Can You Relate? by mThink, January 1, 2004 Not all that long ago, we did almost all business with people face to face. Chances are, we knew them personally and had done business with them before. There was an established relationship. Now, affiliates are doing business with people around the globe, and the chance of knowing them personally is pretty remote. But no matter where or how we do business, the need for a good relationship is still critical, perhaps even more so. People are not looking only for transactions; they’re looking for relationships. They’re looking for a positive experience, something that really enhances the trust and connection between the parties. Several years ago, Jan Carlson, the former president of Scandinavian Airlines, wrote a best-selling book called Moments of Truth. Carlson’s belief was that every time someone had any dealings at all with a customer, it was a moment of truth. Whether it was a phone conversation or an actual one-on-one exchange, something happened. He knew that each time a customer had an encounter with his airline, it was going to either enhance or detract from the relationship itself, not just the value with the customer. Marketing gurus recommend we be mindful of the lifetime value of a customer to look beyond the profit from an initial sale. It’s good advice, but I would take it a step further: Be mindful of the lifetime value of a relationship, not just a customer. Relationships often go far beyond the customer. They extend to friends, family and acquaintances. How often have you done business with a company because your father, brother, friend or co-worker recommended them? And it’s not only our relationships with customers that matter, it’s also with suppliers, coworkers, stakeholders, even competitors. It’s a small world. And more and more people are checking you out before buying from you or partnering with you. Your reputation, which is largely established by how good you are at building and maintaining relationships, will determine someone’s willingness, or unwillingness, to enter into a business transaction with you. And you never know how your relationship will evolve. I’m doing business with people today with whom I formed a relationship many years ago. We’re not in the same businesses, and in many cases we’re not even in the same industries. Our roles – customer, vendor, employee, employer are reversed. We’re able to do business now in our new roles because we had and have a good relationship. In Mario Puzo’s screenplay “The Godfather,” a common expression was, “It’s not personal, it’s just business.” I think business is personal, very personal. And the more personal we can make it, the better our relationship will be and the more business we’ll do. Most business communications today are highly impersonal. When you communicate with someone, especially via email, you can get attention by making it more personal. A warm, friendly style can begin to build a rapport and a relationship that increases sales. People like to do business with people they like and trust. It’s incumbent upon us to foster an atmosphere where all parties develop relationships of trust, respect and cooperation. We need to realize that there’s really no such thing as business-to-business or business-to-consumer. It’s people-to-people that counts. Once we get that, we can start to look at ways we can improve upon those relationships. And it’s actually pretty simple: Treat people the way they – the way you – want to be treated; Keep your agreements; Do what you say you’re going to do when you say you’re going to do it; Under-promise and over-deliver; Train your staff to go out of their way to please the customer; Do it consistently; Reward your customers and your employees when they communicate exceptionally well; Tell the truth with compassion; and Never lie. Never. Ever. Show people you care. When people get that you care, you’ve got an excellent chance of building a solid relationship. Up until then, it’s just a transaction. Remember that people don’t care how much you know until they know how much you care. Our profits and our ability to compete effectively depend upon how well we cultivate and nurture all of our relationships. Being honest, playing win-win and treating people fairly aren’t just moral things to do. They are good business, now and in the future. MICHAEL ANGIER is founder and president of Success Network (at SuccessNet.org), which coaches people on personal and professional success strategies. Filed under: Revenue Tagged under: 01 - Winter 2004, affiliate marketing, Customer Experience, Features, Lifestyle, mtadmin