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Service GEMS 2008
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The Winners
What do TANGS Department Store, CELINE, Tag Heuer, CHOMEL, Capitol Optical, and Aramis Designer Fragrances have in common? These brands are proud recipients of "Premium GEM Awards" from the Singapore Retailers Association.
These organisations showcased a sterling performance in the recent wave of Retail Industry Mystery Shopping (RIMS) which was conducted between November 2007 and January 2008. Retail Industry Mystery Shopping (or what is now commonly referred to as "RIMS") was launched 2 years ago with the primary intent of providing retailers with a mechanism to benchmark their customer experience with brands or organisations from various sectors in the industry.
Under the RIMS programme, mystery shopping is conducted for organisations and brands that span various sectors including: Department Stores, Luxury Watches & Jewellery / Premium Gifts, High Fashion, Fashion & Accessories, Cosmetics, and Optical. For more information on RIMS: www.retail.org.sg/RIMS.htm.
These brands were put through a rigorous assessment of their customer experience across 8 service attributes by our team of mystery shoppers:
Approach:
Extent to which the shopper felt welcome
Appearance: Grooming the service provider
Ambience: Physical environment of the store
Assistance: Way in which help was provided.
Attitude: Demonstration of warmth and enthusiasm in serving
Acquisition: Adherence to point-of-sale standards
Aftersales: Service that was rendered after the point-of-sale
Advocacy: Shopper returning and speaking well of the brand.
Although the criteria may seem relatively simple to achieve, industry data indicates that many retailers face issues in some of the most basic aspects of service delivery. Star performers, however, showed industry players that excelling in these criteria was a cinch.
So what really differentiated star performers from their counterparts? Upon careful analysis, we found that staff from the "Premium GEMS" demonstrated certain characteristics which set them apart from other brands.
Attending to Customers
Despite the tight labour market, "Premium GEMS" were able to deploy existing sales staff in a manner where customers were almost instantaneously attended to the moment they walked into the store. Customers were met with cheerful staff and a welcoming disposition. This behaviour was demonstrated even on those occasions when the store was filled to the brim with customers.
Offering Assistance
Offering assistance is the act of proactively providing assistance to the customer when the customer has a question, or simply wants to clarify something. For RIMS, it was observed that many staff had to grapple with a few things while offering assistance. Firstly, they found themselves in a situation where they had to attend to a few customers at a time - each expecting a personalised attention when assistance was required. Secondly, the prerequisite of providing assistance is the need to possess good product knowledge. Finally, "providing assistance" requires the skills of addressing issues that customers have highlighted and being able to propose recommendations that meet the needs of customers. On all three counts, "Premium GEMS" were able to equip their staff with all the necessary skills and know-how so that they were able to do an excellent job. When customers required assistance, staff were ready to offer assistance in a timely manner. Since staff had excellent product knowledge, they were able to share the benefits of the product, respond to objections well, and ultimately propose products in a way that met the customer's expectations.
Building Rapport
On many occasions, sales staff typically go through the motion of serving customers. Few, if any, make the effort of building rapport with customers. The importance of building rapport cannot be understated. It is very likely that customers who can "connect" with the sales staff will purchase more from this person as opposed to a total stranger. Staff from "Premium GEMS" were observed to be making the effort of building rapport with customers within a relatively short period of time. Our mystery shoppers found that these staff built rapport through humour, introducing themselves (despite having name tags on the uniform), a hand-shake, or simply creating small talk with customers.
Excellent Product Knowledge
Over the years, the retail landscape has evolved quite significantly. Rising overheads, an acute shortage of people wanting to work in the retail industry, and long hours, etc, has resulted in the need for importing "foreign talent". At times, retailers resorted to employing individuals simply to meet the staffing requirements. Furthermore, many of these individuals did not appear to have undergone sufficient training before being placed on the sales floor. Despite these existing challenges "Premium GEMS" have ensured that ALL staff have the requisite skills and know-how so that they are well-placed to provide product-related information to customers. In addition, it was observed that these staff were not only familiar with their own products but also familiar with products of competing brands.
Out-of-box Solutions
Familiarity with product knowledge is only one side of the coin. The ability to think of out-of-box solutions for customers is the other. During the RIMS, it was observed that many staff adhered to WYSIWYG (What You See Is What You Get) philosophy. In other words, what the customer sees in the store is what is available. The moment the customer has a particular request for something that is not displayed, most staff responded with an abrupt "Don't have". Staff from "Premium GEMS" took the effort of exploring options with customers and on many occasions found innovate solutions to address customer's needs.
Service Language
Although the type of language used during a customer interaction will not be the sole deciding criteria for a purchase decision, it certainly goes a long way in how the brand is projected to customers. Our mystery shoppers observed some staff from high-end brands being unable to communicate in a service-oriented manner . Making things worse is that terminology used by some staff diminished the image of the brand. For example, sales staff of a high-end premium gift store should ideally use "writing instruments" instead of "pens". Staff from "Premium GEMS" were equipped with the necessary Service Language skills and were able to use the right terminology and jargon that befitted the brand.
Demonstrating a Genuine Interest
Sometimes, it is not what you say but how you say it that matters to customers. For example, two service providers who say the same thing but in very different ways will almost certainly observe that the outcomes are vastly different. Customers enjoy being attended to by a service provider that demonstrates warmth and enthusiasm in serving them. The worst type of service providers are ones that simply go through the motion of serving customers without demonstrating a genuine interest in wanting to meet the needs of customers. Staff of "Premium GEMS" were observed to demonstrate, among other things, passion for the work they did. This passion was quickly and easily picked up by customers and resulted in positive experiences.
In summary, the traits of "Premium GEMS" are not impossible to emulate. All that is required is disciplined approach towards equipping staff with the relevant skills and know-how of providing excellent service to customers. This should be followed by a strong coaching mechanism to ensure that the skills and know-how are internalised by staff.
Copyright © Beacon Consulting Pte Ltd |
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New Glasses for Everyone
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Imagine how you would feel if you were sailing
in a ship that goes nowhere or walking through a terrain with
low visibility. Chances are frustration, demotivation and
anger may set in. This is a useful analogy for organisations
that do not have a clear vision or mission statement or for
that matter, a corporate statement that few, if any, truly
believe in.
The value of a good vision or mission statement
can probably be best described by the employees of world renowned
organisations such as Hewlett-Packard or Johnson and Johnson
who have for a long time been guided, motivated and inspired
by their corporate statements.
For Hewlett-Packard employees have long
known that radical change in operating practices, cultural
norms, and business strategies does not mean losing the spirit
of the HP Way - the company's core principles and HP Invent
its philosophy.
Johnson & Johnson is an organisation that
has continually renewed itself in various ways including revamping
its structure and processes while at the same time preserving
its ideals embodied in its credo which covers four key areas:
customers, employees, communities and shareholders.
So what is a vision statement? A vision
statement exemplifies what an organization wants to be. It
focuses on the future; it is inspirational; it provides clear
decision-making criteria; and it is timeless. Whereas
a mission statement outlines what the company is now. It focuses
on today; it identifies the customer(s); it identifies the
critical process(es); and it states the level of performance.
Sadly enough, for most organisations, the
vision and mission statements have become mere status symbols
that have their importance placed on par with other decorative
items in the office. The corporate statements have no direct
linkage with the operations, employees have long forgotten
about the statements, and the only time that conversation
centers around the corporate statements is when there isn't
enough wall space left to put up other things.
Why do organisations fall into this trap?
Firstly, chances are that the creation of the corporate statements
was not a shared effort - it could have very well been created
by an individual who has positional power - or worse still,
by a consultant who has no knowledge of the business. For
the corporate statement to have lasting power, its creation
must be a joint effort of key stakeholders within the organisation.
Failing which, buy-in from stakeholders will be limited and
the behaviors or actions may not be in congruence with the
intent of the statements.
When an organisation collaboratively decides
to express its corporate statements, it gives direction to
everyone in the company. By involving stakeholders and giving
them a chance to indicate how they perceive the company and
to identify what is important to them, "living" the corporate
statements becomes much easier as people see the company using
their views in the decision process and there is a stronger
commitment towards a shared future of the organisation.
Vision statements have no "deadline" - no
"by when"; in other words, it aims to answer the question
"If we could develop exactly the kind of company we wanted,
what would it be like?"
Mission statements, on the other hand,
beg the answer to "Why are we doing this?" Also, the mission
statement is the motivational component of the vision statement
and defines what is important to the individual, department
and the organisation.
In setting mission statements, some
key questions to ask?:
- Why are we doing this?
- What is our purpose?
- Why does this work matter?
- What is most important about this
work?
- What will it do for us to fulfill
our vision?
- How will we benefit? Who else
will benefit?
The benefits of a clear vision and mission
statement will be realised if they speak the organisation's
present condition and how the desired state will look like,
if they are written in a way that is clear and aids retention,
and if they can bring intentions to life. On a final note,
although the wordings for the vision and mission statements
vary from one organisation to the next, the key is that these
statements explain what the company is today; what it wants
to be in the future, and the critical factors that guide its
decision-making - it is not another decorative item for the
wall!
Copyright © Beacon Consulting Pte Ltd
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Building Customer Loyalty with Service Recovery
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The test of a good service recovery is in
your ability to convert an angry customer into a LOYAL one.
Be an active listener - listen to his words,
body and heart.
Listen to his words - Capture all the relevant
information to find what went wrong. In case of uncertainty,
ask questions to clarify. There is no room for making wild
guesses.
Listen to his body - Observe his non-verbal
for clues of his emotional state of mind. For example, when
your customer shouts at you, understand that he is very angry.
Never tell an angry customer "Sir, I'm trying to help. Please
stop shouting. It is not going to help."
Listen to his heart - Put yourself in his
shoes and understand that he is angry with the situation, but
not with you. Empathise with him. Ask yourself, "If the same
situation were to happen to me, what will I do?" Chances are
you will probably react in a similar manner.
Explore various options with the customer
to resolve the issue. Usually, customers are not interested
in knowing the reason for the service breakdown. They only
want to know what is going to be done to "fix it".
Work hand-in-hand with the customer until
he is satisfied with one of the options and says "yes". Be
prepared to offer a few options.
Apologise to the customer for the inconvenience
caused. The apology should sound sincere and this can be achieved
by saying it in 1st person. For example, say, "I am so sorry
about what happened." instead "This is a an apology for what
happened." Furthermore, it must be said on a timely basis.
It should be made as soon as the customer highlights the service
breakdown to you.
Create a lasting impression through a swift
recovery. One trap that some service providers fall into is
"pass the bucket". When things go wrong, they may push the
blame to other departments or even to their CUSTOMERS! Instead
of "passing the bucket", you should take personal responsibility
and resolve the issue immediately.
Go the extra mile for the customer to compensate
for the inconvenience that he might have experienced. In the
case where a car manufacturer had to recall all the cars due
to a manufacturer's defect, the company went the extra mile to
collect the cars personally from the buyers, lend them a brand
new car, replace the defective parts and gave the cars a brand
new paint and polish job. The cars were returned to the rightful
owners in such a wonderful condition that many could not even
recognise their own cars.
Demonstrate to the customer that he is important
by showing care and concern.
Copyright © Beacon Consulting Pte Ltd
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Building a Customer-focused Organisation
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In
an attempt to woo prospective customers, many organisations
resort to fancy big-ticket marketing campaigns that seem to
offer value one simply can't refuse. It is not uncommon for
prospects to receive the royal "red-carpet", usually complimented
with an elaborate sales pitch of benefits the customer will
receive on signing the dotted-line.
Once
the paperwork is administered, that's when all "good things
come to an end", as the saying goes. The prospective customer,
is now known as customer 1234567Z, becoming a mere statistic
in the organisation's vast customer database. Customer 1234567Z
threads along his busy daily routine until one fine day when
he experiences some dissatisfaction with the product or service
that he has paid for. Immediately he rings the organisation
for help and clarification only to receive the standard "I'm
sorry sir, our company policy does not allow …" or "your payment
does not include …" response.
Imagine
how one feels as he walks aimlessly in a pitch dark room and
keeps knocking his head against the wall. Due to poor visibility,
he does not know if he will ever find his way out of the room.
Anxiety, frustration and disappointment are just some of the
emotions a customer goes through when they are uninformed
of an organisation's policy, procedures, rules and regulations.
Worse still, if these emotions have resulted from systems
or people that are not customer oriented.
Weaving
service successfully into daily operations does not occur
overnight. For an organisation to reach the "million dollar
round table" in service, it needs to establish a customer-focussed
culture that permeates the entire organisation where every
employee lives and breathes service in everything they do.
A useful acronym that paves the way for an organisation that
endeavors in building a service culture is MINDSET.
- Identify
the value proposition that you wish to offer to your customers,
then, weave it as part of the organisation's service strategy.
For example, the value proposition that amazon.com puts
forward to her customers is the hassle-free ordering process
(you order the book and we'll do the rest). The key is to
be unique and exclusive enough to make the customer notice.
- Everyone
knows that providing good service to the customer is important.
But, how many of your staff truly believe that they have
to do what it takes to provide excellent, unbelievable,
legendary, fabled service to each valuable customer that
walks through door?
Internalizing the service message means that each and every
key staff embraces service as a way of life. One strategy
would be to align key employee processes to service quality.
For example, the moment an employee joins the organisation,
a customer-focused mindset should be instilled by emphasising
service concepts during the induction, orientation, on-the-job
coaching as well as through built-in rewards and recognition
systems.
- Take
a look at your processes from the customers' perspective
ie walk the path of your customer. Identify any "irritating"
processes that disgruntled customers constantly complain
about. Make it a point, to understand why they are unhappy
and modify these processes to meet and exceed their expectations.
The new Mobil Fuel Card is an excellent example. Traditionally,
vehicle owners are required to park their vehicle and wait
patiently while the attendant attempts hurriedly to pump
fuel. The owner then has to proceed to the cashier to make
payment. Mobil's card minimises hassle. By simply installing
a device to the rear of the vehicle, the driver parks the
vehicle, fills up petrol and drives off. He is billed at
a later stage for the fill-up: No queues, no hassle, no
unnecessary waits at the counter, not to mention improved
efficiency at the petrol kiosk.
- Although
it isn't guaranteed that a delighted customer will continue
to patronise the organisation indefinitely, the likelihood
that a delighted customer continues to support the organisation
is indeed high. Seize every opportunity as a golden opportunity
to display how much you care for your customer, and they
will reciprocate by more ways than the organisation will
ever know.
- Organisations
that continue to remain in the forefront of service excellence
look at change as an opportunity to "wow" customers. Identify
redundancies and challenge the current way of performing
present tasks. Winners in the service quality arena constantly
strive to overcome new frontiers by constantly reviewing
and revamping their service delivery function.
- Ensure
that your staff are empowered to make decisions. There is
nothing more frustrating to a customer than when he is told
that he cannot be assisted him because the boss is unavailable
and the employee does not have the authority to make such
decisions. Rising customer expectations coupled with the
need to get things done by "yesterday" makes it important
for management to consider greater empowerment for their
staff.
Customer
service training should begin with the top rung of the organisation,
then cascaded down to the rest of the employees. Senior management
must not only develop an appreciation for service at strategic
and operational levels, but also fully support all efforts
made in developing a service culture. There is no greater
encouragement for an employee then to see the big bosses practicing
what they preach.
Just as Rome wasn't built in a day, developing a service culture
requires commitment, patience and a most importantly a service
MINDSET.
Copyright © Beacon Consulting Pte Ltd
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Train IMPACTfully!
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When
was the last time you walked out from a training session feeling
enthused, motivated, enlightened and simply delighted by the
trainer's delivery and methodology? Well, if you can't recall,
you are not alone. Most trainers typically fall into the trap
of simply downloading the required information without much
regard to the extent to which participants are absorbing this
information. What's more, participants leave the session with
newly acquired knowledge that miraculously disappears as soon
as they walk through the main door.
The
role of a trainer goes beyond content sharing. Today, trainers
are expected to be facilitators, agents of learning, performance
consultants and entertainers, in order to make the training
session IMPACTful and to maximise retention rate. A useful
acronym for trainers who wish to make their next training
session memorable, is IMPACT.
- An
impactful programme starts with the trainer's mindset towards
a programme. If the trainer walks into the training session
thinking that it will be just another programme, guess what,
it WILL be just another programme. Before the training session,
ask yourself what you hope to achieve from the training
session, then ask yourself how you are you going to make
it memorable for participants. For all the programmes that
I conduct, before the programme commences, I take time to
mentally visualise the smiling faces of participants as
they walk out from the training session saying, "WOW! That
was a great programme!" Then, I make it a reality.
- Recall
the last training session that you have attended. How frequent
did the trainer use different learning methodologies such
as buzz groups or role-play to make the training session
interesting and learning meaningful? Once, twice, thrice?
Research has proven over and over again, a combination of
different learning methodologies aids retention up to 95%.
I remember attending a two-day training session where the
trainer used only one methodology - lecturing. Not surprisingly,
at the end of the second day, participants couldn't recall
what was shared on the first day, not to mention the trainer's
name!
- As
much as we'd like to think that our training style is well
received by participants, we need to be conscious of our
style because it may not be well received by everyone in
the audience. Although there are several instruments available
in the marketplace to identify one's instructional style,
very often, trainer's need to adapt their style based on
the audience's composition, background, culture, and the
trainer's personal comfort zone. The best way of finding
out if the audience is responding well is by checking your
blindspot. Ask your colleagues for their feedback or videotape
yourself during a training session. Watch the non-verbals
of your participants as you share key information during
the training session. Then, modify your style for best results.
It is easier for one trainer to adapt to 20 participants
than vice-versa.
- Individuals
absorb information through a variety of ways. The kinesthetics
love to "feel", while the visuals prefer to "see" and the
auditory are inclined towards information that they can
"listen" to. While most of us use a combination of the different
senses to absorb this information, trainers typically impact
participants on only one sense - sight. Making things worse
is that most trainers speak at the rate of 100-160 words-per-minute
while participants can absorb information at 400 words-per-minute.
So what happens in-between? Day dreaming, of course! In
order to narrow this gap, trainers need to make a conscious
effort to appeal to the other senses by getting the audience
involved by providing greater visual stimulation.
- The
intent of most training sessions tend to be behaviour modification,
hence, it would seem natural for the trainer to provide
guidance and coaching to individuals who have difficulty
in applying the newly acquired information. However, for
most of the training sessions that I have attended, trainers
typically are too pre-occupied doing "other stuff" such
as making phone calls or working on their laptops during
the training sessions while their poor participants are
grappling with the instructions provided. Training with
an IMPACT requires more than the trainer's physical presence
during training programmes, it requires coaching and guiding
participants throughout the entire session.
- If
you would like participants to rave about the training programmes
you conduct, be it hard-skills or soft-skills, it is key
that you make it memorable for them. Incorporate the "fun"
element into training by using music, experiential methodologies,
story-telling and metaphors in every single programme that
you conduct. Adults are just like babies with big bodies
- the greater their attention, the higher their retention.
Make it Fun!
The next time you are required to deliver a training session,
don't make it just another training session, make it an
IMPACTful one!
Copyright © Beacon Consulting Pte Ltd
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