The Philosophy Of The Accidental Winner
By
Eric M. Twiggs
“Failure isn't
fatal, but failure to change might be” John
Wooden.
What’s the philosophy of the accidental winner? I
stumbled across the answer back in 2000 when I was the new district manager over
seventeen corporate automotive service centers.
Of the seventeen, the
most puzzling location was my Southern Maryland, center which was run by "Ben”
the store manager. If the district as a whole produced a 10% revenue
increase for the month, Ben would be up 15%.
The group average for net profit as a percent to sales was
18%. Ben produced a 24% result. As far as net profit
dollar increase, the collective average was a 9% improvement, compared to Ben
being up 13%.
Being new to the market, I wondered what he was doing to
consistently outperform the group. I decided to pay him an
unannounced visit, with the goal of gathering best practices to share with the
other locations.
When I arrived I found out exactly what Ben did to deliver
those results: NOTHING! The place was a complete mess! The
shop was filthy, the counter was disorganized, and the phones rang an average
of ten rings before anyone answered.
It was so bad, that I once overheard a customer ask the
writer: “Do you need me to answer that for you?” Clearly, Ben was
an accidental winner. But how was he able to experience such a
breakthrough in a broken shop? It’s because he was the wrong guy at the
right time.
Sixteen years ago, customers didn’t have smart phones and
shops didn’t have websites. Since finding another service option was more
difficult, patrons were more tolerant of bad service. If the location was
convenient, many consumers would continue to visit because it’s what they
always did.
This caused many shop leaders to embrace a similar mindset
which leads to the philosophy of the accidental winner: It’s the
belief that you can win by simply showing up and doing what you’ve always
done.
When was the last time you purchased a Blackberry
Smartphone or a Blockbuster video? Both companies have taught us that what
you’ve always done, doesn’t always work. Today, the amount of
information your customers have at their fingertips exceeds their demand for
your service.
This explains why many of the shops you considered to be
accidental winners are no longer in business. So what can you do to
avoid embracing this philosophy? Keep reading and you will learn.
Dare To Be Different
When your potential customer types “auto repair near me”
into her smart phone, six different shops may appear on her screen. Why would
she choose you instead of your competition? Having a clear answer to this
question will help you to differentiate.
Noted author and CEO Brian Wong highlighted the
importance of being different when he said:” The more differentiated you
are, the more indispensable you will become.” Studying your
competition is the first step to discovering your difference.
Who are your three biggest competitors, and what do
you do that differentiates you from them? If you don’t know, mystery
shopping your competition, reading their google reviews, and reviewing
their website can help you find out.
The next step is to identify what you can do to personalize
the experience. Making the transition from being transactional to
becoming relational will help you stand out in your customer’s mind.
Most shops are transactional, so ideas like hand written thank you
notes, making thank you calls, and providing your customers with welcome and
parting gifts, will set you apart.
Drink the “LATTE”
In his book, The
Power of Habit, Charles
Duhigg writes about how Starbucks trains their employees to respond to
irate customers.
All new employees are required to learn what the company
calls the “LATTE” method of responding to unpleasant situations.
The latte is a popular Starbucks drink, so they have turned it into an acronym
to reinforce the right habits.
The LATTE method involves: Listening to the
customer, Acknowledging their complaint, Taking action by solving
the problem, Thanking them, and Explaining why the problem
occurred. Thanks to their training, the Starbucks “Baristas” are prepared
when they encounter a yelling customer.
This is critical because back in 2000, the average unhappy
customer would tell eleven people about their bad experience.
Today, an unhappy individual can tell eleven thousand people by pushing
a button on their phone while standing in your waiting room!
Studies show that 68% of all customers who stop doing
business with a shop, do so because of a perceived attitude of indifference by
the company representative. Doing Role plays of the LATTE
will keep your customers coming back and your reputation intact.
Conclusion
Unfortunately, Ben’s story didn't have a happy
ending. He and I agreed that it was in his best interest to leave the
company. If he would have dared to be different, and drank the
LATTE, his wins would have been intentional instead of
accidental!
Your story can have a happy ending if you reject the
philosophy of the accidental winner!
Eric M.
Twiggs
The Accountability Coach
PS. Looking for ideas to differentiate yourself from
your competition? Email etwiggs@autotraining.net
and I will send you my top seven differentiation strategies.
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