The evidence continues to accumulate: happy, satisfied, highly engaged employees help increase customer satisfaction.  And vice versa.

Why is this?

• Customers like to do business with people who have good attitudes.

How many times have you done business with a company and gotten the impression that people just don’t like working there?  Their unhappiness/dissatisfaction oozes from their pores and can’t help but impact their interactions with customers.  And it makes you want to shudder to think about how your employees’ negative attitudes about your products/services could impact your customers’ own attitudes…

• Knowledgeable, experienced employees make it easier to do business with your company.

Employees who have worked at your company for a long period of time and have mastered their jobs, understand procedures, and know when to escalate issues are a huge asset when it comes to providing satisfying customer interactions.  And the only way to retain your employees is through high levels of satisfaction and engagement.  Starbucks makes this a very high priority, knowing that there are bottom-line benefits for them.

• Your employees are an important tool for understanding your customers.

Your employees who work directly with customers are constantly receiving input about what works and what doesn’t when it comes to doing business with you.  And they also know what other options your customers have and how you measure up.  It’s important that your employees feel engaged and invested enough to share this information with others in the organization, enabling you to ensure that your products, services, and policies are in synch with what your customers want.

There are other factors at play which drive the close relationship between employee satisfaction and customer satisfaction, but these are three of the most important ones.

And if you wonder why good service is hard to find these days, consider this: only about fifty-percent of employees are satisfied with their jobs — and only one in five are passionate about their work.

Some very successful companies have a radical approach: employees first, customers second.  There must be a reason for that thinking.

If you consider customer satisfaction and loyalty an important strategy for your company, be sure to invest some energy in understanding and measuring your employees’ satisfaction/loyalty also.  The results could be enlightening and help you understand why your customer sat/loyalty numbers aren’t quite what you are hoping for.

I traveled with my family on a Carnival cruise to Mexico 2 weeks ago (yes, we had fun and gained a cumulative 11 pounds among the 3 of us!).  We were all prepared for a sub par cruise experience since, after all, it WAS Carnival (and not the higher priced Royal Caribbean or Princess lines which we have cruised before).

Our actual experience was not that much different from our experiences with other lines…there were little things that were different, however Carnival did a great job of spoiling us and ensuring that everything was in place to have a great time.  We walked away from the cruise thrilled that we had done the trip and ready to recommend Carnival to anyone that considered cruising an exorbitant luxury.

But what absolutely DELIGHTED us was the level of service we encountered when we reported my son’s passport missing (it actually wasn’t MISSING…we knew exactly where he left it!).  Within 24 hours of filing an electronic ‘claim’, we received a personal email from the Guest Relations department, telling us that they had, in fact, located the passport and that we would be hearing back from a designated representative within a week (they had to get the passport from the ship to a post office…at that time, it was back at sea on its way back to Mexico!).

Even better than hearing back from someone, less than a week later, we actually received the passport in the mail!  I was shocked…we had the passport back only 9 days after we had left it on the boat.  And no one was hitting us up for a ‘handling fee’ of some kind—I was totally prepared to pay $20 or so to cover the extra effort required to return the passport.

What this experience reminded me of is that even though all of the work that organizations do on their ‘core product’ is important, it’s the LITTLE things (like how you handle your Lost and Found department or your Returns process or your Tech Support desk) that are opportunities to exceed customers’ expectations and really wow them.  Those situations can go a long way to helping your customers really understand how devoted you are to making it easy for them to do business with you and that you really care about their business.

It sure worked for me…I’m now a loyal Carnival Cruise Line customer!

I just happened to check my online credit card account info last night and saw a long paragraph in red letters telling me that a “recent merchant database compromise” may have put my account at risk and that my card was no longer active and I would be receiving a new one…WHAT?!

My immediate reaction was “Why didn’t they call or email me with this information?”  I have always been pleased with CitiBank’s service in situations where they suspected ‘fraudulent’ activity and called me proactively…why didn’t that happen this time?

I immediately got on the phone to customer service…and got an extremely frustrating response from the customer service rep who was very vague and never answered my questions about what merchant database was compromised, when did it happen, why didn’t I get a call to inform me of the situation, etc.

Instead, I got a ‘party line’ repeated to me over and over again: “We suspected that there might be fraudulent activity, so we cancelled your card.”  Got it…you were being proactive…cool…thanks…but how about that NEXT step of ‘proactivity’ and letting me, the customer, know what was going on?  BEFORE I try to use my credit card and get rejected by a merchant/store/gas pump?

I asked to speak to a manager to express my frustration and to get answers to my questions but he not only wouldn’t accommodate my request, but expressed his OWN frustration that I ‘was making him repeat himself’.   Ay yi yi…

This is a wonderful illustration of how companies lose customers.  I could have been talked off the ledge if the customer service rep had handled our call just a little differently using some very simple (common sense) steps:

-          Apologize for the problem/stress/concern that their message caused

-          Clarify what exactly had happened and what they had done and what would happen now

-          Ask whether I had any remaining questions/concerns

-          Apologize one more time for the inconvenience

-          Assure me that CitiBank is looking out for me and wants to protect my assets

-          Thank me for my continued business

It’s quite simple (hey!  Let’s give it an acronym: ACAAAT!)…and I think that this formula would work with any reasonable customer…it astounds me that respectable companies (which I truly consider CitiBank to be) still aren’t getting this…for those of us who work with organizations to help them monitor customer satisfaction/loyalty and retain customers, let’s all make it our mission to keep spreading the word that the SIMPLE things are what will help them keep customers…it’s not the fancy stuff…loyalty programs are great, but if you can’t get the simple human interaction stuff right, they are wasted.  And for those of you who have ANY influence at all over your own organization’s service policies and/or strategy, please keep this in mind.

What the @*!# are they thinking?

Like many of you, I have gone through the process of asking the following questions about blogging:

- WHY blog?
- WHAT do I have to say?
- HOW can I set up a blog?

It’s natural to go through this questioning process unless you’re one of those early adapters of all things new. I am definitely not an early adapter type, but tend to be a ‘mid adapter’ (waited to get an iPod until the 2nd generation device was launched). And I like to be sure that any new activity I add to my already too long ‘to do’ list is something that is really going to be advantageous to my business.

To answer these questions, I first did some research (how appropriate!) by reading a variety of blogs, testing out my blogging ‘legs’ on the Women in Consulting blog, talking to fellow consultants, and discussing the whole blogging idea with some of my clients as well as with my valued business coach, Casey Dawes, of Wise Woman Shining. All of this information helped answer the ‘why’ and ‘what’ questions quite thoroughly. I learned that blogging is a great way to create a dialogue with not only my target market, but with other people who share an interest in two areas that are near and dear to my heart: customer satisfaction and customer loyalty.

As for the ‘what’ question, I recently wrote my first ‘white paper’ which received a warm reception from my clients and colleagues. I have also been experimenting with Twitter and don’t think that I’ve said anything too embarrassing yet! And by reading other people’s blogs, I realize that you don’t have the most radical concepts or most ingenious insights to be an interesting blogger…you just need to be able to facilitate interesting dialogues and get people thinking…I can do that quite naturally in person, so why not in the virtual world? I also realized that the concept of sharing the ‘load’ of generating content with guest bloggers is quite acceptable and is actually becoming more and more common.

The ‘how’ question definitely got into technical issues which led to migrating my website to WordPress. The process wasn’t too painful at all thanks to the help of Ken at The Web Mechanic. Now I have a very agile site which allows me to do a lot of things, including hosting this blog with all the right bells and whistles…and I have a support team behind me if I run into glitches…that is very comforting and allows me to focus on content vs. technical issues.

I already have a list of topics that I’ll be blogging about regularly and this will be put into my list of things that need attention along with the other marketing activities I try to keep on top of. We’ll be talking about the importance of customer focus, why/how to measure customer loyalty, sharing examples of great service, and more…if these topics interest you, please watch this spot or subscribe to our feed. And I encourage you to add your comments along the way…this IS a dialogue!