Showing posts with label Nordstrom. Show all posts
Showing posts with label Nordstrom. Show all posts

Wednesday, June 20, 2012

Big lessons that small companies teach


From Nordstrom (a Custommerce blog favorite) to Southwest to Taj, all are brands synonymous with great customer service. Yet these and only a handful of other large corporations seem to be known for their service ethic. But at the same time, you see many small and medium sized companies consistently getting their customer service ethos firmly in place. Many may attribute that to lesser customers or negligible hierarchy but like this article in HBR will tell you, it sometimes just comes down to empathy and common sense. So where else does the secret to good customer service lie in a medium sized enterprise? And what virtues of these companies can larger enterprises look to replicate?

A large hotel in Chennai is known to give its employees Rs.1000 everyday as a limit which they can use to repair any reasons of dissatisfaction with a customer. They can use that money on one customer or ration it through the day but it gives them the liberty to improve an experience. This can involve a complimentary drink, snack or anything that the restaurant offers. The limit ensures prudence yet at the same time it allows flexibility. Now, flexibility is an important lesson that most large companies can take from smaller companies like this hotel did. Small and medium enterprises generally have the advantage of flexibility in the way they can serve their customers. They can tailor their customer service efforts as per the customer requirement. Even larger companies can work past Standard Operating Procedures and bring in some flexibility to allow for a better service experience for customers. Another great virtue which large companies can pick from smaller enterprises is of having a top management which prefers a hands-on-approach. Customers of smaller enterprise are able to reach top management with their grievances much faster then they can reach a middle manager at a large enterprise. With certain protocols in place and by basing cases on priority, even a large enterprise can achieve this objective.

On the whole large companies need to see how they can bring in initiatives from smaller companies in moderation backed by strong business cases. They can serve customers much better by steering away from rigidity towards incorporating techniques that can improve the service experience. The lessons small companies are giving aren’t very tough to understand or implement. You just need to use common sense to know how much to commit, and remember, that all your customers need, is a little empathy. 

Thursday, March 8, 2012

Making the non routine, possible!


What puts Zappos and Nordstrom on a completely different orbit when it comes to customer service? Besides an unbelievable ability to understand their customer, it also is their knack to handle the non routine. A non routine query from a customer can be best defined as a request from a customer asking a service provider to go beyond laid down offerings and processes. This is where most brands get a shot at instant immortality in the minds of the consumer. And companies who do this with great aplomb are the ones who have a plan. A plan that may involve limitless employee empowerment or well distributed resources.  So even though we know, that fulfilling these queries can create customer satisfaction like never before, companies need to ask themselves this; how tenable is developing a strategy for handling a non routine query?

While planning such a strategy companies need to look at the financial burden that they might be taking on. Completing a non routine query can involve a cost which your business could not have accounted for. Preparing for these costs make it a tricky financial proposition. This leads us straight into another quandary a company faces; how do you empower your employee to handle these queries? Drawing the line for how much discretion you can trust your employee with is never easy. It involves a great amount of training and also smart recruiting. Employees have to buy into your brand philosophy or be trained to execute it to perfection. When you are past the monetary and employee capability conundrums, you will have to ask yourself if you can truly sustain such an effort. Changing track midway and not delivering on such queries can lead to a loss of goodwill as customers will immediately sense something is out of place. From that point on, getting back in the good books of the customer may take a greater effort.

So to sum it up, the three key requisites are: financial ability, employee empowerment and sustainability. These are by no stretch of imagination, the only questions you need to ask. A lot of it comes down to top management will and operational nous. The results are there for all to see, the commitment is what you need to ensure. So are you ready to become a Zappos or a Nordstrom? Now that, is not a non routine query!