Wednesday 19 June 2013

The Agony of Expectations

When I talk to clients about “Customer Service” one of the first things we discuss are the differences that most have seen between expectations and experience.  

Every customer, the experts will tell you, has needs and it is up to us to fulfil those needs.  They teach us to ask questions to determine those needs, to listen actively to verbal and non-verbal cues, and to then produce the solution to meet them.

Few people take the time to realise that what matters most to a customer is the expectation that they have that their need(s) will be satisfied in a particular way.  This is the question that they often fail to ask or address.  Yes, the product/service may be delivered, but the customer remains unsatisfied.  Why?  Because their expectations either weren’t met at all, or were met only to a small degree. 

Is it reasonable to understand and meet (if not exceed) expectations?  The answer to that is simple – what are your reputation and business worth?  In some cases, expectations may be low because that’s what people have been taught.  Budget airlines, for example, are notorious for late arrivals/departures, poor service (some more than others) high “hidden charges” for anything from printing a boarding pass to checking in a suitcase).  Their logic is: “What do you expect for such a low price?”. 

Where expectations are low and experience is correspondingly low, then no problem.  Where there’s a disconnect between expectations and experience, you have a potential problem or delight.

The table below gives an idea of what I’m talking about (I call it the Expectations vs Experience Grid): 

Expectations
Experience
Customer Reaction
Result
Low
Low
Stoicism
You get what you pay for
High
Low
Disgust
Complaints
Low
High
Delight
Repeat business, but…
High
High
Satisfaction
This what we expect now…

Expressed graphically, it looks like this: 

Experience
High
Delight
2
Low Expectations
High Experience
3
High Expectations
High Experience
Satisfaction
 
Stoicism
1
Low Expectations
Low Experience
4
High Expectations
Low Experience
Disgust
 
Low
 
High
 
 
Expectations
 

Given a choice, you want customers to be in the top half and (better still) in the upper left quadrant (quadrant 2).  Where you don’t want them to be is the bottom right (quadrant 4)…  If they end up in the bottom left, well, at least you didn’t lose out, and what did you expect for the price anyway? 

Next: where do you want yourself and/or your organisation to be seen on the grid?  Ideally in quadrant 2, and most coaches tell you to “under-promise but “over-deliver”.  Trouble is, customers aren’t that stupid.  Equally, once you perform in quadrant 2, they’ll come to expect it (moving you to quadrant 3).  Complaints arise when they expect quadrant 3, but get quadrant 4. 

Many organisations build up high expectations without realising it.  It can be as simple as saying “I’ll call you this afternoon”.   In some countries in which I’ve lived and worked, people have said “Set your expectations low, and you’ll never be disappointed”.  What people are talking about is “structuring expectations” – a phrase that you’ll hear often when it comes to service or sales.  Coaches will tell you to “structure a customer’s expectations” to ensure that they expect the quality of service they’re about to get (or even a lower quality) so that, when the quality is higher, they get a “pleasant surprise”.

For me, this is cynical manipulation amounting to lack of integrity.  By all means, be honest, but don’t mislead.  Once people realise what you’re doing, the bond of trust is broken and no matter what you do, they’ll have low expectations of low service (and treat you/your organisation accordingly).  Interestingly, the advertising industry gets away with this almost every day by claiming that a particular product will make you more attractive, fitter, happier or more desirable in some form or another. 

Does it?  Not often.
 

I have spent more than half my life delivering change in different world markets from the most developed to “emerging” economies. With more than 20 years in the world financial services industry running different service, operations and lending businesses, I started my own Performance Management Consultancy to offer solutions for improving performance, productivity and risk management.  I work with individuals, small businesses, charities, quoted companies and academic institutions across the world. An international speaker, trainer, author and fund-raiser, I can be contacted by email . My website provides a full picture of my portfolio of services.  For strategic questions that you should be asking yourself, follow me at @wkm610.

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