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Engagement Marketing

Leonard L. Berry – Distinguished Marketing Educator & Mentor

Catching up on my Marketing News, I was excited to find the announcement of Dr. Leonard Berry being named the recipient of the 2007 AMA/Irwin/McGraw-Hill Distinguished Marketing Educator Award. It’s the highest honor a marketing educator can receive based on his/her contributions to marketing education and the marketing discipline.

I’ve been privileged to learn so much from this man even though I never had him in a classroom. Len is one of my mentors from whom I’ve learned a lot about services marketing, service quality, leadership, and of course, internal marketing. In his classic 1991 book, Marketing Services, Len recognized employees as “the most powerful medium for conveying the brand to customers.”

A pioneer in the field of bank marketing (where I began my career) and service quality research (“When we improve quality of service, we improve quality of daily living … “), Len has been both generous and gracious in sharing his knowledge and work. His advice and support were also critical in helping me make the decision to launch Quality Service Marketing nearly 20 years ago.

Congratulations, Len, on a well-deserved honor. And thanks for all you’ve done for the marketing field, for the services industry, and for your students, including me.

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Customer service Engagement Marketing

A Guide to Losing Customers for All Seasons

As part of the holiday season, you hear plenty of customer service horror stories – as well as some positive retail experiences. However, the bad experience I mentioned in my last post occurred before the shopping rush.

As did Olivier Blanchard’s experiences, which he wrote about in his great post: How to Lose Customers in Ten Simple Steps. Of particular note in his formula for alienating customers is this step: “Treat your employees badly.”

Many consumers have zero tolerance for managers who demean employees in front of them. The situation is not only embarrassing for those involved but can have negative repercussions on both employee and customer satisfaction & retention.

Good help is not only hard to find, it’s hard to keep!

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Engagement Marketing

Why Employees Resist Marketing: What to Do About It

As discussed in my last post, there’s no getting around the reality that all employees are marketers in the sense that they all impact the brand.

The challenge for marketers involves managing this “expanded” marketing staff when you have no authority over them. Specifically, how do you overcome resistance to marketing when, in truth, it creates extra work for employees? Here’s what I recommend.

Getting ready

Before launching any marketing initiative, you need to:

  • share the rationale behind your marketing programs, including communicating what you’re trying to do & why; i.e., no sugar-coating or BS allowed
  • align marketing efforts with the big strategic picture to send the message “we’re all in this together”
  • get employee input … and be sensitive & responsive to how their work will be affected by marketing
  • provide the appropriate training (and perhaps incentives) so staff can effectively support marketing’s efforts.

While underway

Once your marketing program is implemented, you can’t just walk away. As part of your monitoring efforts:

  • stay in touch with what employees need to keep the momentum going
  • share the program’s success and any interim fine-tuning that needs to be done (and why)
  • recognize & reinforce employee support of the program.

And when all is said and done

  • share the final results, including what worked & why … what didn’t work & why … (another reason to stay in touch with employees, as previously mentioned)
  • solicit employee feedback on ways to improve future initiatives
  • acknowledge employee efforts and their collective contribution to serving customers in support of corporate strategy, not just marketing.

It’s all about marketing to non-marketing employees – another critical aspect of internal marketing.

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Engagement Marketing

Why Employees Resist Marketing: The Dilemma

It’s both a blessing and a curse: everyone in an organization has an impact on marketing. Especially when you consider how many brand contact points (aka “moments of truth” when customers interact with a company) are outside marketing’s control. For example, the customer who calls with a billing question and gets transferred to the wrong department or is treated rudely.

The Challenge of Marketing’s Expanded Reach

Because marketing ultimately serves as the customer’s advocate, it has to find ways to ensure everyone in the organization is customer-focused.

I find most marketers are good at this. However, where they sometimes fall short is a lack of sensitivity to employees who consider their brand-ambassador role as “other duties as assigned” (i.e., low on their list of priorities). In this case, marketers may fail to recognize that marketing is perceived as creating extra work for employees.

Head for the hills, here comes Marketing!

Here’s an example from my early bank career. Whenever the bank would launch a new deposit promotion (offering gifts to customers for opening a new account or adding to an existing one), most of the branch people were less than receptive.

Who could blame them? They had to meet daily operational standards for processing transactions, cross-selling goals for growth, customer-friendly guidelines for serving customers, etc., AND THEN they had to display, process, distribute & control inventory of whatever promotional items the Marketing Department sent their way: blankets, watches, umbrellas, toasters, etc. (At one bank, we even gave away a new car!  But that’s another story.)

Eventually, we learned how to deal with this so employees didn’t bar the doors & windows when they saw Marketing coming. And I’ll tell you how in my next post.

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Engagement Marketing

Internal Marketing Best Practice Study (continued)

Thanks to research conducted by Forum for People Performance Management & Measurement, we have a new definition for internal marketing and insight on the values shared by companies with effective internal marketing programs..

The 2006 Internal Marketing Best Practices study also identified the following six key characteristics of internal marketing success:

  • Senior management participation and buy-in is vital for any internal marketing initiative.
  • An integrated organizational structure is needed for internal marketing to “encompass all employees in a company.”
  • Internal marketing involves a deliberate strategic marketing approach similar to that used in external marketing.
  • Internal marketing calls for a partnership with Human Resources.
  • A focus on employee engagement helps create a “collaborative work environment where employees feel involved and motivated.”
  • Internal brand communication is needed to convey the brand promise to employees and motivate them to deliver on the promise.

I encourage you to check out the Forum’s research on internal marketing and its critical impact on business success and profitability.

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Engagement Marketing

Internal Marketing Best Practice Study

As promised in my last post, here are some of the key findings from the Internal Marketing Best Practice Study sponsored by the Forum for People Performance Management & Measurement.

The study was based on understanding effective internal marketing initiatives in U.S. companies in a variety of industries.  These companies all recognize and reinforce the critical role employees play in achieving organizational success.  As such, they share the following values:

  • “People matter” – beyond the usual lip service, people really are important.  So these companies focus on creating a work environment “where people feel excited & rewarded” in their daily tasks.
  • “Internal Marketing drives performance” – recognizing employees are extensions of the brand, the companies focus on maximizing the employee-customer satisfaction link.
  • Anyone can make a difference – all employees count and should be recognized, not just senior management.
  • “Employee loyalty is critical” – companies who are “transparent” about their challenges and strategic direction can maintain employee loyalty in difficult times.
  • “Culture can be a competitive advantage” – internal marketing helps preserve a strong corporate culture.

I’ll share more of this internal marketing best practice study in my next post.

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Engagement Marketing

Internal Marketing – New Definition

Internal marketing is a critical management concept that is difficult to explain, let alone define. Throughout my work in the field, I’ve defined internal marketing simply as “the application of marketing inside an organization to instill customer-focused values.”

But now there’s a new, more comprehensive definition – thanks to the Fall 2005 graduate class in internal marketing, part of Northwestern University’s Integrated Marketing Communications program.

“Internal Marketing is the ongoing process whereby an organization aligns, motivates and empowers employees at all functions and levels to consistently deliver a positive customer experience that helps achieve business objectives.”

What I love about this expanded definition is that it captures aspects of both internal marketing and internal branding. The new definition is a result of an Internal Marketing Best Practice Study funded by the Forum for People Performance Management & Measurement.

I’ll have more on this study in my next post.

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Engagement Marketing

Internal Marketing – Not for Stepford Wives

Every once in a while I find myself getting defensive about internal marketing.

Some business folks, who begrudgingly acknowledge internal marketing’s premise (“take care of employees so they’ll take care of customers'”) chide me as they envision creating a cadre of plastic, smiling automatons going about their business happily serving customers.

But I am not advocating internal marketing as a “Stepford wives” approach.

I am advocating that employees be considered upfront, not an after-thought in business strategy and operations.  The best organizations proactively consider employee needs and concerns when developing new programs or improving existing ones.  Those who get it:

  • communicate the rationale behind management initiatives
  • get employee input on anticipated customer response to operational changes
  • provide whatever new or remedial staff training might be needed, etc.

What I’m talking about is effectively communicating with your employees: involve them, listen to them, and gain their buy-in in the process.  In other words, respect your employees by considering how they’ll be impacted by your business decisions.

This will get you genuine smiles, not plastic ones.

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Engagement Marketing Training & Development

Mission Statements – One More Thing

Here’s a postscript to my recent series on Memorable & Meaningful Mission Statements – it’s a great example of how one organization is making its mission truly viable.

To enable its employees & staff to more effectively keep up with the growth of medical technology & research, along with changes and challenges to the healthcare industry, the North Shore-Long Island Jewish Hospital System created its Center for Learning & Innovation.

Touted as “one of healthcare’s first corporate universities,” the Center was designed to instill & reinforce a “sense of shared mission” for all employees and “be a transformative culture changing force” within the organization.

What’s most impressive is all course content is directly linked to the Health System’s mission, vision, and strategic plan.

You can learn more about the Center (as I did) from the Leader to Leader Institute.

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Engagement Marketing

Memorable & Meaningful Mission Statements – Part 3

Here’s the last post in my series about making mission statements both memorable & meaningful.  The final challenge is: does your mission statement really differentiate your organization?

I’ve seen too many instances where you could easily substitute the name of a competitor in another organization’s mission statement.  It’s not unusual to find a lot of “me-too” or similar sounding missions for organizations in the same industry.

This was the situation for one of my nonprofit clients, and here’s how we handled it.

While its organizational charter was somewhat unique, the group’s services overlapped with several other nonprofits.  The result was its members, donors, and even board members all had trouble explaining how the organization was different from others in the market.

What’s Your Score?

To illustrate the problem, I developed a “Mission Matching Quiz” for the board’s executive committee retreat.  After a web search turned up hundreds of nonprofits offering similar education, research & support services, I selected 10-12 organizations (many fairly well known) and listed them on a sheet of paper with their mission statements in random order.  The exec committee was asked to match each organization with its mission.

No one scored 100% on this quiz or even came close … ditto for the rest of the board members and staff.  But everyone was astounded by this demonstration in which almost every organization’s mission read & sounded the same!  No wonder they were challenged in distinguishing their own organization.

As a result, the group clarified its mission to highlight and better articulate its differentiation.  Board leadership continues to refine the mission as needed.

Maintaining & Changing Your Mission

A mission statement is dynamic.  As the market changes, as your competition changes, and as your organization evolves in response, you’ll need to update your mission.  This is why Peter Drucker encouraged organizations to revisit their mission statements every three years.

When is the last time your organization reviewed its mission?  And how memorable & meaningful is it?