Spoiled or Pampered?

I was recently meeting with leaders at a company who talked about how important service was and bragged how their goal was to spoil their customers. They were stunned when I told them it was a very bad idea. Blaphemy? Actually, they simply misused the meaning of the word, but that simple mistake can cause problems as the word filters through an organization.

Sometimes, people misuse the word "spoil" to mean "taking good care of someone". Nice thought, but the word is commonly used as "That kid is a spoiled brat". What meaning do people associate with "spoiled"? One way to create a monster is to give a child anything they want, when they want it - with no accountability. A kid might want candy for all meals, but it is NOT in their best interest. Eating only candy is actually bad for the child's health. If a person does this, they aren't caring for the child, they are actually doing the child (and everyone that child associates with as they grow older) harm!

The better option would be to "pamper" the child. A small difference in meaning that makes a big difference in the outcome. Pampering exceeds expectations, but does so in a more healthy way. Spoiling creates entitlement. That's why spoiled people throw tantrums - they think (inappropriately so) that "it's not fair" if they are "denied" what they "deserve". (Does that sound like customers or employees that you know?) Pampering keeps the candy as an occasional (more balanced) treat, when they actually DO deserve it - without spoiling them.

This is not merely semantics. Using inaccurate words when communicating expectations can create confusion - an operational problems. The key is courageously caring enough to give when it makes sense AND caring enough to say "no" when appropriate.

As we used to say at Disney "The guest may not always be right, but they will always be our guest. If they are wrong, they must be wrong with dignity!"

So, consider how you exceed your customers' (both external AND internal customers) expectations. The mosy consistently successful businesses WOW them, but do it appropriately. Remember: If you spoil them, they WILL spoil your results!

Think about it. But more importantly, do something about it...today!

Be Unique Or Die

Here is a CRITICAL consideration: How are you different and better than your competition? If you're not, then you will become irrelevant...and out of business.

Think of it this way, when your customers are deciding about getting a product or service you happen to provide, they will think of all the options available to them. When considering you AND your competition, they will compare the true cost to them (money, time, and effort) to the product or service (the "thing" as well as the entire experience) they are purchasing - and judge it all based on what THEY value.

There are several options:

1. What you offer is less than one of your competitors, and you lose the sale. You eventually go out of business.
2. Your experience is the same as your competitor(s), so it becomes all about price. Your product/service just became a commodity and you follow the inevitable price war down - and you eventually go out of business.
3. What you offer is different/better than your competition and you earn the sale.

Obviously, the best option is the third one. However, being unique does not guarantee long-term success. You must consider two more things:

• Your competition can copy just about anything (marketing, product, environment, processes - they can even reverse-engineer your product), but they cannot replicate the relationship you/your employees have with them. Once you earn loyalty, it is nearly impossible for your competitor to "steal" them away.
• You must continuously improve everything about your customer's experience. This includes your relationship with each customer.

The most important thing you can do is to establish what your customers really want then consistently deliver it while exceeding their expectations (being unique/different.) Spend some time with your team focusing on implementing different/better/unique and you will be amazed at how you will start to gain marketshare.

Think about it. But more importantly, do something about it...today!

Get Alive

Do you want a business/relationship that is alive? (Of course, who doesn't!) Bringing life to your Life doesn't have to be as difficult as it often seems. Like when I was at Disney, the first step is to recognize the few things that make the difference between just existing and really living:

1. All life is GROWN. To breathe LIFE into your life (or relationship or business, etc.) you have to treat it like any other dynamic, living thing. For example, think of a plant - if you want the plant to thrive (rather than simply survive), you must nurture it. Same as anything else. How is that best done? By implementing the other two aspects:

2. Be aware of what that unique plant (your business, career, your Life, relationship, etc.) requires to thrive. Pay attention to it. Invest time and energy into learning about all important aspects of it. Examine and understand what strengthens it and what weakens it. Then...

3. Care enough to do something about it. Make it a priority. Spent time/energy/resources to consistently see that it's needs are exceeded (in a healthy way) in order for it to GROW more alive.

Sometimes, Life can get so hectic that it gets easy to neglect things (dreams, goals, people, ourselves) that we value. The natural consequences of that action (or lack of action) is the same as neglecting a plant. It WILL start to weaken, whither, then die. The question is: what is YOUR priority? You can always tell a person's TRUE priorities by where they choose to spend their time, effort, and money. Where are you spending yours? If not where you want, start growing again - now - before it is too late.

Think about it. But more importantly, do something about it...today!

The 3:2:1 Rule

Looking for better results? Most people are. Here's a frustrating fact: Consistently successful organizations don't focus most on the outcome - but they still get better results than the rest. Here's why...and how...

Performance is a result of skilled effort - which is a result of passion and commitment. World-class companies get better results because they track backwards to the internal root cause and focus on improving there instead - guiding the process until they achieve the superior external results they desire.

If you want a 1% increase in performance, then you need a 2% increase in effort (the kind your customer values) - which is sparked by a 3% increase in commitment (by your front line team - who delivers the effort.)

Some call it the "3:2:1 Rule". Yes, some of the investment gets lost in the shuffle (that's human nature for you), but done well it's worth it. Remember, the percentages of internal results don't have to cost a lot of money - just well-placed leadership, engaged relationships, and targeted innovation.

You can use this proven approach to set up your own improvement plan. For example: If you want a 2% increase in your financial results, you begin by investing in improving your team's engagement/commitment level by 6% (interact with them, listen to them, challenge them, develop them, etc.), which will affect a 3% increase of performance on their behalf (the power of pride, integrity and ownership!) - gaining you the 2% bottom-line results (from satisfied/loyal advocates) you hope for.

So, if you're interested in achieving consistent external results (like those proven world-class companies), focus on the internal resources that get you there first. ANY small steps towards engaging your team will become a catalyst for improvement in your outcomes.

The 3:2:1 Rule. As simple as 1, 2, 3!

Think about it. But more importantly, do something about it...today!

"On-stage" or "Off-stage"?

I just got back from speaking at an event with a few hundred people in attendance. All the details were covered. The stage was arranged well. The materials and lighting were set "just right". Seating, programs, music, coordination and timing, the service team's attire...everything in the ballroom looked/sounded great. The event team was excited to create an experience that was memorable.

Well, it was. For the wrong reasons.

Just after lunch, everyone was re-seated and listening to the speaker before me, when the side of the room we all heard...snoring. From the AV technician!

The whole room began to shift around uncomfortably and murmuring/snickering traveled around the ballroom for a loooong 20 seconds until someone walked over to the technician and finally shook him awake.

Guess what ended up being the most memorable moment from THAT conference?

More importantly, what do you think people are saying about the event company? The same event company, by the way, that went to all the effort and care to make sure "everything was perfect" - failed to focus on the team's behavior as a part of what really mattered.

Anything people can sense in any way during your event will either add to or take away from the value they perceive. ANYthing. As we used to say at Disney, if they can see, hear, taste, feel, or smell it, then it is "on-stage" and we should manage it to ensure a great experience. Consider, not just the "things" in the room, but the people as well, and ask "are we sending the message we want to send?" and "How will this impact our customer's experience?"

After all, you want to be remembered for the best reasons, right?

Think about it. But more importantly, do something about it...today!

Are You Free Or Fantastic?

Have you noticed that, these days, your customers are more demanding? The recent economic challenges have caused us all to be more thoughtful and demanding when it comes to spending our hard-earned dollars. How do you compete when, more and more, people expect something for nothing?

As wonderful as the Internet can be, it is also the source of easy access to the lowest price option. In fact, "the low, low price of FREE" is becoming a common goal in the race towards commoditization. Bottom line: When there's nothing special/different/better about your product or service, why should anyone pay more for it than the cheapest source?

The only time it makes good business sense to offer something for free (or even at no profit) is if there is strategic value. Either 1. To entice your customer so they do business with you and you can sell them more items where you make your (ultimate) profit; or 2. to use it as a tool to gain exposure/awareness for future sales.

Otherwise, the "strategy of free" is, ultimately, a default strategy for going out of business.

The only other strategy is to be "fantastic". Designing your product or service so customers experience a "WOW" means you can charge (and they will pay) a premium. (At Disney, we used to call this "pixie dust" - you can do it too!) Not only do you get a buzz of publicity (happy customers tell everybody!), but you earn profit that actually keeps your business in business.

Wouldn't you prefer that scenario?

What does the "strategy of fantastic" require? Simply adding value at every touch point of your customer's experience. Exceed their expectation (by being different/better) every step of the way and they will come back - AND tell all their friends/family to do business with you too!

Think about it. But more importantly, do something about it...today!

THE Performance Dimensions

This blog is for any of us who work for a company or who own a company. (Those set-for-life/not interested in ever working again folks can go back to sleep...)

The key part of improving you/your business is knowing what to look for to determine what direction you're moving. Here's the good news: Your checklist has arrived!

What do you get when you cross-reference the most admired organizations with the most successful companies (Fortune 500), then survey executives, board members and analysts from the 24 industries represented? You get an amazing insider's view of what dimensions to focus on when planning or measuring your improvement process.

Here are the 9 dimensions:

• Innovation (How creative are you in breaking new ground - both internally and externally?)
• Quality of management (leadership throughout your operation)
• Quality of products & services (what impacts your ultimate customer experience)
• Long-term investment values (Are you connected/committed to the long haul?)
• Social responsibility to community and environment (Making a difference beyond your bottom line creates meaningful purpose)
• Ability to attract, develop, and retain top talent (The best talent exists - the goal is to create an environment that they passionately want to join)
• Financial soundness (Are you healthy/balanced in access to liquid funds?)
• Use of corporate assets (Are you responsible with how you use your resources?)
• Effective in doing business globally (How connected are you to people beyond your borders?)

Use this list to stimulate discussion with YOUR work team. Think about -and take ACTION on -your business differently: adopting a better strategic approach will lead to the kind of proven success the best world-class businesses enjoy.

YOU deserve the best results for your best efforts. Time to step up, step out, and break through.

Think about it. But more importantly, do something about it...today!