engagedemployee.com http://engagedemployee.com Capturing the full potential of employees. Sat, 23 Dec 2006 17:08:04 +0000 http://wordpress.org/?v=2.2.1 en Selling to the Right Personality http://engagedemployee.com/2006/12/23/selling-to-the-right-personality/ http://engagedemployee.com/2006/12/23/selling-to-the-right-personality/#comments Sat, 23 Dec 2006 17:08:04 +0000 William Todor http://engagedemployee.com/2006/12/23/selling-to-the-right-personality/

Customers do not make all purchase decisions the same way. In fact, each customer has a split buying personality. One is inherently NOT loyal and can even be adversial towards vendors. The other seeks trusting, committed relationships and the “value” these relationships deliver. Which one do your business practices court? More…

 

 

]]> http://engagedemployee.com/2006/12/23/selling-to-the-right-personality/feed/ Engaged Employees and the Customer Experience http://engagedemployee.com/2006/12/22/14/ http://engagedemployee.com/2006/12/22/14/#comments Sat, 23 Dec 2006 02:01:11 +0000 William Todor http://engagedemployee.com/2006/12/22/14/ All too often companies have reacted to changing business conditions at the expense of employee relationships. The consequences are less committed, less engaged and less effective employees. The economic impact of the ensuing turnover and lost productivity is huge. But this is not the only financial consideration. Disengaged employees undermine customer relationships and this, in turn, erodes profits and customer loyalty and it accelerates commoditization. More…  

 

]]> http://engagedemployee.com/2006/12/22/14/feed/ The Customer Equity Initiative http://engagedemployee.com/2006/06/26/the-customer-equity-initiative/ http://engagedemployee.com/2006/06/26/the-customer-equity-initiative/#comments Mon, 26 Jun 2006 19:17:52 +0000 William Todor http://engagedemployee.com/2006/06/26/the-customer-equity-initiative/ I have become a Co-Program director for the Customer Equity Initiative that has been launched by the Association for the Advancement of Relationship Marketing (AARM). The Customer Equity Initiative is focused on helping companies build customer equity which is the key to sustainable growth and profits. Customer Equity is the wealth creating potential of a customer’s relationship with your company. While most companies continue to compete on price and convenience and focus on efficiency and cost cutting, some have engaged their customers in meaningful relationships and have had remarkable success. Starbucks may be the most prominent example as they serve4 million drinks a day to customers who are there more for the experience than the coffee.
Why would someone who focuses on engaged employees get involved in this? Well, the employee is arguably the most critical factor affecting the customer’s experience. Engaged employees are therefore key to customer equity.
I believe this is an exciting new program and invite you to check it out at www.customerequity.org.

]]> http://engagedemployee.com/2006/06/26/the-customer-equity-initiative/feed/ Selection as a Key to Engaged Employees http://engagedemployee.com/2006/06/08/selection-as-a-key-to-engaged-employees/ http://engagedemployee.com/2006/06/08/selection-as-a-key-to-engaged-employees/#comments Thu, 08 Jun 2006 14:38:27 +0000 William Todor http://engagedemployee.com/2006/06/08/selection-as-a-key-to-engaged-employees/ Fortune Magazines’s most recent issue takes an in depth look at teamwork. One of the interesting articles looks at successful teams to see what makes them great. The 1980 Olympic gold medal winning US Hockey team is cited as one of the great teams. In the movie, Herb Brooks, the coach of the team, makes a very significant comment to his assistant coach. He says  “I’m not lookin’ for the best players, Craig. I’m lookin’ for the right players.”. Contrast this with the superstar laden basketball teams that fail miserably at the Olympics.

Who are the right players? There are many factors but a critical one is the commitment and engagement the person has in the activity in question. Unfortunately most hiring practices focus on a set of task based criteria and companies pick the ones who are best on the criteria. Identifying commitment and engagement is more challenging and time consuming but can pay big dividends. The Container Store has a statement on its website: “three good people equal one great person in terms of business productivity. So, why not hire only great people?” Most companies will settle for good or even adequate employees because they don’t view the hiring process strategically. Engaged employees can increase productivity and profits dramatically so why not take the effort to find them? Unfortunately, this is not the most efficient process and companies are caught up in cost cutting and efficiency strategies. As a result they lose one of their most significant competitive advantages - engaged employees.

]]> http://engagedemployee.com/2006/06/08/selection-as-a-key-to-engaged-employees/feed/ The Power of The Engaged Employee http://engagedemployee.com/2006/03/25/the-power-of-the-engaged-employee/ http://engagedemployee.com/2006/03/25/the-power-of-the-engaged-employee/#comments Sat, 25 Mar 2006 14:32:45 +0000 William Todor http://engagedemployee.com/2006/03/25/the-power-of-the-engaged-employee/ Recently I had a customer experience that highlighted the impact of engaged employees on the customer experience. Having recently gotten into cycling I have been upgrading my bike as I progress. It was time to make the move to becoming a serious rider – get clipless pedals and shoes. My original cycling guru had left the store where I bought my bike and the replacement, while friendly and adequate, was less enthusiastic about the sport. I decided to try the new store across the street.

That is where I met Tommie. Here was an engaged employee. On my first visit I told him I wanted to learn about clipless shoes and pedals. An hour of conversation later, I was filled with knowledge and the understanding that would let me make a choice when facing overwhelming options. When I returned with my bike to buy the shoes and pedals Tommie took one look at my bike and announced there were problems with it that he would fix without charge. He showed me where the shoes were and while I tried on different ones he gave my bike a tune up. As he worked he explained what he was doing and it was evident he cared about my bike. We talked about my cycling and how to make it better. He told me of several weekly rides he runs out of his store and encouraged me to join. He was a wealth of knowledge but what really hooked me was his passion. The capper was when he put me on my bike on a trainer to make me practice getting out of the pedals. As I practiced, he made several adjustments to the bike seat to make sure the bike fit me properly.

Two hours later, I was stokes about cycling. I couldn’t wait to try my bike. I was looking forward to the weekly rides. This was great! Oh, and I also bought new pedals and shoes. The tune up, fitting, and training were free. This is my bike store!

The impact of this engaged employee was huge. I had a great experience in the store. I have told numerous friends about my experience. I am even more excited about cycling. I can’t wait to ride. I look forward to going back to the store. I have made additional trips to the store just to talk (but have ended up buying something each time). Price has never been an issue. Tommie has never tried to cut a deal and I haven’t noticed - it’s not about price. I am a committed customer.

The bike store has won big time. Tommie has build customer equity with me. I happily pay full price. I enthusiastically evangelize the store. I won’t go anywhere else to shop. I will end up spending far more money on cycling than before. I am the source of sustainable profits and growth. And we are all having a great time.

This is the power of the engaged employee.

For more on engaged employees and customer equity check us out at www.TheWhetstoneEege.com

]]> http://engagedemployee.com/2006/03/25/the-power-of-the-engaged-employee/feed/ The Split Personality of customer Experiences http://engagedemployee.com/2006/03/25/the-split-personality-of-customer-experiences/ http://engagedemployee.com/2006/03/25/the-split-personality-of-customer-experiences/#comments Sat, 25 Mar 2006 13:16:04 +0000 William Todor http://engagedemployee.com/2006/03/25/the-split-personality-of-customer-experiences/ Customers exhibit a split personality when making purchase decisions. Most businesses, by playing primarily to the indifferent personality, encourage an adversarial relationship with the customer. Yet they bemoan the lack of customer loyalty. Furthermore, this approach contributes to brand and product indifference. When the engaged personality comes into play, desire replaces indifference. This can happen only when the customer experience is emotionally and psychologically engaging. Today’s customer increasingly seeks these experiences. Companies who facilitate these positive experiences will have avid and loyal customers.
 
   Which personality is your company courting?
 
   The following “tale of two purchases” illustrates the distinction and the impact on sustainable profits and growth.
 
   Download the full paper (www.thewhetstoneedge.com )

]]> http://engagedemployee.com/2006/03/25/the-split-personality-of-customer-experiences/feed/ Win-Win-Win Business Relationships http://engagedemployee.com/2006/02/02/win-win-win-business-relationships/ http://engagedemployee.com/2006/02/02/win-win-win-business-relationships/#comments Fri, 03 Feb 2006 02:10:42 +0000 William Todor http://engagedemployee.com/2006/02/02/win-win-win-business-relationships/ Many believe customer loyalty is dead. Many also feel sustainable profits and growth is extremely difficult. Most businesses are chasing short-term profits in an ever-tightening spiral of cutthroat competition. Companies buy their customer’s business through pricing, incentives, or convenience, promising more for less, faster and with less involvement. This further motivates customers shop on price and shop around. In a world of abundance, overwhelming choice, and access to vast amounts of information the customer goes with the best deal available. Are we doomed, as some have suggested, to a world where businesses battle for an elusive customer and customers shop only on price and convenience?
We don’t think so. As businesses squeeze every ounce of efficiency out of their operations customers get more for their buck. The WalMarts of the world service this market and many shop there. Yet customers aren’t thrilled with this situation. The costs of low prices for the customer are substantial – long lines at checkout, employees with minimal knowledge of the product, difficulty finding help when in the store, restricted choice of products, no option to customize your purchase, and no store service of products. By all accounts this is a negative experience for the customer. They will go there but they don’t like it.
Customers want a positive, meaningful experience as much as, or more than, they want a product. And they are willing to pay for it! They will scrimp in less meaningful areas (shop at WalMart) so they can splurge on this positive experience. They will pay and pay well for a meaningful experience. What’s more, they become loyal evangelists of that company. Where do you want to be? In cutthroat competition with WalMart or servicing a loyal and expanding customer base.
A growing number of highly successful companies have figured this out and are leading the transformation to business models based on customer experience. Starbucks, Patagonia, The Container Store are but a few examples. Starbucks, where I am writing this and drinking my Café Americao, built a global business selling a positive experience. Customers line up out the door to spend upwards of four dollars for a coffee drink. And they do so happily. Compare the atmosphere of a line in Starbucks with a line in WalMart. Anticipation (Starbucks) verses resignation (WalMart). And yes, Starbucks are successful in lower income neighborhoods, evidence that people scrimp to splurge.
Is it possible to build authentic, trusting relationships that both simplify and enrich life in an increasingly complex and cold world? You bet! However, companies must transform they way they handle their most critical asset – their employees. The customer experience occurs when the customer interfaces with the company. How meaningful and positive this experience will be depends on interactions with employees. The customer experience goes through the employee. This is why, for example, the Container Store invests in ten times as much employee training as typical companies. And it is why Samsung forgoes the efficiency of a menu driven call center to have the customer service phone answered by a person.
Just as customers are looking for meaningful experiences, employees want their work to be meaningful and engaging. Thus the truly customer-centric company must seek to build a Win-Win-Win Business Relationship. They must build an environment where the end-games of each of the constituents – company, customer, and employee – are met.
What does this mean? When customers derive emotionally and psychologically gratifying consumer experiences they become emotionally loyal to the company and strong advocates – true lifelong customers. When employees derive value from being emotionally and mentally involved in their work they build psychological equity in their jobs. They become engaged. They are interested, excited and passionate about their jobs and this created the positive experience customers are seeking. When companies deliver a desirable customer experience, giving customers what they really value, they get committed customers willing to get involved with the company on broader issues and willing to pay for the experience.
We believe we have an effective strategy for companies wanting to shift to the new paradigm. Our expertise is in the psychology of the customer experience and the engaged employee and we have put these principles into action. We help companies find sustainable profits by redirecting their relationship with customers and employees. Our business, The Whetstone Edge (TheWhetstoneEdge.com), helps companies learn these new insights, strategies, and methodologies and apply them in their own companies.
If this sounds interesting to you stay tuned to our blogs, OnCustomers.com and EngagedEmployee.com  be sure to visit our website, TheWhestoneEdge.com.  

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