040 customer service - final edit

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Poor service always leaves Poor service always leaves you feeling precisely like that

woman felt

Why spellbinding experiences make all the differenceall the difference

Leela PalaceBengaluru29th June 2011

Consumers are statisticsCustomers are PEOPLE

--Stanley Marcus

Brannock Device

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Nordstrom

Customer Service is NOT a Strategy…

Nordstrom

Customer Service is a WAY OF LIFE

Each and Every One of You is in the Customer Service

Department

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The Acid Test:

If our name was removed from any part of the customer experience, If our name was removed from any part of the customer experience, would customers still know it was Virgin?

A Virgin Trains manager took all the placemats from First class and folded them into fans for the passengers caught in an unpleasantly hot carriage when the air-conditioning failed.

To add a personal touch to our customer experience: the little extras….

When Virgin Money sends people letters about their financial services they

To offer an experience that’s 100% human, about their financial services they

recognise it’s the customer’s money, not theirs. They don’t write in jargon but as one human being to another

that’s 100% human, treating customers with respect.

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Our Customer Experience principles How Virgin Group companies put it into practice

To offer an experience that’s 100% human,

treating customers with respect.

Speak from the heart, not a script. Talk to people the way they prefer to be talked to – with

warmth and humanity. When Virgin Money sends people letters about their financial services they

recognise it’s the customer’s money, not theirs. They don’t write in jargon but as one human being

to another

To make the experience simple and easy, with

no confusion.

In a world of clutter and technology, there’s nothing consumers appreciate more. Virgin Mobile

launched with the goal of putting the customer first and to be a breath of fresh air in a confusing

field of technology. It revolutionised the industry by scrapping peak rate calls and allowing

customers to pay any way they like with no contract.

To give our customers what they really want. Virgin Megastores were the first major music retailer to introduce listening posts in their stores,

allowing consumers to listen before they buy.

The Virgin Customer Experience Charter

To get the right things right. Every time. Like Virgin trains – who built a power point into every seat – so you can get some work done

without your laptop or mobile running out of juice.

To keep our promises. If we say it, we’ll do

it.

Some companies show a lack of regard for their customers by making promises they can’t or won’t

keep. Virgin companies do what we say – no lies and no backtracking, just action.

To challenge convention. No bollocks or

bureaucracy

Virgin Direct’s index tracker investments broke the investment world’s greatest conventions and

secrets by beating traditional fund management with an investment fund linked to the FTSE.

“Wouldn’t it be great if your shares could beat the shares of all those highly paid investors?” You

can, 90% of the time, if you just invest in all the FTSE top companies.

To add a personal touch to our customer

experience: the little extras….

To never design what we do by assuming the

worst in customers

As a customer, there’s nothing more frustrating than dealing with a faceless bureaucracy or a

member of staff who tows the party line. A little something extra can really go a long way to

improve a their experience and their opinion of Virgin. E.g. A Virgin Trains manager took all the

placemats from First class and folded them into fans for the passengers caught in an unpleasantly

hot carriage when the air-conditioning failed.

Phone broken? No problem. Virgin mobile will send a replacement the next day. That’s before we

receive the original back – we take your word for it.

Nordstrom

The 8 Management Principles of America’s #1 Customer Service Company

1. Provide your customer with choices

2. Create and inviting place for your customer2. Create and inviting place for your customer

3. Hire nice, motivated people

4. Sell the relationship

5. Empower Employees to take ownership

6. Dump the rules

7. Encourage Internal Competition

8. Commit 100% to customer service

I own customer serviceI deeply understand my

customers needsI proactively provide solutions I proactively provide solutions

which add mutual valueI am happy and able

I make it happen

The tale of a birthday cake…

1920

The tale of a birthday cake…

1950

The tale of a birthday cake…

1990

The tale of a birthday cake…

2011

5 Rs 50 Rs 500 Rs 5000 Rs

Raw Materials

Goods Services Experiences

HuHuggee:: Customer

SatisfactionSatisfaction versus

Customer Customer

SuccessSuccess

“ ‘Results’ are measured by the “ ‘Results’ are measured by the successsuccess of all those who have of all those who have successsuccess of all those who have of all those who have

purchased your product or service”purchased your product or service”——Jan Jan GunnarssonGunnarsson & & OlleOlle BlohmBlohm, The Welcoming Leader, The Welcoming Leader

The Value-added Ladder/ STUFF ‘N’ THINGSSTUFF ‘N’ THINGS

GoodsGoodsGoodsGoodsRaw MaterialsRaw Materials

The Value-added Ladder/Stuff & TRANSACTIONSTRANSACTIONS

ServicesServicesServicesServicesGoods

Raw Materials

The Value-added Ladder/ OPPORTUNITYOPPORTUNITY--SEEKINGSEEKING

Customer Success/ Customer Success/ GamechangingGamechanging

SolutionsSolutionsSolutionsSolutionsServicesGoods

Raw Materials

“support function” “support function” / / “cost center“cost center””/ / “overhead”“overhead”/ / “overhead”“overhead”

oror ……

Are you … ““Rock Stars Rock Stars of the Aof the Agge of e of of the Aof the Agge of e of

TalentTalent””

““Experiences Experiences are as distinct are as distinct

from services as from services as from services as from services as

services are from services are from

goods.”goods.” —Joe Pine & Jim Gilmore, The

Experience Economy: Work Is Theatre & Every Business a Stage

“The [Starbucks] Fix” Is on …

“We have identified “We have identified a ‘third place.’a ‘third place.’a ‘third place.’a ‘third place.’ And I really

believe that sets us apart. The third place is that place that’s not work or home. It’s the place our

customers come for refuge.” —Nancy Orsolini, District Manager

The Value-added Ladder/ MEMORABLE CONNECTIONMEMORABLE CONNECTION

Spellbinding Spellbinding ExperiencesExperiencesExperiencesExperiencesGamechanging Solutions

Services

Goods

Raw Materials

Beyond the “Transaction”/ “Satisfaction” Mentality

“Good hotel”/ “Happy guest”/“Exceeded Expectations”

vs.

“Great “Great VacationVacation”/ ”/ “Great “Great VacationVacation”/ ”/

“Great “Great ConferenceConference”/”/

“Operation “Operation PersonalPersonal

RenewalRenewal””

CC OO*CC OO**Chief eXperience Officer

<TG<TGWWvs.vs.

>TG>TGRR[Things Gone [Things Gone WRONGWRONG/Things Gone /Things Gone RIGHTRIGHT]]

whatever it takes!whatever it takes!

THOUGHT Who DominatesWho Dominates

Extraction & Goods: ? ?

Services & Experiences: ??

SUMMARYSpellbinding ExperiencesSpellbinding Experiences

>>>>>>Customer ServiceCustomer Service