm of human beings – a realm of contingency, of approximation, of probability – like the realm of mathematics where 2+2 always equals 4. The price to paid for taking this path is ineffectiveness.  Ask yourself what the telcos have to show for the fortunes they have invested in CRM, customer experience……

You can ask me to advise you on how to craft a strategy right for your organisation, or how to cultivate good relationships with your customers, or how to effect culture change. Please don’t expect me to provide an answer from a distance. I am not a seer nor am I a charlatan. To help you answer the question I have to get a feel for your particulars: you, the people in your organisation, it’s history, the kind of work that occurs, how folks show up and travel in your organisation, the kind of people who are your customers and how you / your products / your competitors occur to them.

I say to you, if you wish to be effective in devising strategies, influencing people, effecting change then it is necessary to give up the easy paths, the short cuts, and take the road less travelled.  To get to grips with the particulars – not just intellectually. This getting to grips must be at a deeper level – an intuitive feel for that which you are dealing with.

Why go to this effort?  Werner Erhard summed it up beautifully: “The context is decisive.”

I thank you for your listening and wish you the very best in your living. Until the next time…

 

 

 

State of Customer: What I Learned During 2016

Some years I find myself working on matters of strategy. Other years I find myself with ‘dirty hands’ working at the coalface – helping organisations build capabilities, and deal with operational challenges in the areas of marketing, sales, service, and CRM.  2016 has been a year where I have worked both on strategy and operations. What have I learned?

Customer Strategy

Either organisations do not have a clearly defined customer strategy or the folks working at large organisations are inept at articulating it. At best, I have found the customer strategy to be something like retain existing customers and get more new customers. That is not strategy. That is talking about desired outcomes without articulating how the organisation intends to generate those outcomes.  Maybe, I just don’t get strategy.

Customer Loyalty

I have found that the hard work of engendering customer loyalty has been bypassed by putting in place some kind of customer loyalty programme: do X and get Y points. The challenge with these loyalty programmes is that there is no heart in them. Mostly they are marketing gimmicks. Enough customers realise this and drop out of the loyalty programme – too much effort to win the points, and it takes forever to earn enough points to buy anything of value with the points. A sizeable number of customer loyalty members are inactive.

Then there are folks who see customer loyalty as a one way street. These folks see customer loyalty in terms of monetising the customer base. So they are busy figuring out which kind of marketing tricks will entice loyal customers / fans to spend more. Their heart is transactional – through and through. Why do I say that? Because what is missing is commitment to generate superior value for loyal customers and earn a suitable reward for creating that value. It is like noticing that someone is into you and then using that to get your way with that person just because you know you can.

Customer Experience

Without doubt Customer Experience is the latest buzzword. It is everywhere. Anything and everything is being linked to or brought under the umbrella of Customer Experience. Just about anything and everything is being justified on the basis of improving the Customer Experience.

What isn’t happening is this: real substantive efforts to actually improve the Customer Experience not just at specific touchpoints but also across the entire customer lifecycle. Further almost all organisations are thinking in a blinkered manner when it comes to CX. What do I mean by that? Think Amazon Echo.  What an improvement in the customer’s experience. How many organisations are working on new products that create entirely new, delightful, customer experiences?

Why so much talk but so little real action?  Because for many it involves the equivalent of turning the caterpillar into the butterfly. Just about everybody prefers the butterfly to the caterpillar. Yet, rare it is to find an organisation where the folks are up for the effort, pain, time, and risk involved in the transformation process.  There are easier-safer things to do like embracing ‘best practices’ and the latest channel or fad.

Digital Marketing / Marketing Automation

There is real shortage of skills when it comes to digital marketing / marketing automation.    It is easier to buy digital marketing / marketing automation systems than it is to operate these systems with skill.  There are folks with sophisticated content management systems yet the sophisticated features, like personalisation, are not being used.

Or you have organisations with digital marketing hubs that are not being used well. One organisation that I came across was sending out welcome emails, birthday emails, anniversary (of signing up) emails, and weekly/monthly newsletters. Why just these? Because only these emails came out of the box!  No event driven marketing communications. No dynamic content / personalisation. No predictive content… Yet, all of this functionality is there in the marketing automation suite.

Single View of The Customer / CRM

The biggest challenge / hurdle many organisations are facing is that of constructing that much desired yet elusive single view of the customer. The theory was that CRM systems would make that challenge easier by bringing more and more customer-centred data into one system. This hasn’t actually happened. What has happened is that there are more and more systems holding customer related data – each disconnected from the rest.  If anything cloud based vendors have driven fragmentation as it is easy for marketing folks to buy a marketing system ignoring rest of the organisation. What goes for marketing goes for sales, for the call-centre, for field service……

The Core Challenge is That of Integration

My experience is that the core challenge is that of integration. There is the challenge of integrating the various systems (data sources) to provide the single view of the customer. Then there is the challenge of integrating the organisation players around a well defined, coherent, clearly articulated customer strategy. And a clearly defined customer experience across touchpoints / interaction channels, for the entire customer journey.  It occurs to me that it is only worth gluing up the systems if the folks that run the organisation are willing to glue up the organisation itself. In the absence of that commitment, money spent gluing up systems is likely to be wasted.

Until the next time I thank you for your listening and I wish you the very best.

 

 

 

 

Putting The Customer At The Centre of Your Business

Now and then a question comes along that provokes my thinking. Here’s a question that I came across recently expressed in different ways:

  • What does putting the customer at the centre of the business look like?
  • What does it mean to put the customer at the centre of the business?
  • What are the implications (for us) of putting the customer at the centre of the business?

Stop. Hold the automatic weapons fire – the hail of ready made generic and almost always abstract and theoretical answers.


Many years ago I came home after a long difficult day. Upon entering our flat my two year old rushed towards me with a huge smile and with both his arms held up. As I lifted him up and gave him a hug, I found myself making a decision: to put him at the centre of my life.

Grappling with that question it became clear to me (over some weeks) that it meant that his wellbeing came first. That my decisions and actions had to be mindful of the impact on his well being. It also became clear to me that his wellbeing was tied to the wellbeing of his mother – he spent most of his waking life with his mother.

Did it stop there with that abstract realisation?  No. Looking at the way of my living it became clear to me that work came first in the way I showed up and travelled. My son and his mother, got what was left for me to give after I had given all to work. As I was often away from home during the week this meant that he got to spend time with me only at the weekends.

I made a decision – to do just enough at BigConsultingCo whilst actively looking to move to a smaller more local employer. Within a year, I left BigConsultingCo and moved over to a software company which was five minutes drive from home. And for which I did not have to travel….

Let’s be clear on one thing: putting my son’s wellbeing first meant, for me, giving up chasing the promotion to partner in BigConsultingCo.  It also meant leaving a world with which I was familiar/comfortable and walking into a new industry / new company and having to learn a new way of doing business.


Back to the question of putting the customer at the centre of your business – your particular business.  What are your answers to the questions I shared earlier?

It occurs to me that you can put the customer at the centre of your business in at least two ways. You can take the busy road where you will find many: you can put the customer at the centre of your business with a view to learning all you can about that customer, and using that knowledge to influence, shape, manipulate customer behaviour so as to enrich you.  Which may account for the fact that customer loyalty has been declining even whilst big brands have been spending a fortune on their IT armoury.

Alternatively, you can take the road less travelled. You can focus your efforts on gaining a deep understanding of your customer and using this insight to enrich the life of your customer.  How do you enrich the life of the customer?  No generic answer will do.  You have to generate this answer for your customer, your business.  It requires insight – insight into the life of your customer, the expressed needs, and the hidden unexpressed needs/wants.

Apple has enriched the life of their customers through compelling/superior products, a distinctive/superior in-store experience, and premium image.  Amazon has done it through an effortless convenient shopping experience and value for money pricing.  John Lewis has done it through a combination of good products, outstanding service provided by friendly knowledgeable human beings, and a culture of integrity.

Enough for today. I thank you for your listening and wish you the very best. Until the next time…

 

Mary: What Kind of a Difference Does Generosity Make?

IMG_MaryIf you want to attract customers then you must have something that pulls customers to you.  If you happen to be in the business of selling fine chocolates then good service is necessary but insufficient.

In the fine chocolate business the ‘product’ matters.  By ‘product’ I mean both the quality (taste) of each chocolate and the range of chocolates.  It is the ‘product’ that calls the customer and pulls him back to your business – your store.  I have witnessed folks put up with poor service just to get their hands on the ‘product’ at a competing brand.

So, it is the ‘product’ that Mary makes-sells that drew me the Mary store in the Royal Galleries (Brussels) last week. Yet, I am not writing this because of the ‘product’.

I am writing this as an expression of my sense of gratitude. Gratitude to whom?  Gratitude to the two fellow human beings (Olivier, Eda? ) who served me.  Language fails here: serve is not the right word.  Yes, they provided service. No, they did not merely serve me.

What is it that made such an impact on me?  Their way of being was professional yet human/warm/considerate. Clearly, they knew/cared about their ‘product’ (the chocolates). And, I was made to feel welcome.  Yet, this is not it. All this is necessary yet not sufficient.

What really made the difference?  Generosity.  Olivier offered me several chocolates to taste whilst he was putting the selection together.  Eda? offered me some chocolates whilst Olivier was working the cash till. Both of them were generous in dancing with the conversation that I initiated.

Lesson: If you wish to be granted a space in the hearts of your customers it is necessary to cultivate gratitude in the hearts of your customers. A great way to cultivate this gratitude is through generosity in your way of showing up and travelling in this world. Reciprocity ensures that most of us, most of the time, remember and repay our debts.  The catch here is that the generosity must be genuine and not a technique for getting the better of your customers.

It occurs to me that the real measure of customer-centricity is generosity.  Which is why so many large organisations struggle with the Customer thing.  Interestingly, I have found Amazon to be the exception as I have experienced acts of generosity from Amazon. Each time those acts have left me feeling delighted.

 

 

 

 

Beware The ‘Customer-Centric’ Enterprise!

It’s evening time, work is finished for the day, and I am taking a stroll.

Across my path I notice a man in his thirties. He smiles.  He starts speaking to me. I reply. He notices that I am a foreigner in this land. He says “English?”, I say “Yes”. He asks where I am from. I tell him. Then he says he likes English football.

I am listening – listening with a view to understand what he is talking about. Then he moves closer into me and starts ‘tackling’ me – the “English tackle” he says. He says something about the World Cup…. I stand there puzzled – why is this fellow up close and personal with me? I didn’t give him my permission.

Right at that moment this feeling hits me: “Somethings not right!”. Automatically, I reach for my back pocket where I keep my wallet.  What do I find?  I find his hand there on my back pocket: he is in the midst of stealing my wallet.

I find myself hit with a wave of disgust. Why? It hits me that it has all been a charade – an effort to distract and deceive me long enough for him to pick my pocket and walk away with my wallet.

A little later it occurs to me that this is true for the whole customer-centric thing.  What do I mean by that?  I mean that when you strip away the fine sounding words, the whole Customer thing – as lived by just about every large business I have come in contact with – comes down to this:

  • Working out which customers have the biggest wallets;
  • Striving to understand the motivations, inclinations, behaviours and weaknesses of customers; and
  • Using this insight to craft-execute ‘strategies’ to attract/engage/seduce the customer long enough to walk away with his wallet without alerting the customer to what is really going on.

So, my advice to you as a customer is be wary of the customer-centric enterprise. Why?  The odds are it is a pickpocket in disguise.  Instead go for the enterprise that has a reputation for great products (e.g. Apple). Or a reputation for great service (e.g. Amazon). Ideally, one that has a reputation for a great products and great service (e.g. John Lewis).

 

 

What Does The Doublespeak of Customer Love Disguise?

Looking beyond the doublespeak of customer-centricity, customer engagement, customer love to see what is truly there.

In his latest post Andrew Rudin questions the advice of customer experts and provides his take on the language that has come to pervade marketing, sales, service – business in general.  Allow me to share a passage or two from his post:

“We’re bombarded with messages from experts about getting close to customers. How close? Really close! Lustful words like embrace, love, and passion have migrated from romance novels into business blogs. Marketers freely infuse love as a marketing schtick, with buyers as the intended objects. But when sellers get amorous, I remember the words to Are You With Me Baby? by the LeRoi Brothers: “At least tonight, you know that I’m in love with you.” Explanation, not needed.”

In this conversation I wish to look beyond the fashionable language and see what shows up.  Let’s start with the role of the customer in business.

What Is The Role Of The Customer In Business?

Let’s look at business as a system for creating value.  The first question is this one, who truly matters? Look into the very constitution of company and company law. You will find it is the shareholders – specifically the shareholders who individually or collectively control the voting rights.  Next question, what is the ONLY concern of shareholders?  Wealth.  Shareholders of the business are looking for the Tops (at the helm of the business) to generate wealth for them .

Which brings us to the role of customers. What is the role of customers in business?  I say it is to enable the business to survive and thrive by feeding the business.  What do I mean by feeding the business? I mean to provide the money that the business needs. Put differently, customers are the source of cash that flows into the business and keeps the business going.

What can we conclude?  How about this, a customer is only of importance (valuable) if s/he is source of cash flowing into the business.

What Is The Extrinsic Value Of A Customer To A Customer-Centric Business?

Anyone who truly understands the genesis and true meaning of customer-centricity will be familiar with Customer Lifetime Value (CLV).  How does one calculate CLV? Be estimating a figure for the lifetime (years, months), then estimating the value (revenue, contribution..) that this customer will generate for the business over the lifetime.  The smarter folks will discount the value to take into account the time aspect of money.

Here, I draw your attention to a critical point. The past does not count, only the future counts.  What the customer has contributed to the business in the past is irrelevant.  It is only his value to the business in the future that counts.

Why calculate CLV?  To differentiate between customers. In my days at Peppers & Rogers it was the done thing to perform the calculation and then put customers into three buckets: MVCs (most valuable customers), MGCs (most growable customers), and BZs (below zero). And the corresponding ‘strategies’ were to retain MVCs through great service / preferential treatment, increase the value of MGCs by persuading them to buy more at higher prices (x-selling, upsetting), and get rid of the BZs as they were taking value away from the business.

What is going on here?  Pure self-interest.  As Tops we wish to enrich ourselves – earn and walk away with the greatest wealth for ourselves. To do that we must please the shareholders.  To please the shareholders we have to generate as much as value as we can. To do that we need to focus on customers – those customers who hold the promise of generating the most value for us ‘today and tomorrow’.

Here I wish to add that the drive to automate interactions between the customer and the business saw its genesis in the promise of technology to cut down the cost of customer interactions by replacing employees with technology.  By cutting down the costs the value generated by customers, as in CLV, could be increased – sometimes substantially.  The fact that automation of interactions led to benefits to customers was an added bonus – not the primary motive. Disagree? Then answer this question, why have IVRs proliferated rather than being ripped out?  Customers hate IVRs and have hated IVRs for years.

What Value Does Business Place On The Intrinsic Value Of A Customer?

Look beyond the label of customer. What do you see?  I see a human-being – a flesh and blood human being.  Is there any intrinsic value to a human being.  Let’s take a look at that by examining real life examples.

When I see a pregnant woman, a fellow human being, standing on a train, I offer her my seat. Usually I don’t even get to do that. Why? Because some other man or woman has offered her a seat by the time I open my mouth.

When I see an elderly wo/man with what looks like heavy luggage I offer to carry that luggage up and down the stairs – usually at train stations. I do so without being asked.

Once I was in a Deli – some 10-15 years ago. Whilst ordering lunch (sandwiches, drinks…) I notice a young lady. She was not dressed well. She had a handful of coins and she was counting them.  She looked hungry – I saw her face looking at the product. Yet she ordered a tea. I calculated that this was the case because she could only afford a tea. All this happened in seconds, maybe a minute or two.  Immediately, I took out £20 and gave it to her.

When it comes to birthdays and Christmas, I ask folks not to give me presents. I tell them if they wish to contribute to me then they should do so with cash.  Do I need the money? No. So why do I ask for it? Because I get joy out of putting that money into Kiva and then using it to fund folks around the world, who have ideas but lack the money, to build better lives for themselves and their loved ones.

Am I the only one doing these things? No. One of the people I value highly is the President of a leading player in the VoC market. He travels a lot. When he travels he helps folks put their luggage in the overhead compartments. It is not an option for him to not help those who need help. And he gets joy out of this.

I suspect you, also, have at some point in your life carried out an act of kindness. If not, then I suspect you have read about, seen or witnessed an act of genuine human kindness and been moved by it.  Why?

Here is my answer. We ‘know’ at some deep level that there is intrinsic value in a human being – a human life. Why? Because, for the most part, most of us are brought up that way: to value human life, to treat folks right….. To be helpful members of society.  What is heroism but the sacrifice of oneself for the wellbeing of our fellow human beings?

What about the business world?  Does the business world of largish corporations recognise and honour the intrinsic value of a customer as a fellow human being?  Look into this and you will find that aside from small scale community based ‘mom and pop stores’ there is no genuine relating between the business and the customers. A small ‘mom and pop store’ where mom and pop work will get to know their customers: their backgrounds, their family, their hopes and dreams, their challenges…. their intrinsic value.  Not so the case in corporations where the roles remain but the folks that fill those roles is like hotels: the rooms are the same but occupied for short periods of time by many guests.  Further, and this is important, genuine human relating is not permitted in corporations.  What is permitted, even encouraged, is fake relating: scripted interactions, scripted smiles…

When is the last time that a largish corporation paid for life-saving treatment for one of its customers? Or took actions that take time and money to make a customer’s dream come true?  Yet some celebrities have done exactly that for their fans. And folks in communities get together to do that if one of their own is in need.

No, the business world of corporates is blind to the intrinsic value of a customer, any customer.  The only value that counts is the extrinsic (CLV) of the customer – however this is arrived at, whether by intuition or by making complex calculations.  I, the corporation, do something for you if and only if the calculations shows that you will do something for me which is of higher value so that there is good ROI for me.

Summing Up

Without friendship life is hollow which is why almost all of us seek and cherish our genuine friends.  Without love for some person or some activity life is missing something essential. Without being loved by someone or some community life is missing something that is essential to our well being.

So relationships do matter. Love does matter.  However, it would be foolish to expect this kind of relating occurring between a customer and a corporation.  And experts/gurus encourage companies to love customers is pure BS.

Yes, the language that folks in business and those who make a living from pandering to businesses (the media, business gurus, consultants, professors…) has changed.  It speaks of customer engagement, customer relationships, loyalty, customer love….

No, the game of business has not changed.  The game is the same as it has always been – causing ‘surplus rents’ for Tops (in the form of pay, bonus, shares) and Shareholders.  All the Customer talk is doublespeak – it disguises the transactional orientation, it disguises the lack of morality and ethics in big business.

I leave you with this thought / assertion: It is easier to change the words, the images, the slogans, the story than it is to change the system (purpose, values, priorities, people, roles, relationships, practices, tools…).  Therefore, in the absence of a catastrophic breakdown, only the words, image, slogans, and stories change.

I thank you for your listening and I wish you the very best.  Until the next time….