blog-thoughts

Papering Over Cracks

Tue, 23 Oct 2012 22:36:06 +0100

Great marketing and clever advertising cannot paint over a poor experience

In fact it can make it worse.

Your marketing and advertising is designed to create demand - to offer a promise of something appealing.

But Beware.....

Don't set an expectation that you cannot deliver on.

Whenever you build high expectations through your web site, your advertising or any piece of PR or marketing ensure you do not establish expectations that you cannot live up to.

Why?

Because guest measure satisfaction as:

The perceived reality of the experience / the expected

Greater than 1 is good less than 1 is destructive.

Ensure you deliver on the brand promise.

It's never been this tough before...

Mon, 02 Jul 2012 15:48:39 +0100

Actually in many ways it has never been this good and opportunity knocks for those who focus on what matters.

In 1978 there were only 3 TV channels. If we wanted to eat out our family choice was a Berni Inn or an independent Italian.
We had just purchased our first video recorder - for about £750! Hardly anyone travelled abroad and the proportion of people eating out of home was very small and largely to celebrate.
I got my first computer in 1982 - a Dragon 32 - yes 32K - and my first mobile in 1994.

How times have changed.....

Fuelled by massive investment in the sector we have seen a period of unprecedented growth - increasing both the choice and opportunities for guests and team members alike and adding a debt structure / burden never seen before.
We now have big box retailers, budget airlines, budget hotels and supermarkets that provide meals for 2 and a bottle of wine for £10. Squeezing competitors.
There are now hundreds of digital TV channels, we have "on demand", "streaming" via broadband, HD, 3D, Home Cinema and an array of experiential offers all seeking to divert potential guests from the hospitality sector.
Consumers are bombarded by advertising at every turn - TV ads we skip, junk mail we "file" in the bin without opening and e mail we trash.
Communication has exploded and consumers have any number of platforms on which to share their opinions.
Legislative changes have made the working environment safer, protected employees and ensured that at the sharp end employees are paid more per hour than ever before but these and other changes have dramatically increased the bureaucratic burden.
Consumers are more aware of health matters, are well travelled and are simply more discerning and demanding.

Consumers want to explore, relax and socialise and they have the money and inclination to do so like never before.

Is it tougher than ever before?
For the poor and average operators who fail to meet the experience needs of today's consumers it most certainly is and unfortunately as our latest report shows - thats the majority!
But for the best - its never been better - their competitive advantage is more obvious. Consumers need what you provide and will find you.

The economic climate is tough and it is certainly more competitive than ever before but all is not lost.Focus on meeting consumer emotional and experiential needs, engage with guests and help them understand your points of difference and leverage your competitive advantage. Its not about goods and the service that delivers said goods to the guest it's about the experience you provide and how you add value to their life.
Be better, be different and prosper.

At least Dick Turpin wore a mask....

Fri, 08 Jun 2012 09:52:13 +0100

A Gastro Pub I visited recently charges £19.95 for a wine that is available from Amazon for £7.49

Is it worth it?

Let's simplify the thought process.

£12.26 for a rude and uncaring waitress to deliver it from point A to point B. Delivery is free from Amazon and 1st class in every way.

OK, I know I am stretching the point but when prices are set at such levels then there is a serious challenge : the experience on offer had better be worth it. In this case, it was most certainly not. Every interaction with the team arose only when we had reached the point of irritation prompting us to force a waitress to step into the sinking-sand zone the team seemed to imagine circled our table.

The whole "experience" was epitomised by the entire bill-settling process. Ten minutes to attract a waitress to bring our bill then a further 25 minutes it took for her to process the payment and finalise the transaction.When we expressed our irritation it was clear from her behaviour she felt she was the one wronged by our insistence on paying! She is in the WRONG JOB or her bosses are providing the wrong vision and measuring the wrong things.

If the pub had given me a wonderful experience then £19.95 for a bottle of wine would not be a problem. I'd be happy to pay. However, given that the only feelings experienced during our visit were of irritation, feeling undervalued, uncared for and wound-up then the price is simply unjustifiable - unless of course the food and drink come free with the bottle of wine in question (they didn't and were not cheap either)

Location : great

Design : nice

Nothing wrong with the goods on offer

The kitchen and bar team were efficient

BUT :

Experience? NIL points!

Recommendation? No chance!

Hospitality venues are in the business of providing experiences - offering repose from the burdens of life, exploration of exciting food and beverage goods and an opportunity to socialise unfettered by a hectic world. Please avoid adding to my frustrations and think you can charge me unjustifiable amounts for the privilege. You can't, and I will not let you do it to my friends and colleagues either.

New Concept Equipped to Fail

Fri, 25 May 2012 15:14:50 +0100

I visited a restaurant last night, a relative new comer no doubt hoping to make an impression and grow from its existing 4 sites. Sadly I don't hold out much hope for a bright future.

Why?

The vacuous space had no ambiance, no music, wooden floors and no soft furnishings so with so few guests all there was were the hushed tones of guests trying to chat without sharing their conversation with everyone else. The issue was the team's insistence that arriving guests be seated in the same section next to other guests - they were trying to make their jobs easier and demonstrated zero EMPATHY for the guests experience! The team had been trained, no doubt - but in what? Well they knew the process, indeed we got the brand standard "Is everything OK" aka table check - twice within 2 minutes from different team members. Each time they asked but didn't seem to be interested in an answer and certainly didn't seem to be waiting for one. That's probably why they asked us mid conversation. But table check done they strode on to tick the next box.

I am also pretty sure they hadn't been given any knowledge training - they had little idea about the food dishes other than refer to the menu and the team member who asked us if we would like any drinks hadn't got a clue what they had available. He therefore reached for one of their limited edition scruffy drinks cards explaining that they were waiting for a delivery of them. Hurry I say they team are lost without them!

The icing on the cake came when it came time to pay - bill requested it was delivered promptly and I laid out my card. A new waitress appeared picked up the card and I swear the only words she uttered during the whole payment process were "can you enter your pin please. Three of us were looking to engage her in conversation but she avoided eye contact at all times and steadfastly kept her eyes focussed on the people passing outside the windows. Unbelievable! Either she is in the wrong job or the leadership and management need to focus a little more on their team and on guest experiences rather than new restaurants.

The food was OK and the team delivered what we ordered efficiently but it all just missed the point. They don't seem to understand the business they are in and for personality, willingness to recommend and competitive advantage I award - NIL points.

And this a relatively new concept! Oh dear what a shame for the team, the guests and the investors.

Stuff the Olympics

Tue, 22 May 2012 10:10:43 +0100

At your peril!

Visiting a hospitality business the other day it struck me how cynical and to be blunt - stupid, some people can be.

I overheard the host proudly declaring they have no time for the Olympics - believing there is no benefit or legacy heading their way - that the costs were ludicrous - the ticket allocation flawed - there would be no legacy - that it was just a London thing.

They are not wrong - with such an attitude that they are only too happy to wield to any who will listen i can assure them it will be a self fulfilling prophecy for them. There competitors will be grateful.

Be cynical peer to peer by all means but when it comes to guests my advice is don't do it.

The Olympics are just round the corner and they are a huge opportunity on a number of levels:

The torch relay will pass thousands of businesses
The influx of tourists will be important
Images of the country and it's charms and attractions will be played out globally
The Olympics will be talk of the nation and offers an opportunity to engage with guests.

Before waxing cynically know thy customers!

You don't do religion or abortion because it can upset people - for some the Olympics is THE event of their lifetime.

A huge number of guests will be supportive and even more will be picked up and carried by the excitement. Just wait until the first medal arrives.

Know the runners and riders - know when our chances of medalling are taking place and join in - celebrating the successes with guests who care.

You don't have to show the events, just be aware and be able to talk with enthusiasts with a degree of enthusiasm. Even if your attitude sucks don't let your behaviours or mouth give you away - share in their interest and joy - give them a place to share their enthusiasm and be part of their memories.

The games was won on legacy - the nation has a legacy opportunity - every hospitality operator has a legacy opportunity - don't be in the 87% of businesses camp who are not delivering experiences worthy of recommendation and legacy. These are in fact legacy assassins and I hope tourists and other guests magically manage to avoid their inhospitable establishments for all our sake.

Do you know the torch relay route?

Routes and street by street details are easily found on the BBC Web site.

Is it passing your businesses?

What are you offering to the participants before and after their 300m leg with the torch - they need somewhere to relax, revel in the experience, be interviewed, share the event with friends - what an opportunity!

The training isn't working?

Mon, 14 May 2012 11:59:13 +0100

The hospitality industry spends £4,242 million on training each year according to the National Employment Survey
The hospitality industry benchmark is 75.42% - thats 14.58% below the level required to gain recommendations
According to a recent Square Meal survey 45% of complaints are due to bad service
87% of guests are unwilling to recommend - Customer Service Benchmarking report
65% of employers report a need to improve customer service skills - National Employer Skills Survey again.

So doesn't that mean employers are spending money that both they and the guests agree is not working?

Things to start work on today:

Recalibrate your goals - 90% guest satisfaction is the target - 75% is not good enough
Deliver your goods consistently - while this is not enough for advocacy it is what guests expect as a baseline
Understand what matters to guests - its not service step fulfilment its the things you do that satisfy needs and deliver an experience worthy of recommendation - Free Report
Measure what matters - not what is easily measured
Identify the steps of service and choreograph experiential messages and triggers into team delivery
Recognise and reward behaviours essential to wowing guests

Its time for a fresh look because "if you always do what you always did, you will always get what you always got!
Are your current training and measurement vehicles cutting it?

Maslow's Road to Sales & Profit

Fri, 04 May 2012 17:00:20 +0100

Let me introduce the genius of Maslow's Hierarchy of Needs

In simple terms Maslow identified 5 levels of human needs - the ladder we all try to climb despite the many challenges cast in our way:

Basic Needs - air, food, drink, shelter, warmth, sleep and yes sex.
Safety Needs - protection, order, law, limits, stability
Emotional Needs - family, affection, relationships
Esteem Needs - achievement, status, responsibility, reputation
Self Actualisation - personal growth and fulfillment

That this is true and I firmly believe it is - is great news for every operator in hospitality.

All hospitality businesses are in the business of EXPERIENCES - or should be!

Not providing goods or services but honing their systems and processes and equipping their teams to prepare to satisfy levels 3,4 and 5.

After all are hospitality businesses not excellent places to commence, develop and nurture relationships, gain status, achievement and reputation and provide wonderful personal growth and fulfillment?

Eating out, even if its for the first time, let alone at a Michelin Star restaurant is part of the search for achievement, status and reputation. It is also why people want to share tales of their experiences with their friends.

Trying a new drink, a cocktail, a glass of wine, an aged steak, an unfamiliar fish or a new heathy or local ingredient all adds to the experience ledger on the journey to self actualisation.

Who has stayed in a fine hotel and not told their friends or family of the experience?

Who never basked in the first time they ate out or to went to a nightclub?

When you get to my age going to a cool nightclub is even an attempted statement about how young we still are!

The opportunity to tune into guest needs and deliver experiences is huge.

Whether for guests who have never or hardly ever eat, drink or sleep out this experience is a big deal - what an opportunity to make them feel special.

Or for us all seeking new tastes, the opportunity to learn, to explore and to escape - hospitality businesses are a key part of the solution. These are basic human needs and for the tills and P&L a/c's they are manna from heaven.

Tune in to guest needs and design your service to enable experiences!

Sadly most are not doing it! From the evidence it seems that most are selling pizza's and burgers, pints of beer and bedrooms - do you really think thats why guests come?

Is satisfaction the goal?

Thu, 03 May 2012 16:44:03 +0100

Satisfaction is derived when what the customer expects to get is at least matched by what the customer perceives they got

In a supermarket the label and appearance suggest what quality of beef burger the customer will get when they have cooked it.

In a restaurant the menu, dish description, price and and environment suggest not only the quality but the service the guest can expect.

Expectations are established. When these are met - when what the guest expects to get, is at least matched by what the guest perceives they got - the guest is satisfied.

Satisfaction is OK but is that the extent of your aspirations?

Hospitality businesses have the opportunity to reach further adding more value providing an experience that has much more meaning and longer term financial returns.

30% on the brink of gaining Advocacy

Mon, 30 Apr 2012 09:36:47 +0100

Only 13% of hospitality businesses are delivering experiences that cause guests to recommend and act as advocates but the latest insight offers hope for a further 30%.

While:

Net Promoter research proves that 90% is the target score
87% of businesses are not delivering experiences worthy of recommendation
34% of businesses scored less than 60% - a level of dissatisfaction causing those guests to act as detractors - sharing the negative experience with friends and colleagues

The good news; aside from the 13% already scoring 90%; is that:

30% of hospitality businesses are within 10% of delivering the 90% satisfaction and loyalty levels required for guests to become promoters

Setting all of the the negatives aside what this intelligence demonstrates is a huge opportunity - just a 10% shift for 30% of businesses would be worth vast sums to both the individual business and the sector as a whole. Simply by focussing on allowing personality to shine and building rapport and connection with guests, teams can better understand their needs and deliver beyond their expectations thereby converting ambivalent guests into advocates.”

Disney’s own research found that guests who score 90% + are worth 4 times as much to their business as other less satisfied guests.

Not only would this shift provide competitive advantage for the business concerned but the word of mouth helps provide much needed ballast for the hospitality industry who face a barrage of competition every day - supermarkets, retailers, broadband streamed entertainment and all the others who are competing for consumers hard earned disposable income and time.”

With a little strategic thought and by focussing on the things that matter the guest experience can be significantly improved (as proven by our clients results) causing more guests to drag themselves out of the sofa, away from the HD film and into the welcoming arms of your team.

GET YOUR COPY OF THE NEW INTELLIGENCE REPORT

Beware Robotic Service

Fri, 27 Apr 2012 11:45:25 +0100

While the laying down of processes and systems is essential be clear why you are doing so.

You are doing so to stage the opportunities for team members to interact with and engage guests! Not because these are what the guests came for!

The steps you outline are choreographed opportunities to sell the experience.

But Beware…..

In identifying the customer service steps that will best service guests it is important to bear in mind that the delivery of the process can be easily ruined by scripting. Telling the team what to say and when to say it, can easily divert team members attention from the original rationale and can undermine your goals. If guests want a robot they can go to a vending machine. The guest came to you for an experience - they expect to be served goods efficiently and professionally but what they want is an experience not a robotic, cold, efficient process. Guests love engaging team members who are warm and who care.

Systems and processes create the opportunities and any scripting should be a means to an end not the end.

Don't measure delivery of the process and certainly not of a script - these are inputs!

Measure the outputs you created your service steps or moments of truth to achieve - measure the experience.

Develop team knowledge and confidence within a system that facilitates them engaging guests as individuals that represent your brand.

Have you received your copy of The Customer Experience in the Hospitality Industry - our report uses 000's of real independent mystery guests to consider the competitive advantage opportunity.