While doing some research, I’ve noticed a similar trend. There are companies who have a strong social web presence, and people talk about them. But how did they build this presence? How did they get their fans/followers/friends?
Free stuff.
With the economics of free has come a sense of entitlement. Not only that every company should have a social web presence and be prepared to drop everything at the moment the customer needs assistance, but that the company should also be prepared to compensate this person with free stuff. Apologies don’t go as far as they used to; upgrades and free things do.
And 99% of the time, it works. The person’s mind is totally changed about the brand and experience, and they become a raving fan. ” I had the worst experience ever with this hotel room, but they gave me a free night so now they are AWESOME!” You see it all the time.
How does this affect the way we do business? Our bottom line? Our company culture? Our customers who aren’t using Twitter to complain?
I posted the thought on Twitter this morning that I was trying to think of a business that everyone raves about on the social web that didn’t get there by giving out free stuff or massive discounts. A few quickly rose to the top, Zappos and Southwest. They are known for their customer service more than giving things away for free (we all do the occasional promotions though). But after that…. pretty much silence. So I posted a follow up thought that essentially said:
Two ways to create Ravings Fans = 1) Provide excellent customer service OR 2) Give away free stuff?
Through the recent month, I’ve heard of many people talk about companies and vendors who are horrible at customer service, but people rave about them because they’re getting free stuff. Free things might come in the form of actual free items, fancy dinners, spotlight in a blog post, actual free items, and more. There are many ways to use free items to make someone feel better about themselves and about your company.
Is that enough to win people over? And more importantly, is it sustainable? Why do you want people to talk about you and your company? Because you gave them freebies, or because you provided excellent customer service, an amazing product, and untouchable results ?
One thing holds true: Zappos and Southwest rise to the top of many minds. But who remembers #SquareSpace? Who’s gone back to their site since the free iPhone promotion on Twitter?
Don’t get me wrong. Raving fans are important to a business, even if they are not paying customers. But as Chris Brogan recently mentioned, “I’m in the business of cashing checks.” Build your business on customer service and trust, not on 50% off coupons and free tacos on Tuesday. Have you ever heard of anyone who has waited to buy a new Macbook because there wasn’t a 25% off coupon? We can’t all be Apple, but it sure is aspirational.
Use occasional promotions to engage people and thank them for being your fan, but once they’re in the door or on the phone with you, let the relationship and service lead the way. That way, when they’re hungry, they’re coming back to your restaurant without the coupon. Continue to build your personal army of brand soldiers, but don’t forget about the classic 80/20 rule and those 20% of customers who are putting 80% of the food on your table. Give them the customer service they deserve.
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