INNOVATIVE
IDEAS
Live Chat Feature Generates $136,000 In Added Revenue In the September/October issue BoardRoom magazine 2019, we reported how our current culture’s need for immediacy is shaping the way we communicate with existing and potential new members. Gabriel Aluisy noted research that shows that faster response times increase the probability your prospect will stay in your sales pipeline. Membership Director Ricky Potts knows this all too well. He’s delivering incredible value to The Fountaingrove Club in Santa Rosa, California using a relatively simple piece of technology: Live Chat. Since introducing the new communication channel to the club’s website, the chat functionality has increased the club’s revenue by more than $136,000 as of this writing. We’ve all grown accustomed to the instant gratification of digital communication. According to a 2019 Business Insider article, 59 percent of consumers would rather go through additional channels to contact customer service than have to use their voice to communicate. Further, at least 49 percent of all consumers contact customer service using automated channels, and that number goes up to 66 percent for Millennials. That data is from a two-year old study, so one can only imagine these numbers have increased over time. Research like this was the genesis of the idea for Potts, who is technically a Millennial himself. “It all started last year in sunny Naples, Florida. I was the Director of Marketing and Communications at Tiburón Golf Club at The Ritz-Carlton Golf Resort, Naples. As someone that loves to communicate with brands via Live Chat, I decided to experiment with it there.” Potts’ first attempt proved successful, producing over $40,000 in added revenue in the first two months of usage. “When I relocated to Santa Rosa, we implemented it here, and while we don’t respond to as many messages [about two per day], it has produced over $136,000 in guaranteed revenue,” said Potts. “Since we are a private club, 100 percent of the revenue is from referring new members, initiation fees and guaranteed dues. We lost our clubhouse in the 2017 Tubbs fire, so currently we do not do weddings or banquets. That number does not include discretionary spending,” said Potts. The customizable service he chose is called Drift (visit drift.com). Potts opted for the no fee option, though there is a paid version. The Live Chat messages can be directed to his desktop or to his smartphone as a push notification. Drift recently released a desktop app, as well. “It does take a lot of time, patience and accessibility,” said Potts, “For example, if someone sends a message at 8:30 p.m., it comes to my phone. I will respond 100 percent of the time. If I am awake, I am responding to messages.” 82
BOARDROOM | MARCH/APRIL 2020
Potts’ average response time is a blisteringly quick four seconds. The only thing slowing him down is unlocking his phone before answering queries. He invites anyone to test his speed by visiting thefountaingroveclub.com. The system recognizes repeat users, so Potts is able to call prospects by name on their second visit to the Live Chat feature, adding a personal connection to the interaction. “There is a lot of power in that,” he noted. In addition to booking club tours, Potts has also helped members book tee times, make dining reservations, register for events and he routinely answers questions about membership. “If I don’t respond right away, regardless of what time it is, the person asking the question loses trust in our ability to communicate properly in a timely manner.” Best of all, the Live Chat sessions are 100 percent trackable, as is the revenue they generate. The club’s board can see the results of his time and energy spent. Drift provides information based on the incoming user’s IP address, making clubs able to collect names and email addresses for new points of contact, building out their CRM along the way, while learning about potential new members. BR
FOUNTAINGROVE CLUB MEMBERSHIP DIRECTOR RICKY POTTS