Join us as we discuss talking to customers in uncertain times, a remarkable credit card experience, and the power of Cracker Jack-esque surprises.

Canadian Professors, Apple Cards, and Inflatable Pools – Oh My!

[CX Press] Concrete Communication in Uncertain Times

Things We Mentioned in This Segment:

• Michael Fishman
• Consumer Health Summit (CHS)
• M.I.T. Sloan Management Review
• Grant Packard (associate professor of marketing at York University in Toronto)
• Schulich School of Business at York University
• Sarah G. Moore (associate professor of marketing at the University of Alberta School of Business in Edmonton)
• University of Alberta School of Business
• Brent McFerran (associate professor of marketing at Simon Fraser University in Vancouver, British Columbia)
• Simon Fraser University – Beedie School of Business
• Speaking to Customers in Uncertain Times – by Packard, Moore, and McFerran in M.I.T. Sloan Management Review
• Professor Jonah Berger (associate professor of marketing at The Wharton School in Philadelphia, Pennsylvania)
• The Wharton School of Business – University of Pennsylvania

[Dissecting the Experience] The Apple Credit Card – Changing the Landscape Again

Things We Mentioned in This Segment:

• Apple
• iPhone
• AirPods
• Mac
• Apple Credit Card
• Discover Card
• Discover Wins JD Power Award
• JD Power Award
• William Tell
• iPad
• American Express (Amex) Black Card
• Apple white matte finish
• Apple logo
• Credit card chip design
• Goldman Sachs
• Mastercard
• Wallet app
• Apple Pay
• Apple Watch
• MacBook Pro laptop
• credit card cycle date
• First USA
• Chase Bank

[Partnership with Avtex] We Love Gameshows – Do You?

Things We Mentioned in This Segment:

• Jeopardy!
• Wheel of Fortune
• Joker’s Wild
• Tic Tac Dough
• Press Your Luck

[This Just Happened] Inflatable Pools with a Free Prize Inside

Things We Mentioned in This Segment:

• Marcus Sheridan – Pool Guy
• River Pools and Spas
• Inflatable Pools on Amazon
• Amazon
• Cracker Jack

Host Contact Information

Email Dan: Dan@dangingiss.com

Tweet Dan Gingiss: @DGingiss

Email Joey: JoeyC@JoeyColeman.com

DanGingiss.com

JoeyColeman.com

Subscribe to Experience This on Apple Podcasts

Episode Transcript

Download a transcript of Episode 104 here or read it below:

[SHOW INTRO]

Dan Gingiss [00:00:05] Welcome to Experience This! 

Joey Coleman [00:00:08] Where you’ll find inspiring examples of customer experience, great stories of customer service, and tips on how to make your customers love you even more! 

Dan Gingiss [00:00:18] Always upbeat and definitely entertaining, customer retention expert Joey Coleman… 

Joey Coleman [00:00:23] …and social media expert Dan Gingiss serve as your hosts for a weekly dose of positive customer experience. 

Dan Gingiss [00:00:31] So hold on to your headphones, it’s time to Experience This!

[EPISODE 104 INTRO]

Joey Coleman [00:00:39] Get ready for another episode of the experience, this show. 

Dan Gingiss [00:00:45] Join us as we discuss talking to customers in uncertain times, a remarkable credit card experience, and the power of Cracker Jack-esque surprises. 

Joey Coleman [00:00:59] Canadian professors, Apple cards, and inflatable pools! Oh, my! 

[SEGMENT INTRO – CX PRESS]

Joey Coleman [00:01:07] There are so many great customer experience articles to read. But who has the time? We summarize them and offer clear takeaways you can implement starting tomorrow. Enjoy this segment of CX Press – where we read the articles so you don’t need to! 

[CX PRESS] Concrete Communication in Uncertain Times

Dan Gingiss [00:01:25] We’re living in a world that is fundamentally different from the world we were living in just a few months ago. As businesses work to navigate the experiences they’re delivering to customers, one of the big questions that everyone is wrestling with is how do we offer certainty in our communications when we’re speaking to people in uncertain times? 

Joey Coleman [00:01:47] Which is why we were intrigued by the following article that is our CX Press segment today. I want to give special thanks to my buddy Michael Fishman, who’s the founder of the Consumer Health Summit, who turned me on to a piece in the M.I.T. Sloan Management Review. The article is written by Grant Packard, associate professor of marketing at York University in Toronto; Sarah G. Moore, associate professor of marketing at the University of Alberta School of Business in Edmonton; and Brent McFerran, the associate professor of marketing at Simon Fraser University in Vancouver, British Columbia. 

Dan Gingiss [00:02:22] Wow. So that’s like “associate professor of marketing cubed” and a coast to coast group of Canadian professors. 

Joey Coleman [00:02:30] So true, Dan. So true! And let’s be honest, when it comes to creating great customer experiences, I’ve had the pleasure of spending enough time in Canada to know that our friendly neighbors to the north are absolute pros. And the fact that these three professors collaborated on a great article titled “Speaking to Customers in Uncertain Times” comes as no surprise to me, and I’m super excited to dive into it. The article begins with some clear yet frightening observations… and I quote:. 

Joey Coleman [00:02:59] “Businesses are increasingly operating in a low trust world. The levels at which people mistrust government, traditional media, and social media, are high – and rising… Add to the trust deficit a global pandemic, in which consumers have been asked to limit their visits to stores and restaurants and to shop online when possible. Those who do venture out face an uncertain and literally distanced service experience. They’re questioned about their health. Asked to line up and wear mask, shown where to walk, and reminded to avoid other customers and employees… This trust deficit persist outside the retail space. Individuals contacting customer service –  whether it airlines, banks or retailers – during the pandemic are waiting longer than ever and dealing with uncertainty and frustration about refunds and product availability… So customers are arriving at interactions in highly charged, emotional states. Many frontline workers with similar safety anxieties and changing directives from their supervisors are also stressed. Further due to staffing cuts, shuttered branches, and closed call centers, many customer service employees are working from home with less support from team members and supervisors… In short, the potential for fraught customer service experiences, in-person or otherwise, is higher than ever. 

Dan Gingiss [00:04:18] Ouch! I mean, that one is tough to swallow, but it is absolutely true. And I guess that’s what keeps us customer experience folks in business. I mean, trust is vital when it comes to customer experience and due to the fact that the current environment has eliminated, or drastically reduced, most of the face-to-face, nonverbal ways that people build trust – things like smiles, and head nods, and handshakes – we really are operating in an unprecedented environment. So given the reality of the world right now, what are we supposed to do about it? 

Joey Coleman [00:04:55] Well Dan, I’m glad you asked – but I’m even more excited about the fact that the article speaks to three very specific things that companies can do, that are all supported by a growing body of research on how the use of language can help. Now, whether we’re considering in-person interactions, or voice based phone conversations, or text based emails and chats, the three things that are recommended are as follows:. 

Joey Coleman [00:05:21] • Speaking to customers with specific dedicated attention,. 

Joey Coleman [00:05:23] • Establishing individual connection through the use of the word “I”,. 

Joey Coleman [00:05:28] And conveying care through warm words and the generous use of “thank yous.”. 

Joey Coleman [00:05:33] Now let’s jump into the first recommendation. (1) Provide customers with dedicated attention and concrete language. 

[00:05:41] New research that was conducted by Professor Packard (one of the authors of the article) in conjunction with Professor Jonah Berger of the Wharton School, shows that careful strategies around language not only can increase customer satisfaction, but they also influence how much money the customer spends in the days following a customer service interaction. The secret is to have your frontline employees use words that describe the customer’s interest in concrete, specific terms. This signals the customer that the representative is genuinely listening. 

Dan Gingiss [00:06:17] For example, when a customer contacts a call center to check about a pending delivery, the research shows a customer is more satisfied when they hear, “your package will be at your doorstep next Wednesday” rather than “your order will be there next week.” A package is more concrete than an order; a doorstep is more concrete than “there”; and Wednesday is more concrete than next week. 

Joey Coleman [00:06:41] In a similar fashion, “How can I help you?” can sound canned and rote instead. An employee should mentioned the distinct thing the customer is interested in. For example, at a coffee shop, an employee might say, “Can I get a coffee started for you?” At a hardware store, if a customer is looking at lawnmowers, the employee might say, “Can I help you find a mower?” The more specific, the better. Now, this also applies when responding to complaints. Rather than just saying, “Sure, I can look into that,” it’s more powerful to repeat the concrete thing the customer wants – such as, “Sure, I can look into why we sent you the wrong shoes.” In short, when employees go from generalized scripts to specific comments, it lets the customer know that they’re being heard at an individual level. The more concrete the language, the greater the feeling of attention and focus. 

Dan Gingiss [00:07:35] The next recommendation focuses on personal responsibility. (2) Bridge the trust deficit through individual connections. It’s easier for customers to believe in a single, caring individual than in a vast corporation. Research shows that when employees use the pronoun “I” (referring to the agent), rather than “we” (referring to the agent and the company), it signals that the specific agent the customer is speaking to can be depended on. This simple shift in language using “I” helps customers feel that the employee is actually acting on their behalf. 

Joey Coleman [00:08:11] Now, for example, and let’s be honest Dan, this is one you and I are all too familiar with… When an agent says, “I’m sorry to have to cancel your flight,” it conveys a more genuine, personal sense of remorse than, “we’re sorry to cancel the flight.” The word “we” not only decreases perceived empathy, but it makes it seem like the employee is avoiding responsibility and blaming the company. And this doesn’t just apply to changes in the customer’s plans… Rather than saying, “we probably have that in stock,” you should say, “I can probably find that in stock.” The phrase “we probably have that in stock” guesses about something the employee seems to have no control over – while, “I can probably find that in stock” conveys that specific employee’s desire to make a personal effort to address the issue. The final recommendation from the article is a big one for me personally. (3) Don’t just be competent – be caring. 

Dan Gingiss [00:09:08] You know, Joey, “I can probably find that that’s one of your favorite topics, incorporating empathy into the customer experience.”

Joey Coleman [00:09:15] Yes, indeed Dan! Yes, indeed! Organizations need to find ways to show warmth and competence when interacting with customers. As the article notes, “[i]t’s nearly impossible to be both warm and competent at the same time. Research has shown that people who try to be warm often seem less competent and those who try to be competent often seem less warm.” Now, that being said, new research on conversational dynamics shows that it’s critical for employees to speak both warmly (in other words, emotionally) and competently (that is rationally). The secret is when they do it. Employees need to convey different tones during different parts of the interaction. So the research shows that customers appreciate employees most when the conversations are bookended with warm, considerate words – while the more cognitive, solution oriented words make up the middle of the conversation. In other words, start with connection, then speak specifically about the concrete issue at hand, then closed with more warmth and empathy about the situation occurring in the first place. 

Dan Gingiss [00:10:23] You know, this seems fairly straightforward, but I also want to deviate for a moment to say that this stuff really does matter. I can just imagine some people may be rolling their eyes about, well, using this word here, and this word there. But this research is coming to a conclusion that is not necessarily new. It’s just sort of explained in a different way with, I think, a better structure around it. 

[00:10:51] But the words that we use and the way that we communicate to our customers is one of the biggest parts of customer experience that I think is also one of the most overlooked. And if you don’t have a call center, that’s okay. You can think about how you communicate in marketing materials, or on your Web site, or your mobile app, or if you have a brick and mortar store, what your employees say. There’s so many places where we communicate… And the best part about fixing your communication is it doesn’t cost you anything. So I also appreciated how the article reinforced the power of a simple “thank you” during a customer interaction. While past research indicated it was important to apologize in customer service contexts, new work reveals that signaling appreciation (such as saying “thank you”) is prized by customers and often is more effective than saying sorry. Although apologizing does acknowledge the company’s failure, it doesn’t alleviate consumers’ negative thoughts toward the business. In contrast, saying thank you, for example, “thank you for your patience about this” shifts attention away from the company’s failure and toward customers – making them feel more important to the company at a personal or individual level. 

Joey Coleman [00:12:02] In short, given a world where face time is increasingly both minimized and physically distanced, and where conversations are increasingly happening over the phone, or via some keystrokes, the most successful organizations are giving careful consideration to the specific words they use when speaking to their customers. Don’t forget to: (1) provide customers with dedicated attention and concrete language, (2) bridge the trust deficit through individual connections, and friends, (3) be caring and competent in your conversations. 

[SEGMENT INTRO – DISSECTING THE EXPERIENCE]

Joey Coleman [00:12:38] Sometimes a remarkable experience deserves deeper investigation. We dive into the nitty gritty of customer interactions and dissect how, and why, they happen. Join us, while we’re Dissecting the Experience. 

[DISSECTING THE EXPERIENCE] The Apple Credit Card – Changing the Landscape Again

Joey Coleman [00:12:55] As you know, Dan, I’m a big fan of Apple. 

Dan Gingiss [00:12:59] Yeah, do I ever! You were giving me grief about being a P.C. guy right before we hit record on this episode! 

Joey Coleman [00:13:05] Yes, indeed I did, but I feel like it’s only fair, given that you give me so much grief about not being active on Twitter. 

Dan Gingiss [00:13:12] True. True. But I actually have many Apple products in my possession. I love my iPhone and AirPods, for example. It’s the Mac that I’m not so sure of. So I’m not sure that you’re making, and if I daresay, apples to apples comparison. 

Joey Coleman [00:13:27] Yeah… he went there, ladies and gentlemen. All right. Well, there’s actually a reason I’m bringing up Apple in our conversation, and that’s because I had an experience recently that I think you might have some unique insight into. I recently signed up for the new Apple credit card. 

Dan Gingiss [00:13:45] Well, you know that I like talking about credit cards Joey. 

Joey Coleman [00:13:48] I do! 

Dan Gingiss [00:13:48] As I’m sure our listeners know, I spent almost 10 years in the credit card industry at Discover Card, which is one of the smaller of both the issuers and networks in the United States, but that kind of made it a little bit more scrappy. And I was there, and part of the team, that won the J.D. Power Award for the first time, snagging it away from AMEX. And so, I love talking credit cards. Let’s do it! Tell me about the Apple card. 

Joey Coleman [00:14:16] All right. Well, I figure that this will come as no surprise to you or our loyal listeners, but while there are many credit card companies in the marketplace, just like there are many laptops and desktops, and tablet computer manufacturers, the experience Apple created is unique. 

Dan Gingiss [00:14:35] All right. I’ll take a bite at the “apple.” Do tell! 

Joey Coleman [00:14:39] Oh, geez… a reference to “biting the apple” and “William Tell” in the same sentence. Folks, he is on fire today! All right. Well, we need to get into this story. From the very outset, getting an Apple card felt different. I went online, I answered a few questions and I received my approval instantly. 

Dan Gingiss [00:14:58] Okay. Well, so far that sounds fairly common. 

Joey Coleman [00:15:00] Yeah, I get it. But what was different about the Apple card is that I was able to use it immediately to purchase the iPad that I was buying from Apple at the time. 

Dan Gingiss [00:15:10] OK. Now, that’s interesting! And I remember talking about this at Discover, trying to figure out, you know, you can’t get the card in the person’s hand fast enough, so how can we get something else, some other way, for them to use it? So it looks like in this case, the application basically was triggered from within your shopping cart? 

Joey Coleman [00:15:29] Correct. Now, granted, the shopping cart was at Apple, and the application was for an Apple credit card, so I get that it was easier for them than in many scenarios where the credit card is third party. But the fact that they integrated those two things, and they made it incredibly easy to sign up, and that I got to use the card immediately on the purchase I was making right then, it was my favorite two words Dan! 

Dan Gingiss [00:15:52] Well, I believe we call that “instant gratification.” 

Joey Coleman [00:15:55] Yes, indeed, instant gratification. But friends, it gets better. A few days later, I received my card in the mail. And this thing was beautiful!

Dan Gingiss [00:16:05] Now, I would expect that from an Apple product, but not necessarily from a credit card. I mean, maybe unless we’re talking like the Amex Black Card or something. 

Joey Coleman [00:16:15] Well, I hear you and the Amex by card is really nice, but this was a completely different experience. Now, in the interest of full disclosure, I’m a brand new customer and I got approved for kind of a basic credit limit. Not a big credit limit, just kind of their intro, you know, credit limit. But I received a premium experience. So let me describe it for you: the packaging was a thick cardboard card with an engraved Apple logo in relief. And when you opened up this white card on the inside, it showed a gorgeous color gradient that went from dark green in one corner to deep red in the other corner, to vibrant purple in the other corner, and it spread across the whole page just beautifully… it was like opening up a rainbow. And inside this color field was an inset where the card was placed. And the message, “activate your card, wake iPhone and hold here” was printed just below it. 

Dan Gingiss [00:17:12] Wait, wait, wait… “wake iPhone and hold it here?” Tell you more about that. 

Joey Coleman [00:17:15] I’m going to explain that, but before I explain that, let me tell you about the card, OK? And then I’ll explain what happened underneath it. So the card is metal. But more specifically, it’s titanium. It has that famous Apple white matte finish to it that’s created by layering multiple layers in some amazing process that was designed by the engineers at Apple before it gets engraved with the Apple logo in silver in the top left corner. And the only other thing on the front of the card is my name: etched in dark gray. And the chip, which, unlike the other chip cards that I have, shows a simple set of six ovals on the chip as opposed to a mismatched series of lines. No, seriously, friends, as you’re listening and you if you have a chip card, pull out the credit card you have, and look at the design aesthetic of the chip – and then realize that Apple, as usual, took every visual element into account when designing their Apple card. And they actually designed the look of the chip on the outside of the credit card. 

Dan Gingiss [00:18:20] I’m sorry. I’m actually doing what you just suggested Joey… and you’re right. They all look the same with these weird gray lines. 

Joey Coleman [00:18:30] Yeah. It’s like shards of metal, that you know, kind of got glued together in some type of a shape. The Apple card, it’s these six beautiful little ovals in the metal. 

Dan Gingiss [00:18:41] That’s pretty cool. So they put all of the disclaimers, and contact info, expiration date, CCW number, and bank logos and all that stuff on the back right? 

Joey Coleman [00:18:51] Actually, no. The only thing on the back of the card are two logos. Again, they’re etched in silver. One for Goldman Sachs (the issuing bank) and the other for MasterCard. 

Dan Gingiss [00:19:04] I got to say, that sounds kind of slick. 

Joey Coleman [00:19:06] Oh, brother, it is. And in fact, I feel special just holding this card – let alone using it! And speaking of using it, this is where Apple marries beautiful product design, with an unprecedented unboxing experience, and incredible software capabilities. So as I mentioned before, you get this beautiful card, you open it up, there’s this rainbow of delight. And to activate the card, it prompts me to wake my iPhone and hold it near the card. Now, when I did that, the Wallet app on my phone confirmed its proximity to the card, prompted me with a couple of easy questions, and my card was active. No calling an 800 number; no visiting a Web site to make my card live; no peeling the sticker off that says “remove the sticker once you’ve activated your card.” It all happened with ease, and grace, and now I could use my Apple Card on any device I had with Apple Pay: my iPhone, my Apple Watch, the iPad, the MacBook Pro laptop. It synched to all of these things instantly. Now, I should also mention the other items you asked about when it comes to where are they on the card… there actually isn’t any other information on the card. There’s no card number. There’s no expiration date. There’s no service phone numbers. There’s no CVV code. There’s no signature. There’s no copyright info. There’s nothing. It’s a barren titanium plain. It just feels elegant! Now, the reason for this lack of data on the card isn’t just for aesthetics – although let’s tell yah, the aesthetic is beautiful. It also helps with security – because if the card is stolen, or even viewed by someone in line behind you, no one can get your number. All of the associated details for the card are stored in the Wallet app on your phone. You can view your balance; your available credit; there’s a simple colored graph of weekly activity when a payment is due; your latest transactions. Each of these can be delved deeper into using the app and you don’t need to log into a separate Web site just to get more details. 

Dan Gingiss [00:21:09] So dumb guy question here: does this mean that you can’t use it for what we in the industry call, “card not present transactions” i.e., you can’t use it on the phone because you don’t have a number to read, or do you have to memorize the number? 

Joey Coleman [00:21:22] Oh now, here’s where it’s special. You can actually generate independent card numbers for your individual transactions. So you can generate one that you always use or if you’re giving your card over the phone and you don’t necessarily trust the person on the phone that you’re giving the card to, you can easily within the app generate a “one off use” number, give them that number, it gets used for that one charge and then that number will never get used again. 

Dan Gingiss [00:21:51] Yes. OK. So that I just want to let you know because, hey, you told you told the audience that I have some experience here. 

Joey Coleman [00:21:57] I do! 

Dan Gingiss [00:21:57] That is actually owned by Mastercard. That is not an Apple thing. That ability is for a Mastercard. 

Joey Coleman [00:22:05] OK, fair enough, fair enough. But that’s why we have, I presume, the Mastercard logo on the back of the card too. Right?! So they get some credit there. But yeah, it’s the fact that in a world where we’re increasingly worried about, you know, our credit card number being compromised, that we can create individual card numbers kind of on the fly, felt really cool to me. And you know, what they do on the back end around putting the customer first is also really unique as well. You know, a lot of credit card companies, and I say this respectfully because I have other cards as well, they try to hide the reality. Right?! Every credit card once their users to spend money, but it also wants you to keep a balance. And unlike other credit card companies, instead of hiding that information in a website or a monthly statement, Apple puts everything as clear as possible, right into the app. So you can see your weekly activity; you can click on a transaction and it shows you more information – this is all happening within the app. If you shop at one retailer multiple times, if you tap on any one location in the app, it will show you all the other transactions with that specific retailer as well as your running monthly total. When it comes time to pay, it allows you to see the interest you’ll be charged based on how much you pay off each month so you have a little kind of toggle switch where you can say, “well, I pay a little more, how much will my interest go down in the future?” They really make the paying of the card an experience and an interaction as well. 

Dan Gingiss [00:23:36] Man, I have so many things that I could say about this. I’m getting excited. And I think what’s going to happen is when we’re done recording, I’m going to apply for this card… 

Joey Coleman [00:23:43] Nice! Ooo – ladies and gentlemen, I may have swayed him over to getting an Apple card. I like it! I like it!

Dan Gingiss [00:23:49] There are a couple of things here that are really cool. First of all, they’re also giving you your cash back rewards in real time – which most cards do. Right?! It usually waits until you cycle at the end of the month. And I used to have this conversation all the time about this concept of a “cycle date,” – like who in the world, what customer thinks in terms of a cycle date right?! 

Joey Coleman [00:24:11] That would be No One. Even the people who work at the credit card company barely think of the cycle date. It’s like literally no customer thinks of this. 

Dan Gingiss [00:24:17] It’s an absolute made up concoction that every card uses and it doesn’t need to. And so the realtime thing makes a ton of sense. And also the paying more when you garner interest… When I was in business school back in 2001, I did a summer internship at First USA, which is now Chase Bank. And I was actually assigned, as a marketer, to the collections team – which was really a unique experience because you’re marketing to the people who aren’t paying you. This was kind of mind boggling to me. And what we ended up figuring out was that, by showing them graphically how long it was going to take to pay back their bill, and then how long it was going to take if they paid fifty extra dollars, one hundred extra dollars, etc., that it created, it got rid of this sick psychological barrier, in the sense that it gave them hope – like we talked about in the previous segment. I remember one guy, I’ll never forget him, he said, “as long as I can circle the date on my calendar when I’m going to be out of debt, then I’m OK. Even if it’s 15 years down the line, I just need to know when it is.” And true story, those graphs actually ultimately became the law of the land in the United States and now all credit card companies have to do that. And I think Apple, as usual, is taking it a step further because they’re actually encouraging people not to generate interest. And that is completely changing the game. 

Joey Coleman [00:25:51] Exactly. What credit card company wants you to pay your bill faster? Pretty much no credit card companies. So, I do think that Apple is completely redefining the game – as usual. But here’s the thing, friends. If you’re listening, you may be saying, “well, that’s nice and dandy for Apple, Joey. But how does this apply to my company and our product, and our service offerings? We don’t make computers. We’re not going to start issuing our own credit cards!” Friends – I get it. My goal in sharing this story is to inspire you. Inspire you to reimagine all the ways your customers interact with your products and services. To seek aesthetic beauty in the things you create. To place customer ease as your prime directive. To marry your offline customer interactions with your online customer interactions. There’s a reason why Apple is one of the fastest growing, most successful, most loved brands on the planet – and that’s because they make their customer experience a holistic driver in every product and service they create. So how can you infuse customer experience into every product and service you offer – so that your customers talk about how their required interactions with you, things like paying their bill, and receiving their bill, and interacting with your support team, and doing all the things that are necessary for their interactions with you – become worthy of remark. 

[PARTNERSHIP WITH AVTEX] We Love Game Shows – Do You?

Dan Gingiss [00:27:24] Joey, do you like game shows? 

Joey Coleman [00:27:26] You know, I actually do like game shows. Who doesn’t like a good game show? You know, you get a chance to laugh. You get a little entertained. Maybe you learn a thing or two. Game shows are great. 

Dan Gingiss [00:27:35] I love game shows. I’ve watched them since I was a kid when I was at home sick from school. I’d spend the whole day watching game shows. What were some of your favorites, or are some of your favorites?

Joey Coleman [00:27:48] Yeah. I got to say, I think I probably watched more back in the day, but one that has continued through my life is Jeopardy! Right?! It’s just, it’s fun… The whole family can play together. Everybody can yell at the TV at the same time. It rewards knowledge of useless trivia points. You learn a thing or two. I’m a big fan of Jeopardy! What about you? 

Dan Gingiss [00:28:10] And you know, it’s so funny because I think the world is divided into either Jeopardy fans or Wheel of Fortune fans, and I’m a Wheel of Fortune fan. 

Joey Coleman [00:28:17] Surprise surprise! Is anyone listening right now surprised that we’re on the opposite end of the game show spectrum? 

Dan Gingiss [00:28:23] Well, the reason is, is that I have always sucked at trivia. And so, I like watching Jeopardy, I just can’t play along. Whereas with Wheel of Fortune, I’m very good with words, I love the puzzles, and, you know, I’m screaming at the TV when there’s like only two letters showing and I’m like, how come you guys can’t see this?”. 

Joey Coleman [00:28:40] Nice. Nice! 

Dan Gingiss [00:28:41] When I was a kid, I watched Joker’s Wild and Tic Tac Toe. 

Joey Coleman [00:28:45] Well, what about Press Your Luck?! No whammies, no whammies, no whammies… that was always a really fun one, too. 

Dan Gingiss [00:28:49] Yeah. Absolutely loved it. The Price is Right, of course. And I mean on and on… So many great, great game shows. 

Joey Coleman [00:28:57] Why don’t more people do game shows? 

Dan Gingiss [00:28:59] I don’t know. I’m not sure. But I’ll tell you one thing, and I haven’t really told anyone this before, I kind of always wanted to be a game show host. 

Joey Coleman [00:29:08] You know, I feel like I knew that about you. I too, kind of like the game show host, if nothing else, to be able to do, ladies and gentlemen, the game show host voice. 

Dan Gingiss [00:29:17] What do you mean? You mean like this one? 

Joey Coleman [00:29:20] Yeah, exactly. As two guys that like horsing around, that’s really fun. You know what would be interesting? Are there many game shows around business? 

Dan Gingiss [00:29:29] I don’t know. I, I can’t say that I’ve ever heard a game show or seen one. 

Joey Coleman [00:29:34] There really aren’t a lot. But, you know, I wonder what the experience would be like? 

Dan Gingiss [00:29:39] That’s a good point, Joey. Hmm… 

Joey Coleman [00:29:44] And what would be the point of having a game show about experience? You could experience, the point, of the show. 

Dan Gingiss [00:29:54] Wow – you’re really on point. 

Joey Coleman [00:29:58] Aww – it’ll be a fun experience. Folks – stay tuned for more. You’re gonna have an experience, and we’ll get to the point. 

[SEGMENT INTRO – THIS JUST HAPPENED]

Joey Coleman [00:30:06] We love telling stories and sharing key insights, you can implement – or avoid – based on our experiences. Can you believe that This Just Happened? 

[THIS JUST HAPPENED] Summer Surprise – Inflatable Pools with Bonus Gifts

Dan Gingiss [00:30:20] So Dan, I got to ask you, how did you spend your “socially distanced” summer? 

Dan Gingiss [00:30:26] Well, let’s see, I had two kids at home that were supposed to be at overnight camp, so I had to entertain them… 

Joey Coleman [00:30:32] So you were a camp counselor… Congratulations! 

Dan Gingiss [00:30:35] Yeah. Let’s see. I adopted a senior dog, who has been awesome. So I’ve been out walking a whole lot more and maybe most importantly, from a professional perspective, I wrote my second book. 

Joey Coleman [00:30:50] Ooo lah lah! 

Dan Gingiss [00:30:51] So I got that done. 

Joey Coleman [00:30:52] We’re gonna have to get more into that in a future segment of Experience This! The reason I ask, is because like a lot of other people, I think around the world, our family ended up spending a lot more time at home this summer – confined to our backyard – than we had actually planned. And as the summer went on, I started to think about ways to make our time in the backyard more enjoyable. So we got some new lawn furniture, which was great, so we could just sit outside and, you know, relax, and read, and hang out, while the kids played. And then we started talking about getting a pool. 

Dan Gingiss [00:31:26] Did you call our good friend Marcus Sheridan – the “pool guy?” 

Joey Coleman [00:31:30] Actually, I did not call the Pool Guy this time, but when it comes time to actually install a pool in the yard permanently, Marcus’s team at River Pools and Spas is definitely who I’ll be reaching out to. But in all honesty, since we rent our house and given that full disclosure, I didn’t really start thinking about this pool idea until about halfway through the month of June, I was looking for a faster solution that would be the best solution for this summer. 

Dan Gingiss [00:31:58] So you went online? 

Joey Coleman [00:31:59] Correct. And a simple search of inflatable pools on Amazon brought me to the magical place where five star reviews and in stock availability overlapped in a listing for an inflatable pool that I promptly ordered. And when it arrived, my two boys were thrilled at the idea of having a place to cool off in the backyard since the pools here in town were closed. 

Dan Gingiss [00:32:24] OK, so that sounds really nice, but you made me say the word “Cracker Jack-esque” surprise in the intro, which was really hard to say, and I just said it again. So what does this have to do with inflatable pools? 

Joey Coleman [00:32:34] Well, then I’m glad you asked. And hopefully the people that heard that Cracker Jack a reference, we’re wondering. Here’s the thing. I’ve had the pleasure of working with hundreds of companies that sell their products on Amazon. And one of the common complaints I hear from these Amazon sellers is that while they love the access to the Amazon marketplace, they don’t like the limits on customer interaction and customer data that Amazon places on them when they use the Amazon platform. And so most sellers are lamenting the lack of connection to their buyers, and they’re frustrated that they don’t have an easy way to contact these people that purchase their products, and it just kind of creates a mess for everyone involved. 

Dan Gingiss [00:33:16] Yeah, I’ve definitely had that frustration as a consumer because you have to go through Amazon to get to whoever it is that sold you the product. 

Joey Coleman [00:33:25] Exactly. Which is why more and more companies that sell on Amazon have tried to incentivize purchasers to establish a direct relationship with them – as opposed to going through Amazon. And over the years, I’ve seen this through insert postcards that ask recipients to sign up for a newsletter, or directions that encourage purchasers to register for some random warranty, or even just fliers that say “visit our website and place your next order,” even though you place your order on Amazon because it was easy and simple to do. 

Dan Gingiss [00:33:58] Yeah. Not placing it on your website next time. Sorry. But those are not a particularly remarkable or surprise and delight worthy experiences. 

Joey Coleman [00:34:08] Correct. Which is why the inflatable pool company got my attention. So included in the packaging was a postcard that I’d love to share with you and our listeners. And the postcard read as follows: “Hello. Sincerely, thank you for your business and support. I hope the inflatable pool you purchased is everything you expected. Your satisfaction is my primary goal. If you have any questions or suggestions, please do not hesitate to contact me at any time.” (and then they shared an email address). The card went on to say, “Also, to claim your air pump or rectangular pool cover, please reach out to me with your order number and country. Thanks again for your shopping. Wish you all the best. Ann”

Dan Gingiss [00:34:50] Ooo! I’m not sure which one I want: the air pump or the pool cover! 

Joey Coleman [00:34:55] Exactly. And that’s what I thought. Now Dan, I’ve received dozens of inserts from Amazon sellers over the year, and this is one of the first ones I was ever excited about replying to. Now, the pump is really useful if you don’t already have one. And the pool cover is going to be useful to anyone who orders the pool as it’s custom-sized to fit. So compared to silly warranty registrations, or uninspiring coupons for discounts on future purchases, this was actually something I wanted! And I felt that same anticipation and excitement that I had as a kid when I opened a box of Cracker Jack to find the free prize inside. But this time, I got to choose the free prize. 

Dan Gingiss [00:35:38] I love it. That’s actually a really, fun marketing technique to give people a choice. So which one did you choose? The pump or the pool cover? The pool cover or the pump? 

Joey Coleman [00:35:49] You might have guessed. I actually went with the pool cover – and I went with the pool cover for two reasons. Number one, I already had an air mattress pump that work just fine to inflate the pool. So I knew I was good there. And I also felt that the pool cover would come in useful over the long haul and be harder to replace because it was custom-sized to the pool. Now, what I love about this example is that almost every product you purchase has some associated products that the company tries to upsell you on. Extra parts, add ons, maintenance tools, etc. Tying a useful add on – in this case, the pool cover – to my original purchase was a fantastic way to motivate me to go out of my way to share my email with the inflatable pool company. Now, this experience left me wondering how many companies sell through third party distributors, or platforms like Amazon, and are frustrated that they don’t have access to their end users. How many companies have tried a host of uninspired ways to access these end users to no avail? How many companies basically say, throw up their hands and say, “well, there’s nothing we can do” and send the same boring, useless inserts as their competitors? Well, what if they did something different? Why not build into your product price the additional cost of a supplemental item and then offer that item for free to customers that are willing to establish a direct connection to you? Now, this probably won’t bother your distributors or the marketplace where you sell, especially if the only way to get the supplemental item – like the pool cover – is via the primary purchase of the primary item. So like, for example, when I go on Amazon and I look for the pool cover that matches the inflatable pool I bought – you can’t find it. You can’t find it on their website. The only way to get it is through this special offer. Now, the only way the inflatable pool company could have made this better would be to make an online form where I could input my information instead of asking me to send them an email. But to be honest, other than that, I thought this was a really smart way to create a remarkable experience and an ongoing customer interaction “after the sale,” which is something that every organization should be focused on doing. 

[SHOW OUTRO]

Joey Coleman [00:38:03] Wow. Thanks for joining us for another episode of Experience This! 

Dan Gingiss [00:38:07] We know there are tons of podcasts to listen to, magazines and books to read, reality TV to watch. We don’t take for granted that you’ve decided to spend some quality time listening to the two of us. 

Joey Coleman [00:38:16] We hope you enjoyed our discussions and if you do, we’d love to hear about it! Come on over to ExperienceThisShow.com and let us know what segments you enjoy, what new segments you’d like to hear. This show is all about experience and we want you to be part of the Experience This! Show. 

Dan Gingiss [00:38:35] Thanks again for your time and we’ll see you next week for more. 

Joey Coleman [00:38:38] Experience… 

Dan Gingiss [00:38:39] This! 

Join us as we discuss a memorable employee onboarding experience, insurance for your… pizza?, and the cost of poor customer experience.

Training, Explaining, and Draining – Oh My!

[Dissecting the Experience] Investing in the Employee Experience with Continuing Education

When Dan’s sister got a new job at the world famous consulting firm Deloitte, she went through an immersive training program at Deloitte University. Known by employees as “DU,” the quarter-mile-long, state-of-the-art facility represents an investment of over $300 million in order to create an immersive onboarding experience for new employees. DU offers classes, restaurants, and a place to stay during training – not to mention opportunities for employees to fully understand the culture of the organization while continuing the education necessary to further their careers.

This “corporate school” shows a commitment to their team members’ education. Last year, DU had over 10,000 graduates from their programs which include both employees and interns. The students love DU – as reflected by an overwhelming approval rating of 4.8 out of 5 stars.

As the global business landscape continues to shift and change, and new issues emerge, our goal is for DU to continue to lead the way in developing a workforce of the future – prepared to tackle tomorrow’s most crucial challenges.

Heidi Soltis-Berner, Managing Director of Deloitte University

By setting the tone for what it means to work at Deloitte via an immersive onboarding experience, the company shows just how much it values and appreciates its employees. While many companies provide continuing education to their employees, Deloitte’s investment in creating an experience goes far beyond the typical business training program.

[This Just Happened] Mitigating Customer Fears with Unexpected Insurance

Over the years, Domino’s Pizza has added many items to their menu. But a new menu item recently caught most of their customers by surprise: insurance. Now to be clear, this isn’t the typical insurance policy. Domino’s Delivery Insurance allows you to comfortable navigate the perils of ordering pizza. If your pizza gets cold on the way home, or the box gets turned upside down accidentally, or if your pizza arrives in any less-than-desired way, you can return it for a free replacement.

When you focus on your customer and understand both their needs and their worries, you can creatively address those through marketing and your product offering.

Dan Gingiss, co-host of the Experience This! Show podcast

By offering insurance, Domino’s is mitigating customer worries and exceeding customer expectations. Even though it may not qualify as “real” insurance (in that you don’t need to pay a policy premium to receive the coverage), having this policy in place gives customers the added security that when they place an order, they will enjoy the arrival of their dinner safe and sound.

What are the fears and insecurities your customers face? What can you do to reassure them or reduce their concerns?

[Avtex Webinar] The 4 Phases to Managing CX Through Crisis

As we are all now aware, global pandemics, natural disasters, and other unforeseen events can wreak havoc on business plans. There isn’t a business that hasn’t dealt with this in the last month as the result of the COVID-19 pandemic.

Which is why our friends at Avtex (gracious sponsors of Season 5 of the Experience This! Show) are planning to share their Responding to Crisis with CX model in a FREE webinar on May 5, 2020 at 1:00pm EDT/ 12:00pm CDT.

To register for this webinar and receive a free copy of their white paper: “A Four-Phased Approach to Delivering Effective Customer Experience During a Crisis” go to: experienceconversations.com

[CX Press] The Cost of Neglecting Customer Experience

Many businesses talk about the return on investments in customer experience. But few consider the cost when customer experience isn’t a priority. In The Cost of Neglecting Customer Experience, Benedict Clark from Acquire.io explores the actual costs to a company when customer is ignored and in what will probably be no surprise to regular listeners of The Experience This! Show, the cost is significant.

You’d think it would be easy for businesses to keep customers front-of-mind. After all, they’re the reason they exist in the first place. But sometimes the temptation to cut corners, minimize costs, and try to maximize immediate returns simply proves too strong to resist. Before you know it, your customer experience has been critically compromised.

Benedict Clark, Content Editor for Acquire.io

Clark outlines the four main reasons companies often neglect CX including the fact that they:

1. Don’t have the right technology.
2. Don’t have the right culture.  
3. Don’t have the right processes.
4. Don’t have the right strategy.

He then proceeds to illustrate the real costs of neglecting CX including:

• You lose sales – It is estimated that over $537 billion is lost every year due to poor customer service.
• Your reputation suffers – Research from Temkin Group shows that 86% of buyers will pay more for a good experience.
• You lose customers – Only 13% of clients who have a bad experience will return.
• You miss out on talented staff – Research from CareerBuilder shows that 71% of workers in the US will not apply to work with a company experiencing negative press.

While the benefits of good customer experience are well documented, as this article shows there is a very real cost to NOT providing good customer experience.

Links We Referenced

• How Deloitte’s $300 Million Investment In Employee Experience Is Paying Off – by Dan Gingiss in Forbes.com
• Deloitte University
• Domino’s Carry Out Insurance Commercial
• The Cost of Neglecting Customer Experience – by Benedict Clark in Acquire

Host Contact Information

Email Dan: Dan@dangingiss.com

Tweet Dan Gingiss: @DGingiss

Email Joey: JoeyC@JoeyColeman.com

DanGingiss.com

JoeyColeman.com

Subscribe to Experience This on Apple Podcasts

Episode Transcript

Download a transcript of the entire Episode 99 here or read it below:

Dan Gingiss: Welcome to Experience This!

Joey Coleman: Where you’ll find inspiring examples of customer experience, great stories of customer service, and tips on how to make your customers love you even more.

Dan Gingiss: Always upbeat and definitely entertaining, customer attention expert, Joey Coleman.

Joey Coleman: And social media expert, Dan Gingiss, serve as your hosts for a weekly dose of positive customer experience.

Dan Gingiss: So, hold onto your headphones. It’s time to experience this.

Dan Gingiss: Get ready for another episode of the Experience This! show.

Joey Coleman: Join us as we discuss a memorable employee onboarding experience, insurance for your pizza, and the cost of poor customer experience.

Dan Gingiss: Training, explaining and draining. Oh my.

[Dissecting the Experience]  Deloitte University

Joey Coleman: Sometimes, a remarkable experience deserves deeper investigation. We dive into the nitty gritty of customer interactions and dissect how and why they happen. Join us while we’re dissecting the experience.

Dan Gingiss: About a year ago, my sister started a new job at Deloitte, the global audit and consulting company. As a new employee, she had the opportunity to attend Deloitte University, a completely immersive onboarding experience that convinced her, as it does thousands of others, that she had made the right career decision to join the company since she spoke so highly of it. Upon her return, I had to check it out. I spoke with managing director, Heidi Soltis-Berner, who runs Deloitte University, or DU do those in the know, and I wrote an article in Forbes about it. Joey, I kid you not out of 100 plus articles I’ve written for Forbes, this article ranks number one in terms of views with nearly 35,000 as we’re recording this episode.

Joey Coleman: Wow, that’s awesome. I mean, obviously it made an impact on more than just Deloitte employees then.

Dan Gingiss: Exactly, which is why I wanted to share the story with our audience as well, but first some facts and figures. Deloitte University was the result of a $300 million investment, the largest investment for employee development in the company’s history.

Dan Gingiss: Every year it serves nearly 10,000 college graduates and 4,300 interns who participate in first year training. Others participate again at various career milestones, such as after a promotion, and that averages an astounding 50,000 employees every year. The 2018 Deloitte millennial survey found that 50% of millennials say opportunities for continuous learning are very important, and 80% say that professional development or formal training is the most important thing for them to be their best. And 90% of the sessions at DU are led by partners, principles, and managing directors, sharing real world experiences and simulating interactions with clients.

Joey Coleman: I mean, for lack of a better way of putting it, Dan, this sounds like a really fun school and a really big school, right? I mean, when you just think about the logistics of managing 50,000 employees going through training, 10,000 new employee college graduates, I also found it interesting that over 4,000 interns go through training there. I think it’s, often when we think of interns, most companies are like, “Oh wait, we have an intern showing up today? Oh, what are we going to have them do?” And clearly Deloitte has decided to invest in these interns, who ideally most companies have interns to vet future potential employees. So it makes sense to make the investment early on.

Dan Gingiss: Exactly. And as you point out, this is a big and impressive facility. It is not your ordinary training facility. It’s located in Westlake, Texas, an upscale suburb of Fort Worth. And it’s five stories high in a quarter mile in length. There are more than 30 classrooms just on the first floor, while the other floors contain a total of 800 sleeping rooms, plus a restaurant, and a state of the art fitness facility.

Joey Coleman: Wait a minute. So it’s like a dorm with the classrooms attached and restaurant, this is like one stop learning, eating, sleeping, everything all bundled together.

Dan Gingiss: It is all except it’s more like a five star hotel than a dorm.

Joey Coleman: Nice.

Dan Gingiss: The floors with living quarters contained communal areas called city places. And I thought this was really cool. Each of the city places highlights a large Deloitte office around the world and they actually stock the city places with snacks and beverages that represent each one of those locations.

Joey Coleman: Oh, so it’s like Epcot center but for corporate training and development.

Dan Gingiss: Exactly, exactly. And Heidi Soltis-Berner said that she tries to create her words, “A platinum level experience for employees,” so it really is like a high end hotel. In fact, I got Heidi to record us some exclusive audio talking about Deloitte University, so let’s hear from her in her own words.

Heidi Soltis-Be…: Deloitte University, or DU as we call it, is our 700,000 square foot state of the art leadership learning and development center located in West Lake, Texas. When we opened DU back in 2011 the idea of brick and mortar learning center went against conventional wisdom at the time. However, we made the bold decision to invest $300 million because we believed in the importance of a facility like DU to enhance and evolve our culture and the development of our people. It was the single biggest people focused investment in our organization’s history. Since 2011, we’ve delivered more than 6 million learning and development hours to our people, we’ve continued to invest in and evolve the DU, so it meets the needs of our professionals and the most pressing issues our clients face with innovations like our 5G partnership with AT&T and our digital hub, an example of the truly immersive experiences available.

Heidi Soltis-Be…: There are so many things that set DU apart, from our very focused intent on helping our people hone their soft skills in today’s digital age, our commitment to wellbeing, and our commitment to sustainability. DU has exceeded our original vision as well as the expectations of tens of thousands of people who experienced DU every year. In fact, DU has become the cultural home of Deloitte, bringing together people of diverse backgrounds and experiences from every aspect of our business to share new insights and bold ideas. Deloitte University’s global footprint now includes six campuses around the world, and above all DU is first and foremost about our people. As we look to the future, we are excited to see how the learning and development is taking shape. And we are proud to have been a first mover in this space. As the global business landscape continues to shift and change and new issues emerge, our goal is for DEU to continue to lead the way in developing a workforce of the future prepared to tackle tomorrow’s most crucial challenges.

Dan Gingiss: Now one other thing that Heidi does is she continually monitors guest experience with post-training surveys, and she has sustained a rating of 4.8 out of five with overwhelming positive feedback from participants. So what I think is so interesting about this, Joey, is that this sounds like it could be a independent for-profit college and yet it’s actually part of this really big company.

Joey Coleman: Well, I think it’s great that so many companies claim to care about the education and the growth and learning of their employees, but Deloitte has really invested. I mean $300 million, that is not an inconsequential sum. But what I love about this, and we’ve talked about this in previous episodes, is the commitment to continuous learning. The commitment to creating a space and an environment that fosters learning and innovation. I love that they sleep, and eat, and learn all in the same building because as you know, as a fellow speaker, all too often the place where you have the ballroom, where you’re giving the speeches might be in the hotel. But the second that people go to their rooms, nobody’s talking to each other anymore. Whereas it sounds like in this model, you know that everybody who’s “staying” at the facility is a deployed employee who has that point of commonality. And as a result I imagine there’s some interesting conversations or as they refer to in the interior design world collisions between different employees walking through the facility.

Dan Gingiss: Yeah, and I think it starts with the fact that the first time you see this is as a brand new employee. And you talk about in your book about the first 100 days of being a customer and very similarly, the things that you experienced in your first few days at work are really going to set the tone for how you feel about working for the company going forward. And I’ve been multiple times, I’ve been at companies where they don’t even have a computer set up for me on the first day.

Joey Coleman: Right.

Dan Gingiss: Right. Because IT couldn’t get around to it. And that sets a tone and you’re like, “Oh, okay, this is not really an organized company.” Whereas Deloitte is taking these people to Texas to have this immersive experience where one of the things that happens, like with my sisters, they walk out saying, “Wow, am I glad to be here.”

Joey Coleman: Yeah. And not only are they taking their new employees, they’re continuing to bring back their veteran employees for ongoing education. And I imagine the ability to give that platinum experience reminds the employees of the experience that Deloitte wants them to deliver to their customers. We talk a lot about the fact that you can’t ask an employee to deliver a remarkable customer experience if they don’t know what one is. It sounds like the employees of Deloitte who have spent time at DU absolutely understand what that level of an experience should feel like.

Dan Gingiss: Yeah. And even a step up is, it’s basically used as a form of reward, right? Is that when you get promoted or something big happens in your career, you get to go back and get this added training. And so it’s something that they’ve realized that their employees want and so then they’re offered, they’re able to offer it.

Dan Gingiss: So one last thing to just point out here is you don’t have to spend $300 million to do this for your employees. Sure, you may not have the same five star hotel set up with all of the city rooms and their snacks. But the point is, is that Deloitte has their finger on the pulse of especially the millennial employee population and what they’re looking for at work, and they’re providing it to them and creating happy employees, which as you said, create happy customers. So think about how you can do that within the auspices of your own organization. How you can focus on not just having that one week of employee orientation that has the same online classes that everybody’s taken for the last 15 years, but really trying to spruce it up, make it different, give people exposure to higher ups in the company, and really realize that that first week or two is going to set the tone for how they behave and act and work and commit to your company going forward.

[This Just Happened] Dominoes Insurance

Joey Coleman: We love telling stories and sharing key insights you can implement or avoid based on our experiences. Can you believe that this just happened?

Dan Gingiss: So here’s a fun fact about me, Joey.

Joey Coleman: Oh, I know a lot of fun facts about you, Dan. What’s this one?

Dan Gingiss: Well, this is what I must confess. I often use in the two truths and a lie game. So if we ever play this, you’re going to have to pretend like you don’t know it.

Joey Coleman: I’m going to try to potentially avoid playing this game with you, Dan, but okay, I’ll bite.

Dan Gingiss: It’s a lot of fun. But anyway, the fun fact is that when I was in high school, I actually delivered a pizza to Michael Jordan.

Joey Coleman: Wait a second, the man, the myth, the legend himself, MJ? You, Dan Gingiss, delivered a pizza to him?

Dan Gingiss: Number 23 /45, yes I did.

Joey Coleman: Oh, I liked this /45 that shows that Dan is an actual fan. The 23 is an easy serve up folks, but the /45 is special. I like it.

Dan Gingiss: So it happened when I was working for Domino’s Pizza, which I did for almost four years, mostly as a delivery boy. But I also got to answer the phone and make pizzas and in fact when Michael called one time I was able to do all three. I picked up the phone, talked to him, took his order, made his pizza, and delivered his pizza, which was pretty cool.

Joey Coleman: Door to door service from Dan the Domino’s Man Gingiss, I love it.

Dan Gingiss: So I have always been fascinated by the Domino’s brand story, which as you probably know if you followed, has really evolved over the years. And a couple of years ago the CEO publicly admitted that their pizza didn’t really taste very good and they redid the recipe. And I will say objectively, if you have not had a Domino’s pizza in a long time and you’re still remembering what it tastes like when you were a teenager, try it again, it actually is pretty dang good.

Joey Coleman: Dan, no pun intended. I think I’ll bite, I’ll try that because I haven’t had Domino’s in a long time, and I do have memories of it being a very economic solution but not necessarily a gourmet solution, which is usually not what you’re looking for when you’re in college ordering pizza.

Dan Gingiss: Yes. And I’m not sure that I would go so far as to say gourmet, but they still do have… It is still a very good economic solution as well. But in any event, one of Domino’s newest marketing initiatives is to actually offer insurance.

Joey Coleman: Okay, wait a second. We were just having a really nice positive conversation about pizza. I was salivating, I was getting excited about this, and now you mentioned the word insurance from a pizza company?

Dan Gingiss: Yeah. So I thought that too, but it may not be what you think.

Dan Gingiss: It started with what they called carry out insurance, and I urge our listeners to Google the TV commercial on, you’ll find it on YouTube, it’s actually really funny. And sure enough on their website they talk about the things that are covered by their insurance program. The headline says, “Yeah, we cover that,” and it gives examples like, “I slipped on something slippery,” or, “Rain, so much rain,” or, “It got cold while I was stuck in gridlock,” or, “I braked, it flew,” or, “I was balancing it on my head and I don’t have great balance.” “My dog licked it.” “A stranger sneezed on it,” and so on and so forth. The deal is, is that if your pizza gets ruined or damaged in any way after leaving the store, you can bring it back and have it be remade for free. Now of course you have to bring the whole pizza back, you don’t get to eat all the slices but one and then claim that the dog licked it.

Dan Gingiss: So with the success of that program, Domino’s recently added delivery insurance. According to their website, it says, “Whether you’ve invited the gang over to watch the big game or you’re settling in for family movie night, Domino’s creates made to order meals that satisfy everyone. Domino’s stores do everything they can to make sure their pizza experts create your meal exactly the way you want it. Domino’s delivery insurance program provides extra peace of mind. Something wrong with your order? Simply make a claim and dominoes will make it right,” and they make it right by either providing a coupon for 20% off your next order or 60 rewards points, which is the equivalent of a free pizza redeemable in the next 30 days. Pretty cool, huh?

Joey Coleman: Yeah. This is actually an insurance program that I could get behind and what was funny is you were explaining the program, which I had not heard of before, I was reminded of the times where the pizza slid off the seat and the car because I broke fast and now the toppings are on the top of the pizza box instead of on top of the pizza, or where things did… I’ve thankfully never had a dog lick the pizza, but when you think about all the things that can go wrong and how frustrating that is because you’ve left to go get the pizza and come home and your family, or your friends, or even just you by yourself are excited to eat the pizza and now there’s an issue with the pizza. What I really like about this is that it gives customers peace of mind and makes them much more likely to trust the brand.

Joey Coleman: I mean, when you think about how often something happens that would necessitate if you will, a claim on this insurance policy. It’s not often enough that I think Domino’s would be too worried about it, but diminishing those fears could be pretty significant. It also acknowledges that mistakes happen, but customers shouldn’t be worried about it. I mean, I think all of us have had the experience at a restaurant where you walk away and you drop the drink and it spills and then you go back to have them refill the drink and it’s like, “I just spilled this right in front of you. Can you just refill it?” And sometimes they’re very gracious and happy to do that. Other times they’re like, “Well you can buy another one.” Finally, I like the fact that it eliminates a customer pain point of having to complain about a wrong order. Now they can just open the app or go to the website and report the issue and it gets solved and it gets solved in a good way, they get an entirely new pizza.

Dan Gingiss: Yeah, this is a far cry from back in the day where they had the 30 minute guarantee for delivery.

Joey Coleman: Yeah, I remember that.

Dan Gingiss: And I was a driver of back then and you know that may have caused a little bit of aggressive driving to make sure that I got there within the 30 minutes. But I like this because it’s so customer friendly and it clearly understands the customer perspective. I mean, look, we’ve all had a case, whether it be with pizza or some other food where the order is wrong, and part of that is because human beings are making the order, and so human error is inevitable. For Domino’s to come out in front of that and say, “Hey, we know this is going to happen,” like when their CEO said the pizza didn’t really taste good, it’s genuine and authentic and that’s what today’s customers are attracted to. So I think this builds a lot of brand value.

Joey Coleman: I love it when a brand speaks truth or speak something that all their customers know. When the CEO of Domino’s said, “Hey, our pizza doesn’t taste very good,” it wasn’t like there were huge customers going, “Oh my gosh, no, it’s the best pizza I’ve ever tasted,” customers are like, “Yep, that’s true. And we’re excited that you know that as well.” I think the same holds true for this insurance policy. It’s like, look, things happen that aren’t your fault and maybe even if they are your fault, it diminishes your experience of our brand. So we’re going to be there to back it up and help you out.

Dan Gingiss: Yeah. Both of us know, I think a lot of our listeners know that self deprecating humor is usually very effective and it’s why I try to get in front and tell all the bald jokes before anybody else can. Right?

Joey Coleman: I do the same with the lawyer jokes, it’s totally fine.

Dan Gingiss: Exactly. So I think that’s one of the things that Domino’s has figured out, is they made this TV commercial, again, about the take carry out insurance is hilarious. This guy’s literally trying to get his pizza home and all these things keep happening that are preventing him from getting there. And then the commercials message is, “Don’t worry, we’ll make you a new one. Hot and fresh.”

Joey Coleman: Do you have to pay for the insurance or is it just a promotional program?

Dan Gingiss: Nah, it’s just part of-

Joey Coleman: So it’s just part of the marketing stick. It’s not that [inaudible 00:19:54]. So I think what’s interesting about that too is they’re taking something that we all like but don’t like to pay for. We all like the idea that our risk is mitigated with insurance, but it drives us a little crazy to A, pay for the insurance, and then B, worry about what things will be covered. They’re eliminating the two parts of insurance that we don’t like, paying for it and, “Oh, but we’re only covering this weird random thing. Not all the things we know are going to actually happen.”

Dan Gingiss: Exactly. So the takeaway here is that when you focus on your customer and understand both their needs and their worries, you can creatively approach those through marketing and your product offering. As you said, Joey, our guess is that Domino’s probably doesn’t pay out on this assurance very often, primarily because the vast majority of the time they do get the order right, but they’ve gotten a lot of mileage out of the advertising campaign across multiple channels, and in the process they’ve likely changed the minds of many of their consumers. Before we finish, I just want to say one more thing, to the customer that always used to order the small triple anchovy pizza, that’s just gross.

[CX Press] The Cost of Neglecting CX

Joey Coleman: There are so many great customer experience articles to read, but who has the time? We summarize them and offer clear takeaways you can implement starting tomorrow. Enjoy this segment of CX Press where we read the articles so you don’t need to.

Dan Gingiss: Today’s CXPRESS article comes to us from Benedict Clark, the content editor at acquire.io, which provides chat, video, and co-browsing solutions. The article is titled, The Cost of Neglecting CX.

Joey Coleman: Spoiler alert, folks, it’s a big cost.

Dan Gingiss: Yes, you are right on the money there, Joey.

Joey Coleman: Oh, I see what you did there. All right, fair enough.

Dan Gingiss: Anyway, the article begins by stating a somewhat obvious but still startling fact, “You think it’d be easy for businesses to keep customers front of mind after all, they’re the reason they exist in the first place, but sometimes the temptation to cut corners, minimize costs, and try to maximize immediate returns simply proves too strong to resist. Before you know it, your customer experience has been critically compromised. It just isn’t a sustainable approach.”

Joey Coleman: Clark goes on to identify four reasons why companies may neglect the customer experience. Number one, they don’t have the right technology. Number two, they don’t have the right culture. Number three, they don’t have the right processes. And number four, they don’t have the right strategy, which includes proper prioritization. So what are the actual costs of poor customer experience? Well, let’s discuss them.

Dan Gingiss: Number one, and probably the biggest, is you lose sales Vision Critical estimates the overall impact of bad customer experiences in the United States is more than $537 billion.

Joey Coleman: That’s billion with a B, right?

Dan Gingiss: [inaudible 00:23:00] billion.

Joey Coleman: Yeah, it’s huge. It’s a lot. Number two, your reputation suffers. 86% of buyers are willing to pay more for a great customer experience. And if you’re not providing that, people will know and they will tell other people, who will then tell other people, and this is bad.

Dan Gingiss: And here’s the other thing, folks, if you’re not providing it, someone else will. And so it’s not just that your customers are running away from you, they’ll be running toward your competitor.

Dan Gingiss: Number three, you lose customers. A study by Temkin Group found that 86% of customers that received a good customer experience said they would buy from the company again compared to just 13% who received very poor customer experience. The stats here are clear. If you deliver a positive experience, people want to continue being your customer. If you deliver a negative one, they’re going to find someone else to give their money to.

Joey Coleman: And last but not least, number four, you miss out on talented staff. More than 70% of US workers will not apply for a job at a company with negative press. What’s more, companies with bad reputations often have to pay employees more in order to stay. Folks, this stuff feeds upon itself. A bad customer experience leads to a bad employee experience, which then leads to a bad customer experience, which then leads to more bad employee experiences.

Joey Coleman: So when we think about having A players, and the most talented staff, and the people who will really deliver, they are attracted to companies with positive press. They are attracted to companies that deliver remarkable customer experiences.

Dan Gingiss: One of the things I like about this article is that it takes what we say on this show and flips it on its side. It comes to the same conclusion, but we’re always talking about why it’s so important to create a great positive experience. And what is often not talked about is what happens if you don’t, right? You and I, being in the business that we’re in and working with the companies that we work with, we’re used to being around people that agree with us that customer service and customer experience is something we should be focusing on. But this really takes a look at, “Okay, if you don’t buy this, if you want to just pretend that this customer experience revolution isn’t happening, okay, go forward, but do so at a huge risk.”

Dan Gingiss: And here’s what happens if you want to ignore this trend, losing customers, losing sales, losing reputation and losing employees, I’m not sure what’s left after that.

Joey Coleman: Well, and I think for all of our listeners who may have been in a situation where a boss, or a board of directors, or someone you report to ask you to justify the cost of a customer experience initiative, we all know that that’s sometimes difficult to do. How do you put a price on success? How do you put a price on what that looks like to create those remarkable interactions? This provides some interesting opportunities to say, “Well, I may not be able to tell you how much it’s going to improve our business, but I can tell you how much problem we’re going to be able to avoid and how much loss we’re going to be able to avoid by focusing on the customer experience.”

Dan Gingiss: Exactly. And I think that that speaks as loudly to a finance department or to a CEO as the benefit that you can get from doing it. So it’s a great takeaway for our listeners to say, “Look, sometimes it’s difficult to calculate an exact return,” although I will argue that you should harder because I think generally it is calculable, if you, or calculatable, what word is that?

Joey Coleman: Either way you can add the numbers up and it’s bigger.

Dan Gingiss: Okay. Yeah. Calculatable I think I’m going to go with. You can calculate it because you can understand the lifetime value of a customer and the future value that that customer will bring by staying with you. You can also obviously estimate that same value if the customer walks out the door, and remember that when they walk out the door it’s a double negative because you’ve lost them as a customer and your competitor has gained them as a customer. So it’s like losing two.

Joey Coleman: Yeah. So it doubly hurts your bottom line because as your customer goes to that competitor, that competitor now has more revenue to work with, they have more profit to work with, they can start to compete with you in different ways, offer more technology solutions, offer more free things to the customer. And so to your point, Dan, you really are losing twice.

Dan Gingiss: So the article states that if you want to create a great customer experience, you should do three things. One, create conversations with your customers. Two, unite all of your departments. Man, is this one important to you? So tired of siloed departments.

Joey Coleman: Yeah, yeah. I say this all the time. As a guy who grew up in the Midwest in a farming community, silos are incredibly important and useful and valuable on a farm. In a company, they are terrible, they cause all kinds of problems. And here’s the thing I’m going to keep saying this until companies break down the silos in their organizations, because we’ve all heard it before, we’ve read it in the magazines, we’ve heard keynote speakers talk about this, and yet so many organizations, as soon as they break into their little fiefdoms or their departments or silos, it’s as if they’re competing against each other instead of competing against the competition to create great experiences for their customers.

Dan Gingiss: Right, we’re all on the same team. We all have the same logo on our business cards. And number three is to be omni-channel, which is another way to say be where your customers are. So as with all CXPRESS articles, we’ll include a link in the show notes at www.experiencethisshow.com if you’d like to read the entire piece.

Joey Coleman: Wow, thanks for joining us for another episode of Experience This!.

Dan Gingiss: We know there are tons of podcasts to listen to magazines and books to read reality TV to watch. We don’t take for granted that you’ve decided to spend some quality time listening to the two of us.

Joey Coleman: We hope you enjoyed our discussions, and if you do, we’d love to hear about it. Come on over to experiencethisshow.com, and let us know what segments you enjoyed, what new segments you’d like to hear. This show is all about experience and we want you to be part of the Experience This! Show.

Dan Gingiss: Thanks again for your time and we’ll see you next week for more.

Joey Coleman: Experience.

Dan Gingiss: This.