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Companies Becoming Legendary

Topics relating to managing people and relationships

PTP

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Vigilante

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Here's an example of what not to do :

Every member of my immediate family, for years, has purchased Tervis tumblers. http://www.tervis.com

There's a million companies out there that make plastic tumblers. Tervis quality has always been fantastic, and their customer service was legendary. You pay way more than you should to buy a plastic glass from them, but the quality/value/service proposition always exceeded the monetary trade. One of the coolest things they did was if you ever had a defective glass (with a lifetime warranty on their workmanship) you could bring it in to them, they would melt it down, and give you new cups. Because the product was 100% recyclable, their guarantee cost them nearly nothing, but the good will they created was legendary. It was one of the reasons my immediate family spent in excess of $600 per year amongst 4 households.

My father made his annual commute to their headquarters this year with a few cups that needed to be traded in. Typically, the way that works is you bring them back a cup or two, get a new cup or two, and drop a few hundred bucks while you are there. He went there yesterday for the legendary and fun annual ritual.

What once was legendary had him leave the store mad. With cups in hand. Likely never to return again. They changed the policy. Now, they required him to buy a box, pay for postage, and mail them in to the same location he was standing in. They couldn't explain to him why he had to pay and go to the extraordinary lengths to facilitate what they promised him they would do when he bought them. In short, in something so simple that could have been remedied on the spot, they let him leave. He left. Mad. With his cups in hand, feeling bad and vowing to not go back there again. They lost out on a huge immediate sale, and the ripple effect of his extended family following in his exiting footsteps. Over a few cups, and a changed policy.

Satisfied customers tell a few friends. Dissatisfied customers tell many more. We talk on the forum about the cost per acquisition of customers. How much did Tervis lose by walking my Dad to the door over 2 cups? How much more will they have to spend to find a half dozen customers that buy like we buy?

From their web site, they now state :

"Mail-in returns will be processed within 30 days of receipt."

30 days? http://www.tervis.com/returns

We know the process takes 30 seconds. They obviously changed the policy, and now want to make it as difficult as possible for someone to do what they used to be legendary for doing.

So, you win, Tervis. You avoided taking the cost neutral exchange from a 70 year old man. You saved yourself a few cents. You cost your company thousands of dollars, based on your inability to meet a simple request from a long term customer. You won the battle.

But... you will lose the war. Your company, that used to be legendary, can now be added to the plastic recycling heap of history.

An executive at Tervis showed in a board room how this decision might save the company x% to the bottom line. He only forgot about one thing along the way. He forgot about the customer.

And this is how you lose the vision, and along the way, lose your companies position towards becoming legendary.

Rest in peace, Tervis.

A quick follow up on the Tervis situation. Since I wrote this, Tervis (about 6 months ago) reversed their policy, and now has resumed NOT screwing their customers. Smart decision, as the previous policy likely put them into financial peril. Not everything that looks good on the white board works in implementation. You can't screw customers and stay in business.
 

Vigilante

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I bought this product

https://www.amazon.com/SmartLab-Toys-Squishy-Human-Body/dp/1932855785/ref=sr_1_1?ie=UTF8&qid=1482848719&sr=8-1&keywords=squishy body

on Amazon from Smart Labs toys and gave it to my favorite preschooler for Christmas.

She nearly immediately separated the large intestine from the small intestine in a way that @Iwokeup probably could not have put it back together.

We tried to tape it back together, but the tape was not going to hold.

We tried to superglue it back together, but the only thing that formed a permanent bond was my thumb and middle finger.

I then contacted the company to get a replacement small and large intestine. On Christmas. (That was no easy feat... try typing an email with your dominant hand's thumb and middle finger fused together)

They replied to the email within hours.

They had three choices:

1. Do nothing (which is what we expected)
2. Help me figure out how to buy one (which is what I was willing to do)
or
3. Send me one from the returns inventory of discarded squishy body parts they have in some returns warehouse somewhere

Based on the fact that they responded to my Christmas email within hours, what would you guess they decided to do?

They immediately shipped a replacement small and large intestine (that WE BROKE), ending the fountain of tears that was flowing at our place over the detached organs.

Guess what I will be buying from them in exchange?

https://smartlabtoys.com/collections/squishy/products/the-amazing-squishy-trex

https://smartlabtoys.com/collections/squishy/products/the-amazing-squishy-brain

and several other products for life.

Their $1 gesture was worth way more than $1 to us. It was restoring balance in the universe of a Christmas gift.

In exchange, they gained a customer for LIFE. Guess what? My first follow up purchase from them will FAR surpass what they sent me in a free rubber intestine.

Someone at Smart Lab Toys gets this.

That's how you become legendary.

They could have told me to get F*cked, as WE BROKE THE PART. They didn't. They decided to be legendary.

And it will pay off for them time, and time, and time again. Including this week, when I place my next order from their company.

Google Index : SmartLab Toys11120 NE 33rd Place, Suite 101 Bellevue, WA 98004 becker&mayer! LLC .becker&mayer! Books SmartLab Creative Director James Szubski Lisa Richter, Marketing & PR Coordinator https://smartlabtoys.com/ Your CSR's name is Anders Thomas and you should promote him to VP of LEGENDARY SERVICES
 
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becks22

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Off topic but those Squishy Lab toys look awesome. I know what I am getting my nephew for his birthday! Glad you Christmas worked out ^^
 
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Vigilante

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Off topic but those Squishy Lab toys look awesome. I know what I am getting my nephew for his birthday! Glad you Christmas worked out ^^

There is a video on YouTube that she had watched dozens of times before the toy arrived, so when it arrived she knew exactly what to do. Perfect toy for the developing mind.

And YOUR POST is how Legendary companies grow. See what happens? They exceed my expectations. I tell 10 people about it. You then buy one for your nephews birthday. They make MORE MONEY on your order than the $1 freebie they sent me. And their legendary service continues to propel them forward.

And yes, their product is extremely high quality. Awesome gift, and obviously highly recommended.

Your follow up post becomes the best illustration of what I was trying to get at in this thread. Legendary companies are intentional. Legendary companies get customers even when things go wrong, by exceeding "normal" and winning customer loyalty. In an era of social media, a salvaged customer experience is the cheapest brand ambassador advertising you can get.

This post/thread alone will be seen by THOUSANDS of potential customers.
 

becks22

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Exactly @Vigilante, I always buy stuff based on other people's recommendations. Becoming legendary isn't hard-- it's just going above and beyond. They could have ignored your email and they would be legendary just not for the same reason. This thread is great for anyone getting into e-commerce or other customer service heavy industries!
 

MidwestLandlord

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And YOUR POST is how Legendary companies grow. See what happens? They exceed my expectations. I tell 10 people about it. You then buy one for your nephews birthday. They make MORE MONEY on your order than the $1 freebie they sent me. And their legendary service continues to propel them forward.

I literally just bought one for my daughter's birthday coming up, entirely based off your post. If there ever was a "secret sauce" in business, this is it.

They could have told me to get F*cked

I watched my business partner tell a life long customer of mine to get F*cked just last month. He was upset over a price increase, and my partner escalated the conversation terribly.

I done hitched my wagon to someone that is completely incongruent to my values.

Good post @Vigilante , thanks!
 
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Iwokeup

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I bought this product

https://www.amazon.com/SmartLab-Toys-Squishy-Human-Body/dp/1932855785/ref=sr_1_1?ie=UTF8&qid=1482848719&sr=8-1&keywords=squishy body

on Amazon from Smart Labs toys and gave it to my favorite preschooler for Christmas.

She nearly immediately separated the large intestine from the small intestine in a way that @Iwokeup probably could not have put it back together.

We tried to tape it back together, but the tape was not going to hold.

We tried to superglue it back together, but the only thing that formed a permanent bond was my thumb and middle finger.

I then contacted the company to get a replacement small and large intestine. On Christmas. (That was no easy feat... try typing an email with your dominant hand's thumb and middle finger fused together)

They replied to the email within hours.

They had three choices:

1. Do nothing (which is what we expected)
2. Help me figure out how to buy one (which is what I was willing to do)
or
3. Send me one from the returns inventory of discarded squishy body parts they have in some returns warehouse somewhere

Based on the fact that they responded to my Christmas email within hours, what would you guess they decided to do?

They immediately shipped a replacement small and large intestine (that WE BROKE), ending the fountain of tears that was flowing at our place over the detached organs.

Guess what I will be buying from them in exchange?

https://smartlabtoys.com/collections/squishy/products/the-amazing-squishy-trex

https://smartlabtoys.com/collections/squishy/products/the-amazing-squishy-brain

and several other products for life.

Their $1 gesture was worth way more than $1 to us. It was restoring balance in the universe of a Christmas gift.

In exchange, they gained a customer for LIFE. Guess what? My first follow up purchase from them will FAR surpass what they sent me in a free rubber intestine.

Someone at Smart Lab Toys gets this.

That's how you become legendary.

They could have told me to get F*cked, as WE BROKE THE PART. They didn't. They decided to be legendary.

And it will pay off for them time, and time, and time again. Including this week, when I place my next order from their company.

Google Index : SmartLab Toys11120 NE 33rd Place, Suite 101 Bellevue, WA 98004 becker&mayer! LLC .becker&mayer! Books SmartLab Creative Director James Szubski Lisa Richter, Marketing & PR Coordinator https://smartlabtoys.com/ Your CSR's name is Anders Thomas and you should promote him to VP of LEGENDARY SERVICES
Great story, man!

And yeah, never a good thing when your small intestines are detached from the large ones. Haha.
 

Odysseus M Jones

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Not read all the thread yet, however why isn't this a gold thread?
The original post alone makes it worth it.
 
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