Adding to my December blog posting, more information is coming out about the Peppers and Rogers book "Rules to break and laws to follow". First, the official web site for the book is now online:
Second, I went to Martha's talk last week (thanks for the ticket Marcia), which might have been the first stop on the book tour. It was a great presentation: here are some of my notes.
- In her previous books, she was focused on marketing but now she sees how things like 1to1 are affecting the entire organization.
- If customers are not talking to each other, advertising is the critical factor for business success. If customers talk to each other, then customer experience is the most important factor. See Smart Marketing: Making Word-of-Mouth Work.
- 3 rules to break: Marketing and sales can always get more customers, value comes from your products and services, and the best measure of success is your current sales and profit.
- Steps to a good experience: Ask, remember and do something in return. The Goldfish principle: Dori on Nemo (no memory).
- Examples of good experiences: Mayo clinic (carpenters to install ramps, not health care but what their customers/patients need), "Wardrobe management" by men (not just selling them clothes), Going from "explosives business" to "broken rock business".
- Companies often optimize for making money (short term) but destroy value (long term). Example: a marketing campaign makes $250k but how many customers did it turn off / use up? "Guilty of committing mass marketing".
- What if Apple and Nike teamed up to count your steps? And other examples to personalized products and services. See Frost & Sullivan: 1to1 Impact Awards for more.
- Which is better investment? (a) Spend $10 per customer, make $10 profit each, 100% ROI. (b) Spend $20 per customer, make $15 profit each, 75% ROI.
- The Internet: Increases importance of trust and reputation. Google "Yours is a very bad hotel".
- Who (within the organization) has the goal of adding value to the customer?
- Trust: it is good for business.
- You can always get more capital; customers are the scarce resource.
(When looking for stuff for this blog entry, I also found Creating Customer Value: A (podcast) series with Peppers and Rogers which has many more nuggets. My favorite is in Volume 7: "A good experience is not just 1 piece of theater".)
Third, I am fortunate to now have a draft copy of the book, so I will start writing up reviews of pieces as I digest it. I am not sure yet what cadence will be best - chapter by chapter, the book all at once, themes across the whole book, etc.