May 30, 2010

The Groupie-Forced Gratuity: a Dumb (Stupid, Ridiculous, Incomprehensible) Rule

This is another Dumb Rule that I can’t resist commenting on.

I was recently in Kaanapali, Maui for the annual holiday with my family and on two occasions took ‘the team’ out to dinner - 4 adults; 2 children in our party. The restaurants were: the Tropica at the Westin Maui and the Cane Taro Restaurant in Wailers Village.

The Tropica added an automatic 20% gratuity to my bill ; the Cane Taro added 18% in the same manner. INSANITY prevails and GOUGING continues! The ultimate “I’m-Going-To-Do-The-Utmost-To-Shoot-Myself-In-The-Foot” rule. It’s not a money issue to me; it’s about the illogic of using Arbitrary Rules and Policies that can seriously damage a business.

Let me see if I get the logic:
> a tough economy,
> ‘hungry’ competitors,
> elusive (or non-existent) customer loyalty,
> narrowing profit margins.

Businesses should be looking for ways to delight their customers, to give them a warm feeling about their establishment so they would tell others and return. But no! These two places respond by holding on to a policy of FORCING customers to pay a TAX disguised under some bizarre notion that it is ‘more trouble’ to serve a party of 6 (than 5? than 4?).

Their logic? To recognize the ‘extra work’ the server has to to deal with 6 (rather than 5?) people. First of all I reject out-of-hand the conclusion that ALL parties of 6 generate more work than, say, a party of 4 (I have seen parties of 4 cause a lot of pain and agony for a server, and parties of 8 be extremely easy to do business with). That said, however, I presume the logic of this policy is to ensure the server gets adequately compensated for the added effort that multiple-person party presents.

I totally get what they are trying to do, but IT’S NOT MY PROBLEM!. If the servers need more money the restaurant should be sorting it out, not imposing the onus to solve the problem on the customer. Sure, a part of 6 creates teamwork challenges between the front and back of the house. So deal with it!

Add a nickel to every item on the menu if you have to but don’t resort to arbitrary (why punish a party of 6 and not 5? Why count a child the same as an adult?) policy that can infuriate people to never return?

Why dis-empower a customer of the ONLY real tool they have to recognize a delightful service experience?

FACT: The service experience with any business is THE most loyalty-building event there is.

FACT:Customers are becoming more empowered every day. They have more choices and are prepared to flex their muscles.

FACT: Customers have the power. Businesses don’t.

FACT: Its the little BIG things that piss people off (thanks, Tom Peters).

FACT: I will NEVER return to either of these GOUGERS. (Do the math: average bill = $300; 6 meals a year for the next 10 years. VALUE of Roy = $18,000. Put at risk for $90 worth of tips. Do you get it?)

FACT: The food was actually good, but was overwhemed by the RIP-OFF and will not be remembered,

FACT: I will tell this story thousands of times in my seminars, speaches and workshops over the next several years.

Whew! I feel better. I truly hope that some restaurants will decide to eliminate this De-Dazzling (Stupid, Dumb, and Ridiculous) Rule. Pass it on…

Cheers, Roy

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Related Blog Articles on Serving Customers
Serving Customers NOT Providing Customer Service
The Four Steps to Dazzle Customers
Kill Dumb Rules

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Posted 5.30.10 at 08:00 am by Roy Osing | Read Comments (0) | Leave a Comment