Imagine a world where businesses not only understand their customers’ current needs but anticipate their future ones. This isn’t just a dream—it’s the key to distinction in a crowded market. Your challenge in creating distinction and standing out from the competition lies, in part, in your ability to not only think like your customer – but to also be equipped to think AHEAD of your customer.
Here’s an example of this that can work for any and every business, yet it’s from higher education and my friends at High Point University.
Have you defined specifically who your customers are? They have at High Point University – and obviously, two of those customer groups are students and parents. Just a few weeks ago, the fall semester ended, and students were traveling home for the holidays.
Thinking like the customer in this field means you prepare for their departure. Thinking ahead of the customer means you consider how you help students get home safely to their parents.
So, HPU created a “car check-up” program. Students could drive through and have mechanics check their tire pressure, oil level, and other major points to help ensure that no parent would receive a call from a distraught student broken down on the side of the road.
The President of the University, my friend Dr. Nido Qubein, even walked the line of cars waiting for inspection, asking the students about their holiday plans. Can you imagine other University Presidents doing this? It would not have happened where I went to college…but it’s part of High Point University’s total commitment to creating distinction and delivering an ultimate experience for all of its customer groups.
You start by thinking like your customer – not thinking as a business leader, entrepreneur, or manager in your specific field. The greater challenge is to have such a deep customer mindset that you can identify problems or obstacles your customers may be experiencing before they do – or ones that aren’t specifically related to your product or service.
A properly functioning automobile is not integral to academic achievement. However, Dr. Qubein and HPU know that caring about the student is a meaningful component of the total college experience and provides a critical point where their university can differentiate itself from other institutions.
But wait, as they say, there’s more.
A major winter storm is hitting many parts of the country – so what did HPU do for returning students? They added more of their complimentary shuttles to airports to accommodate families who want to get their student back to campus ahead of the storms. (By the way – how many universities offer complimentary shuttles from multiple airports back to campus for students?)
And they opened the dorms early so students could beat the weather. They even opened the café up early to accommodate students arriving and dining before the originally planned return. And here’s the kicker, they did all of this at no cost to the students.
Imagine parents talking with friends who have their kids at another college, talking about the steps HPU takes to ensure safety and deliver an ultimate experience. The point here is that distinction is a primary marketing tool. It creates referrals that are impossible to beat.
Studies cited in the Journal of Service Research underscores the power of thinking ahead of the customer. Companies that anticipate and address future needs not only achieve higher customer satisfaction but they also enjoy a distinct competitive advantage. This forward-thinking approach leads to increased customer loyalty and a stronger reputation through positive word-of-mouth – crucial assets in today’s market no matter your industry.
It’s a great privilege for me to be HPU’s “In Residence Expert on Distinction and Relevance” – but I must tell you that I feel that I’m constantly learning more from them than I have to share with the students, faculty, and staff.
Your business likely doesn’t involve opening dorms or testing the cars of young drivers – but your strategy should be the same. You do better when you think like your customer…something few businesses or leaders do. However, you become distinctive when you think ahead of your customer…and High Point University is a perfect case study of how this is done to perfection.
It’s time to shift from merely meeting customer needs to proactively anticipating them. The question is: how will your business rise to this challenge?
In today’s hyper-competitive market, the alignment between what your business promises and the performance that it delivers is not just a matter of integrity; it’s a cornerstone of customer experience and loyalty.
I highlight the criticality of this congruence in my book “ICONIC.” When a business’s marketing claims do not match the customer experience, it leads to a trust deficit, adversely affecting its reputation and bottom line. And, let’s face it, in most organizations, the people making the promise are seldom the ones who have to deliver the performance for your customers.
Your goal in 2024 should be to make certain that your promises and performances are in perfect alignment.
The Promise-Performance Gap
The promise-performance gap emerges when there’s a disconnect between the expectations set by marketing and the actual customer experience. This discrepancy can be particularly damaging. A study by PwC found that 73% of consumers cite customer experience as a significant factor in their purchasing decisions, but only 49% of U.S. consumers say companies provide a good customer experience. This gap indicates a widespread issue in businesses failing to live up to their marketed promises.
Impact on Customer Loyalty
Loyalty is earned when a business consistently meets or exceeds the expectations it has set. According to Accenture, 52% of consumers have switched providers due to poor customer service, highlighting the direct impact on customer retention. When the experience falls short of the marketing hype, customers feel misled, leading to dissatisfaction and churn. Everyone spending money with your business has the right to receive an Ultimate Customer Experience. ®
Brand Reputation and Word of Mouth
In the digital age, word of mouth travels fast. A survey by BrightLocal revealed that 87% of consumers read online reviews for local businesses in 2020, up from 81% in 2019. Negative experiences, especially when they contradict marketing claims, can quickly escalate into a crisis through online reviews and social media, affecting potential customers’ perceptions.
The cost of not aligning promises with performance is not just in lost customers but also in the additional effort required to regain trust. Harvard Business Review notes that acquiring a new customer can be anywhere from 5 to 25 times more expensive than retaining an existing one. This cost becomes exponentially higher when businesses must invest in damage control and rebuilding their reputation.
Best Practices for Alignment
1. Understand Customer Expectations: Regularly gather customer feedback to understand their expectations. This information should guide marketing messages to ensure they’re realistic and achievable.
2. Internal Alignment: Make certain that all divisions, particularly marketing and operations, are in sync. The promises made in marketing campaigns should be well understood and executable by the teams responsible for delivering the customer experience.
3. Regular Training: Employees should be regularly trained not just on their job functions but also on the brand’s values and promises. This ensures that everyone is equipped to deliver on those promises consistently.
4. Monitor and Adapt: Continuously monitor customer feedback and market trends. Be ready to adapt both your marketing messages and operational strategies to stay relevant and true to your promises.
The congruence between promise and performance stands at the core of customer trust and loyalty.
In an era where customers have endless options, the businesses that create distinction are those that understand and implement this congruence in every aspect of their operations.
By aligning marketing promises with customer experience, you will not only foster loyalty but also build a sustainable model for long-term success.
As we approach the end of the year, many organizations face unique challenges and opportunities in delivering an Ultimate Customer Experience®.
The holiday season, with its last-minute shoppers and potential for disgruntled customers returning gifts, is a critical period for any business aiming to stand out in a crowded marketplace.
Here are eight specific steps an organization can take to ensure a superior customer experience during this busy time.
Anticipate Last-Minute Needs
Last-minute shopping is more than a trend; it’s a reality of consumer behavior. According to a survey by the National Retail Federation, nearly 30% of holiday shoppers are expected to make purchases in the final week before the holidays. To capitalize on this, ensure your inventory is stocked with popular items and easily navigable. Consider offering delivery, expedited shipping options, and convenient, last-minute purchase solutions like e-gift cards.
Streamline the Return Process
Post-holiday returns are inevitable. A study by Optoro, a reverse logistics company, estimates that around $90 billion worth of goods are returned during the holiday season. To handle this efficiently, create a hassle-free return policy. Ensure your staff is well-trained and prepared to manage returns swiftly and empathically, turning potentially negative experiences into positive ones.
Leverage Personalization
Personalization can significantly enhance the customer experience. Utilize customer data to provide tailored recommendations, both in-store and online. According to Epsilon, 80% of consumers are more likely to make a purchase when brands offer personalized experiences. This personalized approach can be especially effective for last-minute shoppers looking for quick, suitable gifts.
This personalization is not just using the customer’s name in an email. It’s also educating your team in the importance of connecting with their customers.
(I discuss this in detail in my latest book, “The Ultimate Customer Experience” – which might make a great Christmas gift to give to you team…and to yourself!
Enhance Digital Integration
With the rise of e-commerce, digital integration is crucial. For those shopping online, a seamless and intuitive digital experience is essential. Ensure your website can handle increased traffic, and that mobile optimization is a priority, as a significant portion of last-minute shopping is done via smartphones.
Focus on Employee Engagement
In my presentations, here’s a point that I always make: Your employees are the frontline of customer experience.
Gallup research shows that organizations with highly engaged employees experience a 20% increase in sales. Invest in training programs that empower your staff to deliver exceptional service and ensure they have the resources to manage the holiday rush effectively.
Implement Feedback Loops
Actively seek customer feedback during and after the holiday season. This can help you identify pain points and areas for improvement. Quick, responsive adjustments based on customer feedback can significantly enhance the experience and build long-term loyalty.
Create an Ultimate Customer Experience®
In a season often characterized by stress and hurry, creating a memorable and enjoyable shopping experience can be a significant differentiator. Consider implementing festive in-store experiences or special holiday promotions. These touches not only attract customers but also leave a lasting positive impression.
Plan for Post-Holiday Engagement
Finally, the end of the holiday season is not the end of the customer journey. Plan post-holiday marketing strategies to keep your brand top-of-mind. This could include follow-up emails, special offers, or loyalty programs to encourage repeat business in the new year. When you’ve delivered an ultimate experience, customers naturally want to repeat their business and refer you to friends and colleagues.
Delivering the Ultimate Customer Experience® during the holiday season requires a blend of anticipation, personalization, and responsive service. By focusing on these areas, organizations can not only navigate the challenges of the season but also turn them into opportunities to build lasting customer loyalty and stand out in the marketplace.
Remember, the goal is not just to survive the holiday rush but to thrive within it, creating experiences that resonate well into the new year.
In the ever-evolving landscape of business, the delicate dance between honoring tradition and embracing innovation is a critical one. Are you so bound in the past that you fail to focus on the future? Or are you so forward-looking, you ignore the values and traditions of your previous work?
This past weekend, Tammy and I attended the Past National Officer reception at the National FFA Convention. FFA (formerly the Future Farmers of America) played the primary role in my training for leadership and in speaking. It was an absolute blast to reconnect with so many great friends. However, what struck me was that the organization had the National FFA Officer team of fifty years ago present the opening ceremonies for the 30,000 students — mostly of high school age — in attendance.
You might think that these kids wouldn’t want to hear six 70-year-old men perform a 7-minute traditional ceremony — but that would not be the case. They cheered as if their favorite team had just scored in the final seconds of the big game. The FFA members were displaying they knew an important lesson we should all learn.
As we reflect on the legacies that have shaped industries, it is imperative to pay respect to past traditions; they are the bedrock upon which we build the future. However, revering tradition does not mean we should be ensnared by it. The art is in leveraging the foundational principles that defined our yesteryears while pivoting with agility to meet the dynamic needs of today’s customer experience.
Consider Apple, a company that respects the innovative spirit of its co-founder, Steve Wozniak (a fellow member of the In Residence faculty at High Point University), yet is not shackled by its past. Apple continues to push the boundaries of technology and design, all while maintaining a user-centric approach that has been the hallmark of its brand since its inception. This is a prime example of a company that transforms consumer expectations into customer experiences, all without losing sight of its core values.
Similarly, Netflix, under the guidance of co-founder Marc Randolph (another HPU colleague), revolutionized the home entertainment industry. It started with a traditional mail-order service and then boldly transitioned to streaming, leaving behind its old business model to adapt to new consumer behaviors. Netflix demonstrates the quintessential transition from respecting the past – note, not remaining in the past – to pioneering future possibilities, thereby crafting an ultimate customer experience.
My client BMW is another brand that honors its tradition of German engineering excellence, while also being a frontrunner in automotive innovation. The company’s commitment to producing the “ultimate driving machine” remains unwavering, yet it simultaneously forges ahead with electrification and autonomous driving technologies. This fusion of heritage with futuristic vision exemplifies the balance of honoring tradition without being trapped by it.
As we navigate the waters of change, we should reflect on our traditions, not as an anchor, but as a compass.
Our history is a source of invaluable insights and principles that can guide our innovation. Yet, to deliver the Ultimate Customer Experience ®, we must be willing to disrupt the status quo, to challenge the traditional ways of doing things if they no longer serve our contemporary customer.
Businesses that excel in innovation understand that tradition is not a destination; it’s a part of the journey. They honor the past by building upon it, not by staying within it. They recognize that to be remarkable in today’s market, to truly stand out, they must deliver an experience that is not merely different, but distinct. This requires an unyielding commitment to the present and future needs of customers, with an innovative mindset that is always looking ahead.
The Ultimate Customer Experience ® is a blend of reverence for the past and bold strides towards the future. As leaders and businesses, let us honor our traditions by allowing them to inform and inspire our innovative efforts.
In doing so, we not only pay homage to our origins but also pave the way for groundbreaking achievements that will, in turn, become the cherished traditions of tomorrow.
On a recent trip to the Big Island of Hawaii, Tammy and I thought we would take a look at interval ownership vacation properties — perhaps better known as a timeshare. We realize that traditionally, this field has a bad reputation. However, we thought it was worth a couple of hours to see for ourselves if the approach would be different and the process had improved.
When the shuttle we thought was going to pick us up failed to appear, I called the reception desk to let them know we were running late. The receptionist asked, “Do you have a rental car?” When I replied that we did, she said curtly, “So, why didn’t you drive here rather than have us pick you up?”
My response was that they didn’t know whether we had a car or not — and as the customer, I should get the opportunity to make the decision on our transportation. Believe it or not, she hung up on me!
Upon arrival, we were met by our sales advisor. He started by addressing concerns we had not even voiced — the reputation of high-pressure tactics and more. He was reassuring and captured our interest.
After showing us a unit like the one we might invest in, his manager came in to talk with us. Despite our insistence that we would consider our decision over the three days we were at the adjoining hotel, she repeatedly inquired, “What can we do to make you owners TODAY?” The pressure was insistent and off-putting.
The tactic made us dig in our heels and refuse to make a decision. In other words, it had exactly the opposite effect that she desired.
Then we were taken into another room to be offered an alternative. When we entered, we could not help but notice that several of the bulbs in the chandelier were burned out and had not been replaced. As prospective customers, we asked ourselves, “If they can’t take care of their own offices…how much care will the maintenance show our timeshare?”
We did not purchase. In part, it was because of the high pressure tactics that simply do not work in today’s marketplace. But it was also an example of how the “little things” make a huge difference to customers.
In other words, the minutiae often define the customer experience more than grand gestures. Here are six reasons why:
1. First Impressions: Little things like a clean environment or a fully functional facility contribute to a customer’s immediate assessment. The Halo Effect suggests that one positive aspect can make everything else seem better. When a customer walks into a pristine environment, they’re more likely to have a positive view of the entire brand.
2. Psychological Comfort: According to Maslow’s Hierarchy of Needs, physical and safety needs come first. A clean, well-maintained space appeals to these basic human requirements, increasing the chances of customers feeling comfortable enough to engage more deeply with your business.
3. Attention to Detail: Harvard Business Review points out that customers value “effortless experiences.” If light bulbs are out or the surroundings are dirty, it indicates a lack of attention that might extend to your products or services.
4. Consistency: In a world where consumer expectations are ever-evolving, reliability is king. According to a PwC report, 65% of U.S. consumers say a positive experience with a brand is more influential than great advertising.
5. Word of Mouth: In an American Express Survey, 65% of participants said they’ve spoken to others about a bad experience, but they’re also likely to share positive experiences. Good experiences with attention to small details get amplified in this age of social media, offering free advertising and genuine endorsements.
6. Up-sell and Cross-sell Opportunities: A CX Intelligence Report suggests that customers who’ve had a good overall experience are 74% more likely to be open to add-on sales. Ensuring the basics encourages people to stick around longer, increasing their lifetime value to the business.
Mastering the little things isn’t just good housekeeping; it’s a strategic move that impacts customer perception, loyalty, and ultimately, your bottom line.
Creating the “Ultimate Customer Experience®” would have improved the opportunity for this group to make a significant sale. The problem is they weren’t aware that these “small” elements can make a world of difference.
Are you taking care of the small aspects that can mean big sales and create distinction for your organization?
