Categories
Marketing

Marketing’s 4 P’s: Then & Now

As I refreshed my training material in preparation for my next AMA Marketing Boot Camp, I got to thinking about the ways marketing has changed since I started teaching this program more than ten years ago.

Marketing’s traditional “4 Ps” framework – Product (what you offer), Price (what you charge), Promotion (how you communicate it) and Place (where the customer obtains the product/service) – has changed significantly over the past 10+ years with the rapid growth of social media. Here are a few highlights of these changes.

Product
Then: consumers depended on product information primarily from the manufacturer. Satisfied and dissatisfied consumers shared their joy or frustration with traditional word-of-mouth – influencing dozens, maybe even hundreds of people in their local network.

Now: consumers rely on word-of-mouse to obtain product info and instantaneously share their experiences with millions of people in community-based and global networks.

Price
Then: comparison price shopping took serious time and effort.

Now: it’s much faster and easier to obtain pricing info with online research and mobile apps.

Place
Then: consumers enjoyed new-found convenience as shopping opportunities grew from bricks-and-mortar to clicks-and-mortar.

Now: consumers enjoy the any time/any place convenience of shopping and entertainment, including downloading music, movies, and books. They can also acquire knowledge via an infinite number of podcasts, webinars, and (my new favorite) TedTalks.

Promotion
Then: consumers were no longer passive recipients of promotional messages as they enjoyed skipping over commercials using technology offered by digital video recorders.

Now: some consumers are increasingly immune to marketing messages, although some enjoy participating in message development (“make-your-own-commercials”) and brand advocacy (fan pages).

Beyond CRM
Technology and social media have enabled customer relationship management (CRM) to evolve from “What more can we sell to consumers?” to “How can we more effectively engage them?” Hence, the new 5th P of marketing: Participation.

I welcome your thoughts on how marketing has changed in the past 10+ years.

Categories
Engagement

Help for “Engaging” Conversations

Here’s a wonderful new resource you can use to initiate internal discussions about employee engagement. And it’s FREE!

Primers for Engaging Conversations, the latest e-book written by members of the Employee Engagement Network (including yours truly), contains more than 50 opening statements and questions you can use as conversation starters.

To whet your appetite, here are just a few of my favorites:

  • “What disincentives to taking initiative would a visitor observe in our company?” (Karl Edwards, p. 9)
  • “Team, now that we have turned the corner and are starting to hire again, what are your ideas for shaking off the gloom of the past couple years and getting everyone engaged, enthused, and energized again?” (Terrence Seamon, p. 11)
  • “What do you as a person and in your role want to contribute to our collective dream?” (Katharina Schmidt, p. 14)
  • “This organization’s mission and initiatives are a collaboration. Only together can we come up with the best way to build our future. Where do you think we should be going next?” (Gordon Schmidt, p. 20)

You can check out the rest of the conversation starter gems here.

 

Categories
Customer service

What is Happening to Customer Service?

I’ve been reading a lot about customer frustration these days – due to decreasing customer service levels or decreasing customer tolerance. Probably both.

Here are two prime examples:

  1. A customer is put on hold indefinitely and unable to track down a living, breathing person to actually talk with. (“Your call is important to us” … yeah, right!)
  2. Based on a unsatisfactory training experience, a customer requests a refund. The training company denies and refutes the request in a series of back-and-forth emails with the customer.

As a marketer, here’s my take on these situations:

  1. Put on Hold: The customer eventually got through to the company after sending a copy of her blog post. The company explained the “long hold” situation to the customer as a result of increased call volume due to new industry regulation. Stuff happens, but does this excuse the company? One hopes the company learns from this experience so it can be better prepared (via better planning and agility) to respond the next time it has to deal with increased customer calls. That some companies don’t learn this lesson only adds to consumer cynicism. Consider this comment posted in response to the blogger’s question: “Does it sometimes seem they might be doing this on purpose, as if perhaps they just don’t want to provide customer service at all … ?” “It’s a carefully contrived conspiracy, formulated in strategy meetings at the highest level.”
  2. Refund Request: What’s puzzling in this case is the company spent a lot of time and energy defending its training program, ultimately creating greater customer alienation and negative word-of-mouse (i.e., the 21st century version of word-of-mouth that with a mouse click can be instantaneously shared with millions of people). I don’t understand why the company didn’t just refund the customer’s money to “recover” the situation and minimize brand damage. Most customer-focused training and professional development offer money-back guarantees as good business practice. Even some training firms who don’t promote guarantees will prudently refund part or all of a registration fee to a dissatisfied customer.

Note to all companies: You need not buy-into the “customer is always right” concept. Whether the customer is right or wrong is irrelevant. What matters – and the reality you ultimately need to deal with – is that the customer perceives s/he is always right!

On the bright side, I recently came across these examples of positive customer service: Shannon, a food server at Einstein Bagels in Dallas TX, who took care of her immediate customer and those that followed;. And Sharman, Verizon business tech support, who stayed on the line with her customer for several hours to resolve that customer’s issue.

What do you think?
For every customer service horror story, there is a positive one … and vice-versa. Although we tend to hear more of the negative experiences than the positive, what is your take on what’s happening to customer service these days?

 

Categories
Musings

Recognizing Administrative Professionals – Past & Present

As a solopreneur I often debate whether or not I should treat myself during Administrative Professionals Week. (Note: this year’s “holiday” is being celebrated April 24-30, 2011.) I could justify it – especially given my recent “employee of the month” nomination. (LOL!)

Early in my career that was spent in several bank marketing departments, I was fortunate to work with a number of wonderful women who provided administrative support: Barb, Kathy, Jacque, and Gerry. (Back then few, if any, men held clerical positions.) I appreciated these women and their incredible work ethic, spirit, and support then … and I fondly think of them now, even though it’s been more than 20 years since we worked together.

So here’s to you Barb, Kathy, Jacque, and Gerry, wherever you are! And here’s to administrative professionals everywhere who continue your good work!

Terrific person award

 

 

Categories
Customer service Engagement Marketing

Internal Marketing Spotlight: Mohonk Mountain House (Part 2)

This post continues my interview with Jackie Appeldorn, General Manager of Mohonk Mountain House, a family owned resort and historic property in New Paltz, NY. Mohonk is known for outstanding guest service, and I can personally attest to its warm and welcoming hospitality. My husband and I have enjoyed staying at Mohonk for the past several years and plan to continue our annual visits there.

QSM: Jackie, in our previous interview you described employee involvement in perpetuating a guest service culture. Please share one of your favorite Mohonk stories of employee-customer care.

Jackie: Earlier, I referred to a quarterly publication titled Mohonk Bits that is produced by employees for employees. One of the regular features of the publication singles out an employee who provided exemplary service. (We provide a $50 award to the individual who is singled out in the article.) Rather than repeat the story in my words, I’ll share the entire article from our current issue. It not only provides a wonderful example of one of our employees taking the initiative to “Save the Situation” (one of our 14 Service Steps), it also offers some insight into the way our employees view one another and what we do here. The individual cited here for exemplary service is a Mohonk valet.

About Legendary Service
by Alex Sherwood, Mohonk Director of Recreation

It was a Saturday in late November and I had pulled the MOD [Manager on Duty] card. Prepared with a fresh from the cleaner’s shirt, tie, and awesome staff, I was ready to take on the day. The shift had started smoothly, and the Mohonk operation was up and running like a well-oiled machine. Guests were having a great time, and staff were meeting or exceeding their expectations … then I received the call from Guests Services!

“93, Manager on Duty? Could you please call Guest Services?”

With cat-like reflexes, like all our MODs, I was already dialing the 2015 extension before the radio transmission was complete. What I heard on the other end was a fellow employee putting into motion the action team we have in place to take care of challenging situations, and by the tone of this request a challenge this was going to be.

As I gathered what information I could, I armed myself with the LEARN defense system [“Listen – Empathize – Apologize – Resolve – And Never prove a guest wrong”] and made my way to Guests Services, where I was told the guest needing assistance would be. The background to this point was there were two Fed Ex packages which this guest had shipped out the day prior that had not been delivered to their respective parties. As I arrived to the desk, there stood a guest, who by her body language was easy to identify as the earlier mentioned challenge. Immediately this person turned and, with a small chuckle, remarked: “Looks like you’re the one they sent to take care of this… good luck!”

As soon as this guest had been turned over to me, you could quickly see many others scattering for something else to do, as the guest explained how, upon arrival the day before, she had dropped two Next Day Fed Ex packages at Guest Services to be delivered that morning, and according to her, one of these recipients had called to inform her the package had not arrived. This guest had come to Guest Services to find that both packages were indeed still in our possession. It quickly was apparent that why this happened was of little importance; what we were going to do to fix it was all that mattered.

Through a little further conversation this guest revealed the contents of the first package contained New York Knicks tickets for Saturday’s game which tipped off at 1:05 pm. It was now 12:15 pm, and I was pretty sure I was doomed on this one and prepared myself for the guest’s whipping. As the sense of defeat overwhelmed me, in walked David Kelso from Guest Services, with his hand raised in the air to get my attention.

What follows may be one of the all-time greatest “Save the Situations” ever conceived. Dave pulled me aside and informed me that he had taken it upon himself to open the package, retrieve the two game tickets, place a call to Madison Square Garden’s ticket office, introduce himself, and explain the situation he was trying to resolve. He then faxed copies of the tickets to the ticket office and received confirmation the tickets could now be redeemed by the person who was to receive the tickets in the first place.

Armed with this bit of information I was able to inform the guest that a resolution to the first part of the problem had been found. In disbelief the guest questioned, “How could this be?” I explained to her what David had done and said she could inform her client they could still make the 1:05 tip off. With a phone call, the client was on the way to the game. David’s fast thinking and willingness to create a solution to the problem turned a complete loss around to a positive resolution … which may be talked about for many years to come. It was amazing to have a staff member who was willing to assist in resolving the challenge.

Great job, Dave!

QSM: Thank you, Jackie, for your time in sharing a bit of what makes Mohonk such an exceptional place. I look forward to seeing you and your wonderful staff on my next visit!

Categories
Customer service Engagement Marketing

Internal Marketing Spotlight: Mohonk Mountain House (Part 1)

One of my favorite vacation spots is a sprawling castle that sits amid thousands of acres of beautiful land nestled in upstate New York. Mohonk Mountain House is a family owned resort facility that was founded in 1869 by Albert Smiley and is recognized as a National Historic Landmark. In its fourth generation of family leadership, Mohonk maintains “19th century charm” while offering 21st century amenities (including a fabulous spa). Mohonk provides its guests with exceptional service and hospitality and has received numerous industry accolades, including recognition by Conde Nast Traveler’s  Readers’ Choice Awards and Travel + Leisure’s World’s Best Awards.

My husband and I have enjoyed visiting Mohonk as returning guests for several years now, and we continue to be impressed with the its commitment to service excellence and hospitality. After our last visit, I contacted Jacquelyn Appeldorn, Mohonk Mountain House General Manager, and she graciously agreed to a blog interview. Jackie has served in this position for 11 years and oversees a staff of up to 750 full-time and part-time employees. (The total number of employees fluctuates seasonally in this year round operation.)

Part 1 of this interview provides insight into Mohonk’s service culture and how the organization engages employees in maintaining this culture. Part 2 will feature a special follow up.

QSM: Jackie, please tell us a little bit about your background and how you came to be at Mohonk Mountain House (MMH).


Jackie: I’ve had two tenures at MMH. While I was in college, I started working in the Mohonk Mountain House dining room for what I then expected would be a summer job. I worked there for a few summers while in college, and then stayed for another 15 years, as I progressed through the organization. I was a vice president when I left to take a position on the faculty in the business department of a nearby community college (teaching had long been my career aspiration), where I remained for 9 years. During this time, I joined the Board of Directors at Mohonk, and then was offered the General Manager position. Although I enjoyed college teaching, the offer represented a unique opportunity, and I still am honored to be here.

QSM: Mohonk has been serving guests for more than 140 years. How do you apply this tradition of service in current times?

Jackie: We have a long tradition of serving guests. When we were designing our Service Program in 2003, we determined we needed to create a Service Statement: a brief but inclusive message that all employees could recite and understand that accurately articulated our vision of service at Mohonk; almost a mission statement for our service program. We spent many hours struggling over what it should say and really needed and wanted it to be perfect.

One day, our archivist presented our Executive Group with a document dated June 19, 1916, and signed AK Smiley (the nephew of the first AK Smiley who founded the resort in 1869). At the top was the phrase “MEMORANDUM IN EFFECT UNTIL FUTHER NOTICE …” In the body of the memo, we found our Service Statement: “The cardinal aim of our business is the comfort and contentment of guests.” Mr. Smiley’s memo provided a blue print for the right way for employees to behave in the workplace and to treat guests, which is just what we intended our Service Program to do. The behaviors addressed in his memo are some of the same behaviors our program addresses almost 90 years later.

QSM: The hospitality industry employs people around the clock. What are the key challenges of engaging staff in a 24/7 operation? And how do you prepare to meet these challenges?

Jackie: The biggest challenge in this regard is communication. I feel all of us spend so much of our time in meetings, and we still don’t convey everything we want our staff to know – and what they want to know — on a timely basis. One element of our Service Program was the introduction of Daily Shift Briefings, a brief activity intended to take place at the start of every employee’s work shift that provides key information about that day’s events, activities to reinforce specific service practices (we have 14 Service Steps and 3 Service Standards) and trivia about Mohonk history.

As our Service Program evolved, we added a quarterly employee publication called Mohonk Bits (initiated and produced by non-managerial employees) and a weekly cafeteria tabletop flyer, known as Tidbits. These publications do more than relay information; they emphasize our traditions and service commitment, highlight successes (individual and organizational), convey historical anecdotes (as a 142- year-old family-owned business, history is important to us) and reinforce our pride in what all of us do at Mohonk.

QSM: Tell us more your Service Program and Service Committee: why it was formed … its purpose … who is involved … what are some typical activities … and its overall impact.

Jackie: Mohonk’s Service Program was the result of a well-planned, thoughtfully considered, comprehensive initiative to change the culture that existed at that time to one that values and exhibits a high standard of service to guests as well as co-workers. Developing and launching the plan took about two years and involved many employees throughout the organization. Once the program was launched, a newly created Service Committee took on organizational responsibility for maintaining and nurturing the service culture.

We all recognize our individual roles in perpetuating our service culture, but this committee is charged with developing and executing activities on a regular basis that provide on-going, consistent reinforcement of good service behavior. Our Training Manager, who works in the HR department, now chairs the committee. Most departments have a representative who volunteered or may have been invited by other committee members to join. Members can rotate off, which exposes a greater number of employees to the function of the committee. The committee is composed of supervisory or management staff, although not senior management, and the occasional hourly employee.

Members meet weekly and plan monthly programs, holiday events, and on-going activities. For example, they create two annual all-employee events. The one in November has evolved into The Parlor Games; past themes have been Jeopardy, professional wrestling, and the Dating Game. These games feature contests involving volunteers and members of the audience that reinforce our Service Steps and Standards. Every May, the committee produces the annual Albert Awards, the Mohonk version of the Oscars, where individual employees receive awards (an Albert statue, cash and prizes) for Best Performance in each of our 14 Service Steps. We award two for each category – one to “front of the house” employees, those that regularly deal with guests; and one to back-of-the-house employees, who work behind the scenes and are more apt to serve co-workers. We run each of these events once in the morning and again in the afternoon to allow employees working both shifts to attend. These two annual events are elaborate productions, much enjoyed and anticipated by the staff.

An example of a monthly service program is Cash Cab. This program reinforces the service step of “Escort Guests to their Destination.” Throughout the month, a member of the Service Committee drives around picking up employees in the parking lot to drive them to the entrance. (The parking lots are a long downhill walk from the entrance.) On the trip, employees have a chance to win prizes by answering questions about Mohonk (reinforcing the Service Step “Be Knowledgeable About House History.”)

Another popular monthly program is when management staff replaces the cafeteria servers at meals. An additional ongoing activity is the awarding of “Summerhouse Tickets” (Mohonk’s logo is a summerhouse). Managers receive tickets each month to award to employees they catch in the act of providing good service. Ticket recipients are entered into a monthly raffle for prizes.

We have 15 people on the Service Committee who perform their regular jobs in addition to the work they do for the Service Committee (unlike academia, we don’t offer release time for work outside of one’s job description). The committee and the individual members are highly regarded. We are very, very fortunate to have such creative, motivated, dedicated and hardworking staff members who are eager to serve on the committee. The programs and activities that they develop, and that we as a company support, do much to create an energized, positive work atmosphere.

QSM: Impressive! Thanks, Jackie, for sharing how Mohonk engages employees in reinforcing its culture of guest service. We look forward to learning more.

Note: Stayed tuned for Part 2 of this interview in which Jackie shares an employee story of service recovery.

Categories
Musings

Celebrate Volunteers

Happy National Volunteer Week!

Special appreciation goes to all volunteers and the valuable support they provide to the organizations they serve.

And for nonprofit managers, here are three great resources on volunteer engagement and management:

What are you doing to engage and honor your organization’s volunteers?

Categories
Engagement Marketing

From Employee to Brand Champion

A trend I’ve noticed from my internal marketing workshops is attendees’ increased interest in engaging their employees as brand advocates/ambassadors/champions/evangelists or whatever preferred term is used to describe highly engaged employees who positively represent the company brand. More and more companies are moving from lip-service to genuinely recognizing their employees’ role in competitive differentiation. These organizations have come to understand that innovation isn’t sustainable. While today’s new products & services can become tomorrow’s commodities, the one thing your competitors cannot copy is your employees’ relationship with your customers.

I’m thrilled that more companies get the concept that their brand “walks on two feet.” At the same time, I’m concerned because developing and sustaining such brand champions cannot be a superficial endeavor. The process starts with corporate and nonprofit leaders answering these critical questions:

  1. WHY do we want and/or need brand champions?
  2. WHAT DO WE EXPECT to happen as a result of engaging our employees in this manner?
  3. HOW will we recognize the employees in these roles and reinforce their efforts?

Collaborative Commitment
Addressing these key questions requires bridging internal silos to generate collaborative discussion among Marketing, Human Resources, Operations, Brand Management, and other key business functions. You’ll need everyone’s agreement and commitment to work together to foster employee engagement.

Once your firm’s leaders identify the rationale and expectations of its brand champions, you can start the process of engaging (all or some of) your employees accordingly. Here’s a sample overview of what’s involved in this process.

  • Clarify what your brand is all about, what your brand values are, and what your brand means to customers. Then communicate and repeatedly reinforce this information with employees.
  • Help employees understand all the touch points that impact your customers’ experience with the brand. Then educate and train employees so they have the requisite skills and tools to effectively deliver on the brand promise.
  • Make sure your internal operations are aligned with and support your brand; eliminate any internal barriers that hamper employees’ ability to serve customers.
  • Solicit and respond to both customer and employee input on how the brand experience can be improved.

Creating a workplace culture that transforms employees to serve as brand advocates requires an ongoing collaborative commitment that is well worth the effort to effectively engage both employees and customers.

If you’re not sure your organization can go the distance here, take time out to reflect on your company’s short- and long-term competitive position. What would you rather have: brand champions or bland champions?

Categories
Engagement

Don’t Bother with Employee Engagement Surveys

The key here is committing to appropriate actions based on survey results. “Appropriate” means communicating with employees to explain what changes you are able to make in response to the survey (then following up your words with actions) as well as what changes you are unable to make and why.

Whenever you survey employees, you raise their expectations that you’re going to do something about their input. So don’t even think about doing an employee engagement survey if you aren’t going to respond!

According to BlessingWhite’s latest employee engagement research:

“Engagement surveys without visible follow-up actions may actually decrease engagement levels, suggesting that organizations think twice before flipping the switch on measurement without 100% commitment for action planning based on the results.”

 

Categories
Customer service Engagement Marketing

“The Rock and Roll Guide to Customer Loyalty”

Seriously, it’s an e-book about customer service with a rock & roll twist written by Joe Heuer, the Rock and Roll Guru.

I fell in love with The Rock and Roll Guide to Customer Loyalty because it’s a fun read that carries a meaningful message about customer service. As a baby-boomer, I enjoy classic ‘60s music. As an advocate of internal marketing, I also love that Joe gets the value of engaging employees in generating customer loyalty.

Some of the groovy gems from this complimentary e-book (yes, it’s free!) include:

  • “Lip-synching: The rock & roll equivalent of the fake customer service smile.”
  • Concerts = encounters with customers, aka moments of truth wherein “your challenge is to create a memorable moment that makes your customer say, ‘WOW!’”
  • Band = employees who are your internal customers and coworkers. “Customer loyalty begins with internal loyalty. … What are you currently doing to make your workplace one that attracts and retains radically happy and loyal band members?”
  • A standing ovation = appreciation. “Be outrageous in demonstrating your love and appreciation for your customers … [and] internal customers.”

And my favorite quote: “Treating your internal customers like rock stars goes beyond providing red M&M’s and Dom Perignon. But that’s a good start.”

Pass around those M&Ms and champagne, and rock on!

[Note: Special thanks to Phil Gerbyshak for introducing me to Joe.]