Is the Customer Always Right? (Cover Story).

Among the most popular buzz phrases in today's business lexicon is "customer relationship management." Implied in the phrase is the understanding that any successful organization is focused on the customer, that customer service is the responsibility of everyone in the organization, and that interaction with customers must be expertly managed in order to meet, if not exceed, their expectations.

Business Trends recently talked with a cross-section of Chamber members to find out how they were customizing their customer service programs. From a sole proprietor consultant to a several-person travel agency all the way up to an international hotel chain, there's one thing upon which everyone agrees: the customer is the ultimate judge of whether the level of service is what it should be.

From Valencia, consultant Jodi Walker travels the country speaking to companies and associations about how customer service can make or break an organization. As president of her own company, Success Alliances, Walker cites Nordstrom and Southwest Airlines as examples of companies that do a great job of managing the total customer experience.

Customer Service -- Everyone's Job

"It's important for supervisors to set the customer service standard for line employees," advises Walker. "Every person in an organization is in some sort of service role. They need to know what is expected of them, how they can and must make customers feel special, and how what they do brings value to the organization."

Walker says developing customer service skills should be part of the every-day conversation in business. That includes taking time to monitor what's going right--not just wrong--in the company, figuring out how to maximize those results and patting people on the back when they deliver exceptional service.

In El Monte, Beta Travel president Edward Shao knows all too well that you cannot treat all customers the same, especially when your business is comprised of culturally diverse clientele. His business is 30% U.S. travelers and 70% Asian travelers.

Know Thy Customer

With 10 employees and 10 years' experience, Shao attributes his success to always thinking from the customers' point of view.

Shao says his American business customers traveling to Asia want convenience, efficiency, a competitive price, and an "authentic experience" thrown in for extra measure.

"American travelers make decisions more spontaneously and operate on tight time schedules, completing the trip within a week to ten days," Shao explains. "They want to concentrate on business in Beijing and, if time permits, take a side trip to Shanghai. And they'd like to come home saying they enjoyed regional Beijing duck that far surpasses the Peiking duck they get at home."

In contrast, most Chinese travelers to the U.S make their plans two to three months in advance, says Shao, and they stay on average from two weeks to two months. And because they have limited English proficiency, they often require bilingual translators.

Unlike their American counterparts, they want Shao to put together travel packages that include air travel, ground transportation, hotels and meals.

Acknowledging that the two different mindsets require totally different kinds of responses, Shao says one ingredient is always the same: high quality service. "You need to constantly think from their point of view, know what they want and why it's important to them."

Managing Expectations

On the west side of town in Beverly Hills is the headquarters for Hilton Hotels which, in addition to Hilton brand properties, offers lodging at their Homewood Suites, Embassy Suites, Doubletree Hotels, Hilton Garden inns and Hampton Inns. So the question is, with all these different brands and classes of property, how do you possibly manage customer expectations?

Jim Hartigan, Hilton's senior vice president for quality assurance/guest assistance, explains that a customer has an expectation level based upon the brand he or she buys: "While there are core deliverables expected across all brands--a clean, comfortable room; friendly, efficient service; and a room that operates as it is designed to do--the customer has expectations about additional amenities like a business center, health club and fine dining that are based upon price points."

Hartigan says at the core of Hilton's customer service program is human interaction. He emphasizes that the check-in experience is critical. Much of the pre-arrival, arrival and departure process is now handled largely by phone or online, so check-in may be one of the few times the employee is face-to-face with the guest.

About half of Hilton's guests who have a complaint will report the situation unsolicited, notes Hartigan. As always, he confirms, tops in terms of importance to guests: cleanliness.

So, is the customer always right? Well, maybe not always. But our experts agree that there are several things companies can and should do that will prevent questions from even being raised about customer service. First, train employees in customer relationship skills, from the top down to the bottom up. Second, know your customer. Third, manage expectations; let customers know what to expect and deliver on it. These are the simplest ways to keep customers satisfied.