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Carol on We're not getting it
Hurrah Someone at last talking sense. Watch cash flow - cash is king, be prepared for profit margins in the short term to be lower than the past, focus on delivering more functionality at a better p
Amber on We're not getting it
I'm with you guys on this one, the work is out there, you just have to go looking for it, not like in the past when work came to your door - the competition is strong, assuming your business practice
Chris on We're not getting it
Totally agree Mike
Ben on We're not getting it
I like Tom Peters ideas - well done on going to his seminar, pity about the disappointment. I want to tell you about a radical recession driven change I have made. GIVE AWAY WORK. Simple - I have a we
bede on Weathering the Storm - Jul 08
Don't agree with point number 6!
Eddie on Tale of Two Cities - Sept 08
I think that is one thing they understand in Dunedin, have similar experience, added value for being a student town.When you deal with the owners, you will get your service naturally as most people in
Alan on The Thing About Vision - Aug 08
Good sound advise. The road to wealth is not an easy one. Realistic planing and vision plus committment and financial planning are needed Just to "go" for it is the start to failure
Anthea on Put Yourself First - Sept 08
I have been there, hope I am not there again. It took a close staff member to die last month with no warning (41 years of age) it has made me re identify what is important and realise it is only ours
Doug on Put Yourself First - Sept 08
This sounds like a downward spiral indeed. Sometimes it helps to have a system to help get out of the spiral, eg Wednesdays are for me. I won't be in the office. And make it happen. When our kids
Danny on Put Yourself First - Sept 08
Some good points here and things that I have been guilty of in the past and oh sometimes the present too. Danny Sunkel www.dannysunkel.com

Tale of Two Cities - Sept 08

I hate it when people like me go on about poor service they've received and then get all sanctimonious about customer service.  I remember one speaker complaining at a management programme I was on.  He complained endlessly in his session about his travel experience in getting there and how the airline "really didn't get" customer service in the 21st century and how they would fail to survive etc.  We just thought he was a whinger and would have preferred that the airline had lost him rather than his luggage. 

However, I have had a couple contrasting experiences lately that got me thinking.  I went to Dunedin to see my daughter in her student habitat.  I stayed in a motel called 858 George St, which is located at...  The owners were great, nothing was too much trouble, the rooms were warm, modern and well-appointed. They were so nice that my daughter decided to have a break from her damp cold flat.  I asked for a rollaway, and instead they brought a full bed upstairs for her (at no extra charge).  They provided wireless Internet access - at no extra charge.  It was a great experience, and I wrote a glowing review on TripAdvisor.com, which is where I found them in the first place.  There's no catch to this story, I really was impressed, and it cost just $120 a night. Fantastic value.

The following weekend my wife and I had a getaway at a beautifully restored hotel with a great view of the Auckland harbour.  The rooms were small (as they were back in the day), but very nicely done. And that's where it stopped.  Actually it was like being in an old ocean liner - tiny room, impossibly hot and the constant sound of a massive engine.  What we really noticed (because we were tuned into it by then) was the corners they cut: no extra pillows, no extra towels, one soap, etc.  We called reception about something, and there was no answer, not even voice mail. This was a basic room, and it cost $260 for the night. Not fantastic value.

OK, that's it for the whinge, and we had a great time anyway.

Unlike the speaker I mentioned at the start, I don't think the business will fail because it treated us badly.  In fact, it probably won't fail at all because it has a great location, a magnificent facade and a stunning lobby.  But it won't do as well as it could because it will get few return customers and poor reviews.

All that is obvious.  The thing that struck me, as it has in the past, is how often businesses fail to exploit a really great advantage.  We have a standing rule about restaurants: the better the view, the worse the food. It's as if they think they've done all the hard work by scoring the location, and after that it's money for jam (and cheap jam at that).

Two points: first, understand which part of the experience matters most to your customer.  Dunedin location: average.  Customer experience: great.  Result: 5/5 rating on TripAdvisor. Seaside hotel location: great.  Customer experience: disappointing.  Result: no rating on TripAdvisor. 

Second point: having worked out what's important to the customer, pay very close attention to all aspects of the value.  What Sally and Michael in Dunedin understand is that the experience is what brings people back, and they work really hard at that. 

Question: which part of their experience with you does your customer value the most? And how can you improve it?

Mike Ashby

30 September 2008

Comments (1)

Comment by: Eddie Grooten at 1:11PM 30/9/2008
I think that is one thing they understand in Dunedin, have similar experience, added value for being a student town.When you deal with the owners, you will get your service naturally as most people in NZ are hospitable.To the contrary the hospitalty industry lacks of training at all levels, being a transit country for travelers who will have a job for a few months does not really help a lot of businesses. we all know how long it takes for staff to understand what our standard is.

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