Then I fast forward to the present day where service seems less personal to say the least. I have to wade through automated messages on the phone to get service, or working with vendors I often find myself talking to a different rep each time I contact them. With the advancements in technology much of the time I don’t even talk to companies I deal with instead I fill out an online form (this is great for convenience but it loses a little personal touch).

For those of you who don’t know me my role here at Premier is “Ecommerce Manager” yes that means running the website where you fill in a form and get your order instead of talking to a real person. You might ask why I am bringing this up when it seems like I should be pointing out all the great things about technology.

Well… here it goes I recently read a blog post by Tom Martin called “Hello. Customer Service Calling.” In which he described an excellent customer service experience he had with his phone company (Vonage) I’d recommend reading his post for the full story but here are the highlights:

• He was having issues with his phone service, so he looked up Vonage on Twitter and asked them for help.
• The issue needed more assistance then could be provided on Twitter so they asked him when would be appropriate for their customer service rep to call him.
• They call at the scheduled time, he had forgotten about an appointment and asked to reschedule, and they said no problem.
• They called the morning of the next appointment to confirm that it was still a good time. He said it was.
• Then they called when scheduled and solved his problem.
• They followed up with an assigned rep and a direct extension to reach them so there would be no listening to automated messages and guessing which option he needed if the problem arose again.

I find this story amazing because the fact of the matter is business hasn’t changed people still care about personal service. What has changed is that we now have to figure out how to use technology to provide that good old-fashioned service.

The nice thing about this is that for a small company a similar program could be instituted with a free Twitter account and a scheduling program such as Google calendar (also free).

I say kudos to Vonage for using technology to provide great service. I’d also like to hear how your small business is embracing technology in ways that better serve your customers. Leave a comment and let us know.

Photo Credit: Ava Lowery

Photo Courtesy of Little Granolas

The other day I had an encounter with a local business owner that completely delighted me. I thought it was worth a post because it is a great illustration of how the simplest acts of customer service can be incredibly meaningful. So sit back and enjoy the story.

This past week my wife and I went to the Irondequoit farmers market. We were looking for a few plants to add to the garden, when we came across the booth of Little Granolas they sell natural products for babies such as cloth diapers, etc. We have a son who is not quite two, so this type of booth is of particular interest to us. We stopped by and poked around a bit asking a few questions about products we didn’t recognize, and bought a few things we couldn’t live without. On the way out I noticed that she carried the diaper sprayer that we use. For those of you unfamiliar with diaper sprayers they are small attachments that hook on your toilet and allow you to hose down cloth diapers before you throw them in the wash. We had lost one of the screws on ours that attaches the sprayer holder to the toilet, this screw has to be of a particular length if its too short it won’t stay attached and if its too long it interferes with the attachment altogether. As ridiculous as it may sound I have been looking for a screw of the perfect length for months so I could finally repair our holder. I asked in passing if she carried replacement parts or knew if they were even available. She didn’t know but asked if I had tried contacting the manufacturer. Oddly enough I had scoured every hardware store in county but it had never occurred to me to ask the manufacturer. When I responded that I hadn’t she said I have your contact information I’ll give my rep a call and see if I can track one down for you.

That’s it. She made one very happy customer by offering to make a simple call. It will probably take her less then 5 minutes to get that information for me. But it solved a problem I have had for a few months. Amazing.

The moral of the story is going the extra mile to make customers happy is not always a huge undertaking sometimes the proverbial mile is only a few inches. Spending a minute or two listening and a few minutes to see if you can offer a solution is a surefire way to make customers happy.

If you have suggestions for easy ways to delight your customers I love to hear about them.

Resourcefulness

Everyone is flush with customers during high volume seasons like Christmas, Valentines Day, or Memorial Day weekend. Demonstrating creativity during off periods is when the champions shine. Successful owners rely on milestone events like graduations, job-promotions, and housewarmings to boost sales during slow periods.

Confidence

Heavy doses of self-assurance are required in the first years of business, before your investment begins to earn a profit. It’s also a quality that will see you through lean seasons, and shrug off the doubters who suggest closing up shop.

Trend Spotter

The tastes of shoppers are fickle. A unique gift like copper mermaids may sell well one season, but flop the next. Keeping your inventory up-to-date with local flavors requires hours of staring intently into a computer monitor, and scouring national and local trade shows to find the next must have item.

Curiosity

Having a natural inclination to always be learning will help you go far in the gift shop business. Every product has a back-story that needs to be told. Every customer that walks into your shop is a person with a unique set of needs. An inquisitive mind, who asks people thoughtful questions, will make the cash register ring up a melody.

Humility

Gift shop owners multi-task like champs. But the best recognize their limits. When it makes financial sense, bring in outside experts to help with your weak areas, whether that is bookkeeping, web designing, etc. At the very least, have a network of advisors who you can rely on in a pinch.

Dedication

Pulling 70-hour weeks, and keeping the shop open 7 days a week, especially as the sole owner/employee, requires super human tenacity. Running a gift shop isn’t a hobby, it’s an obsession.

If you run a gift shop, what traits do you think contributed to your success?

Photo credit timparkinson

How Can You Celebrate Independent Retailers Week?

1) Contact your local chamber of commerce or merchants association. These organizations have the clout to organize and promote the event to the general public.

2) Notify your local newspaper and other media. Let them know about the benefits to the local economy when people shop with independent businesses.

3) Spread the word to other local business owners. Pool together your resources, and encourage customers to tell others about this event.

4) Offer a new daily promotion to customers within a different city zip code. If your business is located in a rural setting, offer a new daily promotion to people within different townships.

Are there any Independent week celebrations going on where you live? Let us know!

After letting the clerk know the occasion, she suggested a slightly aged bottle of Bordeaux, which I happily accepted. At the counter, things got interesting. When I took out my plastic, the clerk let me know they no longer accept credit cards. A bit bewildered, I asked why. She explained that while they know it’s an inconvenience to require payment in cash, their narrow margins couldn’t support the fees imposed by the credit card companies. Fortunately, I had enough cash on-hand to pay, but this incident peaked my curiosity enough to investigate further.

The Skinny on Interchange Fee’s

An interchange fee is the percentage of the purchase that credit card companies charge merchants to accept their cards.

Virtually every merchant passes these hidden costs along to the customer. In the last year alone, these fees cost the average American household $427, regardless of whether they paid in credit, debit or cash.

What’s more, these charges have been steadily rising, accounting on average for 2% the value of every sale. While that might not seem like much, it adds up, having netted the credit card industry $48 billion in 2008.

Recently, the government passed the Credit Card Accountability, Responsibility and Disclosure Act, which is supposed to reign in excessive fees and arbitrary rate increases for cardholders. While it’s an improvement, it shied away from directly addressing interchange fees. Instead, the bill designated a commission to determine the impact these fees have on businesses and consumers.

Major Issues Retailers Have With Interchange Fees

• A lack of transparency in how fees are calculated. For instance, these fees range from 1- 2%, with the rate varying due to many complicated factors. Factors that influence the fee: 1) If the person uses credit or debit; 2) If credit, whether the card offers rewards or not; 3) The merchant’s volume of transactions; 4) The type of merchant, whether gas, grocery, restaurant, or ecommerce.
• Retailers are unable to provide incentives to customers who pay with cash or debit. Although a law allows merchants to provide cash back incentives to customers who pay with cash, the credit card companies make it difficult for merchants to do so.
• Lastly, merchants cannot collectively bargain to have the fee lowered. To date, the only retailer with enough clout to lower their rate has been Wal-Mart.

The Positive Effects of Interchange Fees

• These charges are used to fund credit card rewards programs.
• The benefit to retailers who accept credit cards may outweigh the cost of interchange fees. For instance, customers are likely to spend more when using a credit card than paying with cash.

What Are Your Thoughts?

Do you think interchange fees hurt your business? Would you lower your prices if credit card companies reduced their interchange fees? What do you think needs to be changed with interchange fees?

Photo credit szlea

Tagged: interchange fee