The Experience. Loeffler Bruce

independent study of more than 500 U.S. organizations found that more than 60 percent of all customer service provided in America is average or worse (Toxic). Consumers are tired of paying for mediocrity that could easily be improved with a modicum of effort on the part of leaders and employees who care. We have discovered that every store, supermarket, car dealership, hospital, fast-food restaurant, hotel, airline, financial advisory firm, bank, and church fits into one of five levels of the Experience hierarchy.

      As mentioned in Chapter 2, our independent study of more than 500 U.S. organizations found that more than 60 percent of all customer service provided in America is average or worse (Toxic).

      Every executive, every manager, and every employee needs to clearly understand what level of service and Experience their organization provides and why. Once they have identified the what and the why, the next step is to develop a plan of action to take their service and business to the next level. It is not a quick fix or an easy problem to rectify, but that is precisely what The Experience book was built to help you do.

      Motel “X”

      The average person with a complaint will tell roughly 16 others of their frustration – a domino effect that has only been magnified by current technology. Nowadays, a customer's power to positively or negatively affect a brand or an organization has enhanced the importance of positive Ambassadors as critical to those organizations' success, viability, and sustainability.

      The average person with a complaint will tell roughly 16 others of their frustration – a domino effect that has only been magnified by current technology.

      Several years ago, Bruce was taking his young daughter to church one Sunday morning. They were about halfway there when his daughter informed him that she had to use the bathroom. So Bruce quickly pulled off the road and into a Motel “X.”

      He politely asked, “Could my daughter use your restroom?” The young lady at the front desk said, “I'm sorry, but no.” Bruce asked again: “It's an emergency; she really needs to use the bathroom.” To which the clerk replied, “It's a company policy that nonguests cannot use our restroom.” At this point, Bruce demanded that she get a manager. The clerk went in the back for 20 seconds and returned, telling him, “He said it is our company policy; you cannot use our restroom!” Bruce was annoyed, but figured there wasn't much else he could say or do – so he left.

      Although the scenario didn't end in disaster, Bruce did write a letter to the CEO of Motel “X” and asked a simple question: “Is it true that a nonguest cannot use your restrooms?” A week later he received this reply: “Dear Mr. Loeffler, we're sorry for your inconvenience. When your travel plans call for lodging, please use Motel X” – along with a stamped signature. Bruce was not very impressed, so he wrote a second letter – a little stronger this time – stating three things:

      1. You didn't answer my question.

      2. I didn't appreciate your form letter.

      3. Do not send me any more stamped signatures!

      This was the response to his second letter:

      Dear Mr. Loeffler, If you will look on page 175 of the Motel “X” directory, you will find the answer to your problem.

      – along with another stamped signature.

      Of course, they didn't send him a Motel “X” directory or a copy of page 175. So two of Bruce's students at Texas Christian University went to a Motel “X” and brought in copies of the directory. And what do you know? Page 175 said nothing about a nonguest not being able to use the Motel “X” restroom.

      Motel “X” sent Bruce form letters, failed to answer his question, and provided him with stamped signatures – and after all of this, it turns out they'd lied to him. By this time, Bruce was very unimpressed with Motel “X”; so he decided to write a much stronger third letter. By this point, they must have thought they had a wild man on their hands – so they decided to call Bruce back this time.

      A vice president named Bill called and said, “Mr. Loeffler, you need to understand that we don't treat our customers like this.” To which Bruce responded, “Oh, yes, you do – otherwise we wouldn't be having this conversation!” Bill replied, “Well, I'd like to resolve this today.” Bruce then answered, “You can't. It's too late for that. Either I get a phone call or a letter from your CEO or this will go on indefinitely.”

      Ten days later, Bruce received a one-page, single-spaced letter with a real-life signature from the CEO of Motel “X,” who profusely apologized by saying, “This is the first time I have been made aware of your situation.” Bruce replied, “I knew that; but the people below were misrepresenting and, in this case, lying about Motel X's policies.”

      Now let's return to the statement we made at the beginning of this story. The average person with a complaint will tell how many people about it? Roughly 16.

      Therein lies the power of word of mouth advertising. Up to this point, Bruce has told more than 160,000 people of his Motel “X” experience (using the real company name!). Let's apply this principle, and you go out and tell 10 of your friends. Those 10 friends were each going to spend two nights at Motel “X” over the next year at $50 per night, but now have decided not to. Here is the potential lost revenue for Motel “X”:

      160,000(told about the Motel“X”experience throughBruce’s seminars)×10_(the friends they will tell)=1,600,000(potential lost customers)×$100_(what they would potentiallyhave spent)

      =$160,000,000

      That's $160 million in potential lost revenue – because they wouldn't let one little girl use their restroom. Now, one day those 160,000 people will turn into 200,000, and then will become 300,000 – and then when Bruce's third book comes out, more than a half million people will have been told about this incident.

      This example clearly shows how critical the Experience is even to those who are not current paying customers. The Experience that we are committed to and are designing for others must be genuine; it shouldn't be something we can turn on and off like a light switch. If it's real, and the “magic is magic,” it will not only help you build a more successful service deliverable; it just may save you millions.

      The Staggering Results

      In the following diagram, you will see the breakdown of our 500+ company study and the model of the five levels of the Experience. We took select service-oriented companies from the Fortune 500 along with the aforementioned Family 500 (closely held small businesses). Our findings are described in the box.

      The Five Levels of the Experience

      Level One (Toxic): 30 Percent

      L 1 Defined: “Service that comes across as apathetic, indifferent, and disengaged while providing an Experience that is both impersonal and offensive.”

      The definition we've developed for “Toxic” is that the service provided actually offends and frustrates the customers. In simplified terms, Toxic means negative employee attitudes. It includes reactions and interactions involving apathy, the brush-off, and plastic indifference. This is by far the lowest level of service Experience; it's clear that people do not care and leaders are unaware they are losing customers and risking going out of business.

      Level Two (Average): 30 Percent

      L 2 Defined: “An Experience where employees are content to go through the motions, are satisfied with the status quo, and deliver service that is mediocre, bland, and uninspiring.”

      Although not as negative as “Toxic,” the level of “Average” is still unacceptable. These companies are out of touch with customers' needs. Average is neither good nor bad; it just is. Companies and individuals who provide average or mediocre service tend to be uninspiring and boring