Author Archives: Shep Hyken

About Shep Hyken

Shep Hyken is a customer service expert, keynote speaker, and New York Times, bestselling business author. For information on The Customer Focus™ customer service training programs, go to www.thecustomerfocus.com. Follow on Twitter: @Hyken

Are Your Customers’ Calls Actually Important?

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Are Your Customers' Calls Actually Important?

GUEST POST from Shep Hyken

Recently, I wrote an article about the customer service farce. One of several examples I shared was the line we often hear when calling customer support: “Your call is very important to us.” When we hear it, we hope it’s true. We hope it means that the company is going to respect our time, that someone will pick up the call quickly (versus being put on hold for an unreasonable amount of time), and that the agent we talk to will have the knowledge and skills to answer our question or resolve our complaint, and we’ll not have to repeat our story again and again.

In our most recent customer service and customer experience (CX) research, we asked a number of questions about contact centers that convey the message, “Your call is very important to us.” The answers will make you smile – maybe even laugh. I’ve shared some of these findings from surveys from the previous year. Here are the latest with a couple of new ones:

  • Cleaning the Toilet: Nearly four out of 10 customers (39%) say they would rather clean a toilet than call customer support. (That’s gross!)
  • A Root Canal Is Better Than This: A third of U.S. customers (34%) would rather visit the dentist than call customer support. (That’s painful!)
  • Dinner with In-Laws: Half of the customers (53%) say they would rather have dinner with their in-laws than call customer support. (That could be painful, too!)
  • Glossophobia (The Fear of Public Speaking): Even though speaking in public is one of the greatest fears, often ahead of death, one in four customers (26%) would rather speak in front of an audience of 1,000 than call customer support. (Yikes, that’s scary!)


But seriously … as humorous as some of these findings are, there’s some truth behind them. Consider these three findings from this year’s report:

  1. Half of U.S. customers (51%) say that when they call customer support with a question or to resolve a problem, the company does not value their time.
  2. And speaking of respecting time, over half of the customers we surveyed (55%) say they stopped doing business with a company or brand because it kept them on hold for too long.
  3. Six out of 10 customers (63%) say they have stopped doing business with a company because of the inability to connect with someone from customer support. </li?

It sounds like I’m being negative, but the reality is that this information gives me hope – for the companies that get it right. The more serious findings mean that more than half of customers are ripe to switch companies, and if you’re doing it right, they are hopefully going to switch to you.

Whether your company has just a few dedicated employees to support your customers or a large contact center, this information and the opportunities we take from it are applicable to you. Your customers deserve attention and respect. Don’t make them feel as if their call is NOT very important to you!

Image Credit: Pexels

This article was originally published on Forbes.com

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Transforming Metrics into Action

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Customer Experience (CX) Leaders At Verizon, Autodesk And Prudential Are Going Beyond NPS

Transforming Metrics Into Action

GUEST POST from Shep Hyken

Is Net Promoter Score (NPS) still relevant? How can you transfer insights and data into meaningful actions? And how do you hire the right people to meet your Keep Performance Indicators (KPIs) and success metrics? Those were the questions I asked a panel of esteemed executives at a LinkedIn Live interview.

The guests were Brian Higgins, chief customer experience officer at Verizon Consumer, Elisabeth Zornes, chief customer officer at Autodesk, and Abhii Parakh, head of customer experience at Prudential. Their answers are important to any leader making decisions that impact the customer experience.

NPS Is A Foundational Metric, But Its Role Is Evolving

NPS is a powerful metric when used properly. It’s a simple question that determines whether a customer likes you enough to recommend you. From that single question, a follow-up question could seek further insight or action can be taken to improve what’s not working and elevate what is working. So, the first question I asked was about using NPS as a primary metric.

  • Parakh led off by saying, “No metric is perfect. Whether it’s NPS or something else, it’s always about a combination of tactics and measurements to get the insights on what our customers and advisors want. … We run the numbers on how much more value is being driven by our promoters or passives versus detractors, and we see a very meaningful connection between the two.” He cited three key benefits: effectively tracking long-term relationships, correlation with growth metrics and providing actionable insights.
  • Higgins said that Verizon uses NPS to benchmark in two important places. He said, “I want to look at how we are benchmarking against the competition and then against ourselves.” He looks at three areas: one, is Verizon growing or churning? The second is measuring interaction, both digital and with their reps. The third is taking a look at the overall health of the business. And in addition to measuring customer satisfaction, Verizon also uses NPS for employee satisfaction. If employees aren’t happy, the customer is going to feel it.
  • Zornes uses the measurement to strike a balance between Autodesk’s long-term relationships and direct engagement. She explained, “NPS is a great, long-lasting customer impression measurement for services, solutions and products, but we are in the age of digital first engagements, so we, of course, also measure specific moments in the digital journey along with customer effort scores.” While NPS is a foundational metric at Autodesk, they also use the Deloitte Trust ID to assess transparency, capability, reliability and care.

Bring Numbers To Life Through Employees

Competition turns companies and their products into commodities. All three companies represented on the panel have competition. Assuming the products and services do what they are supposed to do and meet their customers’ needs, what differentiates them from competitors is experience. Often, that experience is driven by employees. The next question focused on the hiring criteria that align with CX KPIs.

  • Zornes said, “The internal team and culture are really what determines the customer experience for our customers. So it’s absolutely critical we bring the right talent on board and foster it accordingly.”
  • Higgins focuses on three big areas for hiring. First, Verizon wants a wide range of experience and knowledge. Second, they want employees to act as “CX detectives,” meaning they never let small details get by. Listen and pay attention to the customer feedback and recognize the power of the details. Third, and what Higgins says is most important, is empathy. “A little voice in the back of your head says, ‘I don’t know if the customer is right, but that doesn’t matter. You’ve got to believe in them and make it right for them.’”
  • Parakh says, “It’s super important for any customer-facing role. But I would also say that in addition to customer experience roles, I think that a customer-obsessed mindset is important for any business role. It’s not just the CX team. I think customer experience is everybody’s job. So, across the company, we need to be looking for folks who have empathy for the customer, a growth mindset and familiarity with CX, as well as business knowledge.”

Rethinking How Technology And People Support CX

As the CX landscape evolves with new technology, so do the roles of employees. How do these three iconic brands rethink talent development to support the team’s ability to deliver an exceptional experience?

  • Higgins kicked off with a call back to Parakh’s comment about CX being everyone’s job. “If everyone owns CX across the company, it also means they have to get comfortable with the new sets of tools we’re putting in place. I think about AI, gen AI and agentic AI. You have to make sure employees are comfortable with these new tools that are engaging directly with customers.”
  • Parakh emphasized the importance of keeping up and changing with the times. “You can’t survive for 150 years by doing what you’ve always done. We’ve been through multiple stock market crashes and multiple pandemics, and we’ve done that by constantly reinventing, so when it comes to talent, we have to have the same mindset. Everybody in the company, starting from the top leadership, has to understand where things are going because everything is changing so fast.”
  • Zornes believes that the future is now. “AI is not coming. AI is here. And with that, there is a huge opportunity to really convert those transactions that we might have done in the past to a more smooth and self-service experience. … Some of the profiles of what jobs looked like in the past, what they look like now and what they will look like in the future continue to evolve.”

The future of customer experience lies at the intersection of meaningful metrics, empathetic teams and evolving technology. As Higgins, Zornes and Parakh shared in their answers, success comes not from any single measurement tool but from creating integrated systems that consistently detect, analyze and improve the interactions customers have with the brand. And when you add the right people who are able to demonstrate empathy, curiosity and adaptability, you have a winning combination of KPIs, technology and people that gets customers to say, “I’ll be back!”

Image Credit: Pexels

This article was originally published on Forbes.com

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Embracing Convenience as a Strategy

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Embracing Convenience as a Strategy

GUEST POST from Shep Hyken

I just received an email from the Dollar Shave Club. I’ve been a member (as in customer) of the “club” for more than 10 years. I joined the club after watching their irreverent, R-rated (for language) YouTube video that has more than 28 million views. The concept was simple. Pay a small monthly fee and new razor blades are delivered to your mailbox. The member never has to worry about running out of fresh razor blades ever again.

After giving them a try, I joined the club. For years, I received a package of four blades every month. I never worried about whether they would show up – they always did. It was so convenient, which is the reason for this article.

I’ve written about Dollar Shave Club and convenience before. Nothing new there, but what I want to share is the subject line of the email. It read:

More like Dollar Convenience Club

There’s nothing special about razor blades, but what makes Dollar Shave Club special is its customer experience model, which is built around convenience. When they first started selling razor blades in 2012, the subscription model was not as popular as it is today. The word “subscription” was tied to newspapers and magazines. Today, almost any business can come up with its own version of a subscription model.

So, back to Dollar Shave Club. What I love is how they promote convenience as much as, if not even more, than the actual razor blades and other “bathroom needs” – their words, not mine!

While it is still called Dollar Shave Club, inflation has led to a higher price. Not to worry. Their customers still buy from them. Why?

  1. Convenience: This is the overarching reason they are in existence.
  2. Quality products: If the blades weren’t good, it wouldn’t matter if they were called the “Less than a Dollar Shave Club.” Quality is important to them.
  3. Price: Even though people are willing to pay more for convenience (the proof is in my annual CX research), they have chosen to go the opposite direction and have a low price that’s almost as compelling as the convenient experience.
  4. Consistency and reliability: Customers know exactly what to expect and when to expect it. The predictable schedule and consistent quality create trust and confidence in the brand.
  5. Fun: This is a bonus, but who doesn’t like a little fun? Its brand of fun may not be appropriate for everyone, but it is for some companies. Dollar Shave Club’s commercials are funny, which helps them stand out in a crowded market.

Shep Hyken Convenience Cartoon

The Dollar Shave Club doesn’t sell better blades. They sell a better experience. And that is the lesson for the day. If your product does what it’s supposed to do and you add the experience that customers want – and for the members of Dollar Shave Club, that’s convenience – you have a winning combination. And like Dollar Shave Club, consider promoting the specific experience.

So, in addition to promoting what you sell, what experience do you create and promote that makes your customers love you even more? That answer is what will get your customers to say, “I’ll be back!”

Image Credit: Unsplash

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Why Customers Pay More for Brands with Purpose

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Why Customers Pay More For Brands With Purpose

GUEST POST from Shep Hyken

How important is a social cause to your customers? More than half of the customers (62%) we surveyed for our 2025 annual customer service and customer service (CX) study said they prefer to do business with a brand that supports a social cause that is important to them. Fifty-two percent of customers said they would be willing to pay more to do business with a brand that gives back.

Patagonia is one of the most recognizable brands in business known for “giving back” to the world. Sustainability is a big part of its brand promise, and it is a model of how to practice commitment to the planet. For the customers who care about sustainability—and many of the brand’s customers do—this is an important reason they spend more money for a Patagonia product and remain loyal to the brand.

Money

Let’s start with money. Its 1% for the Planet program pledged 1% of sales to the “preservation and restoration of the natural environment,” and since starting the program in 1985, it has given back more than $140 million in cash and in-kind donations to environmental groups around the world.

Buying Back Used Merchandise

If you own used Patagonia or gear that’s in good shape, the company will pay you to send it back, provided it’s still usable. Patagonia’s Worn Wear program pays customers 25% of the MSRP in the form of credit that can be redeemed in-store or online.

Recycling

If you have worn-out Patagonia merchandise that is not usable, the company will take it back and recycle or repurpose it for you at no charge. All you do is send it back to its service center or drop the items off at a Patagonia store, and they will make sure it doesn’t end up in a landfill.

Repair Could Be a Better Option than Replacement

Imagine a company that would rather keep you using its merchandise and repair it for you or give you what you need to repair it yourself, even if it means you might not replace it for years. That would be Patagonia, which will do most of the repairs on its items at no charge. The company will also send free patch kits to repair tears and small holes in its apparel.

While Patagonia is a case study for sustainability, you don’t have to be an international brand to make an impact. Small, local companies give back to their communities. Regional chains support various charities and causes that are important to their customers. The size of your business doesn’t matter. A significant percentage of your customers care that you care.

Here are additional facts from our annual research that could compel you to start, continue or grow your cause and philanthropic efforts:

Trust

In the U.S., 52% of customers say a company’s involvement in a social cause increases their trust in that company. If you want customer loyalty, you must create trust. Without it, there’s no confidence. Caring for something more than the bottom line increases trust.

Customer Experiences Improves

Almost six in 10 customers (57%) in the U.S. believe that companies and brands that support social causes are more likely to treat customers better. When the customer has a great experience and the company gives back, you have a winning combination.

Know Your Customers

Some customers appreciate a company supporting a social cause more than others. Specifically, 53% of Gen-Z customers rate companies giving back as “important” compared to 29% of Baby Boomers. And price becomes less sensitive to Gen-Z’s as 60% of them say they would pay more, versus 27% of Baby Boomers. While there is a big difference between the generations, that doesn’t mean a company that caters to older customers shouldn’t be philanthropic. Twenty-nine percent of Boomers is almost one-third of the generation.

Conclusion: A Social Cause Is a Good Marketing Strategy

Social causes can be part of a company’s marketing strategy. There’s nothing wrong with that. More companies should “give back” if the result attracts and retains more customers. While the business benefits of supporting social causes are clear—increased trust, stronger loyalty and potentially higher sales—the most powerful social and charitable programs come from authentic commitment to the supported causes.

We can learn from companies like Patagonia. They make their cause part of their mission and core values, and customers feel their authenticity. Regardless of the type of business or industry you are in or how large or small your company is, when a social cause or charity matters to a company’s leadership, customers sense it and respond with their wallets. Yes, the financial returns are a natural byproduct, but not the primary goal. In today’s world, doing good is good business. It’s that simple.

Image Credit: Unsplash

This article was originally published on Forbes.com.

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Don’t Do These Things When Giving Gifts to Customers and Employees

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Don't Do These Things When Giving Gifts to Customers and Employees

GUEST POST from Shep Hyken

It feels like Valentine’s Day was just yesterday. It is a time when you acknowledge the people you love and care about, often with a gift. I’ve written a number of articles about customer and employee gifts on Valentine’s Day and other obvious gift-giving holidays. It seems that the traditional holidays toward the end of the year are when companies or employees typically send or exchange gifts and cards.

Valentine’s Day is interesting. For personal relationships, it’s almost an obligation to give a gift. While it’s not directed toward professional or corporate relationships, some companies have found a way to have fun and send a card or gift to customers and employees. Unlike personal relationships, the choice to do so is optional. The same goes for other holidays throughout the year. How many companies send their customers or employees gifts for Independence Day or Thanksgiving? Depending on your country, there are plenty of holidays to give gifts outside of the traditional celebrations.

Just before Valentine’s Day, I was interviewed for an article by Bored Panda about corporate gifts that are “tacky, cheap, and insulting.” This made me reflect on my mentor of gift giving, the late John Ruhlin, author of Giftology, and his latest book, Beyond Giftology (released posthumously), who taught me the dos and don’ts of corporate gifting.

Shep Hyken cartoon on gifts

The point of gifting to customers and employees is to be remembered. However, not everyone does it right. So, for this article, I’ll share a few ideas on what NOT to do.

For Customers:

  • Don’t turn your gift into a marketing promotion with logos branded all over the gift.

For Customers and Employees:

  • Be careful about sending food. First, once they eat it, it’s gone and will soon become a distant memory. Second, if the customer or employee is on a specific diet, they may not appreciate or enjoy the gift.

  • Be careful about sending alcohol. Unless you know what they will enjoy (such as a favorite bottle of scotch or a special bottle of wine), avoid alcohol. Some choose to abstain from alcohol. Whatever their reason for doing so, you don’t want to appear to be insensitive.

For Employees:

  • Money is nice and a pleasant surprise, but it may be quickly forgotten and considered part of their compensation and not a true gift. Instead, consider giving employees a bonus day (or two) off or an experience, such as tickets to a sporting event or concert. Those are memorable.

  • Swag in the form of clothing is nice, and employees are proud to wear a logo on their sleeve but don’t turn your employees into walking billboards of your products and services. Subtle logos are the classy way to go.

So, those are some of the “don’ts” of corporate gift giving. There are many ways to do it right, and for an over-arching gifting strategy, consider that the gift should be unexpected, appreciated and memorable.

I’d like to close by mentioning my friend John Ruhlin once more. He left us on August 15, 2024, at the young age of 44. He was the greatest relationship builder I’ve ever met. Everyone who knew him felt a connection. He had many “best friends.” While he was a master at gift-giving for corporate relationships, every gift he ever gave, including his love for his friends, was genuine. John will be missed, but his legacy lives on. Thank you, John, for your gifts, which include knowledge, friendship, and love for all.

Image Credit: Shep Hyken, Unsplash

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Aiming for Zero Complaints

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Finding Excellence in the Pursuit

Aiming for Zero Complaints

GUEST POST from Shep Hyken

Vince Lombardi, the legendary football coach who won the very first (and second) Super Bowl, said to his team, the Green Bay Packers:

“Gentlemen, we will chase perfection, and we will chase it relentlessly, knowing all the while we can never attain it. But along the way, we shall catch excellence.”

That’s what I thought of when I started my interview with Bill Price, Amazon’s first vice president of global customer service, president of Driva Solutions and co-author (with Gautam Mahajan and Moshe Davidow) of Zero Complaints: The Path to Continuous Value Creation.

The concept of zero complaints intrigues me, and it should intrigue you as well. At times you may create a perfect experience for your customer, and it may happen often, but it won’t happen every time. In our interview, we talked about Price’s latest book and the importance of a relentless focus on perfection. Below are my interpretations of six of the most important takeaways from our interview:

  1. An Aspirational Goal: Like Lombardi’s pursuit of perfection, zero complaints is not attainable, but a lofty goal that will have the byproduct of an excellent customer experience. Price says, “Achieving zero complaints isn’t just an aspirational goal. It’s a practical pathway to sustainable business success.”

  2. The Cost of Customer Complaints: Price emphasized that the financial impact of not addressing complaints is costly. Research by Moshe Davidow, one of the book’s co-authors, found that unresolved complaints could account for 16-20% potential revenue loss through lost business, reputational harm and lower lifetime value of existing customers. It’s imperative to adopt a proactive approach to complaint management.

  3. Service Recovery: The good news about customer complaints is that when they are managed the right way, you can turn complaining customers into loyal customers. Customers don’t want to complain, but if they have to, they will feel confidence when they realize the company will take care of them. Be sure your customer support—both self-service and with live agents—is consistently meeting and exceeding your customers’ expectations.

  4. Proactive Complaint Management: As important as service recovery is, a better solution is to eliminate or reduce the times you have to recover. Study the “journey” your customers take when doing business with you and find ways to eliminate the friction and pain points that they might experience. Focus on delivering an excellent experience, rather than just excellent complaint resolution. This dual approach helps to ensure positive interactions, whether complaints happen or not.

  5. Executive Buy-In: Leadership (and that includes the C-suite) should engage with front-line employees and experience the day-to-day operations firsthand. By working in customer-facing roles or performing normal tasks, leaders can gain valuable insights into existing challenges and improve processes. When decision-makers see the business through a customer’s eyes, they are more likely to implement and support meaningful improvements. Price shared that Amazon founder Jeff Bezos would spend time handling complaint calls. “He strapped on a headset (in the support center) or sat at the computer and answered emails. … Back then, his email address was jeff@amazon.com, and he actually shared that email address publicly.”

  6. The ROI of Zero Complaints: There is a significant return on investment (ROI) that can be realized by minimizing customer complaints. First, reducing complaints leads to better customer retention. When customers have fewer issues, they are more likely to remain loyal and advocate for the brand, thereby attracting new business through word-of-mouth. Second, fewer complaints translates to lower operational costs. A reduction in customer issues means less reliance on customer support managing complaints, freeing up agents to help customers solve problems (not complaints) and free up resources that can be better utilized elsewhere.

Customer expectations are continually rising. Customers are smarter than ever and know from their own experiences what great service is. It is essential for businesses to adapt to a higher standard and expectation. Price says, “We must always maintain that what was good last year isn’t good anymore.”

Image Credit: Shep Hyken

This article was originally published on Forbes.com.

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Nothing and Everything Has Changed in Customer Service

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Nothing and Everything Has Changed in Customer Service

GUEST POST from Shep Hyken

With all the talk of AI, ChatGPT and more, I’m often asked when interviewed, “What’s changed in customer service?”

My answer is accurate: Nothing!

For thousands of years – actually about 3,775 years – when customers have had a problem or question, they have contacted the company they are doing business with and hoped that it would be resolved to their satisfaction. That’s the way it’s been and will continue to be for thousands of years to come.

But there’s also another answer to the same question about what’s changed: Everything!

By everything, I’m referring to the latest methods of responding to customers’ questions and handling their problems and complaints. I mentioned that for 3,775 years, customers have been contacting companies when they have problems or questions. About 10 years ago, I wrote a Forbes.com article when I learned that tucked away in the British Museum is an ancient complaint that dates back to 1750 B.C.

Nanni, the customer, bought copper ore from a supplier, Ea-Nasir. Unhappy with his purchase, Nanni sent a letter in the form of a stone tablet with the engraved complaint. Loosely translated, the “letter” opens with these words, “What do you take me for that you treat somebody like me with such contempt?” The rest of the letter was a demand that he receive what he thought was right.

Ancient Customer Service Shep Hyken

Customers still complain, and companies – at least the good ones – respond and properly take care of their customers. But how they do so has radically changed.

What may have started as an engraved complaint on a stone tablet eventually turned into handwritten letters, then phone calls, emails, chat, and more modern-day ways of communicating. AI has become the topic of the day, and the strides made in automation and self-service have come a long way.

While many companies are still improving and trying to keep up with the technology, customers who take advantage of the new ways to get questions answered and complaints resolved are very happy with the companies that have kept up with the latest ways to manage the customer experience.

At its core, customer service hasn’t changed. Customers still want to be heard, understood and valued. Sometimes, they even want a little empathy. However, what has changed is the way we deliver that experience. The tools may have evolved from stone tablets to AI chatbots, but the goal remains the same: take care of the customer.

Companies that embrace new technologies while staying true to the timeless principles of great service – listening, responding quickly, and meeting or exceeding expectations – are the ones that will keep their customers coming back. The best companies know that while everything seems to change, the most important thing never changes: a relentless focus on the customer!

Image Credit: Pixabay

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Your Legends Define Your Culture

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Your Legend Defines Your Company Culture

GUEST POST from Shep Hyken

It was about 50 years ago, in or around the mid to late 1970s, when a brand’s legendary story was born. This true story perfectly articulates this brand’s culture. It perfectly demonstrates how empowered employees should act and defines how customers should be treated. The story is Nordstrom’s legendary tire story.

The short version of the story is that a customer brought a pair of tires into a Nordstrom store in Fairbanks, Alaska, and asked to return them. He insisted he purchased them at that location. Craig Trounce, the store associate who was working that day, gave the customer a refund.

Obviously, Nordstrom doesn’t sell tires—and never did. However, in 1975, Nordstrom purchased three retail stores owned by Northern Commercial Company, which did sell tires. Once Nordstrom took over the stores, it restocked them with its own inventory, which didn’t include tires.

According to the story on the Nordstrom website, “Instead of turning the tires away, Craig wanted to do right by the customer, who had driven more than 50 miles with the intention of returning these tires. Knowing little about how tires are priced, Craig called a tire company to get their thoughts on how much the tires were worth. He then gave the customer the estimated amount, took the tires and sent him on his way.”

That story became the legend that defines Nordstrom’s culture. So, as a leader of your organization, what story does your company or brand have that defines your culture? If you don’t have one, maybe it’s time to find it. And it’s never too late.

John W. Nordstrom and his partner, Carl F. Wallin, opened their first store, a shoe store, in 1901. It wasn’t until 22 years later that they had their second store. In 1963 the store expanded beyond shoes and started selling clothing, and in 1971, the company went public and officially changed its name to Nordstrom.

The point is that it took almost 75 years for a company that already had a reputation for delivering an excellent service experience to create its legend. This single act of customer service has been told countless times in training sessions, books, articles and keynote speeches. It’s not just about tires or refunds. It’s about empowering employees to make good decisions. It’s about emphasizing a company’s culture. And if you could monetize it, how much money would a company have to pay to generate the positive PR this created for Nordstrom?

Many other companies have similar stories. Some of the more recognizable brands with “legend status” stories can be found through a Google search and include the Zappos 10-hour phone call that some say is an all-time customer service call record, the story of how empowered employees at the Ritz-Carlton are allowed to spend up to $2,000 to solve guest problems and many more.

So, what’s your legend? And if you don’t know, how do you find it?

I’m going to bet there is some account of how someone in your organization responded to a customer or did something of note that is worth sharing and turning into your version of the Nordstrom tire story. That’s the place to start. And the best way to go about it is to simply ask every employee to share their favorite story about how they created an amazing experience for one of your customers.

In this first round, don’t make this a huge writing assignment. Just ask for a few sentences. From there, someone (or a team) will sift through the responses and look for five or 10 that stand out. You’re looking for:

  1. moments in which employees went above and beyond
  2. situations that perfectly demonstrate your values
  3. stories that are simple to tell but powerful in impact

Then go back to the sources of these stories and ask for more detail. In a short time, you’ll have several great stories to consider. And in the process, you’ll also discover ideas based on these stories to turn into “best practices” examples that other employees can learn from and emulate.

Your service legend doesn’t need to involve tires or thousand-dollar gestures. It simply needs to authentically represent who you are as a company and what you stand for. The best legends aren’t manufactured. They’re discovered in the everyday actions of employees who truly understand and embrace your culture. When you find your story, celebrate it, share it and let it inspire the next generation of customer service excellence in your organization. After all, somewhere in your company today, an employee might be creating the next legendary story that will define your culture for years to come.

Image Credit: Pexels

This article originally appeared on Forbes.com

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Better Customer Experiences Without Customer Feedback

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Learning from Customer Complaints – Even When They Don’t Tell You

Better Customer Experiences Without Customer Feedback

GUEST POST from Shep Hyken

How would you like to know what made a customer angry or sad, leading them to leave a negative review? You might say, “I’ll just ask them,” and that’s a great answer. Direct feedback is a gift. But maybe there’s another way.

I had a sit-down with Michael Podolsky, the CEO of PissedConsumer.com, a sounding board for consumers to leave comments and reviews when they can’t get the customer service they want or deserve. In our Amazing Business Radio interview, he suggested that a proactive approach to handling complaints is more than just meeting with your team to discuss what you’re hearing from customers or what you think makes them unhappy. Take the guesswork out of it. Short of direct feedback, which in my opinion is still the best way to learn if your customers love you (or not), read competitor reviews on their websites or in the B2B world and partake in industry forums to find out what customers are saying about the companies they do business with.

Shep Hyken Customer Complaints Cartoon

In addition to looking at competitors’ websites and industry forums, monitor social channels for mentions of your competitors. While most companies practice “social listening” for their own brands, paying attention to social mentions about your competition gives you a broader insight into what’s happening in your industry.

Based on what you learn, create a Complaint Prevention Checklist. For example, if customers frequently complain about long hold times when calling your competition’s customer support, examine your company’s response time. If customers are frustrated by your competition’s complicated return policies, make sure you aren’t guilty of the same.

This isn’t a “do it once” exercise. Take time each quarter – maybe even each month – to examine this type of feedback. Share insights with your team and use them to stay customer-focused and ahead of your competition. Recognize that there are two areas in which you want to compete: providing a better customer experience and having fewer complaints. In a perfect world, you would have no complaints.

In my book, I’ll Be Back: How to Get Customers to Come Back Again and Again, one of the six strategies I cover in the final chapter is to find out what your competition does well and adapt it to your company. Don’t copy, but use their ideas for inspiration to make it your own. And if you pay attention to Podolsky’s advice, you’ll also want to find out what your competition isn’t doing well. Of course, you’ll want to determine if your organization is guilty of the same behaviors or operational snafus and proactively seek to eliminate or mitigate the problems.

Image Credit: Unsplash

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Paying Your Employees More Can Save You Money

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Paying Your Employees More Can Save You Money

GUEST POST from Shep Hyken

What’s the secret to keeping employees, getting them to work hard and provide a more engaging experience with your customers? There are two answers. The first is one word: Money.

Many years ago, I worked with a well-known fast casual restaurant chain. I was impressed by its low turnover and high customer engagement and satisfaction ratings. Its secret was higher starting pay, generous raises and a reasonable benefits package. All of that compensation led to attracting the best candidates, and more importantly, keeping them.

A recent RetailWire article covered the higher wages Costco pays its employees. Typical hourly employees (Costco refers to them as “assistants”) include cashiers, stockers, warehouse personnel and people running the Costco food courts. With a tighter labor market, it is tougher to find people to fill these roles (and others). It is reported that Costco’s wages are at the high end of the industry. A memo from Costco’s CEO Ron Vachris stated, “We believe our hourly wages and benefits will continue to far outpace others in the retail industry.”

While wages are higher, employee retention in retail has gone down. According to an article in The Economist, the average employee turnover rate in the retail industry is 60%. Costco’s turnover is 8%, which is an incredible 86.67% lower than the industry.

Does this mean the higher wages are being paid by consumers? The simple answer is no. The longer answer is why. Just because a company pays employees more, a resulting benefit, such as lower turnover, actually reduces the cost of the higher wage. Lower turnover results in lower hiring costs, which also includes the cost of on-boarding and training. The full cost of the higher wage is dramatically reduced to a point that might pay for itself.

But higher wages aren’t the only reason employees stick around, work harder and better engage with customers. As mentioned at the top of the article, there is also a second reason, and that is culture.

While some employees will stick around for the paycheck, if you want the most out of any employee, they must like their job, and that goes beyond the job description. It also includes who they work with and work for. The culture of a company helps retain the best talent.

Regardless of what you pay your employees, if they don’t like the company, the way they are treated, their boss or leadership, paying them more may not be enough. I won’t go into creating company culture, but you can check out a Forbes article from last year that covered the Employee Hierarchy of Needs with a focus on building a fulfilling workplace culture.

Happy employees mean happier customers. All the benefits mentioned translate to higher NPS and customer satisfaction scores. If you compare the highest-rated companies and brands for customer service and experience posted by the American Customer Satisfaction Institute (ACSI) and the highest-rated companies and brands by employees at www.Glassdoor.com, you’ll find many of the same names. This is further backed up by an excellent article in the Harvard Business Review titled “The Key to Happy Customers? Happy Employees” by Andrew Chamberlain and Daniel Zhao. Even though it was written just over five years ago, the insights are more relevant than ever.

Companies like Costco prove that investing in employees through both compensation and culture isn’t just good for employees. It’s good for business. Employee happiness is contagious. Customers pick up on it. And when customers are happy, they come back, spend more and tell others. And, that makes the leadership and investors happy too!

Image Credit: Wikimedia Commons

This article was originally published on Forbes.com

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