There was a lot of negative buzz in press over the past few days about the Kindle Fire and now that buzz has turned into scorching criticism. Jakob Nielsen, one of the world’s foremost experts on usability, issued an alert saying that “Kindle Fire…suffers from plain old bad UI design in many areas” and “a disappointingly poor user experience”.
The NYTimes prominently covered the issues saying that Amazon is having some real challenges with the Fire in an article that went straight to the number one spot on the Times’ Most Emailed List. In it, the Times cautioned all the naysayers not to count Amazon out, but nonetheless described the problems in detail and raised red flags for consumers.
We should not forget that while there was plenty of criticism of the iPhone when it came out (remember no ‘copy/paste’?) or the iPad (‘who needs it…’) it was first to market; and the sheer wonder of the new was enough to help people over the hump.
The Kindle Fire competes with the iPad, despite Amazon’s insistence that it doesn’t…I personally can’t see myself owing the Fire AND an iPad AND a Kindle eReader….I will choose one eReader and one tablet. And though Fire might be cheaper…given that it is not functionally on par with the iPad…I choose the iPad as my tablet.
Amazon, an inspiring company on many many levels, should have made sure that its product was perfect. It didn’t and the Fire’s future is not clear.
Today TOA Technologies released the 2010 Annual Cost of Waiting Survey. It’s a comprehensive look at the effects of the in-home appointment event on consumers and the businesses that serve them.
There are many interesting things that the survey uncovered – and you can access them all here – but I want to focus on one aspect which I think is particularly fascinating and that’s the effects of waiting on brand equity and what is commonly called Net Promoter Score (NPS). In other words, how people answer the question “How likely is it that you would recommend the company to a friend or colleague?”.
What the survey found is that there is a profound negative effect on brand equity when a company shows up just 15 minutes late. That’s all it takes to change the perception of the customer from a 60% satisfaction rate for on time arrival to only 19% satisfied when reps from your company arrive late. Even if you find a way to overcome the issue of momentary dissatisfaction – the real effect on your brand comes when people were asked the NPS question, i.e. the number of people who would recommend a company to their friends plummets when companies are late to arrive. In fact:
58% of respondents said they would recommend a company with an on-time arrival.
However, if the company is just 15 minutes late the number of respondents who said they would recommend the company drops to just 10%.
What does that mean to you?
So much money is spent on acquiring new customers and so much money is spent on creating, maintaining and growing the brand. Yet all of that can go down the drain in one moment: The moment a customer feels disrespected. Especially with the ephemeral issue of time.
I know from my own experience (that instigated the creation of TOA) - when my time is taken for granted, whether it’s waiting on the phone for more than 3 minutes for a customer service rep to answer or waiting at home for hours for an installation, service or delivery appointment – I am unforgiving in my reaction. And I based on the survey results so are the majority of other consumers. And unforgiving means that these consumers will ultimately leave you when they find the first viable alternative. Even if that is not immediately – they will ultimately leave.
And not only will they leave – they will tell everyone about it. And THAT is the biggest problem of all – because telling people that the virus, and it’s contagious – especially in today’s social media driven world where every consumer has a voice. The consumer is your ultimate marketing machine and they can either work for you or against you. Not only will they take their business elsewhere and but they will spread the word and take many others with them.
What’s clear is that adhering to some very simple ideas and a relatively humble investment, can help keep a lot of customers loyal and help you assure a lot of future revenue for the long term. All you need is make sure that you are focusing on what is most important to your customers – their time and their dignity – and you can win.
This is an inspiringsermon on the essence of superior customer service by the Master of Great Customer Service himself: Richard Branson! It’s mandatory reading for every service based business executive and employee alike:
In an earlier blog, I discussed a missed opportunity to shine, and my feelings on customer care. This week, Jennifer Friedman, TOA Technologies VP of Marketing, looks at some recent data behind this subject:
As I prepared for my first blog post ever, I read a recent survey entitled, “The Global Customer Service Barometer,” which was published by American Express (my previous employer).
The survey confirmed ideas that most of us suspect:
1) Americans will spend 9% more with companies that provide excellent service
2) Two-thirds (67%) feel companies aren’t doing enough to earn their business and nine in ten (90%) Americans consider the quality of customer service when deciding to do business with a company
3) Three most influential factors when deciding which company consumers choose to buy from:
* Personal experience (98%)
* Company’s reputation or brand (92%)
* Recommendations from friends and family (88%)
Should companies invest more (or differently) in customer service to increase the value of their brands? This is not a trivial question because in the vast majority of cases, it is the front-line customer service worker (whether he/she be on the phone, in the store, or showing up at the consumer’s home) that represents a company’s first and most important interaction between them and their customer. These are the interactions that represent the moment of truth: the most important interaction with the company where the consumer forms his opinion.
Today companies with mobile workers have an unprecedented opportunity to transform what has traditionally been a “moment of pain” into a “moment of glory”. This opportunity derives from the dual power of predictive analytics and improved forms of communication.
What can companies with employees who go to consumers’ homes do?
1) Use the Information You Have to Make Better Decisions. Most companies have the ability to know how long it takes to perform a task and how long it takes an individual worker to complete the task. The problem is that they don’t use this information. They need to start!
2) Communicate. Communicate. Communicate. And do it in the format that consumers want. Call them, email them, text them, let them check on the internet to see what is going on. And communication is a two-way street. Let them be part of the conversation. If you are going to be late, tell them; and let them decide what to do. If they are willing to wait, great. If they want to reschedule, let them.
3) Get Over the Idea That Cost/Service is an Either/Or Proposition. With the advent of predictive scheduling software and communications it is possible for companies to delight customers and save money at the same time. How? By giving consumers arrival windows that are short and accurate, by communicating with them so they know when you will arrive, and by showing up with the right personnel and tools to do the job right the first time.
I would be very interested to hear what other best practices exist in the sphere of customer service that are helping companies build their brands, especially for companies whose business takes them to consumers’ homes. What else can companies do?
"It's About Time" is the blog of TOA Technologies CEO Yuval Brisker. It offers Yuval's thoughts on customer service, customer experience management, mobile workforce management, software and technology, and other musings of a technology company leader