| |
| |
|
Customer Service Information |
|
|
|
Invalid Excuses for Poor Business Results - The Weather
Note to Kmart: It wasn't about the weather In the 1970s Kmart was the retailer to beat. No matter what happened, they seemed to turn profit. Customers were loyal and prices were hard to beat. The chain was opening more store each year than some of their competitors had in their entire chain and sales were growing at admirable rates. Things were good. Then sales began to slump. By the middle of the 1980s Kmart was beginning to be report poor sales. The main reason they gave: the weather. With each disappointing sales report, Kmart blamed the weather. "The bitter cold hurt business." "The blizzard moving through the Midwest kept customers away from the stores." "The unseasonably warm fall decreased demand." Whine, whine, and more whine. At first, investors bought the excuses. They overlooked the fact that in each sales period Wal-Mart would report record or near-record results. Observers noted that Kmart's merchandise mix was more weather driven than Wal-Mart's because Kmart had more lawn and garden and apparel business than Wal-Mart's merchandise assortment which relied on more consistently selling consumables and commodities. As time went on, the whine became tiring. Analysts began to grow weary, with one eventually noting that Wal-Mart was apparently having different weather than Kmart. Top management had become so engrossed by the weather as the reason for poor sales that they did not even look at other possibilities. Prices were less competitive. Weekly ads were not bringing people into the stores. Customers were finding empty store shelves. New products were taking longer to get to Kmart's shelves than at Target and Wal-Mart. To make matters worse, executives at Kmart decided to upgrade the merchandise mix, thinking their customers would appreciate higher quality merchandise and be willing to pay more. Customers didn't agree. Weekly reports showed customer counts were continually dropping, so management decided to drop the report. The chain was out of control, disconnected to their founding principles, and so convinced that if they could just get Mother Nature's favor everything would be okay. Kmart is not alone in blaming the weather. Resort areas have long used them as an excuse for a poor season. Home and Garden businesses regularly point to the weather when results fall short. Sporting goods stores and athletic venues say weather controls results. Although one might say there is validity in their claims, it is nothing more than whining, whining, and more whining. During the fall of 2004, Florida was hit with no less than 4 hurricanes. Orlando's Walt Disney World and Sea World certainly could have complained that sales and profits were hurt because of the hurricanes. Neither did. Why? Both businesses understand the nature of weather on their business. They have designed their businesses in such a way as to protect their bottom-line. They have done so by connecting to their customers and understand exactly what their customers wanted yesterday so they can accurately predict what customers will want tomorrow. It is not about the weather, it is about understanding what your customer wants and delivering it to them in the manner they desire. Wal-Mart understands, Sea World understands, and Walt Disney Theme Parks understand. More importantly, their employees understand. They are so focused on the customer that the customer will reward them time after time, no matter what the environmental conditions. To be successful, your first second, and third business focus must be on what the customer wants. Rick Weaver is President of Max Impact, a national leadership and organization development company based in Rochester Hills, Michigan. Rick is an accomplished business executive with experience in retail, market analysis, supply chain and project management, team building, and process improvement. He has worked with hundreds of companies to improve sales, processes, and bottom-line results. MaxImpact offers leadership and organizational development services along with employee assessments and background checks. Contact Rick at 248-802-6138 or via email, rick@getmaximpact.com. MaxImpact is on the web at http://www.getmaximpact.com
MORE RESOURCES:
Customer-Service - Google News |
|
|
|
RELATED ARTICLES
Listen to Suggestions If you are up to your ears in a stressful situation, it becomes difficult to think clearly. Sometimes, it is best to walk away from a problem, and think about it, rather than try to solve it with an instant solution. Wholesale Buyers Versus Retail Customers Are wholesale buyers and retail customers really different? Frankly, there are two answers to this question: yes and no. Yes, because they are different from the buyers and those selling to buyers' point of view and no, because the principles that apply are the same for both types of buying. Creating the Right 'Viral Reputation' Unless you are brand new to business, or have been under a rock for quite some time - one key marketing technique (which isn't new) - is called 'Viral'.Based on the word 'virus' - viral marketing or viral business simply means it 'spreads' like a virus. What You Need to Know About CRM 1. It's all about the customer. 6 Reasons Why Complaining Customers are Golden With Some Tips on How to RespondTt has probably happened to you if you own your own online business. You get an email or even a phone call from someone who is upset or unhappy with this or that about your business. What Every Employee Should Know About How to Prevent Customer Service Conflicts There are five techniques that have been proven to be effective in resolving, minimizing, and preventing conflicts. And by conflicts I am referring to any of the following that may take place between two or more people: misunderstanding, miscommunications, arguments, disagreements, mixed messages, fighting, etc. Develop Loyal Customers for a Lifetime - part 2 (11 - 20) Traditional marketing strategies encourage business owners to continually grow their businesses by adding new customers. In today's competitive world of business, it is more important than ever to aim for more transactions with existing customers by using the power of customer follow-up and attention to good service. Customer Service and Marketing that Works Go into many businesses today and try and get service, its sometimes impossible! The customer service officer is on the phone talking about personal issues, there is not enough staff, and they are disinterested and distracted.The old days of customer service is where you the customer were viewed as valuable and important and you received service from a person and not a machine. Stand Out in Business the Write Way When was the last time you received a handwritten note from a business associate? It may be that it was too long ago for you to remember. On the other hand, if you have gotten one lately, you know exactly who sent it and when. The Great American Customer Service Unawareness Campaign Q: I'm so sick of you so-called business experts always saying the customer is always right. This is my business, not the customer's, so I'm the one who's always right. What To Do When Youve Blown It It's bound to happen sooner or later - yes, even to you and your business. Sometime or other, you will make a blunder that upsets a customer. Handling Difficult Customers - 8 Strategies In any business our customers are one of our most important assets. Unfortunately there are days when not all customers want to be friendly or pleasant. 8 Critical Steps to Establish a Customer Service Culture "Every company's greatest assets are its customers, because without customers there is no company," --Erwin FrandDuring our recent weakened economy, many businesses have seen declining revenues and declining budgets. Declining budgets often lead to reduced staff levels and diminished services. Mastering Challenging Service Situations During the course of everyday business, many of you encounter unsatisfied customers. How you and your staff handle these situations, will shape your service image and ultimately your bottom line. Learn to Anticipate Your Customers Needs This morning I was having breakfast with my good friend Diane at one of my favorite breakfast nooks. I enjoy the atmosphere there although I've been less than pleased with the customer service so far. The Nine Principles of Customer Service for the Travel Industry© If you want to learn how to get your clients to do your selling for you through excpetional customer service, read on. Learn customer service secrets from tourism professionals, apply them to your business and prosper. Complaints Are Actually A Good Thing! Nobody likes to get complaints. They make you question your judgment, they can ruin your day, and they almost always leave you in a bad mood. A New Way To Handle Complaints, Or Is It? What a lot of money we have been wasting on dealing with customer complaints.Instead of dealing with them and attempting to satisfy the customer we should create a process that makes complaining so difficult then when customers complain they get such a huge negative experience and never receive any satisfaction. Five Tips to Calm Cranky Customers 1. Tis the SeasonRecognize that everyone is frazzled during the holidays- you and your customers. Saying Thank You to Your Clients "Thanking your customers" - Why you should do it and how..
|
| home | site map |
| © 2006 |
