The customer who never returns
“There is only one boss - the Customer. And he can fire everybody in the company from the Chairman on down, simply by spending his money somewhere else.” – Sam Walton
Sam Walton, founded the first Walmart store in 1962 with his brother, Bud Walton. At the time of his death in 1992, Sam Walton had a net worth of $ 8.6 billion.
Addressing a group of trainees one day, he said this:
"I'm the guy who goes to a restaurant, sits at the table and waits patiently, while the waiter does everything but write down my order. I'm the guy who goes to a store and waits quietly, while the salesmen finish their personal conversations. I'm the guy that, when he enters a commercial establishment, seems to be asking for a favor, begging for a smile or just hoping to be noticed. You must be thinking I'm a quiet, patient, never troublesome type... Get fooled. Do you know who I am? I am the customer who never returns!”
Sam Walton understood that in any successful business, the customer must take first priority and that begins by attending to him or her immediately –if not, at least acknowledging their presence no sooner they arrive - followed thereafter by staff exhibiting the 3 - Es: i.e. being efficient, empowered and empathetic.
The hospitality and retail services business is highly dependent upon employees to drive successful outcomes for the company – especially those employees who operate in close proximity to customers. I recall my wife and myself immediately walking out of a store because the salesperson, who kept following us, did nothing but stand a short distance away, legs spread apart and arms folded. This obviously was a company that was oblivious to understanding that employees in the frontlines are there to help customers – not intimidate them. It wouldn’t surprise me that this company’s human resources team is not supportive of its employees to understand that either.
Customers generate revenue: Employees drive the experience
At the most basic level, it’s an arithmetic problem: Businesses calculate their return on investment (ROI). Customers decide on their return on invested time (ROIT). Most operators know their ROI but do not track ROIT – and it can make or break a business. For instance, studies reveal that many customers never re-visit a store if they have not purchased anything from it or had bad experiences after two visits.
Huge amounts of money are spent on marketing and window dressing to entice customers to enter establishments and yet all that is in vain when frontline staff fails to treat people with a little inexpensive courtesy and kindness. Whilst value for money remains a top concern, good customer service plays a significant part in consumers’ buying decisions. Six in ten customers rank service as the second most important factor when considering doing business with a company.
The success criterion of attraction, retention, and development applies not only to customers but to employees as well. Organisations focused on world class customer and employee experiences get it. These are the exceptional ones with whom customers want to always work ‘with’ and have employees who want to work ‘for’.
These are organisations that excel by hiring staff with fit-to-fill capabilities at all levels, retain talent at whatever it takes and commit to their people’s successful growth and development.
Shafeek Wahab – Editor, Hospitality Sri Lanka, Consultant, Trainer, Ex-Hotelier
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