One of the best exercises for you to do is make a list of companies or businesses that you go back to over and over and over again, and ask yourself why. For instance, list five companies and to the right say, “I go to this restaurant at least once a week. Why do I go back? Because of . . . ” I go to this fast food place every week. Why. . . I go to this store to shop for clothes every month. Why do I go back again? I go here for groceries. Why do I go back here over and over again? What is the reason? And the reason will generally be one of these six reasons that it’s going to give you a lot of clues for your own business. #1: Fast You’re either going back there because it’s fast. Why? Fast food – I don’t want to sit down.
I just want my food and leave. That’s all I want. I don’t want anything. I just want a fast service. So you go back to a place because it’s fast. #2: Quality One could be quality. What is quality? It’s better material. It’s better fabric. It’s better whatever. The quality is better and I’m willing to spend more money but I go back for quality. #3: Cheap Another reason could be because it’s cheap. You may say, “Hey, I go to Wal-Mart because Wal-Mart has what? Everyday low prices. It’s the cheapest place, that’s where I want to go to. No problem. That’s their play. #4: Luxury I go there because of luxury. I’ve been buying Mercedes all my life because it’s a luxury. I like to go to this restaurant because it’s luxury. I like to stay at the W because it’s luxury. I like to go. . . because of the luxury feeling you get. #5: User Friendly Another one could be user friendly. I go back to this place, it’s so easy. I go back to this website because it’s so easy to use. I like to use this app because it’s so easy to use. User friendly. It’s so easy. I like iPhone; it’s user friendly.
I like this, it’s user friendly. #6: Customer Service And the other one is customer service. Now most of the time businesses say, “we have the cheapest, we have the fastest, we have the best, we have the most luxury, we have the most incredible quality, we have user friendly, it’s so easy” or best customer service. Now, customer service is generally boring. And generally entrepreneurs, we don’t necessarily pay that much attention to customer service because it’s kind of like, oh my gosh, customer service? C’mon, give me a break.
This is boring! Watch, this video isn’t going to get that many views. You’ll see it. Because this is not an exciting topic. But this is a very, very important topic. By the time I’m done explaining this to you. When you about customer service, what companies do you think about? Watch this. People buy BMW. Do you know why? Because of their service. You simply drop off a BMW, take another one, and you go back. So BMW has a reputation of being incredible service. Now. Range Rover may be Luxury, but it doesn’t have the best service. But they’re known for luxury. So what is the play? You go to another car and it may be cheap. Hey, I’m going to buy a Ford Focus. I’m going to buy whatever. Because it’s cheap. There are things you can think about. Tesla user friendly. It’s easy. Right? Customer service. Nordstrom. You go to Nordstrom, I don’t care what it is. One time an old lady goes back to Nordstrom and this is a story you can find all over online. It’s written about in books, etc. etc. This person goes to Nordstrom and says, “I bought this tire from here.” The cashier says, “We don’t sell tires.” “No, I bought it here, and I want to return it.” “Do you have a receipt?” “I don’t have a receipt.” Do you know what Nordstrom did? They took the tire! And the person said how much it cost and Nordstrom said, “Okay, we’ll take it back.” And the person went on to say we returned the tire, they’re going to throw that tire in the trash, but customer service to them is extremely important.
Now there are some places you buy something from, no return policy. We don’t take it back. We don’t. . . they don’t care having one star reviews because their policy is, I don’t care to return it. You buy it, you got it, it’s gone, we’re not taking it back. Mattress companies sometimes do that. Some of them do certain – no, you’ve already laid on it. You’ve already done this. We’re not taking any of it back. Customer service. If you think about Amazon, Amazon’s got great customer service. I think about Zappos. We went and got a private tour of Zappos headquarters. They’ll stay on the phone with you and talk to you. They literally will talk to you, how things are, hey let me order pizza for you. Hey, let me do this for you. It’s constant customer service that people talk about them. Apple’s known for great customer service. Southwest Airlines, when their attendants tell the jokes that they say, “hey, if you have to do this, make sure you put the mask on yourself and if you have two kids, choose which one you like more.
. .” These things hahaha, it’s funny; but that’s customer service. You kind of connect with it. This is a very, very, very valuable way for you to build your business. So now the question becomes, what is the difference between customer service and customer experience. Pat, what is the difference? Isn’t it the same thing? Absolutely not. Why? Let me explain. And I’ll simplify it for you and it will stay in your mind. Think about customer service as reactive. And think about customer experience as proactive. What does this mean? For instance. Here’s customer service. “Thank you for calling AT&T. How may I help you?” Yes, great. Is there any other issues that you have? Have I fulfilled your service request you’ve asked here today? Okay, please take this recorded call and survey that we have going on .
. . Reactive. Customer service could be a client is upset, you handle it, you react, you solve. All good. Customer service is thank you, please, may I please put you on hold? Thank you for your help. Thank you for listening. Thank you for understanding. Thank you. . . it’s customer service. Customer service could be, “I totally understand where you’re coming from. I totally feel your pain. I’m sorry.” It’s apologetic. It’s customer service, because it’s reactive to something, right? A customer buys, here’s your receipt, thank you so much, have a great day, would you also like to buy this? Would you like to upgrade your service? Customer service. That’s customer service. And by the way, very important, customer service. Now a few are very good at customer experience. That’s kind of when you go from here and you graduate over here . Let me explain what I mean by customer experience. Look, whatever business you run, if you have more than 100 customers, you will generally be able to tell me that you have some VIP customers. Everybody has VIP customers. This is not about discrimination. VIP customers to American Express is called Black Card.
VIP customers to American Airlines is called Executive Platinum or Executive or Gold Member, that they get priority seating, right? A VIP customer for Sephora makeup for ladies could be called Beauty Insider. Sephora does very well because they have this Beauty Insider group where the girls who are part of Beauty Insider get samples sent to them before everybody else. That’s Sephora. They do a phenomenal job with Beauty Insider that’s worked very, very well. They get it before all the other customers. Your VIP, VIP Amazon is Prime. There are many of them that I can give you. The VIPs, you’re hoping to get many of them here to be converted in to VIPs and they only get converted here, based on what? Customer experience. So what is customer experience? Proactive. Proactive is the way you treat them. The details. Customer experience is all about details. So if I call American Express Black Card, or if I call Visa Black Card, Mastercard Black Card and they’ll tell me, “Hey, we just want to remind you, your anniversary is coming up.
Your wife’s birthday is coming up. Any plans? We see that last time you went to Bacara Hotel. Do you want to do the same thing? Do you want me to look for something? How about you give me this afternoon and let me look for something and get back to you.” Customer experience. Then they send me an email and they call me. When is a good time for us to get on the phone? 15 minutes. So let me tell you what I found. If you want to do something very extravagant, we found this one place and we can do this experience and . . . and it’s do unique and let me tell you what it is. You’re wife’s really going to like it. Tell me what things your wife likes.
Experience. Experience. Amazon could go out there and find exactly what things you buy and see your buying trends and they give you a better experience. It doesn’t matter what it is. it all goes to the experience part. Or you go into Apple and you talk to one of the guys at Apple and they talk to you like you are a regular human being. You don’t feel like you’re scripted — too much. Although they have a script as well that they’ve got to follow. But it’s just talking to you. Zappos the same way. They’re talking to you. They’re listening to you. Tell me about. . . how’s your day? You don’t hear too many “regular” customer service people companies saying, “So tell me about your day.” Think about that small little side question that you call somewhere, you call Chase for customer service.
Yes, I’m trying to handle this. . . Okay, great, let me place you on hold. Let me see what I can do. Do you have a case number for this? Okay, thank you. Okay, have a great day. Bye bye. Done. Instead, okay, Patrick Bet-David, thank you so much. By the way, Patrick, how was your day today?” And I’m going to say whatever I’m going to say. I’m going to give them, “It’s okay. It’s great” And then I’m going to ask what? “How was your day?” “Oh, my day’s great. Thank you for asking. By the way, thank you for your loyalty. I can see you’ve been with us for 10 years. We appreciate your loyalty with us.” Hey! Somebody appreciates my loyalty. I’m a loyal human being. No problem, I’ve been a loyal customer. We’re proud to put, “I’ve been an American Express cardholder since 1998” whatever it is. Loyalty, right? Hey, we appreciate you. Thank you. This goes to here . And the more you can take people from here to here the better off you’re going to be with your business.
Let me help you think about it maybe in a way that will make sense to you a little bit more and we’ll wrap up this episode is this. So when it comes down to the dating game. Just think about it this way. There are a lot of people that just boom. They want to go out and be promiscuous. All good. It’s a philosophy, if you want to do that, that’s good. In business, if you treat your customers like that or even women like that, your reputation spreads. If you treat customers like that, or anybody like that, reputation spreads. And it’s not always the best reputation to not treat people properly. So then there is just one-night stand philosophy. Then there’s dating philosophy. Then there’s marriage philosophy. Your VIPs are marriage. Your VIPs are marriage. Your VIPs are people that go from dating to marriage. They’re kind of trying your product. They like it. Ah, um, great. Wow, they treat me so well, I want to marry these guys.
And I want to go there regularly. And then I want to tell other people. They become your best recruiters. VIP members become your best recruiters. Best recruiters. They recruit for you for free. All that million dollar ad on T.V. that you’re trying to do or whatever it is you’re trying to do, you don’t have to do it. Because they’re doing it for free – if you convert people into VIPs. They are so valuable. This is why some companies, there’s nothing different Zappos does except for the fact that they create incredible customer service. They don’t make shoes. They don’t make shoes. Zappos doesn’t make shoes. They’re not Toms. They don’t make shoes. It’s service. It’s purely service for them. They give incredible service. They send you return, you don’t have to pay for return if you don’t like it, they’ll pay for it.
It’s purely a service game. They’re not playing the cheap game. They’re playing the service game with you. It’s so valuable and then all of a sudden, Zappos gets valued at, it was bought for a couple billion dollars, whatever the number is. Tony Hsieh is a customer service guy. So I know a lot of times especially startup entrepreneurs are people that you want to become a millionaire yesterday. I get messages, “I want to be a billionaire by the time I’m 35 years old.” That’s great, you know. Maybe don’t tie it to, believe me, if you tie it for more people being happy doing business – I had a conversation this morning with a friend of mine who’s one of our executives in our company, he’s a doctor, Dr.
Cooper. He and I were having a conversation together and he said, “Pat, somebody came and told me something about why I chose to work with you, and he said, all I said is my entire experiences of working with you, how it’s been. And he’s going into this whole story what he’s telling me on this call we’re having, early, early call that we’re having here this morning, which was a fascinating call.
I’m sure he appreciates that call, but that’s a shout out, he and Tasha just had their 20th anniversary. So we’re having this call together and all he was telling me, while I’m listening is our experience together, why he’s still here. He left a six-figure job to come here. He was a principal, the youngest principal in the San Bernardino Valley area. But he came because of the experience he had and he is my customer. Now we’ve become very good friends, so it’s past a VIP. And the more we have of that, that we treat people properly, the more they tell everybody. Your business gets stronger. You can’t have this wam bam type of a mentality and your business isn’t growing because you’re not paying attention to your customers. So go back, again, the initial exercise, make a list of the five businesses that you go to regularly and ask yourself why do you go back. You will be amazed how all of them will generally have one of these things here. One of these things here. Now you may say, convenience, it’s very close.
That’s part of fast. So any of that stuff that you write down is going to be part of one thing. And then for your own business, ask yourself, “What can I do to take my customer service to a whole different level, to add customer experience to my business and to give birth to more VIP customers? And what can I categorize as a VIP customer for me? What do you categorize as a VIP customer for you, and what can you do to promote more people from regular to VIP customers? That in itself is going to make you a ton of money, depending on how big you want to build, it will do you very, very well growth-wise, word of mouth, people want to do business with you regularly over and over and over again.
So, that’s my message today for you on customer service and customer experience. Mario, where’s our pillow? Do we have our pillow? I can no longer say 100,000 subs because we are now at 100,000 subs. What is exciting is we already got many hundreds of emails of people that said they’re making that video on why I love Valuetainment and if you don’t know about the video, we just crossed 100,000 subs and Mario asked me to announce a contest to be able to privately mentor three of you here in my office in Dallas, Texas for three hours to go through your business plan and put a strategy plan together for 2017. We’re planning on doing it sometime in the month of December, but you’ll need to submit a 3-minute video and all the details – let’s put a link somewhere here, where people can see it. You can go to PatrickBetDavid.com as well, boom! And you’ll see the details as well.
So 100,000 subscriber celebration contest, you can find out more details about that. But if you haven’t subscribed yet to the channel, please do so, click on the link below here, and if you have any questions about customer service and customer experience, post your comments and thoughts on the bottom. Take care everybody. Bye bye. .