So this blog post today was originally going to be about the importance of goal setting, but the whole Toyota recall thing has reminded me of something else I wanted to talk about a couple months back. For some people what I'm going to say is going to be pretty obvious, but for others, perhaps not so much.
Toyota effed up in a big, grand, failblog sort of way. To develop a brand as shiny as theirs with solid vehicles such as the best selling Corolla and Camry, takes years of work and millions of dollars. It starts with engineering a reliable product priced to provide value, and marketed to communicate value. After a decade or so of providing value, then your product might, just might become a hallmark of excellence, an international best selling vehicle, and a perennial Top 10 on Consumer lists. That sort of capital takes time and money, and it can all be whisked away in just a couple weeks time. Toyota would likely be lucky if this doesn't cost the literally billions in lost sales.
The simple fact of the matter is that mistakes cannot be avoided, but its important to realize that there is a certain way of dealing with them. To walk away with even a modicum of grace from a negative situation, as a business owner or service provider you need to understand that its not the event that defines you or your business, its your reaction to that event.
A couple months ago I was shopping for a new bicycle and I was allowing myself a pretty generous budget. Looking for a specific brand I went to one of Calgary's major bicycle retailers, but not the one where they know me by name. I made the pretty long detour to the shop and decided on the bike that was right for me. I'm an educated consumer so I actually knew exactly what I wanted, but I wanted to test the service and play dumb (if I'm going to drop a couple grand on a bike I at least want to know I'm buying it from a nice guy). Well I was flat out ignored for about half an hour while I stood beside the bike that I wanted. There were sales people in the area and one helping another customer but I received no acknowldgement, no eye contact, and no offers for help or indications that they'd call more staff to assist me.
I've worked retail and I know when you're short staffed, or super busy, customer service is tough. But thats just not a good example of how to manage the B2C relationships, or any relationships for that matter. So rather than tell everyone about my negative experience I actually took the time to email the customer service manager. First thing the next day I got an email from him saying that he could make excuses, but that wouldn't change the fact that they didn't come through. He offered me a proposal on how to improve my experience with the retailer and more importantly he offered me an apology. I ended up buying the bike at cost and of course I'm happy with how things ended but still can't help but have that bad taste in my mouth from the first experience.
When the boom happened here in Calgary two or three years ago and retailers were placed at the will of employees who were in high demand and spoiled rotten, the quality of customer service in this city tanked. A lot of mistakes were made every day and some people couldn't be bothered to care. For you, if that situation ever comes along, whether you are the manager of 2 employees or two thousand, the willingness to apologize and admit the customer was wronged and committing to a mutually agreeable solution will often turn a negative experience into a positive opportunity.
I honestly have no idea of how long it will take for Toyota's image to recover, its probably too soon to even measure what they're doing to correct the situation. When quality and reliability is the core competency that you use to stalk the big three in sales for decades, the big three being able to turn around provide trade-in incentives on the premise that their accelerator pedals don't suck, really hurts the team. The recall has to be just the beginning because with that they're only fixing their cars, not their image. Their best bet? Fix the cars, admit they screwed up rather than blaming the supplier, and then promise that this was an opportunity forcing them to be better than they were when they were at their best.
Friday, January 29, 2010
Thursday, January 28, 2010
I've been bad...
I preach all about the importance of social media for small businesses and yet I don't bother to update my blog, what am I doing??!?! My oh my... So maybe this blog I'll just spend some time updating on whats new.
Anyways, things have really been picking up of late with redlime which has been fabulous, we just picked up a couple new clients this January and I'm looking forward to a busy February especially with some of the not-for-profits we're working with (more on that to come in later posts). We also just developed a very good software package for condo boards and residents so if any one is on their condo board and would like a quote, let me know. The package basically facilitates communication between tenants and the board with functionality to include web forums, voting, posting of important documents, etc etc.
Also new, I'll soon be moving into some new digs at Keynote Calgary which is an awesome new development on Mcleod and 13th avenue SW here in Calgary. The folks at Keynote have been fantastic and I'm very excited about moving in. There will be a Sunterra, Starbucks, and an RBC in the base of the building and CH2M hill is the anchor tenant in an adjoint office tower. Just to dispell any rumors that have been floating around as well, CH2M hill is actually expanding their Calgary office (not closing it down as some have said).
Lastly, I've started full blown training for the Calgary Ironman 70.3. I've only actually got one duathlon under my belt and probably have no business entering into a half Ironman, but I'm hitting the pool 3 times a week and riding about 100kms a week through winter, running has been tough but I've been getting hours in there too. I'm thinking of starting a training blog, but clearly one blog is enough of a challenge...
Anyways, more this weekend.
Cheers,
Raf
Anyways, things have really been picking up of late with redlime which has been fabulous, we just picked up a couple new clients this January and I'm looking forward to a busy February especially with some of the not-for-profits we're working with (more on that to come in later posts). We also just developed a very good software package for condo boards and residents so if any one is on their condo board and would like a quote, let me know. The package basically facilitates communication between tenants and the board with functionality to include web forums, voting, posting of important documents, etc etc.
Also new, I'll soon be moving into some new digs at Keynote Calgary which is an awesome new development on Mcleod and 13th avenue SW here in Calgary. The folks at Keynote have been fantastic and I'm very excited about moving in. There will be a Sunterra, Starbucks, and an RBC in the base of the building and CH2M hill is the anchor tenant in an adjoint office tower. Just to dispell any rumors that have been floating around as well, CH2M hill is actually expanding their Calgary office (not closing it down as some have said).
Lastly, I've started full blown training for the Calgary Ironman 70.3. I've only actually got one duathlon under my belt and probably have no business entering into a half Ironman, but I'm hitting the pool 3 times a week and riding about 100kms a week through winter, running has been tough but I've been getting hours in there too. I'm thinking of starting a training blog, but clearly one blog is enough of a challenge...
Anyways, more this weekend.
Cheers,
Raf
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