Wednesday, August 17, 2011

Abercrombie tries to awaken the delusional

Abercrombie has offered big bucks to the Jersey Shore cast to get them to STOP wearing the Abercrombie label on their show. While the cast has hopes of big movie roles, endorsement deals, and fame beyond its fifteen minutes, one of the most well known retailers wants nothing to do with them. Abercrombie went so far as to say being affiliated with the cast, specifically Mike "The Situation" Sorrentino, goes against the "aspirational nature" of its brand and may be "distressing" to customers. (From www.KansasCity.com)

How would you feel if you were told that being affiliated with you is distressing? Not only is Abercrombie not going to pay for product placement, they want the product placement to stop.  Abercrombie, who often skims the line of good taste when it comes to promotion (remember young kids in sexy poses?), does not want to be affiliated with them.

So, while there is some irony in the story, why would I bring it to my readers' attention? My readers don't watch Jersey Shore or wear Abercrombie, so what do they care?

The point to consider if self-awareness.

While it is likely you are not as delusional as the reality show cast, it is also likely that increased self-awareness could improve your performance at work. The more aware a person is to how she is perceived and how others respond to her, the more powerful she can become.

For example, a sales person who doesn't close the sale often blames the pricing or timing when it could be the sales person's tardiness, insufficient preparation, or lack of knowledge about the client. It is easier and faster to accept price as the barrier to the sale. Price is an acceptable barrier these days. But, it shouldn't be.

Another example, a project team presents new design options to a client and all are rejected. The client might say the ideas were great, creative, and innovative then send the team back with so many revisions the next version looks nothing like the original. If the client knew what he wanted in the first place, why didn't he tell the account manager? I suspect most account managers would not take the time to assess their part in the miscommunication. It would be easier, faster, and less painful to join the chorus of frustration being sung by the rest of the team.

When something does not go your way, do a 2-Review. Reflect for just two minutes on what you could have done differently to boost the chances of success. What could you do differently next time to make success more likely? People who are highly self-aware make it easy for others to give them what they want--they make success likely.

People who are highly self-aware are paid for their reputations, ideas, and results. They are not paid for being delusional--or for not working. 

(Link to article)

Monday, August 15, 2011

All-Out Company of the Week: Lowe's

The Wall Street Journal (www.online.wsj.com) includes an article summarizing Lowe's latest earnings forecast reduction. Although sales are up 2%, the article says, the home-improvement retailer advises that earnings per share will be down 6% because of store closings.

From The Wall Street Journal: "The volume of negative news and the unsettling impact from equity markets" are having a "significant effect on an already fragile consumer mindset," said Chief Executive Robert Niblock on a conference call. "More specifically, with regard to home-improvement spending, consumers continue to focus on small-ticket, less-than-$500 repair and maintenance items and projects," Mr. Niblock said.

News of Lowe's forecasted earnings reduction coincides with horrible service I've had there this month. The CEO knows consumers have a "fragile mindset," and they've closed stores, but apparently store employees do not know. I won't bore you with details of the treacherous ordering process, lazy employee who lied rather than work, or delivery nightmare--you've had those too and can relate.

Let's focus instead on how to avoid becoming your industry's killer of quality service and how to avoid making the All-Out List:
  1. When a customer requests something reasonable of you, view the request as an opportunity. People who feel like they've inconvenienced you are not likely to return. Jump at the chance to provide service if you want to enhance the bond your customers feel with your business.
  2. When your company makes a mistake, be honest and efficient. Customers want to hear about the solution, not about how it wasn't your fault. They want to know when the dryer will be delivered, or when the account correction will post, or when the report will be sent rather than about poor internal procedures. A mistake usually won't cause customers to leave but poor handling of a mistake will.
  3. Get the work done right. Doing the work, whatever your field, is the bare minimum expected. Being nice, taking customers to lunch, gifting event tickets do not make up for unfinished, or poorly done, work. Kenny Chesney is great, but free tickets and backstage passes do not make up for poor quality. Taking 10% off the price is great, but it does not make up for missed delivery times. Do what you promise and promise only what you can do.
Keep those three strategies in mind, in addition to the usual recommendations for quality service, to avoid becoming known as the place good service goes to die in your industry. As for Lowe's, the experience is not over yet, but today's news was somewhat consoling: at least I'm not alone.


What do you think companies need to do to avoid the All-Out List?

Wednesday, August 10, 2011

First impressions and basic economics

They say you never get a second chance to make a good first impression. True. But, isn't it the second impressions which matter most?

People size each other up quickly. In about seven seconds, we decide if someone looks like a worthy business adviser, expert, friend, technician, employee...the list goes on and on. How often do you judge someone unworthy, based on first impressions alone (looks, voice, written, comments), yet give them another chance anyway? Frequently, right?

It is common to give second chances. Everything today is about relationships, so we can't write people off for what bothers us in less than a minute. For one thing, we have to work with people who don't impress us right away. We also serve them as customers, live next door, work on church committees, plan school events, and dine with them as friends of friends.

If a dear friend introduces you to her favorite coworker, who is drinking her third martini at Happy Hour Friday night, you're likely to forgive her coworker's bad karaoke rendition of Sweet Caroline. Or, if you get assigned to a project team with the office gossip, you'll keep your guard up rather than complain to the boss about expecting to be assigned to teams full of people you love dearly.

We adapt. We deal with people we don't click with. We give second chances. Most of the time it is smart to do so, and it often works out well for both sides.

The one time second chances are hard to get and give is basic economics: when supply is greater than demand.

For example, when interviewing for a new position and there are dozens, or thousands, of competing applicants, first impressions separate the interviewees. Typos on resumes ruin first impressions and knock candidates out of the running.

In today's competitive marketplace, first impressions count because supply exceeds demand. For example, I recently purchased a washer and dryer at Lowes. The experience was unpleasant from start to finish, so the next time I need something, Lowes will not be considered. In my one experience, it seems Lowes employees have poor eye sight. There's a direct competitor next door. Can they see it? Supply exceeds demand in their industry.

What about in your industry? Does supply exceed demand? If so, first impressions count. As do second, third, fourth...EVERY impression counts today. Use basic economics to your advantage by paying attention to every impression and by selling when a competitor missteps. Distinguish yourself and your business by considering every impression essential.

Is there an industry today where supply exceeds demand? What do you think about first impressions in your line of work?