Have you ever had a shopping experience that left you fuming and frustrated? Ever been in a store when a sales clerk treats you with disinterest or disrespect? Recently, I was in a store and couldn't find my charge card fast enough to apparently make my clerk happy. As I searched through my wallet, I apologized for the delay -- apologized several times. All the while she was visibly annoyed with my lack of organization and remained unresponsive to my conversation.

My experience with that store was impacted by this sales person. Her bad attitude could easily translate into a substantial loss of revenue for the store. She wasn't the owner, and her behavior may not have reflected the attitude of the management, but the fact remains, she does represent the management.

The management, probably unaware of the front-line customer contact on a daily basis, could be losing thousands of dollars a day by hemorrhaging existing customer relations. At the same time they are probably spending five times the amount to attract new customers. Do you know what's happening at the front line of your business right now?

Studies done by research company TARP report on customer satisfaction data that is critical to our business today. Their studies show that an unhappy customer will be sure to share their negative experience with at least a dozen people. However, rarely do they unhappy consumers take their complaint directly to the company with whom they had an unsatisfactory incident. The study reveals that only four percent ever take their gripes to the company, leaving a whopping 96 percent telling other people about their discontent.

Conversely, our satisfied customers will tell less than five people over a one year period that they had a great experience -- not much when you are hoping for a positive viral effect. This doesn't seem fair, but that's just the way it is.

We know the costs to secure a new customer are four to five times as much to retain an existing customer, so why aren't we doing more to ensure our customers are happy? What can we do to ensure that we aren't losing customers and spending a fortune to get new ones only to lose them again?

• First points of contact: This initial interaction is critical to how a customer perceives your business. Is the phone answered in a friendly way? Can they understand what is being said when the call is answered? Could you change the way the phone is answered to a more unique and friendly way? Imagine hearing a friendly voice say: It's a great day at ABC Real Estate Company, how may I help you? The conscious attempt to connect would definitely get the attention of the caller

• Communication Skills: If you have a disgruntled customer, does your team practice and execute the necessary communication skills to handle the problem effectively? It is easy to become hostile or defensive when being verbally abused by an unhappy customer, but with a trained staff an unhappy customer can become a raving fan when handled properly.

• Can Do Attitudes: Just recently I noticed a flat tire on my car and luckily was only a block away from one of those rare full service stations. There were cars everywhere and I anticipated a long wait. Just then a smiling employee came up to my car and I asked, "Can you fix a flat tire?" -- He answered enthusiastically by saying, "I am your man!" -- I sat in the car as he left briefly and after about 5 minutes came up to the car and said: "That will be $9.35." I was amazed! He had repaired the tire in less than 10 minutes and was delightfully happy to do so. I gave him a generous tip for saving me both time and trouble.

  This story really demonstrates the "Can Do" attitude of a great team player. He certainly didn't own the station, but clearly understood outstanding customer service. You can be sure I'll tell everybody about my great experience! Consider these "what ever it takes," "can do," and "we're here for you," philosophies as mantras for your service staff to help develop raving fans.

• Office Morale: Make your office or company a great place to work. Take the advice of super success Stew Leonard, of the now famous dairy store in Connecticut. The success of Stew's family-owned business and their legion of loyal shoppers is largely due to their passionate approach to customer service: Their basic philosophy about customer service is:

  Rule #1 - The Customer is Always Right

  Rule #2 - If the Customer is Ever Wrong, Re-Read Rule #1

  This principle is so essential to the foundation of the company that it is etched in a three-ton granite rock at each store's entrance. In order to create happy customers, Stew Leonard's is also recognized for their management philosophy: "Take good care of your people and they in turn will take good care of your customers."

It is this philosophy that has helped earn Stew Leonard's ranking on FORTUNE Magazine's "100 Best Companies to Work For in America" list for the past four consecutive years. He contends "you can't have a great place to shop without making it a great place to work." These are words to consider, as this company grosses nearly 300 million in revenue a year and growing!

It doesn't take much to wow a customer when you fine tune what it really takes to keep customers happy. Handling customers with extra care nearly guarantees repeat business and endless referrals. The home buying and selling process ranks as being one of the top "high stress activities," but with a great attitude, a little empathy, and effective communication, adding significant repeat business and considerable profit to your bottom line will come easily.

Published: May 30, 2005

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