May 2018 - c3centricity | c3centricity

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Companies that Cheat are Losers: How to Ensure That You Shine!

 

Why do companies still try to cheat their customers?

There have been a lot of articles recently exposing the behaviors of organisations who clearly haven’t adopted a customer first strategy. Companies who still think it’s OK to try to attract customers and entice them to purchase with less than honest promises and behaviour. 

I know that this has always been the case in some businesses; trying to convince the customer that what you have to offer is exactly what they need – even when it isn’t. However, in today’s socially connected world, it surprises me that some organisations still believe that they can “get away with it” whatever “it” might be! Perhaps they are not aware of what they are doing. Perhaps they think no-one else will notice. Whatever the reason, I thought it is time to call out such practices with some of the more common behaviours. It also makes a fun read!

 

Dishonest packaging

In many cases, packaging is the first personal contact a customer has with a brand. Whether in advertising or on shelf, based upon what they see, they will quickly decide whether or not your brand is worth investigating further. If so, they will read on, or if in store they will pick it up and read the label, perhaps comparing it to competitive brands. Why then do businesses still believe that they can pretend to be what they clearly are not? I learnt many years ago to never believe what is written on front of pack. Unfortunately, what is shown is in the majority of cases exaggerated if not completely false claims.

Here are some examples of the different tricks some play in the hope of attracting that first purchase. But which are unlikely to lead to a second one when the customer realises that they have not bought what they thought they had.

Iberia cheats their customers through hidden labelling
Source: down-to-mars-girl

 

 

 

 

This bottle of oil looks fine, at least when viewed on-shelf. However if you take the time to read the (front of!) label, you will see that it is not extra virgin olive oil, but a mix of oils.

 

 

 

 

Cheating customers through exaggerated claims
Source: FinanceHeart

As with the previous example, a quick read on shelf of this cereal box and you would believe that the contents are high in protein. Its from Natures Path too, so you would probably think that it is all natural and therefore trustworthy (well I for one trust nature at least!).

 

Look again. The protein is primarily coming from the milk you add! Remember, never believe what is printed on the front of pack!

 

 

Cheating the customer with packaging
Source: piercingpotato

 

 

The final packaging examples come from the beauty industry, where misleading packaging seems to be the norm.

 

Cheating the customer with beauty products
Source: Basilandjail

From tiny bottles packed in plastic holders and huge boxes, to bottles that contain minuscule amounts of product manufacturers seem to think it’s OK.

 

If everyone is doing it, the customer knows, right? Wrong! We may see the quantity mentioned on the box but most of us can’t assess how much that really is.

 

 

Dishonest promotions

We all love promotions and price-offs, don’t we? Well it looks like we should be paying a little more attention to the shelf edge labels judging from the below examples.

Dishonest on-shelf offer
Source: C3Centricity

I find this one on the left laughable because it is so clear!

I took the photo in a 99p store in the UK, where everything is 99p – dah!

Dishonest on-shelf discount
Source: timbersfan2015

So why bother to pretend this is a discount from the regular price of – 99p?

 

 

On the other hand, the Nike shoe “promotion” shown on the right is just plain cheating by the store.

A “NOW” price suggests that it was more expensive before. Well, it should at least in my opinion. In this case it was cheaper, by exactly one cent!

Not sure that qualifies for a “NOW” shout-out on the shelf edge label, unless you are trying to make buyers believe they’re getting a good deal.

 

Dishonest ratings

These have been in the news so much recently, especially for online. From restaurants and hotel ratings on TripAdvisor, to product and delivery stars on Amazon, we all know to pay attention to just how many people voted to get the scores.

It also is a good idea to review the top and bottom scorers for similarity of comments and believability. They could have been placed by the sellers or their competitors, so never base your purchase decision on just the overall rating; check the details.

Another area that has come under scrutiny in recent years for false ratings is the car industry. Many (most?) of them have been called out for false consumption claims and as a consequence decreasing their real pollution.

It started withVolkswagen AG admitting to engineering its diesel vehicles to cheat on emissions tests. Then Ford joined the list, with drivers in a U.S. lawsuit claiming that 500,000 Super Duty pickup trucks were rigged to beat emissions tests. And Europe is no better. German car manufacturers  have been accused of operating a 20-year “cartel” to impose a premium on consumers while stifling innovation, including pollution controls. Bloomberg had a good article explaining the topic if you want to learn more.

Dishonest products

I believe that this is rampant in the food industry in particular, although I am not sure the outlandish promises (and packaging as shown above) of the beauty industry don’t warrant a mention here too!

Cheating the customer with pizza
Source: RogerDat143

From enticing images on (front of!) pack, to the disappointing contents, we are regularly shocked by just how far from reality the product photos are. Here are a few of the funniest ones I’ve come across.

 

The first example is from the Morrisons supermarket chain in the UK. I think by triple pepperoni they meant three slices! At least that is what you get on your pizza (no sorry there are four!). What did you expect for one pound fifty?

Cheating customers with the description
Source: CorrectGrammarPls

 

 

The next one on the left is more subtle. It does say it’s solid chocolate and that’s true. It’s just that you only get half a cup, not the whole one I bet purchasers were expecting.

 

 

Cheating the customer with product
Source: arbuzer

The third food example is also from a chocolate manufacturer, who takes cheating to a whole new level.

See the photo on the right; it must have been a manufacturing nightmare to position the cranberries precisely so they are seen through the transparent section of the packaging.

Oh, I just saw, it says it is “handmade” so the six cranberries were carefully placed on the tablet!

Dishonest pricing

cheating the customer
Source: jazzcat16

 

The “promotion” for cheap parking on the right only becomes less of a bargain as you are probably driving into the carpark and see the “for 10 minutes” in tiny font at the bottom of the panel.

They will only get your business once, if at all and I bet you’d warn your friends and family not to park there.

The dishonest promotions mentioned above also qualify as dishonest pricing, but a regular practic perici ngon pricing is to use the “up to” words, usually in small font compared to the discount being offered. We come across this and the BOGO (buy one get one) that used to refer to BOGOF, (for free, a 50% discount) all the time now. so I think buyers beware is the norm.

Dishonesty online

I couldn’t finish this review of companies that cheat the customer without mentioning some of the dishonest online practices.

Cheating the customer with hidden charges
Source: fanzipantz

These include offering something for free and then charging “only for shipping and handling” which is usually more than the item is worth!

 

And asking to provide credit credit card details at the time of a free trial in the hope that people will forget to cancel before their trial runs out.

Cheating the customer by advertising in lists
Source: C3Centricity

 

 

 

 

 

Another habit that is becoming prevalent, even on Google, is the blurring between search results or newsletter topics, and advertising.

The example on the right comes from an email I received this morning from StumbleUpon. I have been such a fan of theirs for years, as they have always suggested interesting articles I might not have otherwise found.

This new attempt of theirs to “hide” advertising amongst their list of suggestions irritated me immensely, because they made it an integral part of the list.

At least Google add lines, albeit very light grey ones, in their search results.

 

 

 

Cheating the customer through button colour
Source: tiltdiens

 

 

One more example of cheating online is the usage of the colour green to entice surfers to click a button, when it is not the option they would have chosen if they had bothered to read the text (which we don’t do any more, we just skim read).

 

 

 

 

 

Cheating the customer through false images
Source: Mail Online

 

Cheating the customer with rip-off copies
Source: Mail online

 

 

Finally, and probably the most rampant of all, are the online clothing scandals. Many articles have been written which compare the article ordered and the rip-off Asian copy received. Here is just one example, but you can see many more at MailOnline.

Definitely worth a laugh, but I do feel sorry for the girls, although as they posted their photos on Facbook, I  think they saw the funny side too.

Definitley not the way to build loyal customers, but perhaps in China the population is so huge they believe that they can keep this going a few years until they can improve their copies!

 

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The solution(s)

None of the above examples would happen if organisations adopted the use of my “Magic” question. What is it? It is simply to ask yourself every time you take a decision:

“What would our customers think of the decision we’ve just taken?”

If the answer is that they wouldn't like it, then the decision needs to be reconsidered.

I hear some people (Jeanne Bliss's new book for example) asking "would be mother, sister, girlfriend like it?" If you prefer that way of thinking, fine by me - just as long as you reconsider your decisions in light of these questions. If you wouldn't do it to your friends and family, why do it to your customers? They are members of someone else's family after all.

What's the solution to cheating companies? Just be more honest and ask the magic question #CEX #Customer #CRM Click To Tweet

 

The other solution, of course, is just to be more honest.

So to end on a (relative) high, here are a few examples of businesses who "tell it like it is."

Source: Velocitypartners
Source: Avis

One company who has benefited from telling the truth - and there aren't that many! - is Avis.

Their "We try harder" campaign launched in 1962, turned into a strategy for the whole business – and took Avis from an 18% market share to 34% in a very short time.

More than fifty years on, it’s still their slogan. (That in itself is amazing: how many brand ideas last fifty years?)

 

Hyposwiss is not cheating the customer
Source: Velocity

 

 

 

 

 

Another example of an honest company, is, perhaps surprisingly, from a Swiss financial institution Hyposwiss. In their "honest campaign" they take a refreshing view of money - yours in particular.

 

 

 

 

I hope you enjoyed this post, but also got some useful "ah-ha" moments when you realised one of your brands did, or is doing something similar. In today's digital age there is no longer the opportunity for companies that cheat to not to be discovered and called out on social media. If not today, then tomorrow. Be warned!

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Never, Never, Never Give Up: How to Succeed When All Around You are Failing

 

I heard a famous quote this morning from Winston Churchill’s address to Harrow School in the UK in 1941. It was certainly one of his shortest speeches but probably also his most quoted. He said:

“Never give in, never, never, never, never”

You can read his full speech – which is not a lot longer! – here.

Hearing this quote got me thinking about failure. Failure in our lives, our businesses, our jobs, our relationships. How often do we fail merely because we give up too quickly?

Now whereas I don’t feel qualified to advise you on your private life, I do feel sufficiently knowledgeable to speak about business.

Last week I mentioned the 7 reasons most companies fail to adopt a customer first strategy. They were the conclusion to a post on what a customer first strategy is, and what it isn’t. If you missed it, then click the link above to read the full article.

Over the many years of blog posting, I have written many other posts on many different topics, and which include my solutions to failing in countless areas of marketing. I therefore thought it would be useful to share four of the most important ones here in a single post. Let me know what you think.

 

How you React to Failure could Make You a Success

Failure's only a failure when you don't learn from it
Source: Microsoft

For this first summary of a post, I’d like to share not a list of solutions but a selection of inspiring quotes on reacting to failure. I think it sets the stage beautifully for the other articles to come.

In the full post (which you can read by clicking the above link) you can also find suggested actions for each of them. They will make you realise that there is great opportunity in every failure! So don’t be afraid to fail. Just never give up!

1. “It’s fine to celebrate success but it is more important to heed the lessons of failure” Bill Gates, American Businessman

2. “Failure is not fatal, but failure to change might be” John Wooden, American Coach

3. “By failing to prepare, you are preparing to fail” Benjamin Franklin, American Politician

4. “Failure is simply the opportunity to begin again, this time more intelligently” Henry Ford, American Businessman

4. “Failure is simply the opportunity to begin again, this time more intelligently” Henry Ford, American Businessman #Quote #Success #Failure Click To Tweet

5. “The difference between average people and achieving people is their perception of and response to failure” John C. Maxwell, American Clergyman

6. “Failure doesn’t mean you are a failure it just means you haven’t succeeded yet” Robert H. Schuller, American Clergyman

7. “Enjoy failure and learn from it. You can never learn from success” Sir James Dyson, British Designer

8. “Fear of failure must never be a reason not to try something” Frederick W. Smith, American Businessman

9. “The greatest glory in living lies not in never falling, but in rising every time we fall” Nelson Mandela, South African Statesman

10. “Failure seldom stops you. What stops you is the fear of failure” Jack Lemmon, American Actor

They say that pride comes before a fall; I say success follows failure! I wish you much success in failing fast, learning faster, so you can enjoy more success!

 

How to Innovate Successfully (What You’re Still Getting Wrong!)

This post mentions the ten reasons innovation fails and then shares ideas on finding a solution to each of them. That is what I share below.

The virtuous proces of innovation

#1 The process: Introduce some creativity into the process. Use a virtuous circle (as shown above) rather than the usual linear or funnel approach.  All innovation processes should start with a deep understanding of the potential customer segment and then insight development.

#2 Meeting company quotas: Instead of company quotas on the number or proportion of new product launches, a better target is a percentage of sales. This should eliminate all but the very best ideas, which are expected to increase sales rather than merely replace current products.

#3 Lack of customer understanding: The best way to innovate successfully is to start by looking at the target customer’s lifestyle and seeing how you can make it easier and more enjoyable for them. Watching and listening to your customers with an open mind, rather than with a hypothesis in your head, will enable you to identify pain points the customer may even be unaware of.

#4 Lack of category understanding: Never assume you are competing in a certain category until you have identified how your customers are choosing and what they are currently using. You might be surprised to learn that your competitors are not those you thought they were!

#5 Not living up to your promises: In today’s connected world, false or exaggerated promises are quickly identified and shared on social media. Nothing is every hidden for long these days, so if you make a mistake, admit it, own it, correct it and move on. It will be forgotten or forgiven quicker than if it becomes a scandal.

#6 Not being sufficiently differentiated: With such an abundance of information available to everyone, comparisons are easy to make.  Solution based offers will always be able to charge more than product based ones. It’s up to you to decide which you want to be.

#7 Being too different: Identifying a sub-category of users with a precise need and then meeting that need better than anyone else is the more successful way to differentiate.

#8 Pricing yourself out of the market: Understanding how much potential customers value your offer is essential to the success of any product or service.

#9 Inappropriate distribution: Appropriate distribution doesn’t mean being in stock everywhere at the lowest price. But it does mean being in the retail outlets that your target customers visit more often.

#10 Being too far ahead of the customer:  If you can’t afford to wait for your customers to catch up with your new product or service idea, then you should certainly reconsider your launch decision. Keep the concept in your “back drawer” until customers are ready. You will then be the first to respond to these new needs and beat the competition to market with the correct solution.

The full article goes into more detail on each of these solutions of course. So if any of them resonate with you, it is worth checking out the full post.

You must innovate to stay in the game, but that doesn’t mean launching anything just to meet the company’s innovation targets. Launch bigger, bolder and better, as one of my bosses used to say. And never give up!

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What Great Leaders Know and You Probably Don't

What great leaders knowThis post summarises my easily applied learnings that will make your leadership style more efficient and effective, no matter the industry in which you work.

1. We should never stop learning. As we age and rise in the corporate world, we seem to forget that we don’t know it all! We even think that we should have all the answers, or worse still, think that we do!

2. We should accept help. Some people find it hard to ask for help or even to accept it when it is offered. This is foolish, since we cannot be an expert in every area of business. In fact if we lead a team, whether just a few people or many thousands, we should be good at managing people first. 

If we lead a team, whether just a few people or many thousands, we should be good at managing people first. #Team #Leadership Click To Tweet

3. Practice really does make perfect. It’s not only perfectionists that think they’re never good enough. We should always strive to be the best we can be. We should never compare ourselves to others, only to our previous selves. 

We should never compare ourselves to others, only to our previous selves. #Learnings #Self-respect Click To Tweet

4. That final check is worth itWhen I was learning to fly, my instructor never stopped reminding me that the pre-flight checks were vital to do thoroughly. He reminded me that once you’re in the air, it’s too late! The same goes for meetings, events and conferences once they’ve started. Make and use checklists, like pilots do, and complete that final check thoroughly and completely.

5. Accept defeat and mistakes. We all make mistakes sometimes and get defeated occasionally. We’re human after all. However, those mistakes and defeats are great teachers. If we learn and grow from them, then the pain involved should be short-lived, as we move on to bigger and better things.

6. Honesty is always the best policy. Somehow honesty is rarely discussed these days and yet we all know that trust is one of the main reasons people do business with companies. Trust built over the long term will enable companies to be forgiven for any occasional mishap that may occur.

Trust built over the long term will enable companies to be forgiven for any occasional mishap that may occur. #Trust #Failure #Mistakes Click To Tweet

7. Business isn’t only about millenials. Everyone is speaking about the Millenials these days. While Millenials may be trendy, there are other groups which are arguably just as important to consider for a successful business. For example, there are now more Baby Boomers that Millenials in the US!

Great leaders are aware of these seven points, are you? If not, then read the full article for further details. Leaders don't know it all but they do know how to learn from failure. Never give up on your plans, just adapt them when needed.

 

How the Best Marketers are getting Deeper Insights

Observe and listen for deeper insightsBe honest! Everyone struggles to develop true insights about their customers. Most times we accept summary information or facts about the marketplace and call them insights. But we alll know that insight development is difficult. So hard to get to that "aha" moment when what we have said about our customers is so obvious we can't understand how we - or anyone else for that matter - never realised it before.

If you are struggling to develop insights that truly resonate with your consumers or customers, I suggest you follow these 8 tips.

#1. Turn business objectives into customer-centric ones. Identify what you want to change in terms of your customers’ behaviour or attitudes. This way you will be thinking about your customers’ objectives rather than (just) your own.

#2. Insight generation should start with customer connections. When was the last time you personally spoke with your customers? If it wasn’t in the last week, you’re not getting out enough!

Insight generation should start with customer connections #Insights #MRX Click To Tweet

#3. Have regular contact with all other departments. It is impossible to really understand the business if your contact with other groups is limited to meetings and presentations. Make a habit of taking a coffee or lunch with people from other spheres of the company and share your latest ideas and learnings. You will both discover a lot!

#4. Get MRI (Market Research & Insight) to share their nuggets of information regularly. Market research and insight teams learn new things about the business every day, so why not ask them to share more? Don't wait for a formal presentation of the results of the latest piece of research. Get them to share findings and analyses with you on a regular, (at least) monthly basis.

#5. Get into the habit of speaking with consumers at every chance you can. Suggest to join in when research projects are being run. Listen in to call centre conversations, speak to demonstrators and merchandisers, or even talk to shoppers at retail.

#6. Ask MRI to analyse more than market research information alone. They are the best synthesisers you have and can manage multiple data sets from all available sources. Ask them to integrate more information and you will both be happier.

#7. Remember that insight development takes energy and time. It usually takes days, if not weeks or even months to refine, group and synthesise information down to an actionable insight

#8. Insight development should involve more than the insight team, which is why it is important for them to build relationships with other departments.

Following these 8 ideas will make your business one of the most successful in insight development. How would that feel? Read the full article HERE. Insight development may be difficult, but it's not impossible. Never give up!

And if you want to improve even faster in any areas of learning from failure, you can invite us to give a 1-Day training that will catalyse your team in record time. Download the summary brochure of all our current training courses HERE.

These are some ideas and processes for avoiding failure or even more importantly, learning (a lot) from them. Whether it is in business management, innovation or customer understanding, you can learn from the best, so you don't have to make the same mistakes. I hope you appreciate it!

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