Category Archives: Customer Satisfaction

Making customer focus real: Being prepared to get, share and act on feedback

Listening to Customer Feedback

Are you listening to your customers?

Telstra has recently announced a new initiative to publish the customer ratings for its stores on its website. Nothing new for businesses in the US, thanks to services like YELP, but a significant step forward for the dominant Telco and MarketCulture customer in Australia

Telstra’s Country Wide Executive Director, Rebekah O’Flaherty recently announced the move on their blog, she also explained how the information would be used:

“We use these scores to guide our service improvement programs – and to identify and cheer on our top rating stores. “

It great to see this is not just lip service to the idea of customer service but a clear way to operationalize a concept that often sounds great in theory but is so often not acted on.

To see the full story click here.

Are you as customer focused as this dog?

This is one of my favourite videos that really demonstrates customer focus in action…. understanding customer needs and demonstrating how you will fill those needs in a tangible way is how every great customer focused professional operates… enjoy the video!

Unrequited love – Can we really expect customers to love our businesses?

Clearly there are some customers that really do love the companies they buy from, in fact Jeanne Bliss has a whole book full of them!

However, it is important to remember that what customers really love is how the product you provide meets their needs. What it does for them. Ultimately that’s really what customers care about.

Customers don’t care whether you are doing well, how hard it is to deliver your product, whether you are making money, whether you are number 1…. and why should they?

Yes they want to be treated with respect and they want to know you care about them and the business they are giving you but do they offer that in return?

Does it matter?

Come and join the conversation at the next SVAMA event. Click here to register

Strategy from the Outside In

Here at MarketCulture we are big fans of the work of Professor George Day. He has written a number of books over the years around the idea of “Market-Driven” organizations and their ability to drive better performance outcomes.

Below is an overview of a webcast I will be hosting with him on November 30th:

What do Toyota, Barbie and Dell have in common? Each succumbed to inside-out thinking and lost their market leadership. They lost sight of the core purpose of a business: to create and keep customers at a profit.
This webcast offers an antidote to this self-defeating mind-set with a proven outside-in approach to strategy. Winning strategies are viewed through a customer value lens, and illuminated by deep market insights.

WHEN: Tuesday November 30, 2010 – 1 PM PST
Learn More and Register

How Oracle translates customer insight into revenue

Jeremy Whyte, director of customer feedback and reporting at Oracle, recently wrote about details of Oracle’s extensive “Voice of the Customer” research program.

“Oracle’s 300,000 customers provide a voice into how we deliver our products and services. Through collaboration with customer care and services teams across all lines of businesses, Oracle identifies customer needs and uncovers the root causes of customer issues across geographies and industries.”

At the core of Oracle’s approach is a closed loop feedback system that allows them to capture the data, prioritize, action and communicate it and then track the impact of improvement programs. It sounds simple however, most companies stop after the capture phase.

Making the data actionable

Oracle publishes the feedback via role-based dashboards to tens of thousands of employees. All of this drives a closed-loop process that results in constantly improving operational efficiency.

Connecting satisfaction and revenue

We know through our research on companies that there is a direct link between this behavior in organizations and superior performance and Oracle’s results bare this out.

This fundamental market-driven behavior is how Oracle has fueled its consistent increases in customer satisfaction year after year. This growth in overall satisfaction across Oracle’s expanding customer base has resulted in staggering top line growth from less than $14 billion in 2005 to more than $27 billion in 2010.

Oracle has grown aggressively via acquisition, with more than 50 acquisitions since 2005. Yet its culture and process is so strong these companies are absorbed without losing sight of its customer focus. In fact in a related article on the topic, Vocici’s  founder Jeffrey Henning made the point that customer satisfaction is higher for the customers of acquired companies post-acquisition than it was pre-acquisition.

What is your customer insight strategy? Do you close the loop on customer feedback?

Driving increased customer focus using “Conditions of Satisfaction”

Last week we had our first webinar in the Market-Driven Leadership series and I was honored to host Jeffrey Hayzlett the former Chief Marketing Officer of Eastman Kodak.

One of the topics raised from his new book, “The Mirror Test” was the idea of “Conditions of Satisfaction”. The idea is to drive change and improvements in organizational performance by establishing the critical elements a company must deliver on to satisfy customers. Once these are established they can be used to rally people around delivering.

Jeff shared his experience during a recent McDonalds drive through where he was asked to wait to the side for his order. This action was a clear break in the McDonalds conditions of satisfaction. Many customers go to McDonalds because they are busy, they need fast service and want to get their food and get on their way. Every time McDonalds fails this test they fail to deliver on their conditions of satisfaction…

It is a nice model for thinking about how as marketers we can rally the organization around its purpose and really deliver on it.

If you are interested in seeing the full recorded webinar click here.

5 Questions you must ask to determine your company’s level of customer focus

I came across a great article today from the team at MIT Sloan Review questioning whether organizations are really customer focused.

As we know from our work many companies are delusional when it comes the real level of emphasis they place on customers. They often overestimate their level of customer focus and underestimate their competitors. Hence the reason we built an objective tool to provide a framework for this issue.

The article outlines 5 questions, I have summarized them here:

No. 1: Can your middle managers accurately describe your customer promise?

No. 2: Can all the members of your senior executive team name the three things that most undermine trust among your existing customers?

No. 3: Is your brand really the best option for customers? Will it continue to be next month and next year?

No. 4: Have you embraced any novel ideas that have produced significant innovations beyond the familiar during the past year?

No. 5: Have front-line staffers posed any uncomfortable questions or suggested any important improvements to your offering during the last three months?”

These questions provide a good starting place to begin the discussion but to do something about these issues it is critical to have a framework that allows everyone in the organization to buy into the changes that must be made.

How Zappos uses customer insight to drive better customer experience


I recently had the opportunity to ask the team at Zappos about their use of customer insights. Zappos has created the ultimate customer focused culture, they are passionate about their customers and always find new ways to create value. Below you will find the question I posed and two answers from Zappos’ers…….

“Given Zappos’s intense focus on customers and customer satisfaction, can you share some of the interesting or surprising customer insights you have gained over the years and how they have helped you improve the business?”

Shannon Roy:
“Customers love to be surprised with a WOW when they least suspect it.
This is particularly true if they called with a cantankerous attitude!
If you are able to quickly solve their issue, with a minimum of effort on their part, they are flabbergasted and very appreciative!
If you solve the issue, no matter what it might be, that alone can surprise them.
We do whatever it takes to get to YES”

Scott Klein:
“The biggest customer insights we’ve gained are by simply listening to our customers and acting on the feedback…
There are thousands of emails and calls that we’ve received over the years from customers sharing great suggestions, so we have taken this feedback and implemented many ideas. For example, our customers wanted an improved Zappos.com website with a more user friendly search option, thus an enhanced Zappos.com site was recently born. Customers asked for a Store Credit feature, instead of being refunded on their credit card, so we created a Store Credit process. Consumers in general wanted a higher level of service, so we committed ourselves to being a world class service company, providing a Personal Emotional Connection on every customer interaction.

We consider our internal employees customers as well, so we’ve implements many of their ideas. For example, with Zappos CLT Inc, we’ve added  a work from home program, updated call review process, and a different way to look at our attendance practices. All of these changes help to insure the happiness of our internal customers, which leads to super “Wow” when taking care of our external customers. BTW, the “Wow” is sort of like “The Force,” it’s what gives a Zappos’er their power. It’s an energy field created by all living things. It surrounds us, and penetrates us. It binds the customer experience together.  :)”

To improve customer experience take a look inside your corporate culture

A Customer Experience Culture

There is a increasing recognition of the fact that a customer’s experience with your company plays a significant role in customer satisfaction, retention and profitability.

So where do you start with a customer experience initiative?

In our experience the best place to start is by defining a vision and goal for a customer experience initiative that inspires people to want to get involved. This creates a reason for change, a compelling vision of the new customer experience that will be created and delivered by the company over time.

While customer experience is a process that can be mapped, refined and improved over time what is important in the beginning is to capture the hearts and minds of the people that are going to have to deliver the new experience. Why should they do things differently, how will changes in their behavior benefit them?

A good place to start an initiative is to gain a sense of the organization’s current culture as it relates to customer experience. Is the company’s culture already customer focused? Meaning there will be less resistance to changes that will clearly benefit customers. Or is the culture an internally focused one that sees the customer as a necessary evil?

The Market Responsiveness Index and the Customer Responsiveness Index are two tools we use to gain a sense of where the culture lies against a benchmark. This provides a great rallying point for company’s to self diagnose just how big a journey they need to undertake.

The surprising truth about what motivates us..

One of the team recently shared a really great presentation about what really motivates us. The talk, by Dan Pink explores the real drivers of motivation for knowledge workers, that is, people in roles that require them to think critically and creatively about how to get things done.

He gives a number of examples from research. One surprising conclusion is that financial rewards work well for “mechanical tasks” but not for tasks that require more than “rudimentary” thinking. In fact when rewards were provided for more complex tasks, teams provided with the largest reward to succeed performed worse than those with little incentive!

It sounds counter intuitive but in my experience it really does rings true.

If we think about organizations that are really successful, they are not focused on massive financial rewards, they are focused on providing something that is really valuable for their customers. In fact many of today’s really successful firms are still trying to work out their business models, think Facebook and twitter…. they are still only focused on delivering value for customers.

Dan identified three factors were found to drive individual performance:

  1. Automony/Self Direction – the ability to choose how you spend your time
  2. Mastery – the satisfaction that comes with mastering a skill, developing an expertise
  3. Purpose – understanding the broader purpose and how your work contributes to that purpose.

There are parallels with our research into organizational culture. We have found 7 core behaviors that drive business performance and separate average firms from really great organizations.

I can relate them to Dan’s model for individual motivational drivers as follows:

  1. Autonomy is really about empowerment in an organizational culture setting
  2. Mastery – this is really about getting better, getting better requires feedback and insight. In our case getting better is faciliated by gaining customer, competitor and business environment insights
  3. Purpose – again in an organizational setting this is about vision, why do we exist and what do we want to be when we grow up as an organization? This is the factor we call strategic alignment.