2009 is turning out to be a very tough year in business. The global recession, higher unemployment and thousands of families who are having a worse time than ever before, are contributing to the current pessimism. In Australia, and in my area, three successive severe droughts have added to the dilemma. From a rural point of view, it is heartbreaking to see honest, hard-working families trying to eke out a living with little to no water allotment and three years in a row earning well below average.
In cities and towns, unemployment and job insecurity are two worrying aspects that cover a large percentage of the population. So where from here?
Whatever the issues, businesses need to have a presence, people need to be fed, we need fuel and services and a determination to see us through better times ahead. In the most basic of basic business strategies, you either reduce your operating costs or increase your turnover, preferably, but unlikely, both. It may sound easy, but it is not.
I was fortunate to have experienced first hand, from a young age, that service is a number one requirement in a successful business venture. All three of my lifetime jobs were heavily dependent on providing first class service. This is pure common sense, but believe it or not, most businesses could do a lot better by putting more emphasis on providing good customer service. It’s a free product, and it all comes back to recruiting.
It all starts on the first day, when you hire a new employee. Satisfactory academic qualifications are a must, but before this, a pleasant personality is a prerequisite. When I walk into a hotel for a drink and contemplate, say, having three beers, the reception I get from the bartender will decide whether I have one or three drinks. If it’s one, the employee has cost the company the price of two drinks, while a warm reception generates three times as much revenue for the cost of a smile.
All highly successful companies provide good service and benefit accordingly. It’s not surprising when you see two similar businesses achieving completely different results, not through a better product or price, but through the way the customer is served.
My banking experience involved providing first class service to clients during banking hours and to the general public outside of business hours. In those days, the rewards came from being treated well by your customers and being promoted by the bank to higher-paying jobs. A two-way win for good manners and a pleasant disposition. Today’s events prompted me to write this article. Remember that I am getting older in years, but I do consider myself a very tolerant person.
After breakfast I went shopping, and my first point of call was the self-service gas station. It was busy as usual, and my minute wait seemed like 5 minutes, no one’s fault. I filled up, replaced the hose, and picked up the wiper to clean the bugs out of my window, but found no water in the container. I walked 25 meters to a tap and was honked at by an impatient driver in one of the cars behind me. I’d like to bet you got the service you deserve when paying for your gas. The girl at the till saw my actions through the security window, she apologized for the lack of water, thanked me for filling it up, and wished me a happy day. Yes I will fill up there next time I need fuel, it got full marks which my little annoyance about no water, waiting and honking and more importantly retained a customer. The fact in business is that it is ten times cheaper to keep a customer than it is to find a new one. This particular girl has the potential to win new business for the gas station by being polite, observant, and personable.
I guess my readers will assume that my next shopping stop will have a different story to tell. You have done well. No need to mention names, just enough to say that it was part of a major supermarket chain. The dingy car park, with overflowing bins, does nothing to help the attitude of customers entering the market. It’s busy, people everywhere, some calm, others in a hurry and not showing one of their best faces. Arriving at the till, my expected wait was in vogue, and the young lady who has been taught to greet each customer was obviously in no mood to do just that. Not the slightest trace of a smile, not a word uttered, she processed my items, named the cost, gave me my change and left. My smile was wasted, hers was absent, next time I buy groceries the other major store will have my patronage. The score is now one good, one bad.
The bakery franchise had nice, well-trained young ladies who obviously valued their work and treated customers efficiently and pleasantly. A nice experience, I’ll be back.
Our favorite butcher shop was busy and despite serving two rather rude customers before me, the staff went about their business with a smile that dampened the ardor of the grumps. They wished both customers a happy day, I’m sure they’ll be back. My turn came, they were obviously aware of my mild amusement, had a few words about a good day, and sent me away happy as I usually am when I shop there. Having four other butchers in town can bring out the best, boss recruited well.
The score is now three good, one bad. It’s not a bad place to live! But I haven’t finished my homework yet.
On the way to the post office, I was not surprised to find myself at the end of a long line. As usual, I looked at my watch to see the time. It seemed like a five minute wait, actually it was seven minutes. These people are not taught to smile and wave, they are unopposed and I wonder if they think they are doing you a favor by serving you, that’s the impression I got, and it was in keeping with past experiences there. It’s a shame I can’t take my business elsewhere. You just have to put this on, it’s not likely to get better. I felt that my smile was in vain, luckily they are cheap.
Now to my favorite, one of the three pharmacies. The female staff are well trained, efficient and show genuine interest in all customers. It’s a sight to behold, reminds me of my banking days, inevitable dispensing delays, but you’re at peace with the world while you wait. You’d believe it, unlike the doctors’ waiting room, Readers Digest is only the last few months. The well wishes at checkout certainly made the high prices easier to accept. I have more than half of my purchases and the score is four good and two bad.
I don’t want this to sound like sour grapes, but going to the bank is not something I rate highly in my shopping experiences. I pass to those personnel who guard ATMs, one that has caught me out of hours with a sign that says out of service. Lucky they don’t have ears.
Get in line again, that’s par for the course, the banking service went out the window years ago, is it any wonder why they make such a big profit? I need to see the loan officer, imagine my feelings when I was sternly told that the loan officer would be here. the next day, they ask me to make an appointment. I have a piece of advice for Mr. Banker and his staff, wear uniforms and smile, smiles are free, which you should accept. The problem is that not only is my bank short-staffed, everyone is. But there is an alternative around the corner, they are also open on weekends. When I pay off my loans, I think I can do business there, I won’t need a loan, just a smile to keep me happy, and I’ll gladly give one of my own. Customer service is a two way thing. I will have to mark the banks one bad and one good.
Lunch time at last. The funny thing about coffee shops is that everyone wants coffee at the same time. Therefore, he expects you to be busy and is rarely disappointed. It really didn’t take long to be called to order, being busy is no excuse for not being greeted, however the girl was efficient, a little too hands on for my liking but hardly a passing mark. There are half a dozen other stores like this, next time I’ll try somewhere else. To be fair I have to say that the waitress cleaning my table was a smart person who asked if I enjoyed my coffee and cake, I liked that, but then again, she may have been alluding to the many crumbs surrounding the plate. No, I can’t issue a pass here.
Now here’s the daddy of them all. I drive to the bottle shop for a carton of beer. I thought my usual two dozen cans would be $29/30. I asked how much, and the attendant seemed annoyed at being asked. He said $34, to which I respectfully told him it was only $29 a fortnight ago. His comment set me back a bit, take it or leave it. I admitted saving my usual smile for someone to serve more, told her I’d shop elsewhere, and left. I’m a little deaf, but I’m sure I heard him say something I can’t say here. I will never visit that establishment again.
I must hurry, my wife would have been waiting for me at home much sooner.
The next bottle shop trip was quite a different experience. A well dressed young man promptly appeared at my window, he told me that the price of my beer went up this week from $29 to $34 and he apologized for that, but I didn’t set the prices. I smiled, said I completely understood, and he put the box in my back seat. Thanks mate was the shared comment from him, I’ll be back there shortly.
We’re expecting visitors for afternoon tea, so you’d better stop by McDonalds for some donuts. This is a great example of what service is all about. They were busy, they are always busy, but the drill stands out. These young men are taught how all staff should be taught in full view of the public, they know how to meet and greet, they move smartly, they dress smartly, and despite the pressure they work under, they deliver on duty and manners.
What a great foundation McDonalds (and to be fair, other fast food chains as well) gives these young people, they are being groomed for a successful customer service career. A definite good grade for this.
If my calculations are correct, today’s purchases got 7 good and 5 bad. My expenses were over $175, it will be about the same next time, but the difference will be that some will get nothing and some will gain what others have lost. Most small businesses don’t make much more for the owner than wages, their main reward coming in the form of goodwill when they sell. That goodwill factor is determined by profit, and profit is determined by hiring nice, smiling faces. Something that costs so little has a great effect on the results obtained. The service determines the success or not of your business.
My kids call me an old fool, however, there are plenty of gray nomads who collectively spend enough to influence the bottom line of many businesses. Always remember, smiles make their way when you offer yours first. I love the cost factor!
