Synopsis: Who are the champions in your organization, responsible for developing these 'Customer Learning Relationships'? The level of personal relationship you achieve with your customer is your competitive advantage and protects you from competitive poaching. Your experience makes you different. Why not create positions in your organizations to represent those two key outcomes, to advocate on their behalf?

Create a Chief Experience Officer to ensure that the business creates a distinctive persona and orchestrates a powerful theatrical experience. Find a Chief Customer Officer responsible to maintain its integrity from the customer perspective.

Consider a different way. There are companies out there already reaping the benefits of this enlightened approach. It's ShowTime. Don't miss the curtain.
Issue #59 June 29, 2004
 

 

Who Are Your Chief Customer and Experience Officers?

"You can make your own customers more loyal and more profitable to you — one customer at a time — by establishing a 'Learning Relationship' with each of them, starting with your most valuable customers."

— One To One Field Book by Peppers, Rogers and Dorf

Establish a 'Learning Relationship' with your customers? What the heck does that mean? Well, I've been pondering that idea for a while, now. I think it means that retail life, as we know it, is over. You know what? I'm glad. I'm sick of sales growth plans that depend on targeting vague demographic profiles comprised of averaged attributes. I'm tired of anonymous transactions conducted by a business with no interest in who I am or what value I represent to them.

If establishing a 'Learning Relationship' with me means that the business acknowledges my patronage and shows some interest in what I think and feel, then, bring it on.

At one of my 10 GEMS seminars recently, I heard a great story. The wife of a friend of mine felt that a small, somewhat inconsequential light in her Lexus was on the blink (sorry, couldn't resist) and needed service. My friend didn't think it worth it. The light was valued, at best, a couple of bucks. Still, she insisted.

Turns out she had good reason to go. When she arrived a polite, well dressed and well mannered serviceman gave her a friendly hello, got the automobile number and then accessed her entire history. Not, mind you, just the car, but her and her husband's story, as well. From that moment on, she was addressed by name, offered a cup of fresh brewed Starbucks coffee, a copy of USA Today or access to a phone (calls free of charge), while they fixed the faulty light in a jiffy. All this offered with genuine hospitality, even though she didn't have an appointment. After paying the $87 service charge to fix the $2 light, she went home and raved to her husband about the experience. What's the moral of the story? Develop a 'Learning Relationship' with your customers, offer an over-the-top retail experience and charge whatever you want.

Who is the champion of the guest in your organization, responsible for developing these 'Customer Learning Relationships? We have Chief Executive Officers, Financial Officers, People Officers, Marketing Officers, Information Officers and Administrative Officers. I'm waiting to see Chief Bottle Washing Officer show up in an Annual Report at some point.

I don't begrudge anyone getting recognition their capability warrants, but all these titles focus on the internal reality of a company. Each officer represents their discipline within the planning and execution processes of their companies. Where are the officers that represent the customer? The Retail Experience? Conventional wisdom suggests that the 'internal officers' take care of the constituencies most naturally affiliated with them. Here's what I think: None of these internal officers can both represent these outside customers and fight their internal territorial battles. There needs to be new paradigm.

Our business reality is simple. The quality of the retail experience you offer and the memory it creates is your value proposition. The corollary of that is the level of personal relationship you achieve with your customer is your competitive advantage. A competitor cannot duplicate the trust and history implicit in a personal relationship. The experience you craft differentiates you. The quality of your relationships protects you from competitive poaching. Why not create positions in your organizations to represent those two key outcomes, to advocate on their behalf?

A Chief Experience Officer transcends a single department, influencing the operations, finance, design, human resources & training and purchasing. His or her whole reason for being is to ensure that the business creates a distinctive persona and orchetrates a powerful retail experience derived from the primal waters of both the customer's attitudes and the company's values.

A Chief Customer Officer is the customer's advocate in relation to the same disciplines. Once the 'show' is set, there must be someone responsible to maintain its integrity from the customer perspective and direct the appropriate innovations to keep the show relevant and fresh.

Just to show you that this idea isn't a pie in the sky rant, I just paid over $6.50 for a dozen Krispy Kreme donuts at the drive through. $6.50! Did I care? Nope. I was just delighted to have gotten in line to watch while the hot glazed suckers traveled through the waterfall of sugar on their way to my car. It's the promise of a sublime experience that made me drive 15 miles and pass at least six Dunkin Donuts. Someone in that organization is responsible for orchestrating that experience, charging me a fortune and not using much if any of those proceeds to either advertise or discount.

Different times require different strategies. Customers expect WOW retail experiences and a personal relationship with their store, on their terms. Old organization charts, based on departmental silos girded for territorial war just won't cut it. Consider a different way. There are companies out there already reaping the benefits of this enlightened approach. It's ShowTime. Don't miss the curtain.





When I was in Chicago speaking at the NRA Show, I had a chance to visit Sushi Samba. Now, this is not the newest concept on the block, but I was struck by how many things this restaurant did to create an indelible experience. Music was Brazilian and sexy. Décor by David Rockwell, who, by the way, is now designing sets for Broadway shows, took fusion into the land of colored plastic, funky 'Mardi Gras' lights and the coolest sushi stage I've seen. I sipped on a $10 Samba special of mulled strawberries and rum and thought, "Yep, this 2 and 1/2 oz. cocktail is worth every penny."


Have any questions about this issue? Please feel free to email me at rick@rickhendrie.com, or call me at 617- 547 -5123 or 617-335-1011. I'll do my best to help you out.

We combine theater technique, classic marketing skill and operations know-how to create a profitable, "WOW" guest experience.

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"It's Showtime Baby, & And You're The Show!," gets published regularly and concentrates on concrete ways you can take advantage of the emerging "Experience Era".

Are there topics you would like the newsletter to cover? Are there improvements or changes you would like to see? Email us at: comments@LinkincMethodMarketing.com

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