by Frank Price, President FL Price & Founder Birthday University.
Thanks Frank for letting us reprint this informative article from your enewsletter.
Consumer loyalty is built by front line interactions. Delivering a consistent, quality experience with each and every visit is key. Consistency is determined by your systems, training and limiting employee turnover.
SMG's research shows that less than half of all “satisfied” customers say they are likely to return and only 32% said that they would tell someone about your business and recommend you.
Here lies the gap between the ordinary - expected customer service and the “extra” ordinary a customer experience that sets you apart and drives long term financial growth. You must elevate your thinking that consumers that are satisfied … is good enough. Only when they get to highly satisfied … will they return and tell others your story.
The Harvard Business Review adds a financial twist; gaining a 5% increase in customer loyalty will yield profits of 25 - 85% increases.
Today's front line employee primarily falls into the Millennial category who expect the workplace will be similar to earlier life leadership experiences. Parenting, teaching and coaching styles have been more supportive, friendly and presented in a positive-psychological style throughout their lives. Add the instant gratification and feedback of technology and social media and their expectation of how they want to be motivated and managed, drastically contradicts current “Old school” management styles.
They grew up with a constant stream of feedback and positive reinforcement. When they made a bad play in their sport, they heard “not your fault … just bad luck.” When they post a photo to social media, they count the immediate “likes” to reaffirm their status. When they send a text to their friends and say “Hey…?” they receive a dozen responses, instantly satisfying their craving for peer acceptance. Log onto a website, buy a product online or download an app and receive it instantly (or within two days) with a thank you and follow up offer. The typical Millennial has never known a world without nonstop, instant and mostly positive recognition. It's no wonder, as they hit the workforce, they are stunned to find out the world does not share the same beliefs. Instant gratification, recognition and personal reward are few and far between.
The Millennial generation has work values that are very different than those of their current employers.
Did you notice it's all about them? Those of you who are determined to hold on to the old management and leadership styles, will remain frustrated, continue complaining and have the same outcome. When you make the epiphany that they are not going to change, but you must, your loyalty, both employee and guests, goes up. “They” have the ultimate choice whether “they” will choose to serve, engage and make a difference in this key element of your success, or not …. no matter how much noise you make.
For additional information on what Millennials want from a job, check out this Harvard Business Review brief.
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