WORLD CLASS CUSTOMER CAREIn this issue

4World ClassCustomer Care

4Tom Peters onTop Notch Service

4Are CustomersSometimes Wrong?

4A Simple Tip

4The Rewards of GreatCustomer Service

Ninety five percentof managers todaysay the right things.Fifteen percentactually do it.

James Otoole,Fortune Magazine

Customers have a lot of choices about where to spend their money these days. Customers aretruly the VIP’s of any business. Henry Ford once enthused, “It’s not the employer who pays thewages; he only handles the money. It is the customer who pays the wages.”

Great customer service is defined by one super successful business woman as: “exceedingexpectations—creating happy and memorable, emotionally positive surprises. There needs to beenough positive energy in the ‘surprise’ that the customer is ‘wowed’ and immediately wants totell a friend.” “That and nothing less is world class customer care,” she enthused. The customerexperience must be outstanding enough that the customer tells someone about it otherwise itwas just average at best.

Tom Peters believes so deeply in super customer care that he recently stated, “Business is a lotlike tennis—those who serve well, end up winning.”

A man went into a Nordstrom’s department store looking for a video game for his children. ANordstrom’s employee told him the store didn’t carry that game. Instead of letting the customergo away unhappy, the employee took him to a computer terminal, which she used to locatethe nearest store that DID have the game. Within seconds she found it—at a nearby Macy’sdepartment store, one of Nordstrom’s prime competitors.

Nordstrom’s is famous for its exceptional customer service, and its employees have beenknown to direct customers to competitors when they don’t have the item in stock. But thisstore’s customer service representative went one step further. She gave directions to Macy’sand the floor where the game was located. She even called ahead to be certain the game wasin stock. Amazingly she acquired the name of the customer service representative at Macy’sfrom whom the customer could expect service.

She didn’t have to do that. Some sales people would have just said “we don’t carry that game”or even worse, would have tried to sell him a game he didn’t want.

Several years ago, Rudy Edghill was the general manager of a Kentucky Fried Chicken restau-rant. One day he got a call from a customer who had picked up an order five minutes before,but discovered when he left that the order was wrong.

Edghill apologized, but then he did something extraordinary. He asked for the customer’saddress, called and delivered the “correct” order to the customer’s office.

Needless to say, the customer was “wowed” with Edghill’s world class gesture. This wildlyhappy customer told many people his exciting story. (Happy customers usually do.) Severaldays later he showed his appreciation by referring an acquaintance to Edghill—a person whoordered $2500 worth of Kentucky Fried Chicken for a massive luncheon meeting. Over thenext six months, Edghill had over $24,000 of orders as a direct result of that one world classcustomer service experience.

It is true! Business is a lot like tennis—those who serve well, end up winning.

Writing/Research

Doug Siderc 2005Contact Doug at:dpsider@rogers.com519.894.8254

“a motivational publication for business and life”

Hire attitudeHire people with the right attitude. It’s easier to train

people in technical skills than to instill the right attitude.Herb Kelleher of Southwest Airlines says, “People who can fly airplanes

are a dime a dozen. People with great attitudes aren’t.”

The Rewards of Great Customer Service

IT’S FREEGreat Service costs little—but it’s worth a fortune to the bottom line of the company.

IT BUILDS GOODWILL IN THE COMMUNITYConsistent super service creates and builds a great reputation—and people do talk.

IT’S FUNEverybody has fun when they are part of a “super customer service experience.”

IT BUILDS CUSTOMER LOYALTYPeople will actually look forward to doing business with you. They enjoy it and it makesthem feel good.

IT CREATES MEMORIES THAT WILL BE RETOLD MANY TIMESIt’s true that unhappy experiences are repeated to friends but so are “happy customerservice experiences.” Happy customers love telling their “amazing” story.

IT MAKES YOUR CUSTOMERS SALESPEOPLE FOR YOUAnd they are one thousand times more effective than any paid salesperson—andthey’re free.

IT BRINGS GREAT PERSONAL SATISFACTIONThere is enormous satisfaction in knowing that you have truthfully and sincerelyhelped another human being. Really making another human being happy carriesits own rewards.

You don’t need permissionfrom a boss to make acustomer feel great.

Dale Carnegie

In the end, the ONLYperspective that matters isthe customers. Based onTHEIR perspective they willleave you or they will returnto you. Whether they leaveyou or they return to youaffects the entire future ofyour company.

Dr. Ferne Cherne

992

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Sterling issue4 11/9/06 5:11 PM Page 1

According to Herb Kelleher, CEO for Southwest Airlines, customersare sometimes wrong. Now remember, Herb is the CEO for theairline most noted for fabulous customer service. They offer whathe calls “outrageous customer service.” With that in mind notewhat Herb has to say: “My employees always come first. Even ifit means losing a customer.” But aren’t customers always right???“No, they are not,” Kelleher snaps. “And I think that’s one of thebiggest betrayals of employees a supervisor can possibly commit.The customer is sometimes wrong—without doubt. We don’t carrythose sorts of customers—those who abuse our terrific staff. Wewrite to them and say: “Fly somebody else. Stop abusing my staff”.Herb continues, “I have a huge commitment to the customer butno commitment is greater than that which I have to my staff whohave helped Southwest Airlines become the success story it hasbecome.”

Pursuit of wow!

ARE CUSTOMERS SOMETIMES WRONG?TOM PETERS ON TOP NOTCH SERVICE

According to Tom Peters, top notch customer service is profoundly simple—but easily forgotten. He outlines four key elements:

1. LITTLE THINGS MEAN A LOT. It doesn’t take much. It might be a quarterlynewsletter sent to customers or maybe a certificate of appreciation—25%off the next purchase. Some successful businesses send thank you notesfollowing a purchase. Others call back customers after the sale is delivered tosee how they are enjoying the product. Immediate response when a problemdevelops with the product is always important. Returning phone calls thesame day is greatly appreciated. Little things mean a lot.

2. UNDER PROMISE AND OVER DELIVER. Top rated companies tend torespond, for instance, to an early morning customer query with, “We’ll beback to you by 4 pm today,” and they are, by 2 pm!!! Whenever a customer ispromised a service by a certain time, ALWAYS, over deliver. Your customerswill be surprised, elated and they’ll love you for it!

3. TREAT CUSTOMERS AS AN APPRECIATING ASSET. Always calculate theten year (or lifetime) value of a customer. This can be very powerful and hassweeping implications. Grocer Stew Leonard says, “When I see a frown on acustomer’s face, I see $50,000 about to walk out the door”. His customersbuy about $100 of groceries a week. (He estimated low for purposes of

illustration.) Over ten years, that adds up to more than $50,000. Every customer lost, over a lifetime, is an enormouscost to a business. (Please note that this figure does not even includethe huge number of people this unhappy customer will influence in anegative way.)

4. STRIVE FOR 100% CUSTOMER SATISFACTION. Ninety percentsatisfied customers sounds impressive but is not acceptable accordingto Tom Peters. An IBM executive stated at a recent conference, “Wemake 900,000 components. If 90% are OK that means 90,000 weredefective. We really don’t need 90,000 angry customers do we? Theyhave too many friends.” A hospital administrator concurs. “Remember,90% ‘happy’ patients in a 900 bed hospital, means that 90 are thinkingabout suing you for malpractice at any given point.” Super successfulcompanies—the top 100 companies in Canada—aim for 100% satisfiedcustomers. When an unhappy customer is discovered, they try hard tobring a degree of customer satisfaction.

Tom Peters states that “any company that consistently works with thesefour simple but profound customer service principles, over the long haul,will win and will win big.”

There is only one boss.The customer! And he can fireeverybody in the company fromthe chairman on down, simply byspending his money somewhere else.

Sam WaltonWalMart

SCENARIO: A customer calls totell you he’s found a better dealat another company and is goingto take his business there.SOLUTION: OFFER SOMETHING.After the customer tells you he’sleaving say: “I’m sorry you havedecided to leave us. We valueyour service. What can we doto keep your business? Tell mewhat it would take to get you tostay, and I will see what I can doto grant your request.” Even ifyou can’t fulfill your customer’srequest (and often you can’t) oryour customer’s mind is already made up, you will leave a strongimpression. You say to the customer by your actions, “You areimportant to us.” Also consider phoning the customer in 3-6 monthsto see if things are going as expected and assure them that you areready to serve them at any time in the future.

A SIMPLE TIP

It never ceases to amazeme that companies spendmillions to attract newcustomers (people theyhave never met) and spendnext to nothing to keep theones they’ve got! Seems tome the budgets should bereversed!

Jeffrey Gitomer

CUSTOMERS TALK

…to their associates, friends andneighbours. Here is the numberof people they will talk to basedon how well you serve them.

6 – if you do a good job

25 – if you do a great job

25 – if you do a bad job

35 – if you get into an argument

AND—if the argument develops into afight, and your lawyers get involved,you will have a lot of bills and you’llbe on the 6pm news.

Customer loyalty rests on two issues: Doing what you say you will, when you say you will.

James Miller

Sterling issue4 11/9/06 5:11 PM Page 2

According to Herb Kelleher, CEO for Southwest Airlines, customersare sometimes wrong. Now remember, Herb is the CEO for theairline most noted for fabulous customer service. They offer whathe calls “outrageous customer service.” With that in mind notewhat Herb has to say: “My employees always come first. Even ifit means losing a customer.” But aren’t customers always right???“No, they are not,” Kelleher snaps. “And I think that’s one of thebiggest betrayals of employees a supervisor can possibly commit.The customer is sometimes wrong—without doubt. We don’t carrythose sorts of customers—those who abuse our terrific staff. Wewrite to them and say: “Fly somebody else. Stop abusing my staff”.Herb continues, “I have a huge commitment to the customer butno commitment is greater than that which I have to my staff whohave helped Southwest Airlines become the success story it hasbecome.”

Pursuit of wow!

ARE CUSTOMERS SOMETIMES WRONG?TOM PETERS ON TOP NOTCH SERVICE

According to Tom Peters, top notch customer service is profoundly simple—but easily forgotten. He outlines four key elements:

1. LITTLE THINGS MEAN A LOT. It doesn’t take much. It might be a quarterlynewsletter sent to customers or maybe a certificate of appreciation—25%off the next purchase. Some successful businesses send thank you notesfollowing a purchase. Others call back customers after the sale is delivered tosee how they are enjoying the product. Immediate response when a problemdevelops with the product is always important. Returning phone calls thesame day is greatly appreciated. Little things mean a lot.

2. UNDER PROMISE AND OVER DELIVER. Top rated companies tend torespond, for instance, to an early morning customer query with, “We’ll beback to you by 4 pm today,” and they are, by 2 pm!!! Whenever a customer ispromised a service by a certain time, ALWAYS, over deliver. Your customerswill be surprised, elated and they’ll love you for it!

3. TREAT CUSTOMERS AS AN APPRECIATING ASSET. Always calculate theten year (or lifetime) value of a customer. This can be very powerful and hassweeping implications. Grocer Stew Leonard says, “When I see a frown on acustomer’s face, I see $50,000 about to walk out the door”. His customersbuy about $100 of groceries a week. (He estimated low for purposes of

illustration.) Over ten years, that adds up to more than $50,000. Every customer lost, over a lifetime, is an enormouscost to a business. (Please note that this figure does not even includethe huge number of people this unhappy customer will influence in anegative way.)

4. STRIVE FOR 100% CUSTOMER SATISFACTION. Ninety percentsatisfied customers sounds impressive but is not acceptable accordingto Tom Peters. An IBM executive stated at a recent conference, “Wemake 900,000 components. If 90% are OK that means 90,000 weredefective. We really don’t need 90,000 angry customers do we? Theyhave too many friends.” A hospital administrator concurs. “Remember,90% ‘happy’ patients in a 900 bed hospital, means that 90 are thinkingabout suing you for malpractice at any given point.” Super successfulcompanies—the top 100 companies in Canada—aim for 100% satisfiedcustomers. When an unhappy customer is discovered, they try hard tobring a degree of customer satisfaction.

Tom Peters states that “any company that consistently works with thesefour simple but profound customer service principles, over the long haul,will win and will win big.”

There is only one boss.The customer! And he can fireeverybody in the company fromthe chairman on down, simply byspending his money somewhere else.

Sam WaltonWalMart

SCENARIO: A customer calls totell you he’s found a better dealat another company and is goingto take his business there.SOLUTION: OFFER SOMETHING.After the customer tells you he’sleaving say: “I’m sorry you havedecided to leave us. We valueyour service. What can we doto keep your business? Tell mewhat it would take to get you tostay, and I will see what I can doto grant your request.” Even ifyou can’t fulfill your customer’srequest (and often you can’t) oryour customer’s mind is already made up, you will leave a strongimpression. You say to the customer by your actions, “You areimportant to us.” Also consider phoning the customer in 3-6 monthsto see if things are going as expected and assure them that you areready to serve them at any time in the future.

A SIMPLE TIP

It never ceases to amazeme that companies spendmillions to attract newcustomers (people theyhave never met) and spendnext to nothing to keep theones they’ve got! Seems tome the budgets should bereversed!

Jeffrey Gitomer

CUSTOMERS TALK

…to their associates, friends andneighbours. Here is the numberof people they will talk to basedon how well you serve them.

6 – if you do a good job

25 – if you do a great job

25 – if you do a bad job

35 – if you get into an argument

AND—if the argument develops into afight, and your lawyers get involved,you will have a lot of bills and you’llbe on the 6pm news.

Customer loyalty rests on two issues: Doing what you say you will, when you say you will.

James Miller

Sterling issue4 11/9/06 5:11 PM Page 2

WORLD CLASS CUSTOMER CAREIn this issue

4World ClassCustomer Care

4Tom Peters onTop Notch Service

4Are CustomersSometimes Wrong?

4A Simple Tip

4The Rewards of GreatCustomer Service

Ninety five percentof managers todaysay the right things.Fifteen percentactually do it.

James Otoole,Fortune Magazine

Customers have a lot of choices about where to spend their money these days. Customers aretruly the VIP’s of any business. Henry Ford once enthused, “It’s not the employer who pays thewages; he only handles the money. It is the customer who pays the wages.”

Great customer service is defined by one super successful business woman as: “exceedingexpectations—creating happy and memorable, emotionally positive surprises. There needs to beenough positive energy in the ‘surprise’ that the customer is ‘wowed’ and immediately wants totell a friend.” “That and nothing less is world class customer care,” she enthused. The customerexperience must be outstanding enough that the customer tells someone about it otherwise itwas just average at best.

Tom Peters believes so deeply in super customer care that he recently stated, “Business is a lotlike tennis—those who serve well, end up winning.”

A man went into a Nordstrom’s department store looking for a video game for his children. ANordstrom’s employee told him the store didn’t carry that game. Instead of letting the customergo away unhappy, the employee took him to a computer terminal, which she used to locatethe nearest store that DID have the game. Within seconds she found it—at a nearby Macy’sdepartment store, one of Nordstrom’s prime competitors.

Nordstrom’s is famous for its exceptional customer service, and its employees have beenknown to direct customers to competitors when they don’t have the item in stock. But thisstore’s customer service representative went one step further. She gave directions to Macy’sand the floor where the game was located. She even called ahead to be certain the game wasin stock. Amazingly she acquired the name of the customer service representative at Macy’sfrom whom the customer could expect service.

She didn’t have to do that. Some sales people would have just said “we don’t carry that game”or even worse, would have tried to sell him a game he didn’t want.

Several years ago, Rudy Edghill was the general manager of a Kentucky Fried Chicken restau-rant. One day he got a call from a customer who had picked up an order five minutes before,but discovered when he left that the order was wrong.

Edghill apologized, but then he did something extraordinary. He asked for the customer’saddress, called and delivered the “correct” order to the customer’s office.

Needless to say, the customer was “wowed” with Edghill’s world class gesture. This wildlyhappy customer told many people his exciting story. (Happy customers usually do.) Severaldays later he showed his appreciation by referring an acquaintance to Edghill—a person whoordered $2500 worth of Kentucky Fried Chicken for a massive luncheon meeting. Over thenext six months, Edghill had over $24,000 of orders as a direct result of that one world classcustomer service experience.

It is true! Business is a lot like tennis—those who serve well, end up winning.

Writing/Research

Doug Siderc 2005Contact Doug at:dpsider@rogers.com519.894.8254

“a motivational publication for business and life”

Hire attitudeHire people with the right attitude. It’s easier to train

people in technical skills than to instill the right attitude.Herb Kelleher of Southwest Airlines says, “People who can fly airplanes

are a dime a dozen. People with great attitudes aren’t.”

The Rewards of Great Customer Service

IT’S FREEGreat Service costs little—but it’s worth a fortune to the bottom line of the company.

IT BUILDS GOODWILL IN THE COMMUNITYConsistent super service creates and builds a great reputation—and people do talk.

IT’S FUNEverybody has fun when they are part of a “super customer service experience.”

IT BUILDS CUSTOMER LOYALTYPeople will actually look forward to doing business with you. They enjoy it and it makesthem feel good.

IT CREATES MEMORIES THAT WILL BE RETOLD MANY TIMESIt’s true that unhappy experiences are repeated to friends but so are “happy customerservice experiences.” Happy customers love telling their “amazing” story.

IT MAKES YOUR CUSTOMERS SALESPEOPLE FOR YOUAnd they are one thousand times more effective than any paid salesperson—andthey’re free.

IT BRINGS GREAT PERSONAL SATISFACTIONThere is enormous satisfaction in knowing that you have truthfully and sincerelyhelped another human being. Really making another human being happy carriesits own rewards.

You don’t need permissionfrom a boss to make acustomer feel great.

Dale Carnegie

In the end, the ONLYperspective that matters isthe customers. Based onTHEIR perspective they willleave you or they will returnto you. Whether they leaveyou or they return to youaffects the entire future ofyour company.

Dr. Ferne Cherne

992

Dill

ingh

am R

oad,

Pic

keri

ng, O

N

L1W

1Z

6T

el:

905-

839-

4657

T

oll F

ree:

1-8

88-2

57-2

570

E

-mai

l: p

rint

ing@

ster

lingl

itho

.com

Pub

lishe

d by

Ste

rlin

g L

itho

grap

hers

Sterling issue4 11/9/06 5:11 PM Page 1