The Quisenblog

A lot is being said and written about Toyota’s recall of thousands of its units due to faulty accelerator pedals. The media is talking. Customers are talking. Late-night talk show hosts are talking. But Toyota itself? It’s not talking.

To be fair, Toyota spokespeople are talking. It’s just that they’re not saying anything. Peruse this ad that ran in this Sunday’s paper, and you’ll see what I mean.

While I have no doubt that Toyota’s intentions are good and that the company’s priority is the safety and satisfaction of its customers, one would never know that from the way the company is behaving. Its take-it-slow, let’s-get-to-the-bottom-of-this-and-have-all-the-pieces-in-place-before-we-go-public approach isn’t doing much in the way of maintaining trust. Customers have urgent questions now. Is my car affected? Is it safe to drive? When will it be fixed? What assurances can the automaker give me it is safe?

With all the questions that abound, not just from Toyota owners but from dealers, the media and the general public, this close-lipped approach is proving to be a violation of the trust Toyota has spent decades earning among the car-buying public.

The reality is this: if you’re not out there telling your story, somebody else will be. And you never know who that’s going to be. In these days of Social Media, where anyone with an Internet connection has a microphone, there’s going to be no shortage of commentary. But without a corporate voice, there’s no filter for this information, and the public is left with the uncomfortable feeling that, “There’s something Toyota’s not saying.”

Why is it when there is some major auto recall that the manufacturer gets sweaty palms about the whole notion of transparency? It is the ONLY thing that will contribute to maintaining/rebuilding the trust that is necessary to regain its former position. One need only go back to the Tylenol tampering episode of 1982 to see how it can be successful.

Adopting a “you-know-what-we-know” stance, if taken with the interests of the customer in mind, would go a long way to soothing buyer/owner/dealer anxieties and also nip a lot of the media finger-pointing and speculation in the bud. Accept the fact that you’re going to be fodder for late-night comedians for a while. Don’t stress the fact that some of the answers you’re giving are uncomfortable or uncertain. Trying to do business behind a curtain during a time of crisis management is opening the door to long-term erosion of loyalty.

Toyota’s #1 asset during this time is its base of loyal customers. But how can your most passionate owners stand up for you if they don’t know what’s going on?

From a practical standpoint, there’s a lot Toyota could commit to in order to minimize the damage to its reputation. Offering a 10% discount on new models when owners trade up from a recalled model. Offering an industry-best 10-year warranty, retroactive to 2009 models. Offering free upgraded loaners immediately to those affected.

But above all, be transparent. Take the attitude of, “If I were a customer, how would I expect the company to take care of me?”

It’s the feeling that “there’s something they’re not telling me” from all stakeholders here that is sewing the seeds for discontent.

Posted by Mickey

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Mickey On Customers crisis management, customer satisfaction, incentives, loyal customers, Social Media, Toyota recall, transparency, trust

This week’s social media blog posts:
Monday: The two kinds of online consumers.
Tuesday: Creating a Community, Part 1.
Wednesday: Creating a Community, Part 2.
Thursday: Social Media you can own.
Friday: Giving up control.

(This is the twelfth in our series of Social Media posts for the month of October. We look forward to your feedback on this series.)

Where many organizations struggle with the realities and potential of Social Media is in accepting the fact that they aren’t in control of the agenda. Companies cannot force goals on people, can’t control what they say about the brand, can’t spin the facts.

Truth is, the power of Social Media is the ability to hear what customers are REALLY SAYING. There is tremendous opportunity in searching out negative comments and addressing them directly. Customers don’t expect you to be perfect. They do expect you to be responsive. Ignoring the true conversation coming from customers does no one any good. If someone has a bad story to tell about you, you need to accept it is being told somewhere. (See our post on “United’s Sour Note”) Social Media gives you the opportunity to get out in front of such stories and contribute to a solution.

You can’t control what people are saying about you. What you can do is organize that speech. You can organize it by highlighting the good stuff and rationally responding to the not-so-good stuff. You can organize it by embracing the people who love your brand and challenging them to speak up and share the good word.

Here is an example of how Southwest Airlines uses Social Media to approach this:

You’ll note that “Sean” left a post complaining of a specific customer service concern. A few hours later, “Christi” from Southwest Airlines answered Sean directly, and tries to use this complaint as an opportunity for further conversation. Interestingly enough, “Phil” intervened before Christi had a chance to respond, and “stood up” for the airline, essentially evangelizing on its behalf.

This is typical of how social media works. For Sean, it is an easy outlet to contact the company, and list a specific complaint. The company then had the opportunity to address it, or at least acknowledge its intent to make things right. If nothing else, it had to make Sean feel better about the company being that he knows they “heard” him. His post also opened to the door for Phil, a loyal member of the SWA community, to weigh in.

Having loyal customers jump in and “run interference” for you isn’t that unusual, once you demonstrate to visitors that you are willing to hear what they really have to say, and demonstrate that you are trying to facilitate solutions.

Have a great weekend, and we’ll check in with you next week!

Posted by Mickey

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admin Social Media customer interaction, customer satisfaction, Facebook, solutions, Southwest Airlines, United Airlines

For the better part of 20 years, I was a loyal customer of the phone company. At least I’m sure the phone company would count me as “loyal.” After all, I paid my bills on time. Never had any big complaints. Weathered rate increase after rate increase. And gave them 100% of my telecommunications business. Yet, a few years ago, when I realized I was using my cell phone five times more than my landline (and got fed up with telemarketer calls), I dropped the phone company like a hot potato. So much for “customer loyalty,” right?

Truth be told, I never felt loyal to the phone company. Repeat purchaser, for sure. Satisfied customer, sometimes. But loyal? Would I recommend them to friends and associates? Sign up for their other offerings without checking out the competition? Or feel that they really “get me” as a customer and feel they valued my business? Heck no.

Yet this is what “loyal” customers do. Just because some customers come back to you time and again and don’t really complain, don’t leap to the conclusion that they are “loyal.” They may be, or it could be that your offerings fit what they need…right now. As conditions change in the future, it’s anyone’s guess whether they stay or pull the plug.

Now is the time to implement a program aimed at turning repeat customers into loyal customers. Start by getting to know them. Who are they? Why do they buy from you? What could you do to impress them? What would they change about you if they could? Then follow up. Start by treating them as if they are special—because they are. Focus on the relationship over the transaction. And keep an open line of communication with them so they feel they always have the opportunity to offer feedback—both positive and negative.

Wonderful things happen when a customer becomes a loyal customer. You’ll find you earn more of their business. You’ll find that they talk you up in the circles. You’ll see how they care about you and your success.

Whatever you do, try to avoid the trap the phone company fell into. They figured, either overtly or through ennui, that they didn’t have to do much to earn my business. And believe me, they didn’t.

Posted by Mickey

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admin On Customers customer satisfaction, feedback, loyal, marketing, phone company, Spokane