The In-Store Experience | DAN MANN
What You Don’t Want to Be
Smug. Conceited. Self-Satisfied. Arrogant.
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e don’t want to see these words in the same sentence as our name. Most of us don’t want to be described as egotistical. Is this also true of your business? Jason Jennings wrote a wonderful book several years ago entitled, “Think Big, Act Small.” In it he reminds us how important it is for us to dream big dreams — develop strategies to accomplish what has never been imagined. Build! Grow! Accomplish! At the same time, we must continue to make the relationships with our customers that which is most important. We are living in what is increasingly being called a Relationship Economy. In it, business success depends upon our ability to act small — no matter how big we are! This company “They bought their last car from the started acting “big”— wrong dealership. I’m just making sure and began its imme- they don’t make the same mistake again.” diate decline when it I was talking with my friend, Todd Ouellette, who owns numerous fired 3400 seasoned automobile dealerships (as well as employees in order motorsports and boats) across the to hire lower-paid Southeast. In a time when auto retailers (and less-qualified) are failing in unprecedented numbers, replacements. his business continues to thrive. In fact his dealership was just named Number One in the U.S. for Customer Satisfaction. So, when he talks business strategy, I listen. He was making the point that the policy for many auto/boat/ motorcycle dealers is NOT to provide service for customers who’ve purchased their vehicle from any competitor. These businesses will not work on a vehicle that wasn’t purchased from their store. He says that this attitude is actually prevalent in this market. However, his approach is different. He rolls out the red carpet for all customers, especially those who purchased their previous car elsewhere. He wants them to feel so welcome at his business that they want to come back. He actually thinks of ways he can go overboard to let these prospective customers know how happy he is to have them in the 14 • Sports Insight ~ May/June 2010
service department of his extraordinary dealership. He wants their NEXT purchase to be at his store. Thinking Big, Acting Small. What I see too frequently in retail is overconfidence. In this economy that attitude can be deadly! In the exceptional book, “Good To Great,” written in 2001 by Jim Collins, 11 companies are identified as having gone from Good to Great. These companies had been selected for this book because of their previous decade of excellent performance. Each company had mastered all of the elements of high-quality business success — and their balance sheets proved it. They were great! Today – a scant nine years later – one of those companies (number two on the original list!) is gone, bankrupt, all doors closed. And to make the readers of this article even more uncomfortable: it was a retail business: Circuit City. The bigger this company got … the bigger it acted. Relationships became less important. Competitors were able to gain a foothold with meaningful service and consistent customer care. The big company stopped acting small — and the customers felt the difference. According to most analysts, this company started acting “big” and began its immediate decline on March 29, 2007, when it fired 3400 seasoned employees in order to hire lower-paid (and less-qualified) replacements. You don’t need to be a business analyst to know what happened. This company stopped thinking about its customer’s in-store experience. So, are you happy with the in-store experience you are offering your customers? Is your sales force well trained? Motivated? Highperforming? Are your customers raving about you? Congratulations! Now is the time to make this even more important. When you are doing well, it is even more crucial that you remain diligent. There are many suggestions I could offer to ensure your continued success. Here are a few to get you started: Reward great service and honor your service superstars: Creating a culture of excellent customer service starts with you rewarding it when it happens. These people are the real heroes in your company. Develop a Customer Listening Program: What are your customers saying about you? Wouldn’t you like to hear it from them directly? Don’t wait to read it on Yelp.com! Creating a method for your customers to communicate with you is vital. Show your sales people the little things they can do every day that say “thank you” to your customers: Identify for your staff the ways you want them to say “thank you” to your customers and then show them how. Don’t Think Big and Act Big or you may become Good to Great to Gone! l Dan Mann is the founder of The Mann Group, a leading retail training and education company that focuses on results. He began his career as a teacher. His goal? To create leaders. That same goal followed him to his next job at Bachrach, where he led the largest privately owned men’s clothing chain, to great success. His company, TMG, is a nationally known leader in helping retailers get results. Dan is scheduled to speak at The Footwear Event, June 29, 2010 in Chicago.