Whose Problem Is It, Anyway?
The best marketers, dealers and service providers take responsibility for their customers’ difficulties, and resolve those issues as quickly as possible.
March 2007 By
I’ll start this column on a personal note.
I hate Volkswagen.
I should also say that my wife hates VW.
With that out of the way, I ask this question:
Are you a Volkswagen or a Toyota?
Toyota has a “good” problem and a “bad” problem—and they’re the same problem: Toyota’s way of doing business.
The “good” part of its problem is that it’s turning Toyota into the largest automotive company in the world. The Toyota Way of doing business clearly revolves around quality products and quality customer service.
The “bad” part of Toyota’s problem is that, as it grows, it must figure out how to make sure it perpetuates its “good” problem. By entering so many new markets, Toyota needs to train all of its new hires on how to do all the great things it currently does as a company for its growth strategy to continue to work.
When good and bad collide
How does Toyota, a multi-billion dollar company, relate to your business?
First, do you have a “good” problem? Do you have a way of doing business that assures customer satisfaction with the quality and performance of the products you sell and the services you provide?
Toyota’s “quality” image exists because the company knows it’s at the core of its success. Customers crave reliability, and most want it before they want the newest technology. For example, Toyota might not have been the first company to make ABS brakes standard on its cars, but its inclusion speaks to the importance of quality over the latest technology advantage. When Toyota does introduce new technology, it works exceedingly well; the Hybrid Toyota Prius is a great example of the company’s technology leadership.
As custom installers and integrators, are you trying to introduce the latest technology features in your installations without making sure that they actually work? Are you beta-testing on your customers? I recently had a conversation with a dealer who’s trying to find a Windows-based media server to sell to his customers. He asked my advice, so I simply told him it’s too early for such a product for almost all of his customers. The technology is not yet viable for mass consumption.
It’s your problem, not the customer’s
Well, what about VW? They clearly have a problem and it’s strictly a bad problem. It not only has reliability problems, but it’s not handling those problems well.
As I said earlier, I hate VW. Why? It’s not only that I had problems with my VW Passat; it was how they handled those problems. VW’s lack of communication and unwillingness to have a conversation was beyond my comprehension. I could go on and on, but this column can only be a page long. (If you’d like copies or more details on how not to treat customers, you’re welcome to read my VW file. Just e-mail me and I’ll send it to you.)
So how do you handle customer problems? Do you take the position of a Toyota by saying to your customers, “How can I help you and take care of the problem?” Or are you a VW that says, “It’s your problem, not my problem, and that is our final decision.”
If you want your business to grow and if you prefer holding on to customers and having them refer new ones to you, customer service needs to be king.
Here are some ways you can make this happen:
• Empower your people to make decisions that serve your customers. A few years ago I asked a senior manager of a $100 million retailer how he handles customer problems. He quickly replied, “I don’t have any customer problems.” I looked at him in disbelief. He quietly continued, “If I get a call from a customer with a problem, I immediately fine the salesperson $100. I don’t have problems.” Clearly, this retailer had instructed and empowered his staff to solve customer issues quickly, to the customer’s satisfaction. He didn’t want to hear otherwise.
The customer will not accept being punished by your inability to deal with his or her problem. The customer’s problem is your problem. Handle it and make it go away.
• Let the customer ventilate. Everyone has a bad day once in a while. Sometimes the customer just needs to voice his or her frustration with a problem. Once the customer knows you’re listening, however, he or she will invariably become a pussycat—or at least a tiger that’s been declawed.
• Be responsive. If you make a customer wait for an answer or don’t respond to his or her inquiries, the problem rarely goes away. Deal with the problem immediately. In my experience, most customers are very reasonable and will work with a dealer to find a good solution if they know their problem is at the top of your list.
Treat your customers as if they’re rare jewels. Respect their intelligence and handle their problems immediately and with grace. If you do, you’ll be a Toyota in my book. And theirs. CR
I hate Volkswagen.
I should also say that my wife hates VW.
With that out of the way, I ask this question:
Are you a Volkswagen or a Toyota?
Toyota has a “good” problem and a “bad” problem—and they’re the same problem: Toyota’s way of doing business.
The “good” part of its problem is that it’s turning Toyota into the largest automotive company in the world. The Toyota Way of doing business clearly revolves around quality products and quality customer service.
The “bad” part of Toyota’s problem is that, as it grows, it must figure out how to make sure it perpetuates its “good” problem. By entering so many new markets, Toyota needs to train all of its new hires on how to do all the great things it currently does as a company for its growth strategy to continue to work.
When good and bad collide
How does Toyota, a multi-billion dollar company, relate to your business?
First, do you have a “good” problem? Do you have a way of doing business that assures customer satisfaction with the quality and performance of the products you sell and the services you provide?
Toyota’s “quality” image exists because the company knows it’s at the core of its success. Customers crave reliability, and most want it before they want the newest technology. For example, Toyota might not have been the first company to make ABS brakes standard on its cars, but its inclusion speaks to the importance of quality over the latest technology advantage. When Toyota does introduce new technology, it works exceedingly well; the Hybrid Toyota Prius is a great example of the company’s technology leadership.
As custom installers and integrators, are you trying to introduce the latest technology features in your installations without making sure that they actually work? Are you beta-testing on your customers? I recently had a conversation with a dealer who’s trying to find a Windows-based media server to sell to his customers. He asked my advice, so I simply told him it’s too early for such a product for almost all of his customers. The technology is not yet viable for mass consumption.
It’s your problem, not the customer’s
Well, what about VW? They clearly have a problem and it’s strictly a bad problem. It not only has reliability problems, but it’s not handling those problems well.
As I said earlier, I hate VW. Why? It’s not only that I had problems with my VW Passat; it was how they handled those problems. VW’s lack of communication and unwillingness to have a conversation was beyond my comprehension. I could go on and on, but this column can only be a page long. (If you’d like copies or more details on how not to treat customers, you’re welcome to read my VW file. Just e-mail me and I’ll send it to you.)
So how do you handle customer problems? Do you take the position of a Toyota by saying to your customers, “How can I help you and take care of the problem?” Or are you a VW that says, “It’s your problem, not my problem, and that is our final decision.”
If you want your business to grow and if you prefer holding on to customers and having them refer new ones to you, customer service needs to be king.
Here are some ways you can make this happen:
• Empower your people to make decisions that serve your customers. A few years ago I asked a senior manager of a $100 million retailer how he handles customer problems. He quickly replied, “I don’t have any customer problems.” I looked at him in disbelief. He quietly continued, “If I get a call from a customer with a problem, I immediately fine the salesperson $100. I don’t have problems.” Clearly, this retailer had instructed and empowered his staff to solve customer issues quickly, to the customer’s satisfaction. He didn’t want to hear otherwise.
The customer will not accept being punished by your inability to deal with his or her problem. The customer’s problem is your problem. Handle it and make it go away.
• Let the customer ventilate. Everyone has a bad day once in a while. Sometimes the customer just needs to voice his or her frustration with a problem. Once the customer knows you’re listening, however, he or she will invariably become a pussycat—or at least a tiger that’s been declawed.
• Be responsive. If you make a customer wait for an answer or don’t respond to his or her inquiries, the problem rarely goes away. Deal with the problem immediately. In my experience, most customers are very reasonable and will work with a dealer to find a good solution if they know their problem is at the top of your list.
Treat your customers as if they’re rare jewels. Respect their intelligence and handle their problems immediately and with grace. If you do, you’ll be a Toyota in my book. And theirs. CR
