Feature Stories - October 2003

Service with a Smile

Ten Tips to Improve Customer Service

by Betty L. Johnson

Toni Stewart has spent quite a bit of time in Las Vegas hotels on business in the last 15 years. She may not be able to describe the décor of each one to you, but she does remember one stay vividly. "I stayed at the Golden Nugget, and I am not kidding, the maid called me by my name. I have stayed in some four- and five-star hotels, but I was pleasantly surprised that every morning and evening the maid would say, "Thank you for staying with us. We appreciate your business, Mrs. Stewart." From that time on, she looked forward to staying at hotels owned by Steve Wynn, because she realized Wynn was working to set a new standard for customer service in Nevada.

Stewart, director of corporate development for Coldwell Banker Premier Realty, notes, "For someone like me, who really believes customer service is everything, it was an extraordinary discovery. We have grown so fast here [in Las Vegas], that we have a boomtown mentality. Things are happening so quickly that as business people, we sometimes fail to realize that every client counts."

Companies that excel in customer service create customer loyalty and attract new customers through word of mouth. How can your business win at the customer service game? The following suggestions come from successful Nevada businesses: 

 Invest in your Employees: Train and Reward

Excellent customer service is a skill that can and must be taught. Great customer service does not begin with customer contact, said Maria Sawyer, director of sales at Canyon Ranch SpaClub at the Venetian Hotel. "It really starts with our hiring process. We have to find staff who want to be nurturing, who are outgoing and friendly. Our president has said many times, ‘I will take friendliness over professionalism.’"

Once hired, a preliminary foundation should be laid for new hires in an employment-training program. Ongoing training is also essential, and most companies see their best performance when employee reward systems are based on service as well as other goals.

Establishing a culture of customer service is very important to Pulte Homes. Erik Pekarski, director of customer service, explained that he was charged with creating a separate customer service department with its own branding and career path. "It is important that you are hiring the highest-quality people into customer service, and you must ensure there is upward mobility for them. That was our first step." The employees in the customer service division at Pulte are not relegated to the lower echelons of the company. The director of customer service is on the same professional level as the director of construction, director of sales or land acquisition.

"To be absolutely blunt, customer service is responsible for repeat and referral business, which is 42 percent of our sales or $3.8 billion," notes Pekarski. Pulte’s "Homeowner for Life" program is designed to show appreciation and service to the customer from the moment a buying decision is made, until well into homeownership. Pulte sends customer service representatives to meet with homeowners at three, 11 and 18 months to assess the need for any follow-up service. This emphasis on customer service resulted in Pulte receiving the JD Powers Award for customer service for the past three years.

Mark Howard, CEO of MountainView Hospital, recognizes the need for training and goes one step further into personal follow-up. "I ask [employees] to come back to meet with us again 30 to 60 days after hiring, for feedback." The hospital also uses programs to reward employees. One of those programs, "Caught in the Act of Caring", provides movie tickets for any employee who is singled out by a customer on a comment form or letter.

"The one thing a person cannot usually get enough of is thanks and pats on the back. That is why it is so necessary. If there is a whiteboard in a section of the hospital, I’ll write ‘Thanks’ on it, and sign it ‘Mark’. People look for that now, and if I miss a day, I hear about it."

Let your employees know you value customer service by rewarding it. At Sprint, for instance, a third party evaluates calls, and incentives are provided for those employees who consistently resolve problems in only one call. Update customer service skills during weekly staff meetings and staff retreats.

 Empower Your Employees

"We teach our people the most important thing to diffuse a difficult situation is to apologize on behalf of the company and take ownership of that call," explained Russ Cannon, director of sales and service, consumer marketing group for Sprint. "The representatives you talk to are given the ability in the system to handle questions across the Sprint companies, whether your call is about long distance, PCS wireless or local telecom. They are empowered to take ownership for the call and have authorization to give credit adjustments when necessary, and to apologize for the company when we make a mistake."

It is also important to remember your customer service personnel are not the only members of the company who need to be empowered to assist customers. At Pulte, a key component to its award-winning customer service is the partnership between the customer and construction. "The goals and objectives of construction are the same goals and objectives of sales and of customer service," noted Pekarski. "They are driven to delight homeowners."

Charlie Abowd, chef and owner of Adele’s Restaurant and Bar in Carson City, may own his business, but he spends a great deal of time encouraging his employees to feel as if the place is their own. "You must make sure your employees have a sense of proprietorship," he said. "They should know that they are why we are successful. Not only give a pat on the back, but also make your employment package better than the competition."

Remember All Customer Touch Points

Russ Cannon from Sprint noted, "In this day of automation, a lot of our touch points may be on an automated basis. These systems may include the interface on our Web site or an automated payment machine." It is important to follow up and ensure those automated methods and automated answering services are customer-friendly, even without human interaction. Is your Web site easy to navigate? Does your phone system allow access to a human being?

Tony Santo, senior vice president, Park Place Entertainment, reports that although his company still utilizes in-room feedback cards, there has been exceptional response to a new Internet survey program, where customer feedback is solicited through email and a Web site. "It is more responsive for us. Emails are instantaneous and allow us to respond to our guests quicker." The information is also easier to track, and a computer program detects certain comments and automatically sends those to division heads. Both negative and positive comments are acted upon.

Know Their Expectations and Exceed Them

Paula Yakubik, managing partner, Massmedia Vanguard, realized early on that you can’t make a customer happy if you are only guessing at his needs. Her firm works with new clients to outline their marketing programs on paper. These work plans are created in a work session during which clients provide information outlining their short-term and long-term goals. Every month, the customer is provided a written update, so the work Yakubik’s company is providing can be quantified.

"It has really helped us," she said. "It is amazing how much happier the clients are and how much happier we are as an agency. They can see on paper what we have done for them."

At Park Place Entertainment properties, extensive research is done to determine what levels of service and types of service customers expect from each property. Theme-based trainings such as "Keep the Promise" at Caesars Palace and "Joy of Life" at Paris, help employees understand the branding of the property and reflect that branding in the service provided to guests.

Listen To Your Customers

When you call Nevada First Bank and ask for its president and CEO, Dennis Gulden, you won’t get a gatekeeper – you’ll get Guldin. He carries a cell phone at all times, and he answers it. He expects the same service level from his employees. "We give our contact people cell phones and we expect them to leave them on and to use them." Gulden notes that, although some businesses may condone shutting off the phone during lunch or when things are hectic in the office, he does not. "It is important to customers that they have access to a real person. We are working as hard as we can to have a primary person on each relationship and ensure the customer has multiple methods of reaching that person."

If that contact should fail for whatever reason, the bank takes care to provide two or three other people the client can call for immediate service. Gulden notes his bank has gained many customers simply by providing personalized care.

Paula Yakubik insists her employees return phone calls within a 24-hour period. "I think many ad agencies are known for not returning calls in a timely manner, and taking a long time to complete a task. We value communication with our clients. We communicate with them and let them know if we cannot be done by the stipulated time, or in a certain way."

There are times, according to Russ Cannon, that Sprint employees are merely a sounding board for the customer’s grievances. In a world where personalized care and empathy are becoming rare, it is important to really listen to all complaints and concerns. "The customer wants to be able to get the whole story out, and not be interrupted by a representative who may take it personally."

Often, when we actively listen to clients instead of assuming they are only complaining, we find new ways to provide service and build a relationship. Maria Sawyer of Canyon Ranch SpaClub noted that the company’s training program focuses on listening and asking pertinent questions. "We are a wellness company, so our staff realizes that customer concerns are more than someone saying their massage isn’t great." As an example, Sawyer tells of a guest at the Venetian who was upset because he did not know how to work the fitness machines. "This was a very high-powered businessman who normally has control of everything in his life. He had recently undergone open-heart surgery, and he was not in control of his health anymore. Everyone seemed to be more fit than him at the gym, and to know more about the equipment."

The staff quickly realized the customer’s concerns stemmed from frustration, and one of the fitness instructors spent 30 minutes giving him a tour and acquainting him with the various machines. "He was really appreciative," said Sawyer.

 Get Feedback and Follow Up

Customer service does not end when a client walks out of your door with your product. Some of the most important information you gather from clients may be provided after the sale.

Many companies utilize a feedback card to gauge consumer response to their product. This may not provide a complete view of those accounts who don’t respond, or who never selected your company in the first place. Dennis Gulden utilizes a "check-up" plan for top customers to ensure his bank is providing all the services necessary for them, including trusts, investments or refinancing loans. "We are trying to find a way to check all those things off, much like going to the dentist and having a checkup every so often," he explained. Gulden also believes in keeping his ear to the ground. "We ask CPA firms what their customers are saying about banks. We are also out in the field calling on customers, and we talk to each one. We want them to feel important, because they are important to us."

MountainView Hospital recently began a new service called the "active listening system." This system allows doctors, patients and employees to bring questions and concerns to management. "You have to go out there and fight for the feedback," said Mark Howard. "When I am out in the community, I’ll ask, ‘Where was your baby delivered? What would you change about your experience? Why did you choose the hospital you chose?’"

Make Customer Service Job One

The mention of the term customer service generally invokes a vision of a low-level employee with no authority. Yet, most managers report a majority of their customers are wooed and kept through service. The companies receiving accolades for their service are companies where service is a top-down mantra.

Service is so important to the chairman of the board of MountainView Hospital that he makes rounds and talks to patients. He believes he has a responsibility as chairman to personally learn how the patients perceive their care. Mark Howard may be CEO, but he has provided patients with his home number thousands of times. Said Howard, "I feel strongly if someone has a question, they need to have someone to go to."

Toni Stewart from Coldwell Banker Premier Realty believes this sets her firm apart from others in the state. She reports the president of the company personally reviews every feedback form and letter, and he has put in place a system that provides consistency of excellent service. "When you step into the lobby, you can sense it. I think quality begets quality, and we have a quality of leadership."

Practice Customer Empathy

It is easy to forget our customers are people. This can be especially difficult when your customers are in need of medical care, said Mark Howard. He explains to new employees during training: "Quality is treating an individual as you would want to be treated yourself, whether that is clinical quality or service quality." He relates a story of an emergency patient who was worried about a family pet. An employee actually borrowed the person’s keys, fed the dog and then returned to work. "I thought it was great that we took care of the whole person. Sometimes, we forget there is a medical side and an emotional side."

 Build Relationships

A service situation does not need to be life-and-death to impact your business. Charlie Abowd notes that at his landmark Carson City restaurant, employees are trained to know customers who frequent the establishment on a consistent basis. "As a steady customer, being recognized makes you feel as if, ‘This is my place.’" Greeting repeat customers heartily and perhaps mentioning one of their favorite menu choices is available that evening, is the code of conduct for Abowd’s employees. These small touches are very important, he insists. The biggest mistake a businessperson can make, in his opinion, is to take personalized service for granted because they feel the product stands on its own.

How important are great customer relationships? Erik Pekarski reports Pulte’s best form of advertising is word-of-mouth. "People understand our brand stands for quality and trust." Pulte is known for going the extra mile to satisfy a customer, and Pekarski believes that is why the company garners repeat business that enables it to spend less on advertising and marketing than many other homebuilders. From paying for storage when a homeowner’s household goods arrive early, to providing a bond when Pulte homeowners in a planned community were sued by companies who did work for the original developer of the community, the company works to earn its customers’ business, even after the sale. "We end up being friends with the homeowners in our communities."

 Strive to Improve

Situations and customers change, and their expectations also fluctuate. A successful company learns to ride the waves of change, and to find those areas where improvements can be made to meet customer demands.

Most companies that are performing well in customer service indicate that feedback is constantly being collected and utilized to make changes. A feedback card sitting dormant in your office has no value.

Most importantly, never settle for good customer service when you could be providing great customer service. Toni Stewart noted that although Coldwell Banker Premiere Realty recently garnered a 98.5 percent favorable rating from its customer base, "We are striving for 100 percent, and we still have a ways to go!"

"Service is a waning part of the business community," said Charlie Abowd. "In so many ways, business is self-service now. Those who offer an individualized service aspect to their business plan will separate themselves from the rest of the pack. I would say that throughout our 25 years, easily 75 percent of our success is directly related to the service our staff provides. You can provide excellent service, and provide the customer with a consistently good product, (it doesn’t have to be a great product) and be successful. If you reverse that system, your business will be very shaky."

Dennis Gulden agreed. "Customers are key to the success of any business. And you really just can’t take them for granted. Otherwise, someone will come in the backdoor and take half of them."