Roy's Blog: Customer Service
January 25, 2005
LOYALTY. IS. EARNED.

đ Audacious Move⢠of the Week
LOYALTY. IS. EARNED.
Customer loyalty isnât created by points, programs or clever promotions. Itâs earned by how an organization treats the customers it already hasâevery damn day.
Bold Decisions Create Extraordinary Businesses.
I hope it helps you create yours.
Stop trying to buy customer loyalty. EARN it.
Most organizations are obsessed with getting new customers.
More leads. More prospects. More acquisition campaigns.
Meanwhile, the people who already chose them are treated like yesterdayâs news.
Thatâs nuts.
Your existing customers have already done the difficult thing.
They chose you.
Now give them compelling reasons to keep choosing you.
Loyalty isnât something you own.
Itâs something you earn every damn day.
⥠7 Ways to Make Loyalty Happen
Hereâs how I did it.
đŻ #1 â Nail the basics.
Before you try to DAZZLE people, make damn sure your basic product or service works.
Every time.
Customers donât care about your fancy loyalty program if your core service is unreliable.
Deliver what you promised.
Reliability isnât sexy. But without it, everything else is lipstick.
𤊠#2 â Create Dazzling Momentsâ˘.
Good service isnât enough.
Create experiences people donât expect.
Something that makes them think:
âWOW! I didnât expect THAT.â
Thatâs a Dazzling Momentâ˘.
It doesnât have to be expensive.
It has to be personal, relevant and unexpected.
Thatâs what people rememberâand talk about.
đ #3 â Turn OOPS! into loyalty.
Things will go wrong.
Guaranteed.
What matters is what you do after you screw up.
Thatâs OOPS! Service Recovery.
Own it.
Apologize.
Fix it FAST.
Then do something unexpected to recover the customerâs trust.
Donât defend the mistake.
Recover the relationship.
â¤ď¸ #4 â Hire Human Being Lovers.
Stop hiring people simply because they have the right rĂŠsumĂŠ.
Hire people who love serving other human beings.
You can teach systems, processes and product knowledge.
Itâs a hell of a lot harder to teach someone to care.
People who got a charge out of helping someone.
Customers can FEEL the difference.
đ #5 â Build a Say YES!⢠culture.
Most organizations have accumulated rules designed to protect themselves.
And customers pay the price.
Build an Organizational Instinct⢠to solve customer problems rather than defend organizational policies.
Give your people permission to Say YES!â˘.
Start Killing Dumb Rules⢠that prevent them from doing it.
Customers shouldnât have to fight your organization to do business with you.
đ #6 â Lead by Serving Aroundâ˘.
Get out of the office.
Talk to the people actually serving customers.
Ask them:
Then remove the barriers preventing them from executing your Strategic Game Planâ˘.
Serve the people who serve the customer.
Thatâs leadership.
đ #7 â Reward loyalty BEFORE acquisition.
This one drives me crazy.
A company advertises a spectacular deal.
An existing customer wants it.
âSorry. New customers only.â
Really?
Youâll give a stranger a better deal than someone who has been paying you for years?
Backwards.
Give your loyal customers first shot at your best deals.
Make them feel special.
Because they ARE.
đĽ The takeaway.
Customer loyalty isnât a marketing program.
Itâs the consequence of how you behave.
Do the basics brilliantly. Surprise people. Recover when you screw up. Hire people who care. Say YES!â˘. Serve your people. Reward loyalty.
Give customers reasons to WANT to stay.
Stop chasing loyalty.
Start behaving in ways that deserve it.
đ Want more Audacious Movesâ˘?
đď¸ Listen to Audacious Moves to a BILLION⢠for practical, contrarian ideas for building an extraordinary business.
âđť Explore more articles, ideas and proven tools at BE DiFFERENT or be dead.
Extraordinary businesses arenât built by ordinary decisions.
Theyâre built one Audacious Move⢠at a time.
Now go make yours.
Cheers,
Roy

- Posted 1.25.05 at 06:00 am by Roy Osing
- Permalink
January 22, 2005
Execution Gets 80%. Strategy Gets the Other 20%.

đ Audacious Move⢠of the Week
Stop Overthinking Strategy. Get Obsessed With Execution.
Bold Decisions Create Extraordinary Businesses.
I hope it helps you create yours.
Most organizations have growth backwards.
They spend enormous amounts of time trying to perfect their strategyâand then treat execution as something that happens after the planning meeting.
I learned to do the opposite.
Loosen up on strategy. Tighten up on execution.
On my journey from startup to more than A BILLION in annual sales, I learned that strategy without execution is merely an interesting conversation.
đŻ Get Your Strategy Just About Rightâ˘
You canât create a perfect strategy.
Customers change. Competitors move. Unexpected opportunities appear. And occasionally the market delivers a body blow you never saw coming.
So stop trying to predict everything.
Get your strategy Just About Right⢠and put most of your energy into execution.
Think roughly 20% strategy. 80% execution.
I call this Head Westâ˘.
Know where youâre going without pretending you can predict every turn along the way.
My Strategic Game Plan⢠was designed for exactly that purpose. It answers four questions:
HOW BIG? â Declare your 24-month revenue growth objective.
WHO to SERVE? â Choose the Customer Groups with the potential to deliver HOW BIG.
WHAT do they CRAVE? â Discover what those chosen customers repeatedly care about and reward.
HOW will you COMPETE and WIN? â Create The ONLY One⢠that separates you from the Herd of Sameness⢠and addresses what your WHO cares about.
Now you have direction.
Stop planning. Start moving.
đĽ Ride the Executionâ˘
Execution is where strategy meets reality.
Itâs where assumptions get tested and the plan gets smarter.
Execute. Learn. Adjust.
Thatâs Be Imperfect FASTâ˘.
Create Line of Sight⢠so everyone understands how their job contributes to the Strategic Game Planâ˘.
Lead by Serving Around. Get close to the people doing the work, ask âHow can I help?â and remove barriers.
Cleanse The Inside. Kill dumb rules. Simplify processes. Reduce touch points and friction.
You can teach skills. You canât train people to like people.
And create Dazzling Moments⢠that surprise customers and give them reasons to stay.
đ Whatâs Your Next Audacious Moveâ˘?
Stop polishing the plan.
Get your strategy Just About Rightâ˘.
Then move.
Execute. Learn. Adjust.
And keep moving.
Because growth isnât produced by the plan you write.
Itâs produced by what your organization does with it.
đ Want more Audacious Movesâ˘?
đď¸ Listen to Audacious Moves to a BILLION⢠for practical, contrarian ideas for building an extraordinary business.
âđť Explore more articles, ideas and proven tools at BE DiFFERENT or be dead.
Extraordinary businesses arenât built by ordinary decisions.
Theyâre built one Audacious Move⢠at a time.
Now go make yours.
Cheers,
Roy

- Posted 1.22.05 at 06:00 am by Roy Osing
- Permalink
January 18, 2005
Put Common Sense Back In The Room

đ Audacious Move⢠of the Week
PUT COMMON SENSE BACK IN THE ROOM!
Bold Decisions Create Extraordinary Businesses.
I hope it helps you create yours.
Thereâs something missing in too many organizations today.
Common sense.
We have more data. More technology. More policies. More processes. More AI.
And somehow, organizations still make ridiculously stupid decisions.
A customer has a simple problem, but the employee canât solve it because âthe policy doesnât allow it.â
A process has 14 steps when three would do.
A rule created 10 years ago is still followed even though nobody remembers why it exists.
And when someone asks, âWhy the hell are we doing this?â
The answer is usually:
âThatâs the way we do it.â
đ¨ People stop thinking and start complying
Rules. Policies. Procedures. Approval levels. Technology.
Some are necessary.
But eventually the machinery takes over.
Instead of asking:
âWhat makes sense here?â
People ask:
âWhat does the process say Iâm allowed to do?â
Thatâs when common sense disappears.
And customers pay the price.
đĽ Build common sense into your Organizational Instinctâ˘
The real test comes when a customer has a problem.
What does your organization instinctively do?
Does the employee reach for the policy manual?
Explain why something canât be done?
Pass the customer to someone else?
Or do they immediately think:
âHow can I solve this for them?â
Thatâs Organizational Instinct⢠â the natural, habitual response an organization has when faced with a customer problem.
Extraordinary organizations instinctively solve problems rather than defend organizational policies.
Thatâs common sense turned into organizational behaviour.
You shouldnât need a management meeting every time something unusual happens.
Your people should know what comes first:
Solve the customerâs problem.
Give them permission to think. Permission to challenge.
Permission to Say YES!⢠when common sense says YES!
đŻ Apply The Common Sense Testâ˘
Take every rule, policy, process and customer touch point and ask:
âDoes this make sense for the customer?â
If the answer is NO, donât defend it.
Fix it.
If a process creates unnecessary friction, simplify it.
If a rule gets in the way of solving a customer problem, kill it.
If employees need permission to do something obviously right, give them the authority to act.
Kill Dumb Rulesâ˘. Cut The CRAPâ˘. Remove whatever prevents people from exercising good judgement for the customer.
đ The Audacious Moveâ˘
Put common sense back in the room.
And make it part of your Organizational Instinctâ˘.
When a customer problem hits, your people shouldnât instinctively ask:
âWhat does the policy say?â
They should ask:
âWhat makes sense for this customer?â
Then give them the freedom to do it.
Because common sense isnât really missing.
Too many organizations have simply trained it out of their people.
đ Want more Audacious Movesâ˘?
đď¸ Listen to Audacious Moves to a BILLION⢠for practical, contrarian ideas for building an extraordinary business and having a remarkable career.
âđť Explore more articles, ideas and proven tools at BE DiFFERENT or be dead.
Extraordinary careers arenât built by ordinary decisions. Theyâre built one Audacious Move⢠at a time.
Now go make yours.
Cheers,
Roy

- Posted 1.18.05 at 06:00 am by Roy Osing
- Permalink
January 17, 2005
Disney Doesnât Talk Service. It Bakes It In.

đ Audacious Move⢠of the Week
Disney Doesnât Talk Service. It Bakes It In.
Bold Decisions Create Extraordinary Businesses.
I hope it helps you create yours.
A couple of weeks ago, we interviewed Vance Morris on the popular Fast & Furious podcast.
Vance spent 10 years as a leader at Walt Disney World, so we were particularly interested in what he learned about The Disney Service Experience.
Disney has an extraordinary ability to create guest loyalty.
But hereâs what struck me during our conversation:
The magic isnât magic at all.
Itâs the result of deliberate leadership and operating practices that are remarkably consistent with many of the principles Iâve developed over decades of building businesses.
Here are four that jumped out at me.
đ Visibility With Purpose
Disney leaders donât lead exclusively from offices.
They are visible where the work is being done.
But I donât believe simply âwalking aroundâ accomplishes much. I call it Visibility With Purpose
The leader is there looking for ways to help people successfully execute the strategy.
The question is simple:
âHow can I help?â
Thatâs precisely what I mean by Serving Aroundâ˘.
Leadership isnât about checking up on people. Itâs about getting close enough to the action to remove barriers, solve problems and help people succeed.
â¤ď¸ Hire Nice People
Vance made another point that sounds ridiculously simple:
Disney hires nice people.
You can teach processes. You can teach procedures. You can teach someone how the business works.
Itâs much harder to teach someone to genuinely care about another human being.
Thatâs why Iâve always believed in Hire for Goosebumpsâ˘.
Hire people who love humans. People who instinctively want to help. People who get emotional satisfaction from creating a great experience for someone else.
Then give them the tools to do it.
đ Your Purpose Is Bigger Than Your Job Description
At Disney, employees learn that their purpose goes far beyond performing the tasks written in their job description.
They are there to live what the organization stands for.
And leadership continually reinforces it until those behaviours become instinctive.
That distinction is important.
I talk about Line of Sightâ˘âpeople understanding the direct connection between what they do every day and what the organization is trying to achieve.
But Disney takes it further.
I call it Organizational Instinctâ˘.
Think of it as Line of Sight on steroids.
The objective is to create a culture where people donât have to stop and consult a policy manual every time something unexpected happens.
They instinctively know how the organization expects them to respond.
At Disney, that instinct is built around creating the guest experience.
In my Code, Organizational Instinct⢠is the natural, habitual response an organization has when faced with a customer situation.
Itâs not simply:
âWhat does my job description tell me to do?â
Itâs:
âWhat does this organization stand forâand what should I do right now to live it?â
Thatâs when values stop being words on a wall.
They become the way the organization behaves.
đ Design the Experience From the Customer In
Disney obsessively thinks about the guest journey.
I describe this through Cycles of Serviceâ˘.
A Cycle of Service maps every touch point between a customer and the organizationâfrom the customerâs point of view, not the organizationâs.
Do it for every process involving customer engagement.
Then examine every touch point.
Where can we simplify it?
Where can we remove friction?
Where can we add value?
Where can we improve the flow of value to the customer?
This is Cleanse The Inside⢠applied directly to the customer experience.
đ The Disney Lesson
Our conversation with Vance reinforced something Iâve believed for years:
Remarkable customer loyalty isnât created by slogans, training programs or telling employees to âprovide great service.â
It happens when leadership, hiring, culture and operating processes all reinforce the experience you intend to deliver.
Disney has been doing it for decades.
Different language perhaps.
Different context.
But remarkably similar disciplines.
The lesson for every business is simple:
Donât leave customer loyalty to chance.
Bake it into the way your organization operates.
đ Want more Audacious Movesâ˘?
đď¸ Listen to Audacious Moves to a BILLION⢠for practical, contrarian ideas for building an extraordinary business and having a remarkable career.
âđť Explore more articles, ideas and proven tools at BE DiFFERENT or be dead.
Extraordinary careers arenât built by ordinary decisions. Theyâre built one Audacious Move⢠at a time.
Now go make yours.
Cheers,
Roy

- Posted 1.17.05 at 06:00 am by Roy Osing
- Permalink