Tag: customer service

By Peter Lyle DeHaan, PhD

A few years ago I bought a new car. Although it wasn’t my practice to take my car to the dealer for maintenance, a new car changed that habit. After all, there was warranty work to be considered and their coupons for low cost oil changes were enticing.

About the time my auto servicing behavior was firmly altered, the warranty ran out and the discount oil change incentives stopped. Still, I continued returning to the dealer for service. It was smart marketing on the part of the dealer. Too bad their efforts were thwarted.

It was time for my regular oil change and I had a list of other things that needed attention. Since I’m not a mechanic, I try not to tell them what needs to be done, but rather inform them of symptoms. I want to make sure that I don’t ask for, and pay for, a tune-up when the problem may be a loose vacuum hose. It only took one passive-aggressive mechanic to do exactly what I said, while ignoring the real problem, to drive this point home.

When I dropped off my car, I said, “It is time for an oil change. Also, the car pulls to the right and it starts hard and runs rough.” I left anticipating that they would change the oil, do a front-end alignment, and give the car a tune-up. I estimated the cost would be about $100.

Later, I was somewhat taken aback when I was presented with a $175 bill. As I read the paperwork, my mild surprise changed to anger. Here is what it said:

• Change oil: Oil, lube, filter, labor: $24.95
• Car pulls to right: Test drove car; recommend front end alignment: $19.95
• Hard to start: Instruct driver not to press gas pedal while starting vehicle: $56.00
• Runs rough: Perform engine analysis; checks okay; do tune-up in 3,000 miles: $75.00

So, for $175 I had my oil changed and was given some costly advice. My complaints to the service manager accomplished nothing, so I left and never returned. Once again, my local mechanic, who I trust to do good work and to be fair and honest, is servicing my cars.

Like many businesses, car dealers measure the work their employees do. Mechanics are checked to make sure they are productive throughout the day, that they document and bill for all of their time, and that they complete their work within the “standard” allotment. Mechanics who meet expectations are given raises and promotions; mechanics who don’t, even when it’s in the customer’s best interest, are given poor reviews, lower raises, or let go. Some garages pay their mechanics based on billable work. Therefore, the more they bill, the more they make. I think I’ve been to those places, too. At one shop specializing in unusual foreign cars, it seemed every bill was always around $500. They weren’t in business long.

Other people also bill by time. Lawyers and accountants come to mind. I have been advised to never use an attorney trying to make partner. In order to get the attention of the other partners, he or she will need to log over 2,000 billable hours a year and their clients will pay the price.

I once called my CPA’s office to discuss converting my IRA to a Roth IRA. I talked with the junior member to whom I had been assigned, asking if there were any other tax ramifications I should know about. She said there weren’t and suggested she do an analysis for me. “No, that is not necessary.” I replied, “You confirmed what I needed.” “But we just got this new program that I want to try out,” she begged. “Will you let me do an analysis for you?”

Thinking that I was doing her a favor, I consented. The call took less than a minute. A few days later, I received a one page spreadsheet telling me that I should switch to a Roth IRA and a bill for $100. The managing partner agreed the charge was unwarranted, but insisted that I pay it anyway! He promised to “make it up to me later.” I quickly found a different tax advisor.

Many years ago (actually, three decades), a friend landed a summer job repairing TVs. He was paid 20% of whatever he billed. Being enterprising, he analyzed the rate chart and quickly determined how he could add $35 to each bill for only a minute and a half of additional work. He would take the back off of the unit and hit it with a burst of compressed air, charging $8.00 to “clean chassis.”

Next, he would squirt the tuner with cleaning spray, charging $10.50 to “lubricate tuner.” Then he would turn on the set. If the filaments of the vacuum tubes glowed, he would bill $16.50 to “check all vacuum tubes.” With these rudimentarily tasks completed, he would then repair the problem and add to the bill accordingly. He earned a lot of money that summer.

It has been said, “What gets measured, gets done and what gets paid for gets done better.” Consider what you are measuring in your organization and what you are paying for. The intent, no doubt, is to improve your operation, be it to pursue greater efficiency, increase production, decrease costs, or maximize revenue. But carefully consider the consequences. In an effort to please you, maximize their rating, or earn a raise, are your employees directly or indirectly encouraged to do things that ultimately drives away customers, lowers quality, or hurts your business?

If you monitor productivity, does your staff, either intentionally or subconsciously, alter their work habits to appear more productive? Does staff assume they need to work faster, thereby setting aside quality? If your customer service staff, programmers, or project managers track project time, is unnecessary work preformed? Are time logs padded? Do they think they need 2,000 hours of “billable” time a year to get a raise?

Do your commissioned sales reps sell what isn’t needed or wanted so that they can meet their quota or earn a bonus? Do you have a “no credits” policy, either stated or implied, that leaves staff with no viable solution for frustrated customers?

Lastly, consider billing. One only needs to look at phone company bills for examples of how to do it wrong. First of all, does anyone really understand their telephone company’s bill? Can the phone company reps comprehensibly explain it? Often they can’t. Consider the countless surcharges, fees, and taxes tacked onto each bill. These ancillary charges are blamed on the FCC, credited to an esoteric law, or attributed to local or state government. On my long distance bill I pay more for other charges than for usage.

What message do your invoices send? Are they easy to understand and read? Can your staff correctly and concisely explain every line item and charge? Are you billing surcharges and blaming it on outside forces?

Yes, there are sound business reasons for each task that you track and measure; these practices can leave your business stronger and more fiscally sound, but there’s also a risk. Don’t be “penny wise and pound foolish” when it comes to measuring your business; being astute and pragmatic – from the customer’s perspective – will ultimately produce the result you want.

Read more in Peter Lyle DeHaan’s Sticky Series books, including Sticky Customer Service, Sticky Sales and Marketing, and Sticky Leadership and Management featuring his compelling story-driven insights and tips.

Peter Lyle DeHaan is an entrepreneur and businessman who has managed, owned, and started multiple businesses over his career. Common themes at every turn have included customer service, sales and marketing, and leadership and management.

He shares his lifetime of business experience and personal insights through his books to encourage, inspire, and occasionally entertain.

Achieve Better Outcomes by Making the Prospect a Priority

By Peter Lyle DeHaan, PhD

I put off buying things. It’s not because I procrastinate (at least not too much), don’t like making decisions, or don’t want to spend money.

Sadly, the reason I often avoid buying what I want or need is simply because it’s too much of a hassle. More to the point, going without some items is less inconvenient than investing the time and enduring the frustration to try to buy them.

Too many of my negative experiences relate to cell phones. It’s a sad commentary on the industry. Fortunately, I’ve seen some positive correction in recent years. Nevertheless, the following experience from a couple decades ago still supplies us relevant insight.

For quite some time—okay, more than a year—I considered getting three more cell phones. I expected to sign up for a family plan, adding phones for my wife and our two kids.

At a few bucks more each month per additional phone, it was a no-brainer. I could then find my wife when she was out, keep in touch with our daughter in college, and give a nice perk to our teenage son.

However, I put off moving forward because I so dreaded the process.

A Rigid Requirement

The time to act finally came. I gathered my courage to move forward. I called my existing carrier. They confirmed I’d met my contract requirements and could make changes.

“What I want,” I explained, “is to get on your family plan and add a couple of phones.” I was even willing to buy the other phones.

“No problem,” the rep assured. “Each additional phone is only ten dollars a month and some phones are free if you sign a one-year contract. . .and,” she added, “we can replace your current phone too.”

This sounded too good to be true, but before I could tell her to go ahead, she interrupted my short-lived euphoria.

“Oh, there’s a problem. . .” The problem was that they required me to be on a plan with more minutes—many more.

I tried every angle I could think of. More phones, fewer phones, buying the phones, longer contract, and not replacing my current phone.

She was intractable. “No, you still need to move to a bigger plan.”

Doing so, and adding just one more phone, would more than double my rate. I’m not opposed to spending money, but I hate wasting it. Her solution didn’t seem very family oriented. I told her so.

Then I tried an emotional gambit. “I guess I’ll just need to cancel my service and go with another carrier.”

“If you need to, go ahead, but you won’t find a better deal.” Her arrogance appalled me. “We’ve all got basically the same rates.”

“Okay, let’s leave everything as is for now,” I said, not wanting to burn my bridges.

A Cavalier Attitude

Now it was time for plan B.

If only I could talk to someone face-to-face, to do business with a local person who would take a personal interest in helping me. I headed to the local store of a national carrier that does lots of TV advertising.

Several aspects of their pitch appealed to me. I was confident they had a plan for me, and I intended to complete my mission in one stop.

I walked in the door and, as my eyes adjusted to the lighting, a stereotypical salesperson charged toward me—must be they were on commission. Brashly, he ushered me into his office and grilled me on what I wanted.

With each request, he would nod and affirm he could do that. He was typing things into a computer and then he gave me a total. His solution was twice the amount of the family plan quoted by my current carrier. The rates weren’t all the same after all.

I couldn’t suppress my laugh. This irritated him.

“Okay,” I said. “Now, let’s get realistic.”

“Nope, that’s the best I can do,” he answered.

Thinking we were still pursuing a mutually desired goal, I began to reply, when he stood up and gestured toward the door.

“Sorry I can’t help you.” He said the right words, but his tone conveyed the opposite. Maybe he wasn’t on commission after all.

Not ready to give up, I asked if he had any literature about what we had discussed. “We don’t have any.” He sneered. “It’s all online. Just go to our website and order your phones there.”

In five short minutes, I went from ready-to-buy to unable to leave fast enough.

Online, I later discovered his company had a much more attractive package, closely matching what I wanted. I’d have bought it had he only offered it.

A Calculated Lie

On to plan C. Originally, I intended the phones as a surprise, but I needed help. I enlisted the aid of our daughter, who was home for the summer. Having just completed her summer-school job, she had extra time on her hands.

We listed the features we wanted. Then she got busy doing research online. The next day she presented me with a spreadsheet of comparisons. She explained what she learned, we talked about options, and she made a recommendation.

It required a two-year contract, so I wanted to make sure it was right. We discussed each plan’s weaknesses, the fine-print exceptions, and ways they might charge us for services we thought were free.

I agreed with her recommendation and we made a list of questions, the chief one being whether the plan’s coverage area included the city she’d move to next year.

I called the carrier and verified our understanding of the details. He confirmed everything, and a sale was imminent.

Last, I asked if they covered the city in question. “Yes, we do.” The rep said this a bit too quickly and with a false confidence. I doubted his answer and prodded some more. He kept to his answer, but I doubted his honesty.

I ended the call without placing an order. It was good that I didn’t, as we later found a coverage map—albeit a bad one—online. The map showed the city in question annexed from the coverage area.

He lied to me—imagine that. I assume he knew the truth but reasoned that before I figured it out, he’d have made a sale and earned his commission, with no recourse on my end.

A Successful Outcome

My daughter and I discussed our remaining options and revisited the website of our fourth choice. Thinking I would once more attempt working with a local rep, I called their closest office. After several rings, a recording informed me that no one was available and disconnected me.

Next, I dialed their toll-free number. This rep was actually helpful. Why are accommodating employees such an anomaly?

She was the first truly pleasant and knowledgeable person I had talked to during this whole quest. She patiently answered my questions with professionalism. She confirmed the plan’s coverage and told me about their 14-day, no-obligation trial.

I placed my order. The phones arrived the next day.

Sales Summary: Put the Customer First

With my existing carrier, I was willing to buy a second phone, pay an additional $10 a month, sign a long-term contract, and run the risk of overage charges. They were only willing to upsell me and lost a customer.

At the second carrier, their rep got greedy—or was undertrained. He ushered a ready-to-buy prospect out the door.

For the third carrier, a cavalier lie on a critical issue dropped them from further consideration.

After a bad start at the fourth carrier, a well-trained, professional, customer-focused phone rep made a nice recovery and closed a sale.

Sales Success Tip

Seek to help your prospect achieve their goal, and you’re more likely to achieve yours.

Put the customer first.

Read more in Peter Lyle DeHaan’s Sticky Series books, including Sticky Customer Service, Sticky Sales and Marketing, and Sticky Leadership and Management featuring his compelling story-driven insights and tips.

Peter Lyle DeHaan is an entrepreneur and businessman who has managed, owned, and started multiple businesses over his career. Common themes at every turn have included customer service, sales and marketing, and leadership and management.

He shares his lifetime of business experience and personal insights through his books to encourage, inspire, and occasionally entertain.

By Peter Lyle DeHaan, PhD

I’ve been thinking a lot lately about customer service via the telephone, even more so than usual. There are some things that I am excited about, while others are a concern.

On the negative side, consider a large telecommunications company that provides cell phone, Internet, and long distance. Another is a large national banking institution. You know them both. They are notorious for their consistently abysmal record of poor customer service.

If I were to name names, there’s a good chance that either you or someone you know has had a bad experience with them. Actually, saying “bad” would be kind. Uncaring, unconscionable, and unethical come to mind.

With these companies, it seems that once a problem occurs, there is a strong likelihood that it will never be resolved. This is not an overstatement. People have only so much patience, and then they give up.

Excessive runaround, hours spent on hold, and limited energy to pursue a satisfactory resolution eventually overwhelm frustrated customers. Either they decide to accept the problem or they switch providers.

Although some of these companies’ frontline staff truly do care and try their best, others do not. Regardless, there seems to be cumbersome bureaucracy thwarting every move and complex support systems that make no allowances for nonroutine problems.

There is a real opportunity awaiting these two companies—and others like them—if they can just provide effective telephone support. With best-in-class phone support, I envision their cancelation rates dramatically decreasing, customer satisfaction levels skyrocketing, and a whole lot less negative press.

Maybe these companies are simply too big or offer too many services to be effective. Perhaps their help desks are mismanaged or bogged down by bureaucracy. But I suspect the underlying reason is that upper management treats support as an expense item that needs to be minimized.

The reality is that providing good customer service is good business—but one that requires an investment to fully realize.

I recently experienced the trials and triumphs of phone support after my house took a minor lightning hit, affecting our phone, Internet, and TV service. I called my satellite provider and spoke with a woman named Beth in the Oklahoma call center.

The first time I encountered a call center agent telling me her location, I thought it was a bit hokey and an overreaction to the backlash against offshore call centers. But it actually helped me establish a personal connection with her. In the same way, I was positively predisposed towards Beth from Oklahoma.

While waiting for various diagnostics to run, we had time to chat about call center stuff, which I greatly enjoyed. A service call was soon scheduled for the next day, when the problem was quickly fixed and service restored.

However, 2 weeks out and I’m still waiting for my phone and Internet service to be repaired. Multiple phones calls, missed commitments, wrong instructions, and conflicting information: that’s no way to run a business.

Read more in Peter Lyle DeHaan’s Sticky Series books, including Sticky Customer Service, Sticky Sales and Marketing, and Sticky Leadership and Management featuring his compelling story-driven insights and tips.

Peter Lyle DeHaan is an entrepreneur and businessman who has managed, owned, and started multiple businesses over his career. Common themes at every turn have included customer service, sales and marketing, and leadership and management.

He shares his lifetime of business experience and personal insights through his books to encourage, inspire, and occasionally entertain.

By Peter Lyle DeHaan, PhD

Promoted as “a customer service fable,” The Napkin, the Melon & the Monkey is ambitiously subtitled: How to Be Happy and Successful at Work and in Life by Simply Changing Your Mind. Let me confirm that I believe it lives up to its grandiose intention.

The inside back cover notes that author “Barbara Burke is an internationally known consultant, speaker, and author who specializes in the ‘people side’ of customer service management.” The Napkin, the Melon & the Monkey is all about customer service, in this case, specifically customer service in a call center. However, its lessons can be readily applied to all customer service situations, as well as to life in general.

Reminiscent of the classic The One Minute Manager, this fable follows the vocational pursuits of Olivia, a harried customer service representative—that is, a call center agent—working for the local utility.

Starting her position with much excitement and expectation, it isn’t long before the crush of complaint calls and barbs from angry customers brings her to her breaking point.

It is then when wise Isabel, an insightful veteran of the team, comes to Olivia’s rescue. With one simple piece of advice, Isabel changes Olivia’s job outlook and career trajectory.

This, however, is not the only interaction between mentor and mentee, but the first of many such exchanges. Along the way, Olivia records twenty-two “aha!” moments, which have broad applications for call center work, customer service efforts, and life itself.

In case you’re wondering how a napkin, a melon, and a monkey fit into this, let me assure you that they do, serving as apt metaphors for three key points and reoccurring themes in the book.

But don’t take my word for it – read The Napkin, the Melon & the Monkey yourself… and then share it with your coworkers. It just might make all the difference.

Read more in Peter Lyle DeHaan’s Sticky Series books, including Sticky Customer Service, Sticky Sales and Marketing, and Sticky Leadership and Management featuring his compelling story-driven insights and tips.

Peter Lyle DeHaan is an entrepreneur and businessman who has managed, owned, and started multiple businesses over his career. Common themes at every turn have included customer service, sales and marketing, and leadership and management.

He shares his lifetime of business experience and personal insights through his books to encourage, inspire, and occasionally entertain.

By Peter Lyle DeHaan, PhD

I remember calling Visa with a query about my statement. The knowledgeable rep professionally answered my question. After an effective and otherwise satisfying call, he concluded by saying, “Thank you for calling American Express.”

I was taken aback, but opted to say nothing. Either he was oblivious to what he uttered or mortified that he had stated the wrong company. In either case, his mouth was on autopilot and his mind was disengaged. Seeking to avoid causing him embarrassment, I politely responded, “You’re welcome,” and ended the call.

In contemplating this, I wondered if he recently changed jobs, moving from American Express to Visa. More likely was that he worked for a credit card outsource call center, which handled calls for both Visa and American Express.

(An alternate explanation is that he was merely bored, seeing how people responded to his miscommunication—stranger things have happened.)

Call center work involves a great deal of repetition, which often occurs in quick succession. It is no wonder that agents easily switch on their autopilot and mindlessly cruise through their day.

Even the best of agents can occasionally succumb to this phenomenon, with uncaring reps subsisting in that mode. As such, we can expect a certain percentage of call center communication to subconsciously uttered. Is it any wonder that mistakes occur?

Matters are made worse when a metrics-motivated manager pushes agents to answer quicker, conclude calls faster, and process more transactions per hour. The result can be agents who are mentally on the next call before the current one is finished.

I’ve seen another amusing autopilot occurrence happen at the conclusion of a call. It’s when agents inquire, “Is there anything else I can help you with today?” Often this is an appropriate query, ensuring that all the caller’s reasons for contact have been fully addressed. Sometimes, however, it is nonsensical or even infuriating.

One such unwarranted situation is when terminating a service. I call to cancel my account. I tell the agent that I am not happy with their product, that it didn’t meet my expectations, and that nothing can be done to mitigate the situation.

I am trying to be polite, but I know that I am terse. After an apology and some subsequent typing, the agent announces that my account has been cancelled—then cheerfully asks, “Is there anything else I can help you with today?”

What else might there be? I don’t think I’ll open an account—I just closed one. I certainly won’t place an order; I’m not happy with the service and I am no longer a customer. There are no pending issues. So what might else might they help me with? Nothing—so why ask?

Another scenario occurs when calling with a question. After vainly trying to help, the rep apologizes for their failure, and then asks, “Is there anything else I can help you with today?” I want to scream, “You couldn’t help me with my first question, so how could there be anything else?”

The only thing that is accomplished by asking that question in the wrong situation is to waste my time and theirs. At this point some call center managers may be countering, “Our agents aren’t on autopilot; it’s our policy to say that on every call.”

To which I ask, “Why?”

Customer Service Success Tip: Employee autopilot can occur in any repetitive job, ranging from customer service to manufacturing to clerical. Seek ways to move staff from autopilot to intentional work. They’re apt to like their jobs more. And the positive outcomes of their work will soar.

Read more in Peter Lyle DeHaan’s Sticky Series books, including Sticky Customer Service, Sticky Sales and Marketing, and Sticky Leadership and Management featuring his compelling story-driven insights and tips.

Peter Lyle DeHaan is an entrepreneur and businessman who has managed, owned, and started multiple businesses over his career. Common themes at every turn have included customer service, sales and marketing, and leadership and management.

He shares his lifetime of business experience and personal insights through his books to encourage, inspire, and occasionally entertain.