My latest report, "Case Study: How PURE Insurance Built A Customer-Obsessed Business," is a case study of a company using its customer-obsessed business model to stand out in the insurance industry. Since its start in 2006, PURE has grown more than 40% each year and has one of the highest Net Promoter Scores in any industry.
Entering the crowded competitive insurance industry was no easy task. PURE knew it would need to stand out. That’s why the founders decided to go with a member-owned business model (called a Reciprocal Exchange) that would help differentiate the insurer from other insurance companies owned by shareholders. For PURE, owners as members means alignment between business and customer goals. The company deepens and reinforces this commitment in several ways:
Targets a select group of customers. In addition to creating a member-owned business model, the founders of PURE also focused on a market niche with a distinct and attractive profile. The insurer targets responsible high-net-worth customers. For its homeowners insurance policies, for example, the homes of potential policyholders must have a reconstruction cost of at least $1 million. The company selected this segment because high-net-worth customers represented a favorable risk profile. This, coupled with the fact that the niche lacked significant competition, created an opportunity for PURE to offer highly competitive premiums and still be profitable.
In celebration of the season, Best Western Great Britain is sharing a new idea for a summer expedition every day on its blog. Suggestions include taking in a sheep race in Moffat (between Carlisle and Glasgow), sampling some 4,000 cheeses at the International Cheese Awards in Nantwich (the largest cheese event in the UK), and catching the first few stages of the Tour de France in Yorkshire (who knew the Tour started in Northern England?).
It’s all part of its “hotels with personality” campaign, which aims to celebrate the unique story behind each of the brand’s 276 properties in the UK. In addition to rebranding around this vision, Best Western had to improve its customer experience to live up to its brand promise. But getting support from independent hotel owners and operators to fund its ambitious customer experience strategy wasn’t easy. To win support, the brand had to:
Gradually build credibility. Instead of winning support for the entire strategy at once, Best Western tackled some easy changes first, including redesigning its website and improving its internal communications to make them consistent with the new "hotels with personality" vision. Best Western also ran a TV ad campaign featuring hotel employees highlighting the individuality of each hotel. The result was that its hotel owners and employees felt a renewed sense of pride in Best Western as a brand, not just a logo, and confidence in the customer experience strategy. It certainly didn't hurt that the TV campaign drove a year-on-year sales increase of 30% — the highest increase in Best Western Great Britain's history.
My latest report, "How Hampton Hotels Built And Sustains Its Customer-Obsessed Culture," is a case study of the hotel chain. The brand has been on a nearly 10-year journey to differentiate its hotels from competitors on the basis of exceptional guest experiences. It all started back in 2004. As part of the brand's 20th-anniversary celebration, Hampton asked its hotel owners to make about 120 product upgrades ranging from curved shower curtain rods to easy-to-use alarm clocks. Within a year, competitors had copied all of the new features.
The next year, in response to the cutthroat competition in the hotel industry, Hampton embarked on a culture transformation intended to differentiate its hotels from competitors by delivering superior guest experiences. Along the way, the team at Hampton learned important lessons about how to create and sustain a customer-obsessed culture:
Leverage executive support. The Hampton brand team began by making sure it had executive support for a culture transformation. That was smart. In previous research, I found that every successful culture transformation has had active executive support. The team at Hampton took advantage of having a strong advocate for customer focus in the form of Phil Cordell, who was the global head of focused service and Hampton brand management. He backed the transformation and created a new position, senior director of brand program development and integration, and appointed Gina Valenti to lead the transformation efforts.
Companies want customer-obsessed cultures that will help them differentiate in the age of the customer. But transforming a culture can be a challenge: It requires all employees to understand who their customers are, how customers perceive their interactions with the company, and what roles employees need to play in delivering the overall experience. Enter learning maps, which are fast becoming the centerpiece of small-group interactive training sessions at many companies.
Learning maps are large-scale visualizations that use data, graphics, and illustrations to tell a story. The maps are training tools that abstract significant amounts of information into a format that facilitates conversations and understanding for diverse groups of employees.
How are learning maps used to improve customer experience?
Learning maps are typically used in small-group interactive training sessions to help employees understand the company's customer experience strategy and their role in delivering against that strategy.
What are the common scenarios where learning maps add value?
Some of the specific use cases for deploying learning maps include:
Sharing a new customer experience strategy.
Changing a specific part of the customer experience.