Exceeding Expectations: The Key to Thriving in Retail by Transforming Customer Experiences

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Inside Outdoor | Spring 2015 42

“In fact it can take as many as 12 positive experiences to make up for one unresolved negative one.”

by Ritchie Sayner

Exceeding Customer Expectations

Have you ever gone to a rock concert only to leave feeling the band was simply running through its repertoire of top hits in an effort to get off stage as quickly as possible collect its fee and get to the next town? Anyone who has been to a Bruce Springsteen concert will concede that what you get is well worth the price of admission. It’s not unusual for Springsteen to play shows that are four hours long. The E Street Band always seems to give 100 percent and the set list is always different. Bruce Springsteen is an example of an entertainer who clearly exceeds customer expectations.

In today’s rapidly changing retail landscape it is crucial that retailers do everything possible to enhance the consumer experience every time they have a customer interaction be it in a store or online. As we all know too well the biggest assortment and the lowest price for anything you want to buy is only a mouse click away.

Sure attracting new customers is critical to any retailer. However given that it is “six to seven times more expensive to acquire a new customer than to keep a current one” according to the U.S Office of Consumer Affairs it is important that we

Nurture Our Existing Customer Relationships

It is also true that news of bad customer service reaches more than twice as many ears as praise for good service. In fact it can take as many as 12 positive experiences to make up for one unresolved negative one says customer service consultant Ruby Newell-Legner.

Here’s Some Personal Proof

Recently my wife and I were at dinner with friends. One of those friends had returned that very afternoon from shopping and couldn’t wait to unload in detail her futile attempt to return an item with tags in place receipt in hand and the item still in stock at full price. Since she was admittedly outside the store’s return policy our friend didn’t expect a refund but had hoped for a store credit. Instead she was told by the “assistant manager” that she was “stuck with it” (exact words).

Access to the store owner to appeal the decision was not possible; consequently our friend left the store mad and embarrassed vowing not only to never return but to post the experience on every social media outlet she could find.

Clearer heads finally prevailed and disaster was averted but this is the worst possible scenario. This store would have been much better off to grant the store credit which is what the customer wanted in the first place. After all this was all over $58—certainly not worth losing a customer and all of the potential negative press.

Just imagine how different our dinner conversation might have been if the store employee had graciously asked what she could do to make the customer happy? What if she even included an additional $5 on the store credit just for having to make the extra trip? It’s all about exceeding the customer’s expectations.

Customer Service Stories

I recently asked a few of my clients if they had any stories they could share about good customer service. Here are just a few examples of the many responses I received:

• A store owner received a call…

On Christmas Eve

A customer who was leaving on a ski trip the next morning had forgotten to pick up the skis he had purchased. The owner met him at the store found the skis and even went so far as to tell the customer that they could pay the existing balance when they returned from vacation.

Another Store Owner

Hand delivered presents to her customer on Christmas Eve because the customer’s husband was out of town until Christmas Day.

An Employee’s Extra Mile

An employee of another client called every husband in her social network hand selected and photographed items on her iPhone wrapped them and personally delivered them.

Christmas Tree Business

Another client in the Christmas tree business received 700 artificial trees after Thanksgiving (about a month too late). One of the owners personally delivered trees at 10:30 P.M. on a Saturday night in December because he had promised his customers they would get their trees as soon as they arrived.

Certified Pedorthist Story

There was also an interesting story involving a certified pedorthist who while on vacation delivered a special order to a diabetic customer who lived in a different state.

Above and Beyond

One store actually refunded the purchase price of a pair of shoes that never actually was purchased at the store simply because the customer was so insistent that they did. Now that really goes above and beyond. Think of the good will created by this.

Gesture and the Negative Feelings Averted

Had it been handled differently the store had every right to decline this refund. He would have won the battle yet still lost the war. These are all great examples of what many retailers do to exceed customer expectations.

Hiring the Right People

Another simple step that pays huge dividends is to make sure the people we hire are truly representative of the message we want our customers to receive. The people on the selling floor are the direct face of your business. Always look for people to hire who are friendly outgoing gregarious with warm personalities.

A Personal Experience

I walked into a nationally known home store the other day walked up to a salesperson who looked at me like I was interrupting didn’t smile and made the smallest effort possible to answer my question. I walked out empty-handed. Do you think I will return anytime soon? No they don’t value my business or me as a customer.

The Good News

The good news is that brick-and-mortar retailing still allows us to provide “high touch” service in a “high tech” world. Use your next staff meeting to share examples where your company has previously exceeded customer expectations and what more can be done in the future.

Ritchie Sayner is VP of Business Development at RMSA Retail Solutions. Follow him on Facebook at www.facebook.com/RitchieSayner or email to rsayner@rmsa.com.
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Summary

The article emphasizes the importance of exceeding customer expectations in retail by providing exceptional service and maintaining strong customer relationships. It highlights that acquiring new customers is significantly more costly than retaining existing ones and shares several stories of businesses going above and beyond to satisfy their clients. A key takeaway is that positive customer experiences can greatly enhance a brand’s reputation while unresolved negative experiences can be detrimental.

“In fact it can take as many as 12 positive experiences to make up for one unresolved negative one.”

Real-World Examples of Exceeding Customer Expectations

Here are some real-world examples illustrating how businesses go above and beyond to exceed customer expectations drawing from the principles discussed in the article.

• A popular coffee chain offers a free beverage to customers who experience a delay in service ensuring that even a minor inconvenience is turned into a positive experience.
• A local bookstore hosts monthly author events with free refreshments and personalized book signings enhancing the customer experience beyond just purchasing books.
• An online retailer provides a no-questions-asked return policy with prepaid shipping labels making it easy for customers to return items they are not satisfied with thus building trust and loyalty.

Discover Proven Retail Strategies!

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