What would you think if I told you that American Idol’s Simon Cowell has a lot to teach most businesses about effective coaching? “My opinion”, I must add quoting the master of mean. And an educated opinion as is Simon’s.

Although I haven’t signed my $100 million deal with Sony Entertainment, yet, I have studiously observed thousands of hours of coaching and customer or prospect interactions. And I know for a fact that most business coaches are not causing performance improvement well enough. I can’t help but wonder if Sony’s customer care or sales organizations are as effective at developing top performers as their favorite talent scout, Simon.

To be clear, I am not referring to the nasty comments about age, appearance and intoxication levels. Those are made for TV, we all know this. In business, anyone hurting the feelings of others for a laugh should be fired.

Instead, I refer to the 4 clear and concrete standards Simon Cowell imposes on every auditioner every time.  That’s what a good coach does - sets high standards and evaluates performance against the standards over and over again.

It’s always the same 4 components:

1. CONTENT - in AI, the content is the song choice. He expects singers to credibly tell a story that will help audiences to know and like them. In business, content includes positive word choices, messages of reassurance, and explanations of solutions or products. Shouldn’t we all coach to content?
2. DELIVERY - in AI, this is about stage presence. Does the performer know how to connect with the audience and sell the message? We ask telesales people and service pros to do this all the time using the phone as their mic. In retail, we coach to eye contact and body language. Good content with lazy delivery will make no one a success. Delivery is a key standard for all business behavior.
3. PERSONALITY - in AI, this is the “star factor”. The ability to reveal unique bits of who they are so viewers feel they can know and trust them. That’s the reason for the video clips and backstage peeks. Boring, stupid, or forgettable people don’t make it. Personality doesn’t compensate for consistently bad content and poor delivery, but break out stars can be made on personality in music and in business. Just ask Madonna or the top salesperson in your company.

4. ACCURACY - in AI, accuracy is about vocal skill. This is the only category Randy and Paula know how to comment on and neither does it well. Randy’s “pitchy”  was never concrete enough. Pitch too high? Too low? Wrong key? What on earth does be mean? Paula commits the worst sin of all in this one category. “You were ahead of the music, but so what”. Imagine telling an employee they were inaccurate but it doesn’t matter because they were adorable? Simon’s feedback has real value. He focuses on the melody, the composer, and making the song sound better than the memorable original.  In business, accuracy may be less glamorous - applying company policies and entering data - but people do not keep their jobs if their accuracy is poor and they don’t become a pop star if they can’t hit the notes.

So how can business take a page from Simon’s coaching playbook? It’s simple. Set high standards in these same four concrete and important categories. Consistently coach to one or more of these areas every time, every employee, every week. Find the coaches who use hip, throw away comments to preserve employees egos but aren’t correcting what needs to change - and teach them a new methodology. Everyone worthy of working for your company should have stellar performance as the goal. And your coaches must be there to help them achieve it.

Technorati Tags: simon cowell, american idol, randy jackson, sony, caras training, coaching

In Spring 2004, when my husband’s job changed, we found ourselves looking for homes back in Massachusetts. It was the peak of the market. Houses sold in a matter of days and prices were exorbitant. Sellers were arrogant and unflinching. Especially the builders.

I had never dealt with builders before and I did not want to this time either. Our plan was to find a beautiful old antique like the one we’d left behind but we found hideous old wrecks instead. It had to be new and it had to be now. Not exactly a case study for negotiation.

So we started to visit new neighborhoods and finally settled on one with 13 homes in various stages of construction. No sales representative could be found. No one answered the builder’s number. Our realtor became a stakeout expert and finally ambushed the owner 60-Minutes style. She got us a meeting to talk about the one available lot.

The builder graced us with his presence. And the presence of two other couples also interested in this property. The other people seemed docile and willing to go along with whatever the builder offered at any price. They had been looking longer than we had.

I asked provocative questions like “How many electrical outlets do you put in the bonus room?” He answered, “Those are extra - $185 a piece,” without looking me in the eye. “If you add them yourself you void the one-year warranty.”

I asked about countertop materials and styles. He made a slight gesture toward a mud and concrete covered book. I was allowed to look and touch the book at no charge. Lucky me.

If you were a buyer at this time you know that we bought the house from this nasty man paying more than he asked and adding an embarrassing amount of $185 outlets. Hundreds of thousands of dollars to a man we wanted never to see or hear from again.

But we did hear from him again. Three years later when the hot housing market had cooled to the point of frostbite he sent a postcard…”Thinking of some upgrades?” it asked. “Let us make your house new again.” Another came two weeks later, “Do you know anyone looking to buy a house? We are offering a referral fee. Call me!” it encouraged. “I can think of a few things to call him,” my husband commented.

Of course we haven’t called him and we never will. The first impression he made can never be erased by a marketing campaign or a referral fee.

Economic downturns happen in cycles. Most of us have seen a few already and will see a few more during our careers. That’s why it’s so important to have solid relationships with our clients and prospects. Even when we’re busy and it seems we have no time for “tire kickers”, we must be patient and available. Even when we have more customers than product to sell, we must take care of our relationships with people even if we cannot satisfy them today. They are our customers and referral sources of tomorrow. They are our network.

Real estate sales consultant Matthew Ferrara says in his blog, “things like prospecting, following up on visitors to your open house, being organized, calling customers back, … Sales, my friends. Good old fashioned sales. That’s what everyone is “suddenly discovering” is missing in the (real estate) business.” A smile, a handshake and a warm welcome can be remembered for many years.  Regard for basic human dignity and a little empathy for the customer’s needs can overcome any objection or buying obstacle. 

When business people say that customer service is the “new marketing” they miss the point a bit.  Customer service has always been an essential part of marketing. It’s simply that now a company’s marketing dollars are being spent in the customer service realm - paying for training and monitoring quality. Consumers have a louder voice than ever before.  Now you don’t just tell a friend or two about bad service, you tell a whole community of listeners with podcasts, YouTube videos and blogs.  I just did.

Technorati Tags: customer service, selling, real estate, Matthew Ferrara

Recently, Starbucks announced their new “interactive community” called My Starbucks Idea. In 2 days they had tens of thousands of hits at their site. Some obvious recommendations, such as the introduction of a loyalty program, have 50+ comments and variations per entry. There is no doubt that the Starbucks community of consumers wants to be heard. In fact, I had to laugh at all the people taking their valuable time to write and complain about how much of their valuable time it takes to wait for coffee with 11 ingredients… (AdAge has a few opinions about customer posts as well.)

For those of you with service or sales experience, the posts at Starbucks will hold no surprises. After reading 200 comments from the 13 categories, I can state with total confidence that there is no new information here. Use your imagination and every CSat survey or customer complaint you have heard in any job, anywhere, and you already know what people are writing about.

So, if the customer demands are not new, this means the solutions are not new either. But they do have heightened urgency. Now that Starbucks, like many retailers, is inviting consumers to ask for stuff, these retailers are obligated to give at least some of what was asked for. Even though it involves the same “best practices” we’ve been talking about for years, it will feel like a win to the consumer.

So how do the consumer demands translate to real action at the retail level? Three simple things:

1. Get the on-site manager out from the back office and focused on coaching people to a higher level of quality. Including:

• Stopping the gabbing between employees and getting them to give full attention to customers.
• Demonstrating how to engage customers with a smile and eye contact.
• Routinely watching and tasting to be sure barristas make each coffee as taught so customers receive the product they want.
• Creating contests that will polish staff’s speed and accuracy skills so they can do more in less time.
• Opening up another line when more than 3 people are waiting. (Okay, so they’ll need more registers for this - but I had to include the thing that bothers me the most. Get rid of some merchandise and make counter space for checkout… USA Today has an interesting article that talks about “cutting the clutter”.)

2. It’s not just the local management that needs to put more skin in the game. Get the corporate trainers into the stores to observe and correct. If things don’t look, sound or taste their best, then trainers need to design in-store activities to improve the performance level. Shutting down for 3 hours for training is an expensive and exciting event - as widely reported by every US news outlet. Take a look and listen to the video interview from Elliott Masie called “Venti Learning with Foam” to hear what other corporate trainers thought about Starbucks’ 2/26/08 program.

Here’s the bottom line: events are rarely enough to develop skills unless they are reinforced at least once a week for a few months. Well-designed in-store activities run by top barristas or skilled managers will get genuine learning transfer at a much lower cost.

The customer-friendly dialog we are seeing and hearing about is all wonderful. Empowering consumers and making them feel heard is helping marketing departments worldwide to write better copy and design superior campaigns. What it is not doing, yet, is improving the real world customer experience. But it can.

3. When leadership steps out from behind the writers’ desks and onto the front line they will be showing genuine support for the faces of their business. The faces who make or break their business.

It takes hard work to get more results, not hard copy.

Let leaders in Operations, Marketing, Distribution and Finance go into stores and observe, demonstrate, and re-train to get the product they expect - hard skills and soft skills alike. Let them “walk the talk”.

Bond top line to front line.

Satisfying consumers requires the same investment now as it has always required. Though only the few truly great companies in the world are doing it.

Invest in the thousands of employees who have entrusted their rent money, car payments or family meals to you. Three small but essential acts. Then quality, consistency and profits will soar.

Technorati Tags: starbucks, retail training, customer service, leadership, coaching, quality assurance,

 My colleague, Gary Connor is a frequent traveler like many in-demand trainers and speakers. His keynote, “Tales from the Trail” highlights the often funny, professionally pathetic customer service experiences that can make business travel a tour of hell.

Amidst all the crazy check-in and no-sleep experiences, he consistently tells of this great Fairmont Hotel in Newport Beach, CA. This time, I had to share his applause.

Gary’s story: “This week I was at the Fairmont, Newport Beach.  Since I was checking out on Friday morning at 4:30 AM, I wanted to turn in early. Imagine my delight when I got back to my room at 7:30 and found the windows rattling from the music of an outdoor party below that was being thrown by an investment company as part of their conference there.  Okay, I’ve been to enough conferences to understand that sort of thing and decided to live with it. 

By 10:00, I couldn’t stand it anymore and went to the front desk and gave the desk clerk an ultimatum: either shut down the party or find me another hotel to stay in at the expense of the Fairmont.  That’s when the superb customer service kicked in:

1) She said that the music would stop in 15 minutes and if it didn’t they would be happy to find me a room in another hotel.  (As promised, the music stopped by the time I got up to my room.)

2) When I got up at 3:30 there was an envelope under my door with a letter from the night manager typed on Fairmont stationary apologizing for the noise.  Additionally, he included a coupon that would entitle me to a Jr. Suite upgrade anytime I wished.

3) At 6:30 I checked my email and there was one from Randy Zupanski, the General Manager.  In his email, he explained what had happened (party got way out of control) and apologized that it happened.  Further, he checked my file and found that I would be staying at the hotel in three weeks and upgraded me to the Vice Presidential Suite.

I have often said that the real test of Customer Service is how they recover from a mess and the Fairmont certainly did this time.”

I’m meeting with a group of supervisors later today and am going to share this story. Their company talks a lot about the lifetime value of a customer but has not firmed up the commitment by empowering the front line (a large group of “night managers”) to do the sorts of things described in Gary’s story.

What will happen, do you suppose, when service and sales agents start finding things to give away that will have real meaning to customers?

“I see your certificate is due for renewal next month. I would like to renew it now at the higher interest rate.”

Or “We had a coupon last month. I am going to apply it to your account so you can use it the next time you place an order.”

Or, “I am going to authorize home installation and waive the charges for you.”

If your company has taken a stab at this, please let us know how it’s going. I think the Fairmont can teach us a lot about going that elusive “extra mile”.

Technorati Tags: hotel service, customer service, gary connor, extra mile service

Silly question?

Yes and no.

Of course, customers matter. There isn’t a company on the planet that would tell you that its customers do not matter. But often, what is said and what is done simply don’t match up.

Consider the airlines. They ask us to “fly the friendly skies” and even publish their customer commitments on their websites. Examples: American and United.

Yet, my blog buddy Mary Schmidt has found their baggage policies to be anything but friendly. The latest, from United, is to charge certain customers to check a second bag, regardless of weight.

Or the PC companies. Pick one, doesn’t really matter which one. Google it. Odds are, you will find more than a few complaints among the top results. To be fair, it’s rarely a case of rudeness or refusal to support the customer. More often than not, the customer service rep does his or her best, but it’s just not good enough.

Everything from corporate policies to product shortcomings to rampant miscommunication get in the way. Outcome: unhappy customer publishes complaint in a blog or forum. And the problem compounds if the company doesn’t respond to the public complaint, either because it doesn’t see it or it simply doesn’t know what to say or do.

But are these complaints really having any impact? Does individual customer dis-satisfaction, as expressed on blogs and complaint sites, really matter?

Evidence suggests not. Or at least not enough.

As entrepreneur Chip Griffin wrote recently, despite blogger complaints and online mis-steps in recent months, both Wal-Mart and Target appear to be doing just fine:

Companies should continue to take social media seriously, however, because those who have chosen to join the conversation are likely to be more vocal and cultivate an important audience for or against a product. But the significance of these conversations are still at their very earliest stages. Despite widespread dissatisfaction with Wal-Mart and its policies online, millions of people still shop there and the company remains successful. Strong disapproval of Target’s approach to bloggers brought some calls to boycott the company, but I don’t see the lines getting any shorter there.”

Personally, I find this all a bit perplexing. Customer service is a large part of the new marketing. Not the only part, but the product experience must match up to the promise. Consistently, over time.

It is now far far easier for people to learn about the experiences of others. Whether through forums, blogs, podcasts or social networks like Twitter, Digg and Facebook, it is almost certain that your customers will be talking to each other far more than they are talking to you. Anyone in business will tell you that the best lead is a referral. It stands to reason that the opposite, a bad reference, would be a deal-killer. But is it?

The Society for New Communications Research and corporate partner Nuance decided to find out just how much we — bloggers, customers, netizens — think our opinions matter. This is important research that will provide a baseline for understanding the influence of customers on companies in our new “social media world.” Please take the survey and let us know whether you think Corporate America is listening. SNCR is offering a special discounted registration to New Comm Forum in April for those that complete the survey. The direct link to survey is here.

Thanks.

Technorati Tags: SNCR, customer satisfaction, customer service

I am eavesdropping right now. Listening to the greatest customer service pro that I know talk to a total stranger. “That’s my mother’s name!” I hear.

They talk about the customer’s problem for a few minutes and then I hear, “Me too! My husband liked it so much I thought we were going home with time share.” Apparently a vacation spot had been mentioned.

“Okay, mom, I mean Gina,” she is chuckling. “Here’s an idea…” and they return to the business at hand.

How simple it seems to give great service when one finds common ground.

On the next call I hear her say, “Are you in the part of Nevada near the Grand Canyon?”

She doesn’t even realize she’s doing it. Actively seeking ways to relate to others whenever possible. And it’s possible a lot.

So now I am off to design an activity for a new hire training. Instead of simple introductions to start the class, we’re going to teach them how to find common ground. The more “me too’s!” we hear on day one, the easier its going to be to get them saying “me too!” with customers.�

Technorati Tags: new hire training, training, customer service

Recently I received an email from my oldest brother who had copied in his children and presumably his 20-month old grandchild, although I suspect the baby was not reading the message. He signed the message “Love, Stan/Dad/Papa”.

It got me thinking about how many roles we all take on in our personal lives and in our careers. Even at work, we know people who feel like brethren who tease, cajole and commiserate; parents who advise; grandparents who dote.

So where does the role of coach fit in? My big brother has been my informal coach during many periods of my life. He possesses expertise in finance, electronics, long-term relationships, and things with motors. To this day these are still my weaknesses. So I go to him every time I need to make a decision. He has the answers. I follow his lead.

But what would someone have to do to make me self-sufficient in these areas? I think it’s a whole lot more than giving answers and a hug. People don’t learn when someone does everything for them. Eventually we need to know the mechanics so we can solo. This means the approach of encouragement and pats on the back will not get the job done. To make someone self-sufficient, the coach and learner must have a learning plan. The coach must make sure the fundamentals of the relationship are explained clearly. “I am here to make sure you achieve greatness in this job or at this task. I will do whatever is necessary to make sure you achieve your goals. It will be hard work. If you want to succeed I will help you. If you seem like you want to give up I will push you. I like and respect you but I am not your adoring audience. I am your coach. You will do what I teach. Very soon you will not need me to coach you on this subject anymore because you will have mastered it. Then we’ll move on to something else. Eventually you may do so well you become my boss. Then it will be your turn to teach me. Until then, I’m in charge.” The coach has to be willing to teach a little and watch a little. She or he cannot be too busy or impatient to devote the time needed for this person to reach the pre-determined goal. Most of all, the coach cannot be so fearful that the learner will fail that she or he takes over and does the work. People learn by doing things right and by making mistakes. Coaches are there to debrief afterward and correct so the challenges become easier and the mistakes fewer.

What does this mean for you as a coach in your business environment? It means you must put aside the desire to be brethren, parent or grandparent if you want to create self-sufficiency. These roles, however enriching, may be inhibiting the growth of your colleague - the person you are entrusted to develop. Reserve the loving care for the other roles you take in life and for the people who need you to sign your emails “Love, Stan/Dad/Papa.”

Technorati Tags: coaching, mentoring, professional development