Do you know the real reason your customer is angry?

Problems can and will happen in customer service. What happens next is often critical. Will the problem be resolved? Or, will more mistakes exacerbate the situation like pouring gas on a fire?

Here's a recent example that shows both.

I'm a huge fan of New Balance and buy nearly all of my running gear from their online store, Shop New Balance. Recently, I received an email offering 15% off my order plus free shipping. It was time to get some new running shoes anyway, so I carefully followed the instructions on the email and tried to place my order.

Unfortunately, my 15% discount wasn't added at check out, so I had to cancel my order. <----- Problem

I emailed their customer service department and explained the issue. A customer service rep emailed me back the next day and apologized for the error. He went on to explain that the online promotion had ended the night I tried to place my order, so I would have to call customer service to get my 15% discount. 

This was a minor bummer. I had placed my order online because it was easier to browse through their selection and most of my account information was already on file. Now, I needed to find time to call them and place the whole order all over again. <----- Problem #2

I called a few days later and spoke with a rep named Laura. I was bracing for a fight as I explained the situation, but she cheerfully told me she'd be happy to honor the discount. <----- Resolution

Now comes the hero factor. Several of the items I originally ordered were now marked down 20% off their original price. That was better than the 15% discount I had hoped for, but Laura gave me an additional 15% off anyway. Savings + savings = awesome. <----- Hero Moment

I also realized that I was leaving town for a long weekend and there was a good chance that my order might be delivered while I was gone. This would mean the shipment would sit by my front door for several days advertising the fact that I wasn't home. I explained this to Laura and asked if she could delay shipment by a few days. She assured me she would take care of it.

A couple days later I was pleasantly surprised to receive my order before I left for my trip. Laura had upgraded my shipping to express at no extra charge to ensure everything arrived before I left instead of after I returned. <----- Hero Moment #2

Unfortunately, one of my new shoes was damaged and will need to be returned. That was disappointing, but not the end of the world. <----- Problem #3

If you are keeping score, I experienced 3 Problems and 2 Hero Moments. What does that add up to? A very satisfied customer.

Laura's hero work more than made up for the other issues I experienced. Would I be disappointed if the problems happened again? Certainly. I've also done enough business with Shop New Balance over the years to understand that this was an unusual situation and my next order will probably be smooth sailing. In the meantime, Laura's outstanding problem resolution earned them plenty of goodwill.

Here are a few of my takeways from the situation.

• Don't make problems any worse than they need to be. Anything less than an immediate resolution can make a mountain out of a molehill.
• Empower your employees to give customers more than they expect. It will make it much easier to go way beyond resolution and turn a problem into an opportunity to delight. (Chris Zane's wonderful book, Reinventing the Wheel, gives many examples about this.)
• Mixing in a few hero moments will earn you enough goodwill to keep your customers' business when you occasionally stumble.

You lost me at "Hello"

There’s something magical about a warm, friendly, and authentic greeting in customer service. As a customer, you feel immediately at ease and gain confidence in the other person’s ability to serve you well.

So why doesn’t it happen more often?

Here’s an example that can help us better understand some of the reasons why so many greetings fail.

Rep: “Thank you for calling The Bayside Grill. This is Jane. How may I help you?”

Me: “Hi Jane. My name is Jeff. I’m calling to make a reservation please.”

Rep: “It will be my pleasure to assist you. What's your name?”

Here are just a few misses in this very typical exchange:

• I gave my name, but Jane missed it.
• Jane sound rushed when she answered the phone.
• Jane sounded robotic when she said, “It will be my pleasure to assist you.

I know, the fix is easy, right? Jane should just answer the phone with a bit more enthusiasm, listen carefully, and then respond with sincerity.

Unfortunately, the problem is often created by management practices that influence Jane's performance.

Here are a few other factors that may contribute to poor customer service greetings.

Employees are distracted. In many customer service situations, the person greeting you is expected to simultaneously perform other tasks, depriving you of their full attention. For example, Jane may have be staring at a line of guests waiting to be seated when she took my call. (Check out my recent post on how multitasking hurts customer service.)

Scripts are for robots. Many customer service greetings are scripted, presumably because employees like Jane can’t be trusted to create an acceptable greeting on their own. The problem is that employees start focusing on nailing the script instead of nailing the greeting. (I wrote a post in 2009 on getting more consistency by ditching the script.)

Employees aren’t monitored for friendliness. When I worked in a large call center I remember having endless debates over what friendly sounds like. It’s easy to observe whether or not Jane used the correct, scripted greeting. Unfortunately, friendliness is inherently subjective. It might be very difficult for Jane and her supervisor to come up with a shared definition of what “friendly” looks or sounds like.

What’ the solution? Here are three simple things customer service leaders can do to improve their employees’ greetings:

1. Eliminate distractions. Give employees the tools, training, and coaching to help them focus on one customer at a time.
2. Ditch the script. Replace cumbersome scripts with more general guidelines. Employees like Jane can use their own personality to come up with something that works or them and still achieves the desired result.
3. Hire naturally friendly people. Obvious, I know, but this practice isn't as common as you would think.

What else can we do to make greetings more friendly, warm, and authentic?

Outstanding customer service you'll never notice

Our regular UPS driver came to the door yesterday afternoon. I had to sign for the package because he was delivering a shipment of wine. As I was signing, he remarked that the package had the wrong address on it. "I'm glad you knew where to bring it!" I said.

He replied that it was easy for him to track down the correct address because of my unusual last name and the shipment contained wine. (Yes, I am a huge wine enthusiast: www.sharethebottle.com.) 

I paused for a moment to think about what had just happened as I brought the wine in the house. The wine shipment had arrived just as expected. That by itself wasn't amazing, but the fact that it arrived on time was due to the actions of a very alert UPS driver who knew the regular customers on his route. He took extra initiative to ensure my expectations were met.

Could it be that some of the very best customer service happens behind the scenes? 

Customers tend to notice service service that is either exceptionally good or exceptionally poor. We are unlikely to notice when things go exactly the way we expect them to. 

What would have happened if the UPS driver had not taken the initiative to deliver my wine to the correct address? The shipment could have been delayed a day or two while a customer service representative tried to track me down. I might have been inconvenienced if I had to go to the UPS station to pick up the package instead of it being delivered to me. The wine might not have been delivered on time for an upcoming party if it took too long to resolve the problem.

All of those situations would have landed squarely below my expectations. I would have likely been upset at the winery, UPS, or even both. 

Instead, I'm happy.

How many times do unsung customer service heroes spot a problem before it occurs and just fix it? When it does happen, the experience will likely register as "average" on the customer's radar, but we should all agree that the effort was outstanding.

Open letter to CFOs in charge of customer service

Dear Chief Financial Officers,

It has recently come to my attention that your cash flow is a little lean.

I was reminded of this when I went to check my bag for a flight and was charged $20. You got me again when I received notice that I’ll now be charged a $5 monthly fee for using my debit card. My local movie theatre was no refuge either – I’m now being charged $12.00 to be a part of their rewards program. I needed a vacation after all these fees so I booked a few nights at a resort hotel. Unfortunately, I didn’t learn about the $30 resort fee until after I arrived.

You need more money. I get it. I look at my own bank account and I really, really get it.

But here’s the problem, CFOs. Customers are emotional. Why else would we rant and rave when Facebook makes a minor change? Facebook is FREE and we still get all worked up if they do something we don’t like.

I realize there isn't a "Customer Rage Quotient" column on your "Fee Increase Cost Benefit Analysis" spreadsheet, but maybe there should be. It starts to feel like you don't respect us very much when you suddenly charge a fee for something you used to include with the price of your product or service. 

You want more money, but I want to spend less money. So, how can we make this work?

I have one simple suggestion. Treat me and my fellow customers a little better. Think about that $300 I spent on air fare before you charge me another $20 for my bag. That might be the difference between you getting another $300 for my next flight or me taking my business elsewhere. 

For my part, I promise to tell the truth to everyone I know. If you treat me well, I'll sing your praises. If you treat me poorly, I'll be happy to suggest several of your less annoying competitors.

I know you are busy with your latest complex financial modeling project, so I'll close by thanking you for your time and reminding you that I have a few purchasing decisions to make in the near future. I hope you make my decisions easy!

Sincerely,

Jeff Toister, Customer

PS. You may be wondering why I addressed this letter to you and not to the Vice President of Marketing or the Vice President of Customer Service. C'mon - these fees have "CFO" written all over them. Nobody who had actually spoken to a customer would think those fees were a good idea.

Why multitasking hurts customer service

The ability to multitask is often viewed as a critical customer service skill. For example, there are currently over 1,000 customer service jobs posted on Monster.com that list multitasking as part of the job description. The problem here is that multitasking, or the ability to consciously focus on two tasks at the same time, isn't possible.

According to David Meyer, a researcher at the Brain Cognition and Action Laboratory, when we attempt to multitask our brains are actually rapidly switching our focus between tasks. This rapid switching leads to decreases in productivity and increases in errors as we constantly try to refocus our attention.

A famous example of this phenomenon is called the Stroop Effect, named after an experiment conducted by John Ridley Stroop. In the experiment, subjects were shown a series of squares and asked to identify the color of each one as quickly as possible. Next, subjects were shown a list of words that were each the name of various colors. The words were all printed in colored ink and subjects were asked to identify the color each word was printed in as quickly as possible.

The catch was that the name of the word and the color the word was printed in didn’t match, so “red” may have been printed in blue ink while “orange” might be printed in green. On average, subjects took 74% longer to correctly name all the colors in this second list. 

Try a Stroop test yourself and see how you do!

What does all this mean to customer service? 

It means that customer service reps can't finish up an email while answering the phone at the same time. The grocery store cashier can't talk to her supervisor about her break schedule and make sure I found everything I needed at the same time. The account manager at the bank can't respond to a co-worker's instant message while simultaneously explaining the benefits of a certificate of deposit to a customer.

Employees who multitask risk making errors. They risk making their customers feel ignored, neglected, or misunderstood. Multitasking tends to slow things down despite a whirlwind of activity that makes us feel like we've actually sped things up.

You can try this little experiment to see things through a customer's eyes. The next time you receive customer service, pay attention to how much the other person is paying attention to you. Are they fully focused? Or, do they seem to be slightly distracted by other thoughts or activities? See if you notice a difference in the service you receive from fully focused employees and distracted ones.

I bet you can guess how this is going to go, but I encourage you to leave your comments describing your experiences.

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Self-service or customer service?

I read an article today that said many supermarkets were re-thinking the strategy of installing self-service checkout stands. Some customers seemed to like them while many customers found it easier or more pleasant to have a cashier ring up their purchases. (Read the article here.)

The article reminded me of an oft-asked question: Should we offer self-service or customer service?

My response is that’s the wrong question.

When self-service is great, it’s really great. Printing out my boarding pass at an airport kiosk or downloading it to my smart phone is a terrific time saver compared to waiting in line for a ticket agent. Looking up nearby coffee houses on a website or mobile app is much easier than spending 10 minutes calling a 1-800 number to get directions. Visiting a software company’s online learning center is much faster for me than signing up to take a class.

On the other hand, self-service can waste of time, cost money, and be extremely aggravating. Automated phone menus at the other end of 1-800 numbers often needlessly waste five minutes or more of my time before I can get to a person who can actually help. I don’t appreciate being charged a $7.50 “convenience fee” if I want to buy tickets to a play or sporting event online when I can buy them in person from a box office agent without paying a self-service surcharge. And, I really don’t like feeling like an idiot while I’m trying in vain to scan, bag, and pay for my groceries faster than the cashier in the checkout line.

Companies considering a self-service or automated option should start by asking themselves, “How can I offer the best possible service at the lowest possible cost?” These aren’t mutually exclusive options. Rather, they are counterpoints to a balancing act between a genuine desire to make every customer ecstatic about your business and the need to maintain fiscal responsibility.

Perhaps the best quote in the article was from Suzi Robinson, a spokesperson for Stop & Shop Supermarket Co. who explained why the company has self-serve lanes in about 85% of their stores. “Our philosophy is giving customers options. People shop in different ways and we want to accommodate their preferences.”

Listening to customers is harder than you think

I was halfway through my question when the customer service representative interrupted me. “That’s actually a separate password than the one I’m resetting for you. That one is just for billing.”

Great, except that wasn’t the question I was about to ask. “I know, but I was going to ask if I can reset the billing password myself so that I…”

He interrupted again, “But you don’t need the billing password to access your online account.” 

Sigh… Still not the question I was trying to ask. Why do so many knowledgeable customer service representatives find it difficult to truly listen to their customers?

Believe it or not, one explanation is poor listening skills are a product of our brain’s natural wiring.

Our brains have a unique design feature that allows us to take a small amount of information and compare it to familiar patterns. This enables us to make quick sense of large amounts of data without getting bogged down in the details. It’s an ability that comes in handy in many ways, such as determining if something is safe or dangerous, recognizing people we know, or even reading.

Here’s a simple example. Try reading the sentence below:

People can easliy raed misspleled wrods as long as all the lettres are there and the fisrt and lsat letters are in the corerct position.

You can read sentences like the one above thanks to this handy pattern recognition ability. Your brain recognizes the pattern presented by the arrangement of the letters and the context of the sentence. It doesn't matter that the letters aren't perfectly placed. They are close enough for your brain to quickly interpret their meaning.

Unfortunately, this same ability gets customer service representatives into trouble when it comes to listening. The customer service representative I mentioned at the beginning of this post had likely heard questions similar to mine many times. The start of my sentence fit a familiar pattern so his brain naturally stopped listening and presented an answer to the question he thought I was going to ask. The problem occurred because my question was a new variation this pattern, so the answer that leapt into his mind was incorrect.

In other words, it was a natural behavior that caused the customer service representative to keep interrupting me.

We can learn to short circuit our natural wiring and become more adept at listening, but it takes training, effort, and practice. Here are a few things you can try the next time you are listening to a customer:

1. Eliminate distractions and concentrate on what the customer is saying.
2. Don't interrupt customers while they are speaking.
3. Ask clarifying questions to confirm you understand their needs.

Should you get rid of your customer service email address?

How long does it take your company to respond to customer service emails?

If it is longer than one day, you may want to consider dumping your customer service email address. Why leave the door open for disappointment when you can stick with technology you're more comfortable using like the telephone, the fax, or even the telegram. 

I’ve lost count of how many companies have done a poor job of responding to a problem or even a sales inquiry via email in recent months. 

Here are a few examples:

I recently emailed three wine shops looking for a particular bottle of wine. One responded quickly and let me know they'd search for it, but it may take a few days (great response). One took a week to get back to me before replying, "Sorry it took so long, but we're looking for it." (Eh.) One didn't respond at all (fail). When the first two found the wine I was looking for, guess who I bought it from?

In another example, I emailed my frequent guest number to a hotel so they would have it on file when I arrived. They never responded to my email and of course didn't have it on my reservation when I checked in. Here was an easy opportunity to perform a simple service for a frequent traveler and they blew it.

Most customers expect a response to email within one business day or less (see my research here). My question is why do so many companies fall short in this area?

The power company reinforces the value of great service

I recently had a great customer service experience with San Diego Gas and Electric (SDG&E), my local power company. They're pretty much the only game in town if you live in San Diego and use electricity. Fortunately, SDG&E realized that good customer service is still good business.

The Situation
An SDG&E contractor broke a sprinkler pipe in my yard while working on some SDG&E equipment that is adjacent to my lawn. I called on a Sunday and filed my initial claim, but was told that the claims department wouldn't open until Monday. Someone would call me then.

I braced myself for the expected hassle and runaround, but what followed was a trio of surprises that exceeded my expectations.

RESPONSIVENESS!
A gentleman named Mike from the claims department called me on Monday morning. I was truly surprised to get a call as promised.

Why is this such a big deal? Too many companies don't call in this situation. That prompts another call from the customer. And another. And another. It aggravates the customer but also wastes valuable company time to deal with the some complaint over and over again. It's always better to put the problem in the hands of a person who can fix it and let them fix it right away.

IT WAS EASY!
I was bracing for a mountain of bureaucratic paperwork. Instead, Mike simply apologized and suggested I use my own sprinkler guy to do the repair. He told me I could send the bill directly to him and he'd make sure I got paid.

What?! Where is the bureaucracy? Where was the expected accusation that I was somehow trying to rip them off? What's up with this helpful single point of contact business instead of making me call another number and re-explain the problem?!

Mike's actions made things easy for me but they also saved SDG&E a lot of time too. Making me wade through a maze of bureaucratic steps would make it necessary to employ a legion of bureaucratic gate keepers to patrol the maze. Problems can and will happen, but customers shouldn't have to suffer more than necessary to get them fixed. Mike was able to resolve the problem with a minimal amount of contact and effort on both sides.

RESOLUTION!
A reimbursement check came in the mail a few days after I sent my receipt to Mike. I had expected it to take forever to get my money, so it was a real surprise to get the check so quickly.

Wait - aren't big utility companies supposed to be evil?

It turns out that being evil can be much more expensive than doing right. Let's imagine my check didn't arrive quickly. I'd probably call again. The labor cost of that extra phone call would offset any marginal savings gained from delaying payment. In fact, each time I called, the company would be deeper in the hole. Better, and cheaper, to just send the check and get it done.

So there you have it. A customer service lesson from the utility company. Be on the lookout for flying pigs!

The impact of conformity on customer service

Have you ever wondered why a company tends to have consistent service levels amongst all its employees? Sure, there are exceptions here and there, but a company known for poor service tends to be consistent. A company known for great service tends to be consistent too.

Why is that? One explanation could be the pressures of social confirmity. Employees may give in to social pressure to behave the same way other employees do. This means that if the culture supports poor service, otherwise good employees may lower their own performance rather than feel ostricized by their co-workers.

I've discovered some interesting psychological studies on conformity while conducting research for my book, Getting Service Right. Here is a short and entertaining YouTube videos that highlight some of the results:

The video below recreates the famous Asch conformity experiment:

So, what do you think? Can a good customer service employee turn bad in the wrong environment?