Client News

US Government Uses Mystery Shopping to Ensure Compliance

Aug 26, 2010 by Confero Inc.

In two recent cases, the U.S. government used mystery shopping techniques to audit what individual consumers were told during one-on-one interactions. These cases highlight the consequences of giving inaccurate or incomplete information to customers. Auditing the information given to customers could have perhaps helped these companies avoid the costly consequences of wrongdoing or unintentional misrepresentation.

In the first case, school officials at 15 for-profit colleges made unsubstantiated claims about their schools in order to encourage enrollment. The Government Accountability Office (GAO) used secret shoppers to investigate the unethical practices , and now has evidence that will encourage tougher laws and enforcement for these types of institutions.

Wouldn’t it have been better if leaders at the colleges had instituted a secret shopping program proactively? They would have been able to identify situations where employees did not follow code of conduct standards, and make improvements immediately.

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Can YouTube “Haul Videos” Replace Customer Experience Research?

Aug 26, 2010 by Confero Inc.

YouTube “haul videos” are powerful , as evidenced by the recent success of the Blair and Elle Fowler video , featuring two sisters who talk about a Forever 21 watch. These videos produced over 75 million views, plus a big increase in sales for the product. The online evaluations are especially influential for the younger demographic, who receive most product recommendations via social media these days. As far reaching as these testimonials are, are they enough to communicate all that you desire about your brand?

The answer is no. While videos can direct positive attention to your merchandise and even strong recommendations to buy, the comments may not always deliver a consistent brand message. They may even convey untrue facts about the brand’s pricing or features. To ensure communication of consistent company and brand information, it’s important to use customer experience research in tandem with tools such as YouTube hauls.

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August 2010: Low Hanging Fruit: These Stats Show Opportunities to Best the Competition

Aug 26, 2010 by Confero Inc.

We continue to seek out fundamental customer services statistics that impact various industries. This study shows the rising importance of service quality for banking customers:

“The recession has obviously changed customers’ relationships with their banks. The amount of importance users give to services like free checking, low minimum balance and the proximity to ATMs all dropped slightly between 2009 and 2010. What has become more important, significantly more important? Customer service, which rose 18 points in the last year, with 22 percent of respondents rating it as important in 2010, versus only 4 percent who did so in 2009.”

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The JetBlue Example: Are Your Employees Preparing to Slide Down the Chute?

Aug 26, 2010 by Confero Inc.

By now, everyone has heard the story about the JetBlue Flight attendant who became frustrated with a passenger, expressed his anger over the public address system, and exited the plane via the emergency chute. While it’s still not clear what exactly transpired on the plane, one thing that is clear is that many took his side, despite his bizarre actions. Why did people praise his behavior? Is it that airline customers empathize with airline travel stress, since they know firsthand the stress and overcrowding of many flights?

To us, it shows the connection between the employee experience and the customer experience. We’ve found the following three things to be true:

  1. Companies that recognize, reward and respond to employee feedback have employees who are more satisfied in their jobs. But these are not enough. To keep employees satisfied in an industry that is constantly changing, ongoing communication and explanations of changes will help maintain employee satisfaction. More satisfied employees are less likely to “blow up” in difficult customer situations and are more likely to provide a positive customer experience.

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Head to Head – Customer Satisfaction Surveys vs. Mystery Shops

Aug 26, 2010 by Confero Inc.

Misconceptions about customer satisfaction surveys and mystery shopping , and their differences, exist. Would you answer the following “yes” or “no”?

Are customer satisfaction surveys a substitute for mystery shopping? No.
Mystery shopping results reveal how well your employees meet company standards in measurable areas. Customer satisfaction surveys uncover customer opinions, or the “voice of the customer”, regarding impressions of employees, products and services, and locations. Companies can use satisfaction survey data to revise mystery shopping standards as needed.

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