The Secret to Higher Profits in a Digitized World

The Decline of Customer Satisfaction

Customer satisfaction is going down, not up.

How can that be in a world with unprecedented technological progress?

 

“A brand is the sum of the good, the bad, and the off strategy.” –Scott Bedbury

 

Tema Frank founded Web Mystery Shoppers International, the world’s first company to test omnichannel customer service. Her new book, People Shock: The Path to Profits When Customers Rule , shows off both her decades of business experience and the research from interviewing over 150 business leaders. She developed a formula to help businesses improve the customer experience in the midst of a digitized world.

I recently asked her about her research.

 

“The key to getting work done on time is to stop wearing a watch.” –Ricard Semler

 

What is PeopleShock?

As we automate more and artificial intelligence wipes out jobs, the smaller amount that is left for human to human interaction becomes critical. Companies that are people-focused (while using technology to support those people) are the ones that will win in an era of increasing competition and social media power. If you get the people side right, PeopleShock is your key to success. Ignore it and your company will soon be history.

 

“If you’re too busy to build good systems, then you’ll always be too busy.” –Brian Logue

 

Get the 3Ps of Profit Right

Please share your 3P Profit Formula with our audience.

Customers are cranky, and they’ve got more choices than ever before. So you’ve got to keep them happy, and that means getting all of the 3 Ps of Profit right:

Promise – Having a clear aspirational, inspirational and memorable reason for doing what you do inspires staff and customers. It also gives staff a filter for decision-making: Would their action be consistent with the company’s promise?

People – Business success comes from connecting effectively at a human level with people inside (staff) and outside your organization. Outsiders include not only prospects and customers, but people we sometimes overlook, like suppliers, distributors, lenders, investors, media and the public.

Process – As time goes by, some of the processes that got you to where you are stop making sense.  To deliver consistently great customer experiences, you have to regularly re-assess how you’ve been doing things. Start by looking at processes from a customer point of view. What do they experience? Then look at how that lines up with what you do internally.

 

“CEOs are the ones who must conduct the corporate orchestra.” –Tema Frank

 

How does this translate into higher profits?

Does Your Organization Have The Right Attitude?

What’s Your Organizational Attitude?

What distinguishes great customer service?

Is your website easy to navigate?

Would customers describe the experience with your organization as amazing?

Some companies are leveraging the power of the Internet in such a powerful way they are increasing market share, earnings, and revenue at an incredible rate. Others are struggling, not fully realizing the potential or understanding what it takes to win with today’s technology.

 

“Net attitude is a state of mind.” –John Patrick

 

It’s All About Attitude

What differentiates winners from losers?

John Patrick’s answer is that it is all about attitude. He says companies with a “net attitude” have an extraordinary advantage over those who don’t.

Having a net attitude “makes constituents happy,” says John Patrick. Because your “website is your brand,” it’s important to make it accessible, easy to use, and focused relentlessly on a positive customer experience.

 

“The prescription starts with a single word, attitude.” –John Patrick

 

Beyond this, John indicates business vocabulary needs to change to adapt to a new mindset.

John believes we are only using about 10-15% of the power of the Internet. The potential represents an extraordinary opportunity ahead.

Money and scale are not enough. It takes the right attitude. And any entrepreneur or company who adopts a net attitude has a sustainable advantage that will propel them to greater success.

 

“Think big, act bold, start simple, and iterate fast.” –John Patrick

 

Copyright John Patrick, Used by Permission Copyright John Patrick, Used by Permission

5 C’s to Help You Plan for Your Next “Big thing.”

The end of an era

Earlier today, OCLC said “goodbye” to a service that it had been performing since the early 1970’s: the printing of library catalog cards. Most of you are familiar, I’m sure, with those 3×5 cards and the drawers that housed them. There is a lot of nostalgia for those drawers among librarians—they’re beautiful pieces of furniture that can be put to many uses: as wine racks, jewelry and collectible cases, storage for tools, crafts and sewing supplies, etc.

 

Fact: At peak, @OCLC shipped 8 tons of cards weekly.

 

However, there is not as much nostalgia for the cards themselves.

You have to remember that, before the Internet, a catalog card was the closest thing to a hyperlink that most of us ever experienced. Like hyperlinks, catalog cards took us from a quick description of information to the full resource. They were, for more than a hundred years, the absolute height of information seeking technology. Those cards may seem quaint now. But the ability for patrons, on their own, to quickly identify and find one book in a building containing tens or hundreds of thousands is a remarkable testament to the genius and hard work of librarians.

But that work was tedious. Each book required, in many cases, multiple cards: one for subject, one for author, one for title. They had to be hand typed. Any small error required a complete redo.

OCLC's first catalog card; Used by Permission OCLC’s first catalog card; Used by Permission

“Your focus should be on the future not the features.”

 

An early example of crowdsourcing

Computerization helped, of course. That was OCLC’s original business: a centralized collection of records from which cards could be reproduced more efficiently. Rather than create the same card over-and-over at each library, members of the cooperative contributed to the shared database, which was then used to print cards for everyone. By some estimates, this process saved librarians about 90% of the time required to manually create new cards, a task that I’ve heard took around an hour.  OCLC has printed around 1.9 billion cards during the past 45 years, meaning cooperative cataloging has saved our industry about 195,000 years of administrative effort. Which is great! That’s time librarians were able to spend helping people reach their learning goals and get the information they need…

Instead of typing up billions of little cards by hand.

Which is why those cards hold so little nostalgia for many librarians. They were a necessary technology at the time. And a profoundly useful one. But the tool itself was never the point. In retrospect, that’s so much easier to see than when we’re looking at today’s newest technology.

Don’t get me wrong! I love the new stuff! It’s fun and it’s fast and it’s cool. And it’s important. But nowhere near as important as understanding the needs of the people our technology serves.

Skip Prichard with the last OCLC printed catalog card Skip Prichard with the last OCLC printed catalog card

What are your “5 C’s”?

Why Attitude Always Matters from Technology to Healthcare

It’s All About Attitude

One of my company’s board members is also one of the Internet’s earliest pioneers. In the past few years, I have had the opportunity to hear him tell stories that are instructive, but also mind blowing. At one meeting, I recall him sharing an example of what he learned about product marketing and branding. Because of his humble style, I almost miss the product reference. Wait, I think, did he just share how IBM’s ThinkPad name was conceived? Yes, and much more.

 

“Think big, act bold, start simple, and iterate fast.” –John Patrick

 

John Patrick doesn’t brag or seek attention, so most people don’t realize he was a founding member of the World Wide Web Consortium at MIT or a founding member and former chairman of the Global Internet Project. He was also the head of Internet Technology at IBM and is currently the President of Attitude, LLC.

Most people would just stop, retire, and enjoy life. Not John Patrick. Only a few years ago, he decided to get his doctorate in health administration.

He has authored two books: The first, Net Attitude: What It Is, How to Get It, and Why Your Company Can’t Survive Without It, and one just out called Health Attitude: Unraveling and Solving the Complexities of Healthcare. Both books deliberately have the word “attitude” in the title because John Patrick is a passionate believer in attitude.

 

“The prescription starts with a single word, attitude.” –John Patrick

Silent Intelligence: What A Smarter World Will Mean For You

 

Everything Will Be Smart

The Internet has connected people in a way that has transformed the world.  From e-commerce to e-mail, from social networking to videoconferencing, from high-speed wires to wireless, technology has transformed life as we know it.

 

“The future is already here. It’s just not evenly distributed.” –William Gibson

 

What’s next is the Internet of Things (IoT).  In addition to connecting people, the Internet is now connecting things: objects, machines and networks of sensors.  Your refrigerator, your car, your security system.  Nearly anything you can think of can be connected to the Internet.

 

“Business is going to change more in the next ten years than it has in the last fifty.” Bill Gates

 

Imagine a smart garden where the soil signals it needs water.  Smart medical devices that transmit exact health data to your doctor in real time, allowing medications to be administered and monitored.  Smart cities that move electricity just where it is needed.  Smart thermostats are here today, sensing your habits and making adjustments without you touching anything.

 

“Any sufficiently advanced technology is indistinguishable from magic.”  Arthur C. Clarke

 

Daniel Obodovski and Daniel Kellmereit wrote a book called The Silent Intelligence: The Internet of Things.  It explores the Internet of Things and the “silent intelligence” growing all around us.

I recently had the opportunity to talk with one of the book’s authors, Daniel Obodovski, about the Internet of Things and the changes ahead for all of us.

 

“All creative people want to do the unexpected.” –Hedy Lamarr

 

“We are at the 1908 Hurley washing machine stage with the Internet” — Jeff Bezos

 

“Cheap, functional, reliable things unleash the creativity of people who then build stuff that you could not imagine. There’s no way of predicting the Internet based on the first transistor.” — George Whitesides

 

 

The Silent Intelligence: The Internet of Things