Entries in customer service (5)

Friday
06Jun2008

In-flight sampling: risk or opportunity?

DateFriday, June 6, 2008 at 10:31AM

The struggle of the airline industry is well-documented. Tickets cost more than ever before, yet airlines' services are more frugal and less dependable. Customers are not happy. The in-flight experience has actually gotten worse, not better, and it is due to airlines' need to cut costs.

On a U.S. Airways flight this past weekend, I noticed the tray table ads. Airlines have been doing this for some time - America West has been selling this space as early as 2003 - but is there a bigger opportunity here? Advertisers are looking for a captive audience (i.e. theater/big screen ads) and airlines are looking for ways to improve the in-flight experience without increasing their own costs.

Some ideas come to mind...

  • Movie selections brought to you by Blockbuster
  • Lunch provided by Panera
  • Wi-fi brought to you by Comcast
  • In-flight gaming brought to you by Nintendo DS

This is a potential win for both the marketer and the airline. The marketer gains access to a captive audience and generates brand engagement, while the airline improves the in-flight experience without incurring costs of their own. With the discussion of "free" as the New Mass Medium, this is a relationship that can benefit them both.

But it is worth the risk to align your brand with an industry that can't seem to get anything right?

Update: Westin hotels is now partnering with United Airlines to brand their flight experience. (Influx Insights)

Authoradam stewart | CommentPost a Comment |
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Tuesday
04Mar2008

The Success of Blue Shirt Nation

DateTuesday, March 4, 2008 at 10:40AM

In a recent post, Gary Koelling of Best Buy talks about Blue Shirt Nation, an employee community he developed with counterpart Steve Bendt. The idea was to create a place where employees could talk to each other. Through the chatter, they hoped to tap into insights that would improve customer service and marketing within the stores.

With little funding behind the site (built for free with open source software), Koelling and Bendt set out upon building the community. Following the June 2006 launch, they visited Best Buys around the country and talked to employees about the site. They used employee insights to improve the community. They encouraged users to join and post about what they liked (and disliked) about the site. In facilitating the dialogue, they began to address the biggest complaint that employees had: "My opinion doesn't matter".

The community now includes 20,000 members and has been influential in affecting changes to the email policy, improving enrollments in the 401k program and setting up systems for employees to communicate between shifts. In his post, Koelling calls the success a "fluke". Building a community is not easy and it takes time. Even then, not every community will succeed. But Koelling and Bendt made the most of the opportunity by listening to employees and treating them like valuable members of the Best Buy family. By empowering them to get involved with their feedback (positive or negative), it addressed their biggest concern - that their opinion did not matter. Employees now felt a sense of ownership in the community; it wasn't just another form of "corporate-speak".

And it paid off. Best Buy now has a community teeming with opportunities to improve the customer experience and employees engaged in helping them get there.

This post also appears at digTrends.

Authoradam stewart | Comment3 Comments |
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Monday
28Jan2008

One-sided loyalty programs

DateMonday, January 28, 2008 at 4:54PM

I have already posted a couple times (here and here), rather unfavorably, about the lack of consumer-friendly airline policies. This one will be no different.

This weekend, a couple of friends who will be getting married in the next month mentioned that they would appreciate frequent flyer miles as a gift. I have miles spread across a few airlines, but unfortunately not enough to redeem for a free ticket anytime soon. This couple loves to travel, and I'd rather contribute to a trip of their choice than give them their dream blender off of their gift registry. And, quite frankly, this seemed like a very affordable gift.

Upon logging into my Delta account, there was a mention of a $30 processing fee. I bristled slightly, but then kept moving along until I was confronted an additional fee -- $0.01 per mile. I was thinking of transferring 15,000 or 20,000 miles. The cost of transferring 15,000 Delta miles -- $180. I was surprised that Delta was asking me to essentially pay for a friend to use miles that I had already earned. For $220 and a little legwork, you can get a full domestic ticket, not just a fraction of one. Upon checking with United and American, I saw the same costs (with varied processing fees).

One of the airlines' best opportunities for connecting with their most committed customers is through their frequent flyer programs. And although the programs are in large part helping the airline sell more tickets, it does make me feel like more of an insider. Consumers have grown accustomed to the hurdles set up to protect the airlines (booking up to a year in advance, black out dates), but when loyalty programs become one-sided, the conversation with the consumer takes a turn for the worse.

Authoradam stewart | CommentPost a Comment |
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Monday
10Dec2007

Wi-Fi in the air (finally)

DateMonday, December 10, 2007 at 8:22PM

Last week, Techcrunch reported that JetBlue will begin offering limited free wi-fi (Yahoo email and IM only) on flights beginning December 11th. American Airlines will follow suit with complete wi-fi and broadband access on all flights starting in March. Virgin America plans to launch the service shortly afterwards. The catch is that both airlines are charging $10 for the service.

I'm someone who views wi-fi access as a right, not just a privilege, so this as enormous step in the right direction. It just doesn't go far enough. Airlines started by whittling away the in-flight experience, eliminating complimentary food and frills, then building those services back up at an additional charge to the passenger. All while ticket prices continue to rise. I'm as guilty as anyone to letting them take advantage -- if there's an in-flight movie to buy, I'm forking over $5.

As I have expressed in a previous post, there is an opportunity for an airline to carve out a niche in an industry where everyone seems to be reading the same manual. There aren't many airlines making waves -- JetBlue a few years ago; Virgin America currently. Free wi-fi is a way to own an in-flight experience before any other airline does. Currently, the main factor I look at in picking my flight is price. My participation in their frequent flyer program is secondary, as I am now a member of at least three frequent flyer programs.

JetBlue, American and Virgin deserve credit for taking this initiative, as I'm sure all the airlines will eventually follow suit. But charging customers for something that is long overdue doesn't follow through on the promise of innovation. Why take half a step ahead when you could take a whole one? Among plugged-in travelers, free internet access not only builds loyalty, but shows the customer that you "get" them. Complimentary pretzels and Mountain Dew will only get you so far -- eventually the customer needs to see real value in coming back each time.

Authoradam stewart | Comment1 Comment |
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Tuesday
04Dec2007

Customer Service 101

DateTuesday, December 4, 2007 at 2:03PM

A recent Yankelovich study ("Consumers in Control: Customer Service in the Age of Empowerment") confirmed what most people already know: consumers are growing increasingly frustrated with a lack of good service. A few stats from the study:

  • 82% said it was important to speak with a live person; 27% indicated they would be willing to pay more for one
  • 71% would walk out of a store with poor service even if it offered exactly what they were seeking
  • 66% believe businesses care more about selling their existing products than adapting to their customers specific lifestyles

Customers don't want to give you their service; they want you to earn it. Dissatisfied customers tell a lot more people about their experience than satisfied ones. And with the internet, their voices are now a lot louder. Just do a search for "comcast sucks" and see what comes up. Watchdog sites like Consumerist field and compile complaints all day. No amount of shiny advertising can make up for a customer experience that falls short. And brands can no longer hide behind a reputation forged by longevity and lack of options.

Make it easy for the customer

Customer service starts the moment a consumer enters your retail environment. They should feel welcome when they enter. Think about the best retail experiences you have had. Chances are you walked away learning something new, and you didn't have to stand awkwardly trying to flag someone down. I can't even count the number of times I have walked out of a store after waiting for service. Employees should be accessible and knowledgeable. And unless the customer feels like they are making an informed decision, they will be leaving without buying.

Humans don't want to talk to your computer

Again, customer service is about information, and the longer it takes for a customer to get the information they seek, the more frustrated they become. Yes, I've been to your website. The information I was looking for wasn't there, so that's why I'm calling.

Get Human actually grades companies on the ease of reaching a live representative. Dillard's, L.L. Bean, Hertz and Comfort Inn are among the few brands that earn A's.

Keep your promises

A 4-hour service or delivery window is barely acceptable. Missing that window is not, especially when customer are be missing work to wait for you to arrive. Yes, delays will happen, but consumers have to feel like companies respect their time, or customers will take their time (and money) to someone who will.

Listen to the customers

There may be nothing you can do about a specific complaint (many companies are bureaucracies - customers get that), but if the same complaint comes in enough, maybe there is an opportunity to make your company better.

Authoradam stewart | CommentPost a Comment |
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