Amity Business School, Gwalior

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DRIVERS OF CUSTOMER DELIGHTAND

DESIGN OF STRATEGIES TO DELIVER THEM

BY, ARCHANA PATHAK ASHISH KUMAR SHARMA ASHU PRATAP SHRIVASTAVA ROHITASH SINGH SENGAR

Amity Business School, Gwalior

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Amity Business School, Gwalior

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CUSTOMER DELIGHT

• “Providing a continuous stream of additional value to customers and delivering it sooner”.

• Exceeding a customer’s expectations for quality, delivery, price, performance of the service.

• Customer delight can create customer loyalty that translates into long-term profitability.

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Amity Business School, Gwalior

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INGREDIENTS OF ‘CUSTOMER DELIGHT’

• It produces a ‘wow’ reaction - The level of service provided ‘surprises’ customers-it could be the front line member of staff who deals with your query, your enquiry, or your problem on the spot.

• It appears spontaneous or unexpected -  It’s like the ‘welcome note’ when you arrive in your hotel room. ‘Planned spontaneity’ can happen anywhere in the customer journey.

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Cont…

• It’s the personal touch - It’s having their number on caller id that allows you to recognise them when they call, it’s the delivery guys who know your ‘history’ as a customer and your importance to the business.

• It makes customers feel ‘valued’ - The email that says ‘Welcome and thank you for your first order’, it’s the personalised card or letter that says ‘you’ve now been a customer of ours for 12 months – thank you!’.

•  It’s genuine - The downside of this stuff is that when it’s done badly, it looks false and creepy.

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Cont…

Ex - Every employee at Ritz Carlton Hotels is allowed to spend up to $2,000 to solve a customer’s problem without referring to a manager! How ‘empowered’ are your front line people?

• It creates a ‘talking point’ - The power of word of mouth is getting stronger. And that’s the point! ‘Delighted’ customers feel it, they remember it, they talk about it and they come back for more of it!

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EXAMPLE US Major Mr. Shawn who is stationed in Afghanistan,

wanted to send his wife Josephine and their 5-year-old son Ethan, a pizza and gift card for her birthday. He emailed their favourite pizza place the Mellow Mushroom Pizza Bakery in Florida. He asked if they could deliver the pizza to their home in Jacksonville, and said that he would pay with his credit card.

Later that day, he got an email from Josephine telling him she'd received a lovely heart-shaped pizza, some balloons and a $50 gift card for Mellow Mushroom.

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DRIVERS TO CUSTOMER DELIGHT

• Communication – A lady lost her purse, she quickly got on the phone to the various banks to cancel her cards and explained that it all went very well – details taken, courteous staff and cards cancelled – no problem.

She then called First Direct, At the end of the process of card cancellation, the First Direct lady then asked ‘What are you going to do for money in the next couple of days if you have no purse or cards?’‘I’m not really sure’ came the reply. ’Well, would you like for me to arrange £200 to be collected from a nearby HSBC bank? I’ve worked out where the nearest branch to your hotel is – If you tell me what you’ll be wearing, I’ll get them to look out for you and you can collect your money!’

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Cont…

Direct has created a culture of  ‘empowerment’ and it’s a great example of someone making it work to ‘delight’ customers! No wonder they are the UK’s ‘most recommended’ bank!

• Services - For example, a supermarket satisfies customers’ expectations if its produce and meat are of good quality; the floor and shelves are clean; and the wait for a cashier is reasonable. By contrast, customers are delighted if the supermarket offers help in loading their groceries into their cars; free delivery for out-of-stock goods

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Cont…

• Differentiation – An exemplary case study in this regard is GNRC Hospital in Guwahati , The organisation has come up with an additional pleasant surprise for their customers at each of its points of contact. For instance, their parking facility has everything that a customer expects from a parking area in a large hospital. However, the surprise element is disclosed when the customer comes back to take his car. He finds that the car has been cleaned and wiped! The windshield is shining and spotless.

• Consistency• Cost• Quality

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Amity Business School, Gwalior

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USING SOCIAL MEDIA TO MEASURE CUSTOMER DELIGHT

• Social media can tell us what is happening in minutes and even seconds.

• We can immediately see what the nature, intensity and scale of a response to an input on Twitter, Face book, or a blog, and adjust course accordingly.

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SAMSUNG

• They implemented the VOC quality response service system in which they address the issue within two working days of receiving the customer complaint.

• To minimize customer complaints, they introduced the VOC Zero Center Award to raise employee interest in the activity.

• Happy call is made to customers three days after product

delivery and installation, a text message is sent 30 days later and a thank you letter three months later.

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LE - MERIDIAN• The very entry into a room hired by a customer at the Le-

Meridian Hotel, delights the customer. He is welcomed with a caption on the computer screen.“Welcome to the hotel”“Mr. and Mrs. Johnson and family”“Have a nice day”.Customer delightDelight Customer satisfactionto Augmented productneed Branded productBasic product that fulfils a need.

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APPLE’S GOAL: DELIGHT THE CUSTOMERS

• Take Apple’s retail stores. It helped of course that Apple’s mission was not to make money but to “‘enrich the lives of customers and employees.’ The stores would be places for people to gather and learn, not just to buy. They would be designed to encourage an ongoing relationship with customers, not merely a one-off purchase transaction.

• Apple opens an average of three to five stores somewhere in the world every month, and uses the NPS to follow how effectively each store is living up to the mission and make adjustments.

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Cont…• The Net Promoter Score is obtained by asking

customers a single question on a 0 to 10 rating scale. "How likely is it that you would recommend our company to a friend or colleague?" Based on their responses, customers are categorized into one of three groups: Promoters (9-10 rating), Passives (7-8 rating), and Detractors (0-6 rating).

• When Apple began measuring NPS in 2007, its 163 stores already had a very good NPS of 58%. In 2011, its 320 stores have an outstanding NPS of 72%. The best stores achieve a remarkable 90% NPS.

• Making money is the result, not the goal

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