Press Releases

Aim is 5 Star service as luminaries give out tips

4th November 2005

THE world's most visited theme park, Britain's biggest independent chain of hi-fi stores and a bookies shop in the Granite City wouldn't appear to have a great deal in common.

But, according to one of the UK's leading business development gurus, Disney World, Richer Sounds and Ladbrokes' Aberdeen branch can be held up as prime examples of businesses which have gone that extra mile to keep their customers satisfied.

And, as Derek Williams is quick to point out, keeping the punters coming back time and again doesn't have to involve anything as corny as a US-style "have a nice day" line.

Rather, good customer service is about adopting the right attitude and making sure every member of staff is singing from the same hymn sheet.

Addressing around 500 delegates at the third annual 5 Star Customer Management Conference in the Capital, the founder of the WOW! Awards programme highlights research that suggests a five per cent improvement in customer retention can lead to a profit rise of more than 25 per cent.

"Do you really just want to go out and crunch prices?" he asks.

"If so, you've a good recipe for disaster in most instances. I think this is where the customer service experience becomes critically important.

"We often appear uncomfortable with the notion of loving a product or service in relation to our own businesses. However, if you can get customers to fall in love with what you do, you will get results."

As one of the country's most sought-after customer service speakers, Mr Williams was sharing the main stage at the Edinburgh International Conference Centre with Chris Daffy, founder of the Academy of Service Excellence, James Timpson of the Timpson retail dynasty, Piero Ferrari, until recently the operations manager at London landmark Tower 42, and Pete Sowden of the Yorkshire Building Society.

Over the past 20 years or so, Mr Williams has had the opportunity to cast an eye over a range of businesses, and their attitudes towards customer management - now one of the fastest-growing disciplines in the UK.

He singles out Disney and its Florida theme parks, surprising many of the decision-makers in the audience with the revelation that the movie giant sees fit to give its onsite toilet facilities a fresh lick of paint three times a week and uses real gold on its carousel horses.

"Of the millions visiting each year, 30 per cent are repeat customers," he observes.

"This is not rocket science. There is no one thing that's going to revolutionise your business and get customers flocking to your door. It's the attention to lots of little things that matters.

"Shortly after that trip to Florida a few years back, I visited Chessington World of Adventure and the contrast was clear."

Mr Williams - whose WOW! outfit rewarded the aforementioned Aberdeen betting shop for staging a special Ascot Ladies Day event to boost customer relations - is also a fan of Richer Sounds, which operates a string of audio outlets and boasts an entry in the Guinness Book of Records for the highest sales per square foot of any retailer in the world.

While visiting the group's tiny Romford store in London, he was amazed to find staff going through an exhaustive 160-item checklist ahead of opening time - all aimed at taking the shopping experience to a higher level.

"Successful companies have a vision and the right attitude," notes Mr Williams, drawing a parallel with quintuple Olympic rowing gold medallist Sir Steve Redgrave.

"What makes a guy go back and win five successive Olympic Games over a period of 20 years? Is he an exceptional athlete with ordinary attitude or is he a fairly ordinary sort of guy with exceptional attitude? It has to be the attitude that counts."

Another of the speakers at the packed conference, which this year was co-sponsored by the Evening News, has struck success after turning conventional management thinking on its head.

As MD of eponymous retail chain Timpson Limited - encompassing almost 600 key-cutting, engraving and shoe repair stores and generating annual sales of around £100 million - James Timpson is keen to maintain strong links with the shop floor.

The 34-year-old has been a driving force behind Timpson's "upside down" management structure.

"We had to adapt a system of management that meant we can run this business successfully, and keep control of it whilst letting everyone get on with what they are supposed to be doing.

"The chairman is right at the bottom and the frontline staff at the top after the customer. The board decides strategy, while senior management are there to help the process work. Everyone works to support what happens in the shops."

Mr Timpson, who spends two days a week out on the road, says the buck stops with those behind the counter.

"Who wants to be served by someone who's grumpy?" he quizzes. "Grumpy people are like a cancer in a business. We call them 'drongos'. That's one of the reasons I go round the shops - to drongo bash." The plain-talking boss is always alert to suggestions on improving customer service, and points to the benefits it can have on the bottom line.

"About seven years ago I was visiting a store in West Bromwich and the manager was trying to physically hide something," he recalls.

"What he was actually doing was repairing a customer's watch because he was desperate to get turnover up and had done a bit of watch repairing in the past.

"He had put a little sign up and was bringing in £100 a week. That bloke now runs our watch repair business which will do about £14m of business this year."

Speaking during a session break, conference founder and chairman Bob Downie expresses his delight with the turnout and support for the one-day event.

"With around 500 delegates, this is now Scotland's largest customer-focused event. I'm delighted that in three years it has grown to this level. The feedback I've had has been superb.

"It is a major conference in UK terms as well and we need to look at where we can take it to next."

The views of those attending are probably best summed up by Fiona Maclachlan of the Scottish Tourism Forum, who says: "I think it's fantastic to have some time out to think about the culture of your company and what you really are doing in your business.

"I'd encourage other companies to come and adopt the same mindset."