Sorry, didn’t mean to wish you well!

Devangshu Dutta

November 22, 2008

Whatever you might say about “customer relationship management”, you can’t fault some companies for trying.

Only, sometimes they just try too hard.

For instance, one bank (that shall remain unnamed) sent an email with birthday wishes WEEKS after the event. You could laugh at the mistake, blame it on a fault with the IT system, whatever.

But what do you do when the very next day they follow it up with an emailed apology that says:

“Dear Customer

We apologize for inadvertently e-mailing a Birthday wish to you. Kindly accept our sincere apology for the inconvenience caused to you.

We look forward to your continued patronage and wish you the best at all times.

With Warm Regards

XYZ Bank”

Sometimes customer relationships should remain managed in an understated and old-fashioned way. Otherwise the “WOW Factor” can turn into the “WHA…?! Factor”.

Price Parity or Disparity for an International Brand

Tarang Gautam Saxena

October 10, 2008

I recently had the opportunity of window shopping with some friends visiting India and it was interesting to note how visitors to India from different continents react to the retail prices of the products of the international brands available in the Indian market. 

Friends from Europe (specifically from the UK, which is a relatively expensive country to live in) were pleasantly surprised to find the prices of some of the products of international brands such as L’Oreal, Tommy Hilfiger, Marks & Spencer and Levi Strauss cheaper and they extended their list of things to buy from India at the cost of paying for the extra baggage on their way home. (Well, it also happened to be the discount season during their visit.)

On the other hand, friends from Canada who had arrived a few weeks earlier (before the discount sales started)  found the products of international brands too expensive by “Indian standards” and decided that they should do their shopping back in their home country during the markdown sales for Halloween or Christmas!! After all, shouldn’t India be cheaper?!

Yet again, a case in point, when I visited a “just opened” retail outlet of an international brand at a well known mall in the NCR region, I noticed the Rupee price mentioned on the tag was higher than the converted value of the unit price printed in Euros on the same tag. As a consumer I rationalized that probably the brand was launched in a hurry and one forgot to remove the Euro price stickers, though it may also have been a possibility that since the products were imported, the high import duty structure may have resulted in a higher Indian price!

Is it possible for the international brands to follow a common pricing globally?  Could the international brands integrate the global tariff barriers/ duties, and currency conversions in their cost structure and have their products priced the same across all international borders?

Well, maybe not just yet…although some brands have tried. For now, consumers can only hope for more parity.

Come to think of it…..if you went shopping in the UK after the US you may just find that for some products the prices (read digits) appear to be the same ……only the “$” would have been replaced by£”.

The Perils of National Customer Care

Devangshu Dutta

March 26, 2008

As brands and retailers expand their operations nationally, they begin to look at consolidating their back-room operations. Typically finance is already centralised, but other operations such as store opening project management, logistics etc. are also centralised for smoother and more efficient operation.

And then comes a big day when someone senior decides that the company should have a single toll-free or local dial number that customers from around the country can call.

Of course, India is already acknowledged as the call-centre of the world, so this should be easy. Right?

Wrong.

Call centres that are operating internationally from India have become famous (notorious?) for acclimatization, enculturation, liguistic training etc. of their staff. After all, they have figured, a customer in Texas is pobably much more comfortable speaking to a Sam than a Samir or to a Jack rather than a Jaikishan. And, beyond the name, they are also provided detailed background on the environment in which their customers live, so that they can have a “conversation” rather than sound as if they are script-driven phone-jockeys.

Domestic contact centre staff (and their domestic customers) are not so lucky.  The hardware may be in place very quickly and efficiently, but the softer aspects have huge gaps. Either this is because the costs are too high (compared to the revenue available domestically), or it may be because this has not even occured to the company as being as issue they should think through.

Languages and accents apart, there is a world of a difference even in terms of the way people deal with each other across India. A customer care person sitting in Chennai may have as little in common with a Punjabi customer from Delhi or a Bengali customer from Kolkata, as they might have with a Spanish-speaking customer based in Mexico.

To companies who are looking at providing single-point phone contact for consumers across the country, I would suggest looking at India just as one would look at the EU.

(For instance, a German company wanting to provide EU-wide single-number dialling would need to ensure that the calls originating from France land at the desk of a person who can speak French and is comfortable with the context of the French customer, and similarly for Poland etc. India is actually no different in its diversity.)

Acknowledging the differences and gaps would be the best first step in building true bridges with customers across the country, and providing better service.

The Customer is God … really? – A Day of Ironies

Devangshu Dutta

March 15, 2008

Today is supposed to be celebrated as “Consumer’s Day”. I find that ironical, given a personal experience of poor service that occured yesterday whose effect is still lingering and will linger for another 2 weeks (with profuse apologies from 3 different people on the retailer’s side, for the delay, bad quality etc etc).

There is the saying: “Customer is King”. But it does seem that the days of kings are past.

Mahatma Gandhi went a step further and declared the customer to be God. But there may be problem with that as well – after all, how many people actually listen to God? And for all the “god-fearing” intent, how many actually act upon their morals (or their customer-service policy, in this case)?

The “God” of discount retailing, Wal-Mart founder Sam Walton, is reported to have said that the customer was the one person who could fire everyone in the company, chairman down, by deciding not to shop at their retail store. Unfortunately, many today would probably respond: “No problem, I’ll just get myself another job.”

To my mind, one of the biggest issues that causes poor customer service is the lack of ownership – someone in the retail or service organisation to actually feel that the buck stops with them, and they can take care of the problem. Much of problem lies in the processes and the structures that disempower the individual employee, but some of it is also personal conditioning.

Another key issue – transparency in approach – is highlighted in an article in today’s newspaper by Pushpa Girimaji [Advantage Consumer: Customers love transparency!]

However, how is this for another irony: the same paper presented a quote from Joseph E Levine – “You can fool all the people all the time, if the advertising is right and the budget is big enough!” Unfortunately many organisations view the consumer through this lens rather than the earlier one.

How was your day as king / god / consumer?

Culture of Caring – a Trump Card for Retailers?

Chandni Jain

March 3, 2008

Among the frenetic activity of large stores opening and the expressed visions of organized retail taking over the market in the past couple of years, the competition is becoming more intense with each passing month. What would set the winner apart is not just the customer experience and satisfaction but also customer loyalty – where, for instance, an “unorganized” kirana store can still beat a much-larger organized retail business due to the intimate understanding of their customer base and micromanagement of the store.

What it would take for the organized retailers to replicate that experience is the people who create a culture of caring. This may sound “soppy”, but only true concern for the customer produces fabulous service from a salesperson. And if the salesperson has true concern, then he / she is probably showing the same concern to others (including colleagues and others in his / her life), and this itself can’t exist in isolation.

Many organised retailers have already made huge investments to put the technology and systems in place in the store. The missing link, however, is bridging them and customer with care and understanding, which is an absolute essential for the front end of any retail business. When time and competition is getting tougher by the day, creating a culture of caring makes great business sense for an organized retailer.