Book Description
CEOs regularly announce ambitious growth targets, then fail to achieve them. The reason? Their growing addiction to bad profits. These corporate steroids boost short-term earnings but alienate customers. They undermine growth by creating legions of detractors—customers who complain loudly about the company and switch to competitors at the earliest opportunity.
Based on extensive research, The Ultimate Question shows how companies can rigorously measure Net Promoter statistics, help managers improve them, and create communities of passionate advocates that stimulate innovation. Vivid stories from leading-edge organizations illustrate the ideas in practice.
Practical and compelling, this is the one book—and the one tool—no growth-minded leader can afford to miss.
Customer Reviews:
Too Good to Be True.......2007-09-13
I gotta admit I was taken in by the book, but the problem comes in when you attempt to link the NPS score to any performance measure. The academics have all but refuted Reicheld's claims. Unfortunately, statistics matter and the best way to measure something with a survey is to use a multiple item, multiple measured scale. However, NPS does have some redeeming qualities, in focusing mangement behind one number. Many academics are recommending that if you must use NPS to use it along with other traditional statistical measures.
A Great Book for Customer Service & Marketing.......2007-08-28
Fred does a very good job at explaining that your best & foremost marketing tool are your employees. His Net Promoter Score (NPS) system he has developed is an innovation for the corporate world and I believe is the way forward.
The book is well documented and gives you step by step infoon how to implement the NPS system within your company.
J C Miller.......2007-07-30
IF you want to truly find out what your customers are thinking about your business this book is a must read. It teaches you how to equate customer satisfaction into tangable profit dollars. It helps effectively use the customer feedback to get your employees delivering service beyond expectation!
It's about time to state the obvious !.......2007-07-19
We can finally begin to realize that the very customers that use our services are the same ones that resent being "surveyed" into oblivion !
Only the very best companies can sustain somewhat correct feedback to begin with. I only wondered how long it would take for business leaders to stop abusing your best customers with long questionaires that may not even be relavant to the shopping experience. This may not be the ultimate destination for determining consumer needs but it is a great start in the right direction and an opportunity to save all the wasted money on self centered and manipulated customer focus groups.
There's A Better Alternative.......2007-07-19
I wish that I could have given this book a higher rating. I loved Mr. Reichheld's impassioned admonition against "bad profits," which he defines as profits made at the expense of customers. I also agree with him that good surveys are short surveys. You might want to buy this book for these two reasons alone. The bold proclamation that he has discovered The Ultimate Question, however, is like proclaiming that the check-engine light is the ultimate dashboard gauge.
Psychometrically, the Net Promoter Score (NPS) is a difference score that is based upon a single-item rating scale, and such scores can be very problematic. Albert M. Wilburn has already pointed out that different distributions of ratings can yield the same NPS, and that these distributions "probably differ in their implications on repurchase behavior." Notwithstanding, in Appendix A, Reichheld provides some evidence the NPS approach can work, and he is honest enough to disclose that it doesn't always work. Between the admonition against "bad profits" and Appendix A, there are a lot of stories.
There is an alternative to the NPS that has a more established track record. In 1994, Bradley T. Gale published Managing Customer Value, which disclosed AT&T's finding that the ratio of the perceived value of a company's products or services to that of its competitors is predictive of changes in market share. Since then, this finding has been reproduced in a variety of contexts worldwide. The methodology that surrounds the perceived-value ratio, Customer Value Analysis, estimates the impacts of the various price and non-price attributes that drive customers' value perceptions. This methodology is best described in Customer Value Management: A Guide for Your Journey to Best-Practice Processes by Khalid Hafiz and Scott Hendricks (Houston: APQC, 2001). Buy this little book either instead of, or along with, The Ultimate Question.
Book Description
Customer complaints can give businesses a wake-up call when they're not achieving their fundamental purpose--meeting customer needs. They are a feedback mechanism that can help organizations rapidly and inexpensively shift products, service, style, and market focus. Businesses that don't value their customers' complaints suffer from costly, negative word-of-mouth advertising.
Presenting dozens of real-life striking examples of poor--and excellent-- complaint handling, Barlow and Moller show that companies must view complaints as gifts if they are to have loyal customers.
Customer Reviews:
Pathetic and Superficial Tripe.......2005-06-09
It's sad that the world has become false and fake enough to welcome this drivel. It insults our intelligence when businesses have there employees wear fake smiles and kiss the bottoms of overly rude and obnoxious customers. A rude customer at times deserves it in kind and there are not always two correct sides to every customer altercation.
I'm sure the tactics put forward here work fine for companies but small business owners (2-4 employees) who treat their employees poorly and always take the side of the customer are sorely misguided. Small business owners would be better served to use the positive feedback of their dedicated employees over the cruel complaints of a disgruntled customer.
Any small business owner using these strategies only cares about themselves and obviously is not concerned with keeping their employees happy. It's difficult to get good and loyal help if you don't stand by your staff at times.
Yes, a Gift!.......2004-01-04
"A Complaint is a Gift" *is* a gift -- the gift being increased success by companies who acknowledge and adopt its principles of customer service. And increased effectiveness by individuals who apply them even to their personal lives.
The book's 14 chapters explore the psychology of complaining (and not complaining); the benefits to companies who choose to hear and resolve those complaints (vs think that customers are nasty annoyances, or naively believe that no news is good news); and strategies to develop a business culture that solicits and resolves complaints.
Published in 1996, there are only two aspects not still current: 1) the chapter on how to encourage customers to report complaints lacks mention of Internet web sites -- a revision could explore these excellent, convenient complaint conduits; and 2) though the customer service examples used remain valid, the businesses mentioned tend to be dated ... not today's "hot" companies. And in the end, I still see the front-line customer service rep as having a most difficult job; I would like to see more strategies that address those difficulties.
I must strongly disagree with David Arelette's review here -- as alluded to above, the authors gave dozens of examples of good and poor customer service, from all sorts of named and un-named companies. They INfrequently mentioned their own consulting firm.
Seeing complaints as a gift.......2002-12-21
When you read this book you will understand how to handle customers complaints from a different point of view. It teachs you in a joyfull and gracious manner how to handle complaints thru differents points of contact: phone, face to face or written.
You will be able to classify customers depending their character and reaction. One of the most valuables chapters in this book is the one where the authors describe the different levels that a customer pass thru his desguise. So you will be able to act as soon as you recognize the customer will take off your control. Great knowledge!
This is a very dynamic, funny book that will have you wake up all the time. Usefull for managers or front liners.
For me, this book have been a truly gift!
Insightful!.......2001-02-17
At a time where companies spend millions to attract new customers, this book offers low-cost methods for keeping the customers you already have. Authors Janelle Barlow and Claus Moller advocate using customer complaints to help your business grow. This highly readable book achieves a perfect balance of general information backed up by hard, statistical data. While this book is written for "anyone who deals with customers and who would like to benefit from customer feedback," the end of the book focuses more on steps top-level managers can take to implement a "complaint-friendly organization." We at getAbstract.com recommend this book to managers and to people in front-line, customer service positions. Giving a copy of this book to your front-line personnel would be an excellent first step toward making your organization complaint friendly.
Turning Complaints Into Profitable, Long-Term Success!.......2000-09-23
This book creates a new paradigm concerning customer dissatisfaction: The complaint is a major economic opportunity which can be systematically used to improve business processes, reduce errors, increase quality, strengthen bonds with customers, and create expanded growth and profitability. The reason: We normally see things from the company's view point, and miss many mistakes and opportunities by not empathizing enough with the customer's view point. A good related book is Moments of Truth (which I also reviewed), which looks at using this approach during the turnaround of SAS.
The book is organized into three parts. The first one looks at the economic implications of complaints. Complaints are an opportunity to improve (the theory behind the gift paradigm), are cheap market research, present chances to win over customers, can establish a closer link to customers if we encourage them to complain, and are a great economic threat if we leave the enraged customer dissatisfied (as they tell everyone they can on television and the Internet). There are many useful examples and statistics to establish the size and importance of these economic connections.
Part II explains how to implement a complaint-as-a-gift program in an individual circumstance of dealing with an unhappy customer. The key barrier here is that front-line employees feel the pain of the personal attacks they receive, and fight back. I thought the best part of the book was in the explanations about how the psychology of these interactions works in most cases, and can be improved. The book has many scripts and examples of how to make this less painful for the front-line people while delighting the customer.
Part III looks at making a complaint-friendly enterprise, by implementing this concept as broadly and as deeply as possible in your organization. This requires making it easier to access your company (toll-free numbers and rapid replies to letters), having complaint-friendly policies, improving your culture to handle and enjoy complaints, extending the same approach to satisfying internal customers, and launching the changes in the right way as a permanent part of your way of doing business.
Reading this book made me uncomfortable in one area: What can be done to treat employees well who bear the burden of the complaints? It seemed to me that the processes described here still leave the customer well ahead of the employee in emotional terms. I don't believe we can expect companies to perform well if customers get great treatment which includes being able to verbally, emotionally, and perhaps physically abuse employees. My feeling is that customers need to understand what the limits of reasonable behaviors are in complaining. Those who behave better should get great treatment, and those who behave poorly should get the benefit of the doubt. But no one should have to put up with what they would not tolerate from a guest in their own home.
My proposal is that this system should be beefed up with marketing and promotional tools that encourage good behavior by the customers when they complain, and clear rules that customers and employees both understand about how much the employee is expected to take before protecting him- or herself.
After you read and apply the ideas in this book (which are certainly sound as far as they go in defining many aspects of the opportunity), think about where else you would benefit from hearing more complaints. If your spouse and children don't complain, is it possible that you are avoiding hearing complaints at the cost of having a poorer relationship with them that cannot bear much honest communication? Who would you like to receive more complaints from? How can you encourage those complaints?
Book Description
Since publishing the first edition of this classic that has sold over 250,000 copies, the challenges of keeping customers-or creating customer loyalty-has become even more urgent. Ultimately, every successful enterprise must attract, serve, and win the loyalty of customers by providing worthwhile products and delivering excellent service. Turned-off customers produce devastating ripple effects that quickly drag companies into a morass of mediocrity, while organizations that creatively apply a constant flow of small, customer-centered innovations see consistent and persistent strengthening of their customer base. This book will get all managers and employees thinking about the little things that can make all the difference. If everyone in an organization improves awareness of the simple yet powerful ideas in this volume, the company can and will see dramatic improvements in service and customer loyalty. The impact on the bottom line will be dramatic.
Customer Reviews:
Based on real-life hard-nosed business experience? Nah!.......2003-05-05
I don't usually go out of my way to rip business books (preferring instead to simply disrecommend them to everyone I know) but as a struggling business owner who used to be a customer service professional, I would hate to let this book go unremarked-upon. It reads as if it were written by a cranky consumer who wants to get even with every retail business who done him wrong. If you believe that The Customer Is Always Right is the unofficial Eleventh Commandment, you may like this book. But I have a few nits to pick.
First. I don't doubt that many of the "50 Powerful Ideas" would do much to enhance your company's image in the eyes of your customers. The question is: At what cost?
At no point in this book is cost EVER addressed. It simply doesn't seem to have entered the author's mind. Sure, in an ideal world where the small business owner doesn't have to keep a tight rein on expenses, keeping customers would be simple. Just give them Free Stuff, as Dr. Timm recommends.
Second. Anyone who has ever worked retail, either in a supervisory or front-line position, knows that there are customers who cannot be satisfied, do not have a legitimate complaint and are hoping you will give them Free Stuff to make them go away. They don't seem to exist in Dr. Timm's universe, however. I found this omission to be very puzzling.
Third. Dr. Timm quotes "generally accepted facts" about customer service in the preface. I guess that's to avoid having to give references to actual studies. I would counter Dr. Timm's generally accepted facts by pointing out that 86% of all statistics are made up.
To sum up, if you want to take advice from a Ph.D. who has written nearly 40 books and countless articles on customer service and communication, this may be the book for you. If you want hard-headed practical advice from people who've been in the trenches, you'd be better off contacting your local SCORE chapter.
Great!.......2000-02-19
I'm the author of "Thinkertoys (A Handbook of Business Creativity), and "Cracking Creativity (The Secrets of Creative Genius) and, generally, read most businesss books that hit the market. This is a terrific book. Buy it and learn.
GREAT RESOURCE.......1999-10-23
I have read this book and studied under Dr. Timm. His matter-of-fact writing style helps to communicate his ideas in a simple, understandable, and effective manner. This book is a great addition to any customer service library
Book Description
Improving the quality levels of services and products in today's marketplace is what can make the difference between an adequate company or an exceptional company. But how can companies actually measure their customers' levels of satisfaction in an accurate and reliable way? Unless companies have the tools to accurately measure customer perceptions, their improvement programs may be based on data that is speculative, irrelevant, or downright misleading. In simple, understandable terms, Measuring Customer Satisfaction presents detailed information on how to develop questionnaires using underlying scientific principles. Topics also include: Scale development; The concept of quality; Two methods of determining important service or product characteristics as received by the customer.
Customer Reviews:
Highly readable text, coherent examples and critical ideas.......1999-04-05
Mr. Hayes presents several good ideas in this very readable text. Although this book is most useful now in Age of the Malcolm Balderidge Award, I offer Kudos to Mr. Hayes on his lack of faddish management lingo.
The author introduces the idea of customer surveys, gives solid ideas on the backbone of a survey, summarizes what actions lead to a survey, discusses the basis of survey design, and touches on the math needed to analyize survey results.
Excellent beginner's guide.
easy to understand general overview.......1999-03-22
This book provides a general conceptual approach to its topic along with specific examples of how survey techniques are used. It would be useful to executives with a desire to understand a little more about the field. Unfortunately, it is not particularly helpful in terms of actually doing the techniques it presents. Perhaps more importantly, it doesn't cover the particular pitfalls/limitations you need to be aware of when trying to interpret data presentations.
Product Description
This new book details how to care for customers and how to make superior service happen, and keep customers coming back to your store or Web site. You will learn practical and innovative tips and tricks that are easy to implement. These concepts and skills can be applied immediately. This book is a ready- made, in-house training workshop and step-by-step manual for creating superior customer service in an ever-competitive business environment. Learn from successful companies what works and what doesnt to help keep customers racing back to your business.
Customer Reviews:
Superior Book Too.......2006-12-21
I bought this book because I wanted to increase my conversion ratios. I wanted to know how to generate business and keep my costumers coming back. There are tried and true tricks for building consumer loyalty, and many of them are revealed in Blacharski's manual.
If you're a follower of the author's, you'll really appreciate this book. It's past-paced and, like it says, a ready-made step-by-step costumer service training manual. His "Ten Commandments for Managers" and then "...Employees" are great checklists/tools.
Blacharski also covers ethical ways to effectively collect client information and outsource. Superior Customer Service is also an entertaining read. There's a section that shows when to put on specific kinds of customer service "hats." My favorite description is of "The Spelunker's Helmet." It makes perfect sense. So does explanation of "The Mind Reader's Turban."
This should be a MUST READ for any and all employees -- Seriously!.......2006-11-09
From the Presidential Suite to the mailroom, and all the levels in between, the customer service aptitude of employees can make or break the success of a business. In his book, Superior Customer Service, Blacharski provides a fresh primer to reinforce the power that customer services has in the compettive world of business. Old conventional widom is shined up with new and fresh perspectives that make the informational, accessible and practical information provided a MUST for every employee. It is my opinion that this is the perfect text to build a customer service in-house training program around. Alternatively, it should be distributed as required reading at new employee orientation with the name badges and insurance information. It really is that good.
An Essential Read for Business Owners.......2006-11-02
Author Dan Blacharski has done it well. He's written a book about one facet of business that has not been dealt with much recently, despite its critical importance to business success. Blacharski discusses all aspects of customer service for both web-based and conventional businesses, and he defines guidelines for establishing a business whose employees have the "customer service mindset" that, undoubtedly, leads to increased sales and profitability.
This book is chock full of advice and specific steps and procedures to follow to create a customer service-oriented environment that will set a business apart from the competition. It is an excellent treatment of the subject and will be invaluable to business owners, customer service managers and personnel, and sales personnel.
When you pick up this book, jump right to "The Ten Commandments of Customer Service for Managers" and "The Ten Commandments of Customer Service for Employees" (pages 252-254), read them, and then start at the beginning.
What makes consumers decide to shop at one place over another?.......2006-10-16
With so many stores retail and online selling the same products at nearly the same prices, what makes consumers decide to shop at one place over another? SUPERIOR CUSTOMER SERVICE is the answer - and a book that tells both brick n mortar and online stores how to win over the competition. Chapters detail innovations, tips and tricks which are easy to implement and that drive customer attention and interest.
Diane C. Donovan
California Bookwatch
Keep Your Customers Coming Back for More.......2006-10-13
So you have a business, and you have customers; what now? "Superior Customer Service" is a one-stop-shop for all of your customer service needs.
Blacharski provides business owners with a fool-proof guide to keeping customers happy and business booming. With easy to read large type and bulleted checklists, finding the solution you need to any customer service issue could not be easier.
I would recommend this book for anyone who wants to run a successful business. In fact, buy this book for your employees and keep the "Ten Commandments for Employers/Employees" on hand too keep things running smoothly.
Book Description
Loyalty is by no means dead. In fact the principles of loyalty . . . are alive and well at the heart of every company with an enduring record of high productivity, solid profits, and steady expansion.
From The Loyalty Effect
The business world seems to have given up on loyalty: many major corporations now lose-and have to replace-half their customers in five years, half their employees in four, and half their investors in less than one. Fred Reichheld's national bestseller The Loyalty Effect shows why companies that ignore these skyrocketing defections face a dismal future of low growth, weak profits, and shortened life expectancy. Reichheld demonstrates the power of loyalty-based management as a highly profitable alternative to the economics of perpetual churn. He makes a powerful economic case for loyalty-and takes you through the numbers to prove it. His startling conclusion: Even a small improvement in customer retention can double profits in your company. The Loyalty Effect will change the way you think about loyalty, profits, and the nature of business.
Fred Reichheld is a Director Emeritus of Bain & Company and a Bain Fellow. He is also the author of Loyalty Rules!.
Download Description
Reichheld lays out a new "economics of loyalty" that provides a framework where the "soft" elements of business--loyalty and learning--can be effectively linked to the hard science of cash flows and cost/benefit analysis. Because of this connection, Reichheld argues, there is enormous potential for improving a company's performance by increasing customer, investor, and employee loyalty. Reichheld's research demonstrates that loyalty drives profits in direct and quantifiable ways through its impact on growth, learning, and productivity. In addition, loyalty generates a spiritual energy that powers the value creation process that is at the heart of sustained business success. In many industries, loyalty explains the differences in profitability among competitors more effectively than scale, market share, unit costs, or most other factors usually associated with competitive advantage.
Customer Reviews:
Holistic Approach to Management.......2007-07-30
I found this book very useful as I am working on a new start-up business and selecting and keeping personnel is key. In this book you find practical examples of how to do this and you see the enormous benefit it is to have loyal employees.
This is a must for anyone starting and/or working at turning a business around.
Great learning tool.......2007-01-27
This is full of great concepts that are easily put to practice with effective results.
The book that started it all!.......2007-01-14
This book above any other, rekindled my passion to fully understand the concept of 'loyalty'. Although it was written quite some time ago now, having its' genesis back in the 1980's, it remains an outstanding work on this topic.
Clearly, thinking has evolved over time and practical application of this approach has clarified and expanded our understanding of this topic, yet the book presents a strong argument for developing a deep appreciation of loyalty and it's impact on business performance.
The book is well researched. Well written. Easy to read, with a good flow. Full of interesting case studies and supporting data this publication is a must read for anyone interested in the topic.
Much attention is today being focused on Customer Loyalty yet the proposition that this book puts forward is that Customer Loyalty is only one third of the argument. Employee loyalty and shareholder loyalty both play a significant role in delivering benefits back to the corporation. Few books have expounded the proposition as thoroughly and completely as this one.
A way to earn consistently higher profits.......2006-09-02
The Loyalty Effect is an analysis of the effects of loyalty. The author, Frederick F. Reichheld, takes a rigorous looks at a variety of successful companies and finds that those "that earned superior levels of customer loyalty and retention also earned consistently higher profits" and sustainable levels of growth.
The examples and data shown in this book give a clear picture of how loyalty can be earned through strong value creation and why this leads to long-term profitability and growth. Beyond customer loyalty, the author also looks at how the right employees, the right investors and the right partnerships can add to the overall strength of a company. The evidence that Reichheld presents in support of loyalty-based management is thought provoking and compelling.
While the author himself doesn't proclaim this that style of management is a magic "cure all", Reichheld's argument is extremely convincing and the research supporting his claim is clear: loyalty makes good economic sense. People running businesses, big and small, can benefit from the ideas presented in The Loyalty Effect. I highly recommend this book.
Learn how to foster loyalty in customers and within your organization.......2006-02-21
These days it would be easy to believe that loyalty didn't matter anymore. Customers are going to shop around, employees are going to hunt for new jobs before they get downsized, and investors will be fickle about holding onto stock if its price moves even an inch. Loyalty, says a whole cadre of business gurus, is out of date and irrelevant. Not so, says author Frederick Reichheld, a director of Bain & Company. Companies like Leo Burnet and A.G. Edwards consistently pay the highest salaries, offer high value to customers at competitive prices, have the highest employee retention rates, and have the highest profitability rates. Loyal customers, employees and investors fuel a sustained cycle of growth at these companies. If you want to foster loyalty in your customers, employees and investors, Reichheld has the following advice:
· Make customer value, not profit, the goal.
· Loyal customers are more profitable than new customers. Break up the potential customer base into segments and find out which ones are more likely to be loyal. Target these customers.
· Find and keep the right employees. Getting the right customers will bring you a profit. Invest that profit in loyal employees who will continue to increase value to your customers. Companies with the highest employee loyalty consistently have the highest customer loyalty.
· Find investors with long-term perspective.
· Learn from defections. If customers or employees are leaving the company, find out why. Take actions to correct problems. Learn from mistakes.
Customer Reviews:
Some of the Best Writing on Relationship Marketing.......1999-07-30
The articles in Relationship Marketing for Competitive Advantage are wide-ranging, covering manufacturing and services, business and consumer database marketing, and retail. They represent some of the best writing on the subject by experts from around the world.
Edited by academics from the Cranfield School of Management, these articles are supplemented with summaries and commentaries, highlighting a broad scope of issues such as customer retention, employee satisfaction, supplier relations and the management of service quality. These issues are brought together to provide an integrated approach to the development of a relationship marketing strategy. They have been designed to reinforce themes first developed in Relationship Marketing by Christopher, Payne and Ballantyne (Butterworth-Heinemann, Oxford).
Average customer rating:
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Consumer Services and Economic Development
Colin Williams
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Book Description
Consumer Services and Economic Development evaluates the contributions that consumer services can make to local economic development and revitalisation.
A broad range of consumer service industries are examined in turn: tourism, sports, universities, retailing and cultural industries. Detailed local case studies illustrate the role, impact and effectiveness of consumer services in economic regeneration in a number of different contexts: a global city, contrasting urban areas and rural localities. With many localities in the advanced economies suffering from severe deindustrialization and weak producer service growth, this book highlights the need for a fundamental rethink of both the function of services and of economic development theory and practice in general.
Download Description
This book evaluates the contributions that consumer services can make to local economic development and revitalisation. It examines a broad range of consumer services and detailed case studies illustrate their role in various contexts.
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The Ultimate Question
Loyalty Rules: How Today's Leaders Build Lasting Relationships
The Long Tail: Why the Future of Business is Selling Less of More
Chief Customer Officer : Getting Past Lip Service to Passionate Action
