Ryanair= Good CX? Really?

Air travel is an emotive subject. Especially if you are (like me) a keen traveller and (like me) have an opinion on anything that frequently fails to meet your expectations. My wife says its just part of becoming a grumpy old git but, nevertheless, flying does stir up my emotions. This is particularly true given that I am a qualified pilot…even though you wouldn’t want to fly with Davey Airlines (see below)

2856_68289448086_1357995_n

Therefore, when I read this post by Sampson Lee, I was equally intrigued and irked. Could the author really be making a case for Ryanair to be delivering “good” CX? His logic is based on the principle upon brands delivering on its promise. Ryanair does not compete on service. It is a low cost airline. It is ‘no frills’ and my experience of flying with them left me vowing never to choose them again, even if at the time, I was flying with a wife and 4 kids with all the luggage that entails. For my experience wasn’t about service. I had low expectations. I did not expect a meal, comfy seat or a back massage. I did expect courtesy, communication and professionalism. On those scores, I was disappointed.

Since that experience 15 years ago, Ryanair has often made the press for the wrong reasons. Indeed, I was in full agreement with Colin Shaws post citing his opinion of Ryanair’s CX. However, Sampson Lee argues that Ryanair is profitable and delivering on its brand promise. I cannot disagree but does that constitute the basis of good CX?

ryanair

I agree with Sampson in that CX is not just about customer service. A great customer experience can often be about making a buying process easier (just look at Amazon’s one click process) or providing a much valued opt in notification that allows you to make more informed choices. It does not have to be a premium based service. To provide a “wow” moment, it takes innovation, outside-in thinking and a culture of customer empathy.

Let me give an example of great CX that made me go Wow and has retained my loyalty, despite my previous leanings towards travelling with Uber.

My local taxi firm, Betty’s, is trying hard to compete with far larger companies and, of course, Uber. They are, in my view, incredibly cheap already and many of the drivers are both courteous and dependable. They released an app which, for a small company, is very useful allowing you to both book and track your cab. I find this very useful but, these days, it is almost the norm. The way they wowed me was over the holiday period in December and January.

I received a notification telling me that their fares would remain EXACTLY the same over the Christmas and New Year periods. I was amazed. Not only am I used to seeing premiums being charged at busy times but also customers expect to pay more. The Uber pricing model dictates this. Just try getting an Uber late at night.

This decision exceeded my expectation as a customer and helped reinforce my pride in my local cab firm. I use them all the time and never bother to go anywhere locally on Uber.

This rather reinforces the argument that good CX is not about a premium service experience. How often have you gone online expecting to find something difficult or confusing only to say “wow, that was easy”? That, in my book, is a great customer experience. Conversely, an Interactive Voice Response (IVR) which passes you from pillar to post, or voice recognition that misinterprets your command is a bad customer experience, despite the intention to make your life simpler!!!

angry-customer

In conclusion, I think the delivery of outstanding Customer Experience is about far surpassing a customers expectations. The “wow” factor. It could be service related and you might pay a premium for that service. However, I content that for a brand to be recognised as one delivering outstanding CX and worthy of customer advocacy, then it needs to exceed a customers preconcieved expectation. In my book, Ryanair does not do this and does not deliver good CX. I’d be interested to hear what others think.

Advertisements

I am your Customer

I am your Customer

I may also be your Supplier, your Employee, your Partner, your Student, your Stakeholder, your Consumer, your Influencer or your Citizen.

I reserve the right to voice my opinion about you, your products, your people, your services and my experience with you at any time and across any channel I want.

I reserve the right to be wrong but be treated as if I was right and reserve the right to  accuse you of being wrong, even if you were right.

I expect to be treated as if I was your only customer but I also expect to be treated as the best customer, regardless of whether I may or may not be.

I am your Customer.

However, I reserve the right to go to someone else. It is your job to stop me.

I reserve the right to shop around. It is up to you to make me loyal to your brand.

I reserve the right to expect you to get it right first time, every time even though I realise that nobody is perfect.

I reserve the right not to tell you that though.

I reserve the right to avoid telling you anything about myself although I expect you to know.

I reserve the right to expect the same “deals” as an existing customer as you would to attract new ones.

I am your customer.

I creserve the right to be difficult, annoying, irritable, demanding, irrational and a downright pain in the backside. Sometimes all at once.

However, I am YOUR customer and without me and my fellow customers, you won’t have a business. We know that and expect you to get that.

I am your customer but if you accept me on my terms, I will be your customer for life and will help you achieve your dreams.

 

 

A Banking dichotomy

A recent experience with UBank has got me wondering whether the intention to create a good customer experience has led to a bad experience?

I first want to say that I am not expressing a view in this post, merely an observation. This is in the light of a very good recent experience with UBank who are an Australian Internet bank (part of NAB- National Australia Bank) and an incident with them that may cause me to churn. Hence the dichotomy.

The Internet site is supported by an excellent 24/7 Contact Centre which appears to be very customer centric and well organised. I recently set up my Internet Banking from home using my home broadband connection which uses the only phone line coming into the house. We live in a rural location so have no mobile phone signal at home. When I went to update my personal details online, UBank sent a SMS code for me to enter onto the website to verify the change. Of course, I could not receive the SMS as I had no mobile signal. The SMS was only valid for 10 minutes.

I soon realised that UBank had set up this “security measure” for every single transaction that I would make online. Payments, Transfers, Changes in details all receive SMS verification. With most of the Australian population living in areas with decent mobile coverage, I’m sure this isn’t a common issue to the banking giants but it is to me.

I rang UBank to ask whether there was another option. I was told it is the banks policy to provide this “more secure” method to protect their customers. This is very noble but why couldn’t I receive an email notification instead? Apparently UBank and NAB do not believe this option is as secure so they have adopted the SMS as the standard verification method.

This renders the site useless to me for “home” banking and I am now about to churn. It raises an interesting point though. This initiative has been taken to attempt to protect the customer. It is done with the customer in mind. However, because I have no other options of validation, the approach means that anyone in remote areas of the country will struggle with this issue.

I therefore wonder whether this is an example of good or bad customer centricity? It is good in wanting to make my banking experience safer but bad in that it does not give me the choice in how I want to receive that experience.

I would be interested to know what others think?

Technology 1 Customer Experience 0

When visiting a restaurant, what are your priorities as a paying customer?
I guess it depends upon the purpose of your visit but quality of food, price, ambience and service are usually near the top of most people’s priorities.
As I am working in Melbourne, VIC at the moment, I found myself in Chinatown and was enticed inside one of seemingly hundreds of competing Chinese restaurants.
The restaurant was cozy, quite busy and I was pleased with my choice.
I was shown to my table and was presented with a tablet pc.
I am fortunate enough to eat out on a fairly regular basis but I thought that giving me a PC was over stretching the hospitality somewhat until I realised that it was not a gift but rather a menu!
The waiter promptly disappeared after giving me a brief and impromptu training session showing me how to navigate the menu and place my order.
On each page of the menu, a list of meals appeared with a picture and price alongside them. I looked around and found that each table was using a tablet and the only members of staff were those delivering food.
The items I ordered arrived quickly and with a minimum amount of fuss. The food was good and my bill arrived along with my coffee. I left the restaurant and it was only when I was outside that I realised that something was missing. It was efficient and modern but had no personality. The customer experience had been diminished by removing a key part of the dining experience, the customer interaction. There had been no recommendations, no small chat, no checking to see everything was ok. There had not even been a good bye.
I sometimes find that organisations become obsessed with technology in driving transformation but overlook the important detail of the customer experience. By removing the waiters, I’m sure the restaurant increased its profitability but I also imagine its revenue may be adversely affected.
If I was the owner of that restaurant, I would employ waiters to provide the personal touch and keep the technology to help customers browse the menu and to improve the ordering process.
It does, however, beg the question of whether technology is a friend or foe of good customer experience. To me, it depends upon how the technology is used. Is it an enabler or a driver?
Excuse the pun but this provides some food for thought!

The real “X Factor”

What is the X Factor in building a profitable brand? This post argues that it is the Customer eXperience and demonstrates why organisations have to deliver a consistent and compelling customer experience across each and every touchpoint.

Forget your TV. The real X Factor will allow you to perform better than your competitors and achieve long term results to delight your shareholders and stakeholders.

The X Factor is on most CEO’s agenda’s yet it often alludes many organisations.

The X factor is widely known, yet rarely understood.

So what is this corporate X Factor?

The X factor is eXperience. The Customer Experience or Cx as it is often abbreviated to.

It includes the User eXperience (or Ux), whoever the “user” might be, as a user could be a customer, a partner, an employee, a Supplier. It all adds up to a perception gained by an individual or collectively by an organisation which will affect the relationship between both parties.

Every interaction between an organisation and its Stakeholders is a “moment of truth” where these perceptions, either positive or negative, are gained. The sum of these “moments of truth” lead to an overall “customer experience” that can affect the economic relationship. Let me use an example of how this might apply to Financial Services.

It used to be that upon getting your first job, you set up a Bank account (often with your parents bank) and you banked with this organisation for life. When you came to buy your first house, you might visit your local Manager who would interview you and then arrange a loan. How times have changed. These days, Banking is highly competitive and has moved to touch every point of our lives. It is easy to change banks, or have many banks. Some specialise in certain types of products but they all want our hard earned cash. The transactional cost of changing banks has lowered so that customer loyalty is far less than it was in previous generations. Therefore the retention of customers has become more important than acquiring customers to most banking organisations. So how does a bank retain your business? It can make its products more attractive and tailored, but this comes at a high price to the bank and has not always been a unique differentiator. Therefore banks have gradually come to realise that by improving every touchpoint with their customer, it not only makes the bank easier and convenient to do business with but also improves our perception of their brand.

The Customer Experience must be considered across every single touchpoint, across every single channel and needs to be consistent for every single customer. Therefore if a Bank has great, customer centric staff in every branch, this is clearly advantageous but a Telephone Banking service which uses a poorly designed Interactive Voice Recognition (IVR) menu, long wait times or is not 24/7 might negate all the good work done in the branches. Similarly, a great Mobile App which allows you to do your general banking might be negated by a difficult to use Online Banking web site.

It is true that different customer segments are likely to use different channels, depending upon their needs but few Banking customers will stick to one channel. Therefore every single touchpoint must be looked at and tested from a customers perspective to ensure that they receive a positive and consistent experience. The loyalty generated will drive longer term financial reward, especially in a Social world where good and bad experiences can be shared and communicated globally in seconds.

I have used Banking as an example but the laws of Customer Experience are universal. Create great and lasting Customer Experiences and the rewards will repay the effort over and over.

Becoming Customer Centric…5 Top Tips

The difference between experience and wisdom is a subtle one. To learn from an experience, one will make a mistake and learn not to do that again. That is learning by experience.

To learn from wisdom is to learn from the experience of others so not to have to make that mistake in the first place. That is learning by wisdom.

Therefore I find it puzzling that many organisations still prefer to learn by experience when attempting to fulfil their promise to become a truly customer centric organisation. Therefore, here are five quick tips that uses the wisdom gained from other organisations (who shall remain nameless but all of whom I have worked with) that can help on that journey towards customer centricity.

Tip #1: To change behaviour, change the comp and hire appropriately.

If you want your Managers accountable for delighting the customer and improving retention, then change the comp plan to focus them on that objective. If it is important, make it something that becomes an economic necessity! In a similar vein, ensure that your hiring policy is aligned to ensure that only applicants who can demonstrate a passion for customer centricity are hired. Gradually, the culture of the company will change.

Tip #2: Give the Customer a voice in the Boardroom

Invite the voice of the customer into the boardroom by appointing a Chief Customer Officer. If you cannot afford one, get a cardboard lifesize cut-out and sit it on a chair in the boardroom. At all relevant moments during a board meeting, turn to the cardboard cutout and ask “What does the customer think about this?”. Believe me…it works!!!!

Welcoming the CCO to the Boardroom

I had been preparing a blog post on this subject but I would rather defer to someone who has the experience of being a Chief Customer Officer. You can learn more from her excellent blog here.

Tip#3: Interview your churning, loyal and indifferent customers

Do you provide Employee Satisfaction surveys, exit interviews and other such HR charm offensives? Well, why not extend similar concepts to former customers, current customers (noth advocates and the silent majority). Hold focus groups, use Social Media, surveys, bribes whatever it takes to gain the insight you need to gain a true customer perspective on what you do well, what you do not do well and what they would like to see you do. It is very powerful. I heard a stat recently that said in a survey of clients, 95% said their customers “loved them”, a perception that was only supported by 6% of their customers.

Tip#4: Educate, Empower and Enable everyone

Everybody within your organisation must feel empowered and able to provide an outstanding customer experience. To do this, everyone needs educating. Who are THEIR customers? What benefits will this approach bring? What behaviours and values need to be developed? This education should not be a Webex or DVD to watch. It must be participative, ongoing and cross functional, involving every staff member from Chairman to Janitor. One organisation invited all of its directors to spend a day answering phones to “real” customers. Only half took their turn. Those who did found the experience “career changing”. Those who didn’t turn up, in my opinion, should have been given an ultimatum to do their stint or leave. Customer Centricity needs to be fully inclusive.

Tip#5: Consistency across customer touchpoints

Finally, the great experience being delivered by Sam in Sales could be completely undermined by a poor after sales experience by Paul in Service. Not only is it important for everyone interacting with the customer to behave in a customer centric fashion, but it is also vital to offer a consistent LEVEL of Customer Service. I believe it is better for everyone to be very good than have one excellent and another mediocre. That alignment can be measured by surveying each different department at each customer touchpoint. The internal initiative should then focus upon improving the “lagging” departments to provide greater overall consistency.

Oh, there is a sixth tip: “Do not let I.T drive the initiative”, but that deserves a blog post of its own!

Of course, this list is not inclusive or exhaustive. Success could be achieved without these tips but I believe that they will increase your chances of success.

The Hall Of Fame No1: Youi Insurance

First organisation in the Customer Experience Hall of Fame: Youi Insurance. This post describes the great experience I have received and explains why it is driving my loyalty

In the interests of trying to improve the customer experience, I regard it as my civil duty to name and shame organisations who “say” one thing but “do another” to their customers, resulting in a poor customer experience. Similarly, I will credit where credit is due to organisations who are delivering a great customer experience. Step up and take a bow Youi Insurance.

I was about to nominate Youi simply from the experience I received when taking out insurance with them. They promise to answer the call in 5 rings and did. They were friendly, personable (not robotic) and empowered to help you in any way they could rather then push you on to another agent. They explained the quotation process very clearly and offered to call me back at a time to suit me. This was great but it is all to easy to deliver a great sales experience only to be let down by delivery. Fortunately for this blog post but unfortunately for me and an unsuspecting Wallaby, I experienced the delivery aspect of Youi after my wife ploughed into a Wallaby late one evening. The poor Wallaby was killed instantly but my car suffered non terminal damage which would need extensive surgery.

Enter Youi.

I rang to report the incident and the first thing the agent said was “OMG- Is your wife alright?” I instantly connected with this agent. We chatted about how shocking it is to hit an animal and she gently uncovered the set of facts. She spoke to my wife and very quickly she explained what would happen next. Sure enough, we then got a text from Youi (having said that was our preferred channel) confirming that a pick up truck would tow the car to the repair shop. After collecting the car, we got another text confirming that it would be assessed within 24 hours. Next day, another text confirming that they had approved the repairs and the time it would take. Youi have clearly built this process around the customer, removing the pain of the organising of each aspect away from the customer. I found it clear, non invasive and very pleasant. A very good customer experience.

Now here is the acid test. Next year, my premium may well rise due to the altercation with Australian wildlife. Will I shop around for a cheaper quote? Probably NOT because Youi have proved their value to me and for that, I may well be willing to accept that little bit of extra cost. Youi have therefore quickly turned me into a loyal customer through providing a great experience based on process, people and technology. One final thing, after posting this, I received an email survey from Youi. However, it was not your normal bland survey. It was a transparent and simple survey which shared your views with other customers. Take. Look at this!

http://www.youi.com.au/youiwall

A great lesson for many organisations.