Business

Why We Love Zappos and Hate AT&T (or Tony Hsieh vs. Ralph de la Vega)

If you are the CEO of a company should you make it easy for your
customers to reach you or should you make it as difficult as possible?

The answer…it depends.

If you and your company specialize in happy customers (like Zappos) then you have nothing to fear.  If your company is part of the axis of misery
(banks, cell phone providers and airlines) then in order to get your
important CEO work done you have to make it as difficult as possible
for your customers to reach you (just try to find a way to reach Ralph
de la Vega, AT&T Wireless’ CEO).

So here’s my question…if you are having to avoid your customers…what does that say about your company?

Tony Hsieh (CEO of Zappos)
started following me on Twitter…just because I was a customer who had
blogged about the company.  I gauranty you if I had a problem, not only
would he want to know about it, he’d get it fixed right away.

I have a problem with AT&T
(a company I would love to be able to rave about because of their relationship with Apple) and
its virtually impossible for me to find someone who cares let alone
someone with the authority to actually fix my problem.

Ralph de la Vega and the AT&T Wireless executives would do well to study Zappos Core Value #6: "Build Open and Honest Relationships With Communication."

If you find yourself doing everything you can to build an impenetrable wall between you and your customers maybe you need to ask
yourself why…and if you’re the CEO maybe, just maybe you could do
something to change it.

P.S. If you’re trying to reach the folks who care at AT&T…skip customer service and go straight here:

The phone numbers for AT&T Wireless office of the president are:

Eastern States 877-707-6220
Western States 800-498-1912

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Business

Twitter as a Customer Service Tool

Those of you who are following me on Twitter know that I recently witnessed an unfortunate interaction between an employee at my local Guitar Center store and another customer.  As I left the store I posted the following on Twitter via my BlackBerry.

jdale

Just finished watching an employee at Guitar center making fun of a
customer who was trying to exchange a cable that had a lifetime
warranty…I guess he doesn’t understand the lifetime value of a customer.

      

Within hours I received an email informing me that @Venezia had started following me on Twitter.  When I looked at @Venezia‘s Twitter page I realized that he is the Chief Marketing Officer and an Executive Vice President at Guitar Center.  I sent him a private Twitter message and asked him if he’d be interested in learning the details of what I’d observed while in the store.  He twittered me back and said he would.  So I sent him an email explaining the details of what I’d observed.  A few hours ago I received this email response from @Venezia.

(Posted here with the author’s permission)

Wow, I cannot tell you how much I appreciate the time you took to write this richly detailed account of what you experienced. Twitter continues to make me more of a believer every day in its usefulness as a customer service tool.

First, of course, we deeply regret the scene you witnessed. I read your email aloud to the EVP of Sales, Mark Galster (in charge of the stores), and forwarded it to the Regional and District Manager. I will speak with them as well. So your critique falls on receptive ears. We’re on it.

Second, we have, as of the latest count, 11,249 employees. And we spend millions training them to create the best possible experience for our customers. With so many stores and employees, we conduct research that gives us “report cards” on our customer experience delivery, and we are quite deliberate about becoming stronger where we learn of weakness. The good news is, in the overwhelming majority of cases, the feedback is great. Better than our competitors, in fact. But like all good musicians, we need to have good ears if we want to get better. So I actually actively troll for dissatisfaction on places like Twitter and in the blogosphere. We have an employee that does nothing but look for critiques (and praise) on the net. And we stay out of the ivory tower and self-criticize to learn from missteps.

We take our satisfaction guarantee extremely seriously. I wish it were possible ID the customer you described, though it probably isn’t. But at least we have the feedback from you, and for this we are grateful.

We’re glad you’re our customer, and hope to see you in the stores for years to come. If there is anything you need from me, let me know.

Norman Hajjar
EVP/CMO
Guitar Center Inc.

What could Guitar Center have done differently (other than avoiding the incedent in the first place)?  I appreciate the fact that they are monitoring Twitter for customer service issues…I would have preferred it if they had proactively Twittered me to address the issue rather than just starting to follow me (in Norman’s defense…according to his Twitter posts he is at Disney on Vacation…so I’m impressed that he was even aware of this incedent…and he may usually initiate contact with people). 

If you really want to understand how to use twitter to provide customer service check out @Zappos or @Lijit. These are two companies that understand customer service and understand the internet.  It seems as though Zappos standard operating procudure is to offer a gift certificate or discount to anyone who blogs about them ( 🙂  I guess I’ll find out if that’s true).

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Business

Seth Godin on Learning from Frustration

Most of us have at one time or another been frustrated by the voice recognition systems we are often forced to deal with when calling large companies.  To my own amazement, when asked to repeat something for the third time I’ve found myself yelling into the phone in frustration, it seldom works.

How about when the customer service rep asks for your account number 30 seconds after you typed it into their system.

 

Seth Godin just posted an excellent rant about an experience he had today with Verizon. 

Click here to read his post
and then ask yourself what might frustrate your customers when their dealing with you.

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Business

Why We Love Email from Amazon and Hate Email from Barnes & Noble

Here’s a recent email that I received from Barnes & Noble:

bandnemail

The problem is I haven’t purchased a classical CD from Barnes & Noble before…for that matter I don’t think I’ve purchased a classical music CD from anyone…ever. I don’t think I have one piece of classical music in my iTunes library…and I’m probably not about to start now. My wife on the other hand loves classical music. Perhaps if this email had gone to her…

Now…here’s an email I received the same day from Amazon.com:

amazonemail2

The main difference…Amazon is actually recommending things to me that I’m interested in. In fact I have four of those books on my shelf by my desk. Sometimes it seems as though Amazon can actually scan my bookshelves and see what I own. Here’s the ironic part…two of those books I purchased at my local Barnes & Noble because I picked them up while browsing the store (I didn’t have the patience to wait for shipping).

Barnes & Noble’s problem is that they don’t seem to keep track of what I’m buying and if they do they’re not using the information to recommend products I might actually be interested in. The result…I treat B&N email as spam. On the other hand, I love to see what Amazon is going to recommend to me next. Amazon takes full advantage of the permission I’ve given them…and I order books from them on a weekly basis…often based on their recommendations. Barnes & Noble only wastes my time with the emails they send.

My suggestion to Barnes & Noble…stop charging $20 a year for a B & N Membership (their discount program that offers an in-store discount)…instead give the membership away for free (with the discount) and use the data I allow you to gather to send timely, relevant recommendations that are based on my previous purchases. Sure…send me those printable coupons…but send them for the latest Grisham novel (I bought the last two from you) not a special on classical music.

Here’s a great post from Seth on Permission Marketing.

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Business

Is Your Marketing Out Of Sync?

Meatball
Every day I talk to business owners who are completely confused by the myriad of options they have as they try to market their business.  There’s print advertising, radio, TV, the internet…so many choices and none of them really seem to work.  Most of them end up making what Seth Godin describes as a Meatball Sundae…and if your organization is making meatball sundaes you’ve got serious trouble.

Continue reading

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Business

Forever Ruined for the Ordinary Work Week

Nomoremondaysbook
Have you ever said "Thank God it’s Monday"?  Dan Miller opens his new book, No More Mondays, with this question.  Dan’s first book, 48 Days to the Work You Love, showed readers how to understand their calling and find fulfilling employment. No More Mondays picks up where 48 Days left off and walks you through the steps to converting that calling into a business of your own.  Dan presents a variety non-traditional work models and leads the reader on a journey of discovery to find their calling and the work model which will best fit them.

As a life long entrepreneur I’d recommend this book to anyone who dreads Mondays.

One of my favorite podcasts is Dan Miller’s 48 Days Podcast.

You can visit Dan’s blog here.

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Business

How Many or Who?

FaceBook was never designed as a platform for advertising…it was designed as a cool tool for college students.  But because of the amazing amount of traffic that visits FaceBook the big advertisers line up to spend a fortune advertising there.  Why?  Because they are stuck in the old mindset of how many people can we interrupt with our message? Here’s the problem though…when was the last time you clicked on an ad in FaceBook?  The same thing is true for MySpace…users do everything they can to ignore the ads.

If, instead of asking the question "How many?" companies would ask "Who?" is being reached they’d be more likely to choose a Google AdWords campaign.  Why?  Because an adwords campaign puts your ad in front of someone who is actually LOOKING for your service.  I just visited my Facebook homepage and was presented with a huge ad for Verizon Wireless…the problem, I’m already a Verizon customer.  How much more valuable would it be for Verizon to place their ad on Google to display when someone searches for "wireless service" or "cell phones"?

The same thing is true for local businesses?  The wrong question is "How many people will see my ad?" The right question is "Who will see my ad?"

Update (7/3/2008) Seth Godin just posted an excellent post on this subject here.

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