Posts Tagged‘customer service’

Room for Everyone?

If ever there was a huge messaging gap between a press release and the articles it generated, it was Marriott International’s announcement of its merger with Starwood Hotels & Resorts.

The PR Newswire copy started by broadcasting the company’s obvious corporate home run:

“Combined Company Will Have 1.1 Million Rooms in More Than 5,500 Hotels, Spanning the Globe in Over 100 Countries”

“Transaction Offers Substantial Economies of Scale”

“Combined Company Should Deliver Significant Capital Returns to Shareholders”

Marriott International

Marriott International to Acquire Starwood Hotels and Resorts; Will Become World’s Largest Hotel Company (PRNewsFoto/Marriott International, Inc.)

The response of one frequent Starwood customer, as captured in a New York Times article by Josh Barro, had a different tone:

“I dread to think what the merger will do to my platinum-for-life status.”

It would seem from coverage of the deal that Marriott may have forgotten who Starwood appeals to the most: higher end, frequent guests of Westin, Sheraton and W hotel chains, as well as Le Meridien and St. Regis. Starwood treats its most frequent customers to personalized service via travel ambassadors who help with booking needs and arrange for perks based on their client’s preferences.

One of several travel related mergers to be announced this year, the Marriott-Starwood deal also has some concerned about reduced competition in the marketplace. Others say the mergers are necessary to compete with outside factors like an increase in home rental sites.

Regardless of the business motives, customers don’t seem to be reacting positively to the news. Specifically those with elite status are concerned that their loyalty rewards will be devalued in the mix. Those fears may be put to rest soon, as Marriott CEO Arne Sorenson has said he will merge the two loyalty programs – no small feat given the exclusive agreements each has with credit card companies, airlines and the like.

The overarching PR lesson here may be one in basic customer service:

Direct the right message to the right audience. Marriott’s press release loudly touted staggering statistics about the combined new status as the largest hotel company – great for the business community who are watching the overall marketplace. Not so much for the frequent Starwood guest who enjoys the personalized service offered at their hotels.

Soften the blow. Knowing that there are two distinct audiences for this message, Starwood could have paired the announcement with personalized messaging to Starwood clients. Full page ads, or scripted calls from travel ambassadors would have avoided having these valued customers learn of the merger from the mainstream media.

Manage expectations. In what Sorenson has said will be “a long journey” as the two companies merge, ongoing communication with key customer groups will need to be a priority. Frequent Starwood guests are already hitting the blogosphere, drilling down to the most detailed concerns about potential lost services. Rather than feed speculation, Marriott will need to work with Starwood to keep communication channels proactively open.

Often, your message will need to achieve multiple goals with varied audience sectors. That is when our expertise can come in handy, working with you to determine the best fit for the best channels. To determine how to successfully structure your next PR campaign, give us a call at (203) 762-8833. We’re ready to help!

-BML

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Customer Service Clean Up

It’s been a rough time for Comcast. Already pinged for frequently making “Worst Company in America” lists, the cable giant has had some serious tap-dancing to do around a viral PR nightmare.

If you haven’t heard it, clear about eight minutes out of your day. Ryan Block, a product developer at AOL, and his writer wife called Comcast to cancel their service. What followed was a virtual haranguing by the Comcast customer service rep, who all but refused to help them, choosing instead to repeatedly question their decision. By about two minutes into the diatribe, it becomes clear that the rep will not budge, all but begging Block to stay with Comcast and insisting that the only way he could circumvent the call center would be to walk into a Comcast location to enact the cancelation.

I should back up and say the eight minute recording was actually preceded by ten minutes of similar foolishness. At the ten minute mark, Block and his wife were past the initial incredulity and decided to record the speakerphone conversation. That recording has since flown around the social media sphere at lightning speed, prompting a hasty apology from Comcast, assuring that quick action would be taken with regard to the employee involved and that they will be reinforcing their practice of treating customers with utmost respect.

The problem is, this isn’t the first time that Comcast has battled a negative customer service image. In articles going back to more than a year ago, the company has been called out for everything from proposing on-demand programming carry the same commercial load as regular programming, slowly tightening broadband data usage caps, and blaming a perceived high complaint level on a large customer base, essentially calling it a ratio issue.

It’s no wonder that Comcast’s apology elicited the proverbial eye roll across the board. For a company to apologize, its customers need to believe in them.

Size Doesn’t Matter

Part of Comcast’s image problem is that they are seen as a corporate behemoth whose lack of competition has put them in an unprecedented position of strength. Certainly not a favorable light, and one which should have been addressed seriously by the company’s PR team months if not years ago. No matter the size of a company, the target customer base should be lead to see them as focused on service and quality. If there is a dent in that image, it must be fixed. Quickly.

Transparency Isn’t a Choice

In discussing Comcast’s move toward tighter broadband usage caps – and subsequent increased overage fees – one article says that trials of the new model were rolled out in less competitive markets such as those in Augusta, Georgia and other parts of the south. While customers there reported being surprised at the slight increases in their bills, the bigger message was spread immediately: Comcast is squeezing customers. Rolling out a plan – especially one which doesn’t benefit the customer – doesn’t slide by based on geographical strategy; we are a world of instantly shared information, and companies need to operate within that scope.

Give Honesty, Earn Trust

When cost structures are shared openly, and concerns over near-monopolies are addressed quickly and well, companies will continue to retain customers and their trust, plain and simple. Speed, transparency, fairness and professionalism are valuable cornerstones in building customer trust and loyalty. You don’t have to understand the intricacies of the cable industry to grasp this one; just listen to Ryan Block’s recording. If you can stand it.

At Kovak-Likly, we will work with you to build a reputation your company can be proud of, and we’ll be there to keep it that way as well. To find out how we can work together, give us a call at 203.762.8833 or visit www.klcpr.com.

– BML

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