Why Customer Experience (CX) monitoring should be at the top of every Franchisor’s to do list in January

CX is arguably the biggest differentiator, or battleground, between businesses right now. Every business needs a well-considered and executed customer experience strategy, to deliver more business, repeat business and a positive brand reputation. But when it comes to the franchise sector, it’s vital to not only implement, but continuously monitor your CX strategy. 

You’re only as successful as your weakest performing franchisee

By the very nature of a franchised business model, you, the franchisor, are one step removed from delivering your brand to the end customer. That can have negative consequences for your whole company if poor CX goes undetected.  

By measuring the CX that your franchisees are delivering on a monthly basis, you not only get a real time picture of how the brand is being received overall, but also an indication of any potential problems within your network. 

At the very worst end of the scale, you could uncover a franchisee treating customers terribly – if they hadn’t already made a complaint – but generally, you could discover things customers may not have noticed, but weaken the experience that you had designed. For example, missed processes, failing to follow up or a lack of personalisation may need addressing individually, or across your network.

CX monitoring isn’t about franchisee bashing

The very opposite in fact. It’s about assessing what works well and uncovering new ideas that can be shared across the network. Because the most successful franchises are the ones that operate in an open, honest, collaborative, and supportive way – and you get this through monitoring and feedback. 

Putting CX at the heart of the business and measuring against KPI’s should always have positive intentions. Yes, it can create a bit of competitive spirit amongst franchisees, but it should also create positive conversations where someone may seek out help or advice. 

Franchised businesses must take a 360 degree approach to monitoring CX.

CX in the traditional sense (franchisee to end customer), is only one element at play here. A franchise network also needs to monitor the experience a franchisee receives from other franchisees and from the franchisor. 

For your franchisees to deliver a superior customer experience, they must receive the right tools, information, and support – and it must be delivered in a way that works for them, not you. By asking for regular feedback from your network you can quickly get a better understanding of where you may need to provide extra resources or training, or where you may need to improve your communication style or timings. 

It’s not just a tick-box exercise.

Once you’ve monitored it’s vital that you do something with the results. Too many times we see businesses collect insight and then don’t take any action to improve the experience and the scores before they repeat the same research 12 months later. 

Monitoring every 12 or six months is also not good enough, you need to be monitoring on a monthly basis to get the best impetus and improvement. This helps improve the CX culture.

Ultimately, knowledge is power. 

If you as the franchisor understand the quality of service that is being delivered by your franchisees, you have the ability to make changes. If you are giving your franchisees the opportunity to give you feedback on the quality of service they are receiving, you are able to make changes. It fosters a transparent working relationship that results in a better experience for all.  

 

Jonathan Winchester is a customer experience entrepreneur, franchisor, speaker and business leader. He is the Founder and Chief Executive of insight6. insight6 is a franchise. For more information on how to improve your customer experience, visit www.insight6.com. Request to connect with Jonathan on LinkedIn.

Customers Value Great CX More Than Discounts

Sale signs on a black background

Be Brave: Boycott Black Friday

The traditional ‘Boxing Day’ sales that once dominated the high street have well and truly been outshone by Black Friday in recent years, but has it now had its day?

The key difference that sets Black Friday apart from other discounting windows is that it seems to have breached the confines of retail, and brought everything from the service industry to hospitality along for the ride – a phenomenon that could do more damage than good for these businesses.

Sure, everyone enjoys getting a good deal on a purchase, but not at the expense of customer experience (CX). 52% of 1,000 people surveyed recently said they would happily pay more for better service – in fact, one in four customers said they would pay 10% more across all industries if they knew they would receive excellent service. 

Discounting makes sense when there is a genuine reason – end of line, or out of season stock, last minute holidays that need to be sold etc. But blanket discounting, especially on services or experiences, in a short window, could lead to a CX disaster and reputational damage for your business. 

So here are my 6 reasons to boycott Black Friday and instead focus on great CX:

  1. Sales psychology – ‘buy this amazing product at a discounted price for today only’. Customers are becoming wary of businesses that discount in this way. Research by Which? showed an astonishing 99.5% of products to be the same price or cheaper than Black Friday at other points in the year. If customers no longer trust what a company is telling them, it’s a sure-fire way to lose their loyalty.

  2. Timing – Customers value doing things on their terms more than ever. In the 24/7 world that we now live in, funneling customers into making purchases at times dictated by businesses is not providing good CX. A competitor offering excellent year-round CX may have secured all your potential sales before Black Friday even arrives.

  3. Disruption and delays – an influx of business is what all business owners dream of, but if you’re not prepared for it, it can be a poisoned chalice. Slow websites, longer dispatch or delivery times, a less personalised service and poor execution can all result in bad experience.

  4. Stressed staff – employees across retail and other industries describe the Black Friday period as ‘hell’, with reports of abuse by shoppers and ‘vile’ working conditions. It goes without saying that the experience of your staff should be as important as that of your customers as stressed staff can’t deliver great CX.

  5. De-valuing the brand – consumers assume that even at discounted prices, the business is still making a profit, therefore believing your regular price is stretching the true value and may not purchase at full price in the future.

  6. Reputational damage – it only takes one small thing to go wrong during a busy period (point 3) - when your staff aren’t able to perform at their best (point 4), or your customers are not enjoying a good experience (points 1 & 2) - to cause a huge reputational impact and lose a customer forever. When, if the same issue happened during a ‘normal business’ day, the handling and outcome would likely be very different. 

So, my parting words of wisdom; think before you discount. Will your customers actually value it? Can you maintain great CX? Will it detract from your brand? And finally, is it worth it? 

In my experience, the best way to improve your bottom line consistently is to carefully map your customer journey and deliver the best CX day in, day out.

Jonathan Winchester is a customer experience entrepreneur, speaker and business leader. He is the Founder and Chief Executive of insight6. For more information on how to improve your customer experience, visit www.insight6.com. Request to connect with Jonathan on LinkedIn.

A good leader is prepared to ask questions they may not like the answers to

To truly improve employee engagement and wellbeing, every leader must do three basic things: ask, accept, action. 

Ask 

You'd be amazed at the number of leaders I have worked with over the years who come to me with an employee engagement problem, only to find they haven't asked their staff how they are feeling or if there is anything that they need to improve their ability to do their job. 

More worryingly, some come to me to solve a problem, utterly oblivious that they have an employee engagement issue fuelling that very problem. It's not that they don't care, quite the opposite, but it demonstrates a disconnect between management and employees.

The one simple (but essential) thing leaders can do to improve employee engagement is regularly check in on staff wellbeing. Allowing employees to have their voice heard in a regular, official capacity can instantly enhance engagement; there are, of course, caveats!  

Keep wellbeing surveys quick, simple, and convenient – pick a day and time you know employees are more likely to fill it in. Importantly, employees must feel 'safe' to respond openly and honestly to avoid false and potentially misleading results. 

Accept 

Wellbeing in the workplace is a serious matter, and staff need to know that your business and its management genuinely care; this is not a tick-box exercise but something you should embed. Implement a regular feedback solution that analyses responses from your team and provides you with actionable comments to help transform your business.

Understandably, you might be nervous about responses. However, without unequivocally honest insight, you can't acknowledge, accept, or crucially take action to rectify or improve potential issues. Rebuffing or counterarguing responses sends a message that you are not listening, and a 'what's the point' attitude will develop.

Set a monthly employee engagement KPI to track over time to quickly spot and react to trends – not only by the positive or negative scores but also by the response rate. If only a tiny percentage of people even answer the questions, it indicates a disengaged team. 

Action 

You must act on feedback! 

I am not saying give employees everything they request or suggest you make massive business changes to make a few people happier but prove you have listened, probe further and ask 'why'. 

Mapping out the employee response journey is critical. If a response is positive, the action can be an automated yet personal email thanking them for participating. If a negative response is received, there should be an appropriate action plan that follows.  

Depending on the level of question and how potentially harmful the response is, this could be a red flag to a line manager to check in with this person or to follow up and dig deeper into any issues raised. Never follow up in an accusatory way; the aim here is to understand and work out a way to improve. Many negative scores have 'quick win' solutions, such as frustrations with technology or access to information. However, it can be trickier to identify the root cause of a personal grievance or behaviour issue.

My parting words of wisdom? Always follow up.  

Did offering the chance to be heard make a positive change? Have the plans put in place resolved problems? You won't always solve every niggle or concern. Still, by asking questions, actively listening, accepting feedback, and acting accordingly, you will find that employee engagement increases, and wellbeing scores improve.

Jonathan Winchester is a customer experience entrepreneur, speaker and business leader. He is the Founder and Chief Executive of insight6. For more information on how to improve your customer experience, visit www.insight6.com. Request to connect with Jonathan on LinkedIn.