Monday, November 18, 2013

The Burger, Ginger and Hair Story

Documenting experiences of mine and of others whom I know has been one of the best ways to introspect and gather insight about organizations and their culture. Engagement is always an outcome to the same, often a preceding one to other outcomes like efficiency, productivity, performance, OCB, commitment and contribution.

Out of all experiences that we have, our experiences as customer are the one that perhaps takes us closest to a company.  I attempt to summarize a few recent ones, some my own and some of my close acquaintances that have interesting perspectives –

Are Policies more important than the stakeholder?

Customer loyalty has increasingly become a rarity in the age of competition and plentifulness of choice. Hence each company tries to buy that loyalty in some or the way - one of the easiest ways being the ‘Membership Card’. One of my friend hold a membership card for a unisex beauty salon chain called 'Naturals'. On her recent visit she was told that this card will expire soon. She remembered that she had paid Rs. 500/- when this card was issued to her last year. And now when the card expires she would again have to pay Rs. 500/- again to renew her card. 

She was puzzled and asked why would a membership card expire and why would she have to pay again to renew. The front-office lady, without even looking at her,  replied to her that this was the company –policy. When my friend protested, she was told that she had saved enough on the services that she had availed from naturals because of this card, so she should not be protesting. My friend very rightfully suggested back that as much the card had got her some nominal discounts of the services availed by her, 'Naturals' had also got assured business all through this period and she did not go to any other salon. 

The front-office lady had no reply for this and feeling defeated in the argument she said with a lot disenchantment that my friend was the first customer to be protesting against this policy. My friend asked her whether they would do anything with the feedback. The lady told her that one customer’s feedback will not change anything. They would only consider a feedback if few hundred customers complained. She also told my friend very clearly that she could nothing about because this was her ‘company’s policy’. My friend left the salon vowing never to be back.

Interpretations: There are two inferences that can be drawn from the experience of my friend:
1. For naturals policy that they have framed is more important than the customer.
2. There is no value of the individual. The individual will be sacrificed on the altar of collectivism. C.K. Prahlad’s n=1 formula whereby he suggested to treat each customer as an individual, fails to make any sense in companies like 'Naturals'.

Hindsight Wisdom: How many times have you experienced something similar where an employee has expressed his/her helplessness despite the fact that he/she seems to understand & appreciate your logic? Policies that a company frames cannot be set in stone. This is not to suggest that things got to be laissez-faire but enough flexibility has to be kept to be able to modify or change a policy that does nothing to serve the stakeholder’s interest, be it be customer or an employee. 

Mc Delivery – Burger or Disillusionment?

McDonalds has always been one of my favourite brands, not only because they are pioneer in fast food retail chaining but also because of the fact that experience in their stores has always been top-notch. In fact in one of my previous posts, titled ‘Some balloons fly…’ I had written about one such experience. But recently McDonald’s home delvery service left me disillusioned. 

McDonalds started home delivery sometime back. Recently during a kids party I tried to call their centralized home delivery number that takes the home delivery order. The usual address, contact details etc. were taken down, that took some time. After which the lady told me which McDonalds outlet was closest to my location. I was on phone all this long and after few minutes the lady on the other side tells me that the number of the outlet closest to my location was busy and I should hang-up and call the centralized number again. I was puzzled and asked her that couldn't I just hold for a while because if I hung-up and called the centralized home delivery number again, I may have to go again through a long process before I can reach this stage. The lady told me that she could not do anything and I will have to hang-up. 

On my repeated request that I was having a kid party starting in my home in few minutes and I had depended on McDonald’s home delivery menu for the snacks, she was kind enough to give me the mobile number of the closest outlet and asked me to call directly. I hung-up and called on the number given by the lady and guess what comes from the other end – a pre-recorded voice, that tells me that this number is temporarily out-of-order. 

I was stranded! 

The customer care lady had been successful in deflecting me out of her way by giving me a number that is out-of-order!!!

I felt cheated...

Immediately I picked-up the Pizza Hut home delivery menu and ordered for Pizzas instead. In the next 20 minutes I had the pizzas and coke delivered. The party was salvaged. Thanks to Pizza Hut! As far as McDonalds home delivery menu is considered, that can do better in a garbage bag.

Interpretation: 
1. Home delivery was never the forte of McDonalds but having started this service, home delivery seems to be last on their priority.
2. The home delivery order receiving executives have not been chosen as carefully by McDonald as it chooses the buns, potatoes and other ingredients for its 'assembled' Mc Burger. The people taking the customer requests are least empathetic about customer needs.

Hindsight Wisdom: There is no use offering a service if you do not mean it. Often a company customer or employee helpline is more a decorative showpiece than a real support service. It’s better not to have them in the first place. 

Something is better than Nothing, but Nothing is better than Non-sense!

Should you forget the humble bread when you have a sumptuous buffet?

Ginger hotels from one of the most revered business groups in India – The Tatas has been such a let-down, much contrary to the expectations. A friend of mine called one of their hotel numbers to make a booking. After the initial  receptionist talk, his call was transferred to the reservation desk. The booking details were discussed and the tariff was agreeable to my friend. The dates he was looking for the booking were the peak rate dates considering it being Christmas and New year week. The only hitch, Ginger wanted the customer to pay the entire tariff for the two rooms that my friend wished to book in advance to confirm the booking. Additionally he was told that there would be no cancellation or refund since it was the peak season. 

My friend communicated to the reservation executive his definite intention to visit and also the fact that he had chosen Ginger based on his previous good experience. He also requested he be given the option to get his booking confirmed by paying 50% of the tariff at least or given some option of cancelling the booking in the eventuality of a unavoidable exigency considering that he was travelling with his family that included kids and an elderly couple. 

The reservation executive promised to discuss the request with his senior and arrange a call back by 4 p.m. the same day. The day ended, no call came from Ginger. Late in the evening, my friend called the hotel again and he was told that a call would be arranged the next day. The next day came and when no call came even by noon, my friend decided to call again. This time a new person took the call. When my friend searched for the reservation executive with whom he had talked the day before, he was told that there was no person by this name working in the organization. 

How is it possible?, thought my friend. 

Anyways he again had the entire conversation. This time he was told a tariff that was higher than the tariff that was told to him the previous day. How could the tariff change in a day? ‘Peak Season Sir’ – is what the executive told him. By this time my friend was exasperated. He again inquired for the person with whom he had conversation the previous day. After much confusion, it came to light that the previous day he had conversation with a reservation executive from the centralized reservation desk in Mumbai whereas the next day his call had been transferred to the reservation desk in that particular hotel (Ginger has many hotels across different locations). 

My friend then requested that his call be transferred to the centralized reservation desk. Once that was done, a lady on the other side greeted. It was still not the same executive but thankfully that lady confirmed that an executive by the name my friend told her actually worked at Ginger. She again listened to the entire story and my friend repeated his requests. The lady again told him that this was not possible as this was the peak season and they were getting many customers. My friend told her the promise that the 'elusive executive' had made to him – of checking back with his seniors and calling him back! He also wondered that will the hotel treat its loyal set of customers, who chose the hotel in every season, in such a way, simply because they were assured of more ‘rush’. The lady executive again promised to check with the senior and call back. And guess what, the call did not come…

Interpretation:
1. No one cares at Ginger (at least that was what my friend inferred).
2. Ginger like many other local hotels was busy cashing the season rush and does not remember or value it’s all-season patrons.

Hindsight Wisdom: Tata, a revered business house in India stands for ‘trust’. The trust in this case had been ripped-off by the reservation desk. Trust gone, means everything gone. Plus, the fact that companies fail to recognize their value customers and become oblivious of their needs at times when the going is good, reflects a cultural mindset. In difficult times, this set only bails you out! 

When it comes to employees is the company counting on the headcount or value heads depends on whether they have a ‘platform’ approach, where trains come and leave, or a ‘bank’ approach where people come and trust to leave their ‘valuables’ with an intention to come back and a belief that when they come back they will find the same intact and appreciated.



3 comments:

Unknown said...

Hi, I went through your article, these are today's practical scenario where organizations are loosing their huge database of loyal customers. But under certain circumstances employees are helpless. So, I think organization should take initiative to train employees their by this kind of situations can be avoided.

Unknown said...

It was true what you discussed in your case and it happens a lot times to many people.But its not completely true you are neglected,may be they were busy with other works,may be you consulted wrong person.Although,they had negative impact during that time which shouldn't be happening in this perfectly competitive markets where there few customer loyalty,such incidents should be reported to higher authorities to get it controlled.It's the company's duty to keep such things at bay.

Ambati Spandana said...

hello, i have read the article and totally agree with anitha..it tells us about how its not very easy to handle customers, how easily they lose their trust and end up losing their most loyal customers, this is where HR professionals can come into the picture as in where they can create and implement few strategies or methods which help the employees connect with the customer in a better way in terms of communication..