The renowned French writer and philosopher Voltaire wrote, “Someone has said that the first soothsayer was the first rascal who encountered a fool.” The soothsayer foretold the future and some believed could read people’s minds. Who plays the role of the fool or rascal in this tale remain open to your own interpretation, but there’s not a shred of doubt that your customers expect you to read their minds.
Believe it or not, before the time of texting and tweeting, most customers rarely bothered to complain or express their opinions to the companies with which they did business. In a 1980s study commissioned by the White House Office of Consumer Affairs, 96% of dissatisfied customers said they never directly complained; of course, 90% of them never returned to the offending establishment. In my own customer insight work over the past two decades, I’ve interviewed and surveyed well over 100,000 customers. I’ve yet to meet anyone who didn’t expect companies to mystically understand their needs and wants. Today it’s like the Divine Right of Kings in reverse. This was the idea that God had transferred all omnipotence to certain worldly rulers without fear of the people. Today, most customers believe they are not subject to your earthly rules and regulations. I call them Customer CEO because they are large and in charge.
This is a confounding time of transition for every kind of company. In recent studies of business, CEOs say they no longer understand their customers. The default position for many is to do nothing and hope that business changes back or somehow becomes easier. Of course, hope is rarely a successful strategy. If you are looking for an easy answer in 140 characters to understand today’s customer, forget about it. It’s like being on a roller coaster. One minute you can see what’s just ahead but then, without warning, the bottom drops out. Customers are competitive, calculating, complicated, confusing, and caustic. They have an absolute sense of entitlement. They don’t always tell the truth. Some have gone too far and become vigilantes, happy to showroom you out of business.
To help you, let me share nine covert questions my own research has unearthed that every customer expects you to answer.
1. What’s in it for me? There has never been a time when customers have been more self-focused. We are living in the age of “it’s not my fault.” According to a new study from the University of British Columbia's Sauder School of Business, customers are rarely willing to shoulder the blame if they’ve made a mistake in obtaining or using a product or service. The study showed that 79% of those who perceived it was their fault were likely to shift the blame to someone else. Amazon and Ikea get this.
2. What's this really worth? Every customer applies a set of customized filters to determine what something is really worth. The problem is that you may not know what those filters are. You must discover what they believe about your offerings on a real time basis like Costco does.
3. Does it do the job I need it to do? Products and services must be designed to perform jobs. Truth is, most things that get sold are because someone sees greater utility in it than the alternative, not because it is the most innovative. Ryanair has become the largest airline in Europe with almost no customer service; but it still gets you where you need to go safely.
4. How do you make me feel? Even the most price driven customers have a heart. They love a story. People buy on emotion and justify with “facts” at places like Trader Joe’s and Lululemon every day.
5. Why is this so complicated? Your customers want simple. They don’t have the time or energy to figure it all out so you must strive to streamline every product, service and experience. Think Forrest Gump. That’s how a brand like In-N-Out Burger became the #2 burger chain in the country.
6. Why do you keep telling me no? The Havas Meaningful Brands Report said customers wouldn’t care if nearly three-quarters of brands completely disappeared. This single stat should be a wake up call to any of us who believe we are necessary. Start saying yes like Ritz-Carlton and Nordstrom do.
7. What about my ideas (and complaints)? People want to be heard…now. The Social Habit said 24% of American Internet users who have reached out to a brand online expect a reply within thirty minutes regardless of when contact was made. Do you have an open door to listen? Use today’s platform to engage them, really listen and respond.
8. How do I break the rules? Rules are made to be broken so why not get ahead of the curve and let your customers proactively break them? Be a rebel; it’s worked wonders for Red Bull and Harley-Davidson.
9. Do we share the same values? When a jury in the infamous Apple-Samsung patent case found that Samsung had unfairly competed, Apple CEO Tim Cook sent an e-mail to his employees that said, in part, “For us this lawsuit has always been about something much more important than patents or money. It’s about values. We value originality and innovation and pour our lives into making the best products on earth. And we do this to delight our customers, not for competitors to flagrantly copy.” Every company must strive to have and live values that deeply connect to their customers.
These are their primary questions and I believe the answers start what I like to call “customer thinking.” That is, you must create a process to fuse big data (the what) with big insight (the why) in order to understand them; you can’t depend on one without the other. When you start customer thinking, you’ll begin to predict the future. Your customers want you to be a soothsayer and if you aren’t, who’s really the fool?
More customer insight awaits in the Fast Company newsletter.
[Image: Flickr user Bob Prosser]