by Bonni Carson DiMatteo, © 2006

How many businesses have you left this year due to customer service indifference? At last count it was three for us. One that I had done business with for four years had asked us one too many times what our name was while simultaneously delivering a product that was less than quality. Another was one that requested that our family do a procedure that she said they would not charge us for—because they were at fault—and then sent us a bill in the mail. Mistakes happen, but what opened the door for us to leave was that they argued with us in billing when we assured them that they requested this. The last was a new business that did not deliver what was contracted. Rather than doing what he could to please the customer, he sent an e-mail that said, “I do want to provide customer satisfaction, but first I want to protect myself...” Say no more, we understand what is important to you.

Customers leave businesses for the same reason employees do. Only 14% leave because they are dissatisfied with quality. Another 9% leave because they can get a better financial deal somewhere else. And what percent leave due to customer service indifference, hostility, or insouciance? 68%!

Sixty-eight percent of your customers leave your business because they feel they have not been treated with care and concern. Can anyone afford this? You could deliver the highest quality product or service and still lose a customer if a person at your front desk does not know how to manage the relationship or make the customer feel appreciated.

The key to loyal customers is an exuberant staff. The key to an exuberant staff is your managers' ability to energize, set high standards, make staff feel an integral part of the company’s mission, vision, and goals, and feel appreciated. They return that feeling of confidence, caring, and concern threefold to your customers. Loyal customers net 23% more revenue and profit. In addition, they become ambassadors to your company. Loyal customers are literally walking advertisements.

At this season of gratefulness, take a moment to ask yourself what have I done lately to explicitly and individually appreciate my staff? What have I done lately to appreciate my customer? Loyalty in both customers and staff is won by attitude, actions, and anticipation of needs.

If you could commit yourself to one daily action that would express your appreciation to your customers what would it be?

If you could commit yourself to one daily action that would appreciate the efforts of one of your reports or colleagues, what would that be?

Each action whittles that 68% down and converts satisfied customers into loyal ones. And the key is in every touchpoint of your company from sales to finance. What message are they sending to the 68% at risk?

Tip #52: Offer positive feedback to reinforce the behavior you want. Feedback lets people know they are on the right track and builds momentum for success. .

This tip is from our booklet, 104 Tips on How to Ignite and Optimize Your Business and its Leaders by Bonni Carson DiMatteo. Filled with great tips on Leadership, Managing Others, Communication Skills, Strategic Planning, and Creating and Igniting Change, 104 Tips makes a great gift for vendors and customers alike. You can even have it customized with your logo and business name on the cover.

Assessment Tools: We have become certified a number of new instruments.

1. 360 Leadership Effectiveness Analysis. Based on the research of Management Resource Group (MRG), this instrument measures the following key elements of leadership:
   • Creating a vision
   • Developing a follower ship
   • Implementing the vision
   • Following through
   • Achieving results
   • Team work
2. Strategic Directions, Role Expectations, and Leadership Culture. Strategic Directions enables a company to identify what key behavior, practices, and roles they need to develop to achieve the results for their strategic direction.

View Bonni's article, "Does Your Company Have the N.O.M.A.R Syndrome?", which appeared in Executive Excellence in Sales and Service in December 2004. The article (yes, it was written before the World Series championship!) challenges leaders to look at themselves and their executive team, and ask the tough questions like Theo Epstein might have to ask to select and groom a winning team. Read the N.O.M.A.R. article (pdf format).

View Bonni's article on Quiet Leadership, which recently appeared in IndUS Business Journal.

Don't miss our next Biz Builder series, beginning in September in Wellesley. Complete our registration form to enroll in the Biz Builder Workshop.

Do you find yourself without a strategy or action plan to keep your business pipeline flowing? This Biz Builder Six-Week Workshop will get you back on track.

Who: For Professional Service Providers: consultants, lawyers, financial planners, coaches, etc.

What: A six-week Business Development Program to create your own strategic plan and strengthen your business.

When: Meets every other week for six weeks (3 meetings)
Next workshop begins March 2007
New groups begin each quarter: November, March, May, September

Where: Wellesley, MA

Facilitator: Bonni Carson DiMatteo, CMC. President of Atlantic Consultants. Bonni co-founded Atlantic Consultants in 1982 and provides coaching, training, and consultation to entrepreneurs and their companies.

Fee: $395
20% discount for ACC clients
10% discount for IMCNE, NESAP, ODLG, and BFR members

"Executives are focusing on how to build a flexible and responsive organization to more quickly detect and respond to market opportunities," according to Forbes editor John Dobosz and GartnerG2 Research Director Neil McDonald (April 2004).

What are you doing to build your leadership competencies?

• Are you looking for a cost effective solution to developing management and leadership competencies?
• Do you want something that has an impact and extends the learning into the culture of the company and the expectations of management?
• Do you want something that is deeper than a weekend quick fix, that sustains and implements the learning?
• Do you want a guarantee that is based upon an agreed measure of success that you establish?
• Do you know that to replace a key employee is estimated to be 1% to 2.5% of company revenue or between $10K and $100K per employee depending on level? (source: ASTD)
• Do you know that the TRS (Total Return to Shareholders) on training that increases development, communication, and morale is up to 200%? (source: SHRIM)
• Do you know that research indicates that there is an average of 5.7 ROI for coaching key employees? (source: Manchester Group)
• Do you want to retain top talent and groom them for the next level?

Then you want the Next Level Leadership Program. This cutting edge program combines:

• Leadership/management training (3 workshops)
• Assessment of core competencies
• 360 assessment telling people how others see them
• Assessment of personality style and its impact on communication (DISC)
• Goal setting
• Individual coaching to develop and enhance competencies, meet goals
• Group coaching to extend learning and build the team
• 6-month, 8-month, and 12-month programs bring your leadership to the next level

And all for less than it would cost you to send a manager to an offsite three-day leadership program.