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Customer Before Company
Revolutionizing Your Business the Nordstrom Way

Maura Neill, CRS, ABR, CDPE, e-PRO, REALTOR®
about.me/mauraneill



                                               @MauraNeill
On Twitter?
Tweet along…

    @MauraNeill

         @CRSConnect

               #SAB13



                        @MauraNeill
Customer Before Company

WHAT IT MEANS


                          @MauraNeill
“The only thing we have going for us is the way we
           take care of our customers.”
                                 ~ John Nordstrom,
                            on what sets Nordstrom
                        apart from the competition
Nordstrom Employee Handbook
5” by 8” card that reads:
               WELCOME TO NORDSTROM
             We’re glad to have you with
                     our Company.
           Our number one goal is to provide
             outstanding customer service.
              Set both your personal and
                professional goals high.
                Rule #1: Use your good
               judgment in all situations.
            There will be no additional rules.
Nordstrom Employees: In Their Words
   “If it’s not nailed down, I’ll find it for a customer. I
    don’t make commission on [everything], but it’s
    part of the service I provide.”
   “I’m a customer-oriented service person. You’re
    looking for something, and I’m determined I’m
    going to find it.”
   “Never judge a book by its cover. If you treat
    the kid who is buying a $19.95 belt the same as
    a businessman buying a $1,995 Oxford suit, you
    will be successful. That kid might become a
    customer for life.”
Consider This:

WHEN YOU’RE THE CUSTOMER


                      @MauraNeill
Flying the Friendly Skies?
   My flight to Sell-a-Bration:
   Flight attendant #1: “I don’t know. Why don’t you check
   the back of the plane?”
   Flight attendant #2: “Come with me. I think I have a
   place for your bag up in first class.”

   “My goal is to
   make you happy.”



Photo credit: “Lady with Luggage” by digitalart on freedigitalphotos.net
Would you like being your own client?
Be Your Own Client
   What would be important to you if you were on
    the other side of the client relationship?
   When is attention to your personal
    needs/personality most important to you?
   What expectations would you have at every
    step in the process?
   Do you fulfill those items for your own clients,
    every transaction, every time?
ACTION ITEM
Think back over your last closed transaction:
What would you say about yourself, if you were the
client giving feedback or writing a testimonial.
Be honest – what would you say?
Based on the experience you gave that client…
would you refer YOU?
HEROICS


          @MauraNeill
Nordstrom: Heroics
              Weekly V.I.P. Club and Employee of the Month –
               recognizes sales AND going above and beyond
              Examples:
                 warming up a customer’s car in winter
                 taking an order over the phone and bringing
                  merchandise to the curb when customer arrives
                 driving a customer’s airline tickets to them at the
                  airport when they left them behind at the store
              Employees encouraged to “report” the heroics
               of others – circulated in a weekly printed heroics
               list
Photo credit: “Rubber Stamp with VIP Word” by Stuart Miles on freedigitalphotos.net
Leigh Brown, CRS
“I took an IOU on a commission on a
house last year to keep the deal
together and to keep my client from
having to short sell. Strikingly enough,
she paid me 11 months later. The other agent
was flabbergasted.”
Dawn Thomas, CRS
“Last month, one of our buyers
brought in their own lender.
Needless to say, a pretty straight-
forward transaction on a jumbo loan went
sideways and several delays, to the point the
husband had to cancel his trip to Europe even
though his wife was going to spend Christmas with
family. I hate the idea of anyone being alone
during the holidays, so I invited him to our house for
a crab feast on Christmas Eve and movies the next
day.”
Shannon Williams King
“We flew a client from Australia on
our dime prior to closing to make
sure she liked the home - and was in
person to sign her closing docs.”

Note: this price point was $400,000.
Sasha Farmer, CRS
“For the past 4 years I have kept a “sunshine
fund” – at the end of each month I take
1% of my commission checks and put them
into a separate small checking account.
Inevitably, one of my clients will call a month or two after
closing asking for a recommendation for a plumber
because they have a sink leaking, or an electrician
because they've blown a fuse, or HVAC because suddenly
the AC isn't kicking in, or something unexpected has
popped up. I have that extra little cushion of account that I
can use at my discretion to offer some towards helping.”
Nobu Hata
“I drove five hours for four signatures
on a $125K relo deal for the nicest
couple in the world. Incidentally,
that same couple sent me a $15million
commercial buyer.”

Note: Nobu had to give away that $15million
commercial buyer – referral fee-free – because he had
already taken his new position at NAR.
Julie Beall, CRS
“The house of a client burned
down. They had just moved. They
called me from the emergency room.
They were new in town and knew no one. They only
knew their REALTOR®. I offered them a place to stay.
They lived with us for four months. I remember
laying in bed the first night they were there thinking
what the hell had I done to myself and my family.
These people are now special friends in our lives.”
Jeremy Hart, Future CRS
   “Next time I'm feeling like real
    estate is full of arrogant a**holes,
    I'm coming back to read this post
    again. Full of awesome stuff.”
SMALL GESTURES


                 @MauraNeill
Some Examples of Small Gestures
   Creating playlists that match your clients’ music
    preferences for a day of househunting in the car
   Research restaurants that fit an out-of-town
    client’s favorites while in town (especially for
    clients with special dietary needs!)
   Make your closing gifts personal, instead of
    “one-size-fits-all”
   Creating video previews of homes at the top of
    your out-of-town clients’ lists – OR – visiting a
    property to FaceTime with a client on their
    lunchbreak
Some Examples of Small Gestures
   Creating a private Facebook group for each
    transaction to share updates/reminders with that
    client
   “Giving away the milk for free” – giving
    consumers the information they want to build
    trust and credibility
   Being flexible
ACTION ITEMS
   Make a list of things you already do that truly set
    you apart from other agents in your market
   What are three things you can add to your list to
    make each client’s experience with you
    exemplary?
   What questions can you ask in your buyer and
    seller initial consultations to glean more
    information to help you personalize your
    service?
CREATING THE EXPERIENCE


                          @MauraNeill
The Nordstrom Experience
   Carefully choreographed customer experience
   Ease of navigation
   Improved comfort and familiarity
   One-stop shopping
   Local feeling

In short:
 They listened to the customer.
The “We” Experience
  “The more information I have…the better I can
   serve the customer…This isn’t just my deal. It’s
   not an “I” experience; it’s a “we” experience.
~ Patrick McCarthy – top Nordstrom sales associate,
                                15 consecutive years
Buyer/Seller Questionnaires
ACTION ITEM: Create the Experience
Beyond your market knowledge and your real
estate experience, the client experience is your
value proposition.
Outline your client experience, from beginning to
end, for every type of client.
Design the experience to match your personality –
and the type of client you serve.
Create buyer and seller questionnaires online –
have them filled out before your appointment
Client-centric

GOAL SETTING


                 @MauraNeill
What Do Your Goals Look Like?
What does your business plan measure?
Transactions
Volume
Commissions
Listings taken/listings sold

Where is the client here?
Incorporate Client-centric Goals
   Happily Closed Clients
   Incoming Testimonials
   Referrals from Past Clients

*Doesn’t have to be warm & fuzzy, but focusing on
   these things can help you stay focused more on
   your clients and less on yourself.
Commission

EARNING YOUR WORTH


                     @MauraNeill
Proving the Difference
       Nordstrom considers its culture to be the key
        element that separates them from the
        competition:
        Employee autonomy
        Customer first mentality
        Lack of rules limiting employees’ ability to serve
       Salespeople take a true interest in the customer
       Money-back guarantee/return policy – truly sets
        them apart
You vs. Them
       What’s your value proposition? Do you even
        know?
       What’s your “money-back guarantee”?
        Easy-exit listing agreement
        Easy-exit buyer brokerage agreement
        How else do you offer a guarantee?
ACTION ITEMS
       Write down what sets you apart from others. Be
        specific.
       On which items do you focus when meeting with
        buyers? Sellers?
       How do you communicate those items that set
        you apart so that the potential client becomes a
        client?
        In the initial Buyer Consultation?
        In the Listing Appointment?
        Throughout the process?
Taking a Page From the

HOSPITALITY INDUSTRY


                         @MauraNeill
Hospitality vs. Service
“Service is the technical delivery of a product.
Hospitality is how the delivery of that product makes
its recipient feel. Service is a monologue – we
decide how we want to do things and set our own
standards for service. Hospitality, on the other hand,
is a dialogue. [It] requires thoughtful listening to the
other person, and follow-up with a thoughtful,
gracious, appropriate response. It takes both great
service and great hospitality to rise to the top.”
                         ~ Danny Meyer, restaurantuer
Turning Over the Rocks
   Think like a fly fisherman
   Look for the story behind the story
   Collect the dots

   Give your clients a feeling of “shared
    ownership”
What     Do   You             Know        About
Your Clients?
Raziel Ungar, CRS
Create space in your CRM -OR- a
spreadsheet where you can file
information/jot notes about your clients
Where can you find information/details?
      Facebook
      Your questionnaires
      Your notes
Notes, articles of interest, birthday/anniversary
cards, phone calls, conversation starters
Keeping Client Records
       Expand your database – vertically not
        horizontally
        Add details about your current/past clients instead of
         cold leads
        Depth and details instead of volume
       Take notes – after meetings, during phone calls,
        as you think of them
       Facebook Graph Search
Facebook Graph Search
INSPIRING LOYALTY


                    @MauraNeill
Follow-Through
       Thank You Note: “Even if it’s the tenth time I’ve
        waited on that customer, I don’t thank him for
        his business; I thank him for his loyalty.”
         Nordstrom provides its employees with free thank you
          notes – plus address labels, postage, etc. – and
          encourages them to use them daily!
       Follow-Up Call: “Ninety percent of the time,
        they’re so stunned that you called, they
        remember you.”
NAR’s 2012 Profile Said…
   87% of clients were satisfied with their REALTOR®
    and would refer them again


                         BUT

   Only 10% did. Why?
WHY IT ALL MATTERS


                     @MauraNeill
Why Does It Matter? People.
   We’re in the business of helping people

   The “depressed market” didn’t weed out the
    bad agents, it just forced them into hibernation

   It’s about more than just commissions
Final Thought:



    “If We Sell You Well, Tell Others.
             If Not, Tell Us.”
Recommended Reading


The Nordstrom Way
The Inside Story of America’s
#1 Customer Service
Company

By Robert Spector and Patrick D.
McCarthy
Recommended Reading

Setting the Table
The Transforming Power of
Hospitality in Business

By Danny Meyer
Find This Presentation Online




                     www.mauraneill.com/nordstrom-sab
Photo credit: “Computer mouse, mousepad, hand” by Si1veryon Flickr.com
Connect With Me




        about.me/MauraNeill

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Customer Before Company: Revolutionizing Your Business The Nordstrom Way

  • 1.
  • 2. Customer Before Company Revolutionizing Your Business the Nordstrom Way Maura Neill, CRS, ABR, CDPE, e-PRO, REALTOR® about.me/mauraneill @MauraNeill
  • 3. On Twitter? Tweet along… @MauraNeill @CRSConnect #SAB13 @MauraNeill
  • 4. Customer Before Company WHAT IT MEANS @MauraNeill
  • 5. “The only thing we have going for us is the way we take care of our customers.” ~ John Nordstrom, on what sets Nordstrom apart from the competition
  • 6. Nordstrom Employee Handbook 5” by 8” card that reads: WELCOME TO NORDSTROM We’re glad to have you with our Company. Our number one goal is to provide outstanding customer service. Set both your personal and professional goals high. Rule #1: Use your good judgment in all situations. There will be no additional rules.
  • 7. Nordstrom Employees: In Their Words  “If it’s not nailed down, I’ll find it for a customer. I don’t make commission on [everything], but it’s part of the service I provide.”  “I’m a customer-oriented service person. You’re looking for something, and I’m determined I’m going to find it.”  “Never judge a book by its cover. If you treat the kid who is buying a $19.95 belt the same as a businessman buying a $1,995 Oxford suit, you will be successful. That kid might become a customer for life.”
  • 8. Consider This: WHEN YOU’RE THE CUSTOMER @MauraNeill
  • 9. Flying the Friendly Skies? My flight to Sell-a-Bration: Flight attendant #1: “I don’t know. Why don’t you check the back of the plane?” Flight attendant #2: “Come with me. I think I have a place for your bag up in first class.” “My goal is to make you happy.” Photo credit: “Lady with Luggage” by digitalart on freedigitalphotos.net
  • 10. Would you like being your own client?
  • 11. Be Your Own Client  What would be important to you if you were on the other side of the client relationship?  When is attention to your personal needs/personality most important to you?  What expectations would you have at every step in the process?  Do you fulfill those items for your own clients, every transaction, every time?
  • 12. ACTION ITEM Think back over your last closed transaction: What would you say about yourself, if you were the client giving feedback or writing a testimonial. Be honest – what would you say? Based on the experience you gave that client… would you refer YOU?
  • 13. HEROICS @MauraNeill
  • 14. Nordstrom: Heroics  Weekly V.I.P. Club and Employee of the Month – recognizes sales AND going above and beyond  Examples:  warming up a customer’s car in winter  taking an order over the phone and bringing merchandise to the curb when customer arrives  driving a customer’s airline tickets to them at the airport when they left them behind at the store  Employees encouraged to “report” the heroics of others – circulated in a weekly printed heroics list Photo credit: “Rubber Stamp with VIP Word” by Stuart Miles on freedigitalphotos.net
  • 15. Leigh Brown, CRS “I took an IOU on a commission on a house last year to keep the deal together and to keep my client from having to short sell. Strikingly enough, she paid me 11 months later. The other agent was flabbergasted.”
  • 16. Dawn Thomas, CRS “Last month, one of our buyers brought in their own lender. Needless to say, a pretty straight- forward transaction on a jumbo loan went sideways and several delays, to the point the husband had to cancel his trip to Europe even though his wife was going to spend Christmas with family. I hate the idea of anyone being alone during the holidays, so I invited him to our house for a crab feast on Christmas Eve and movies the next day.”
  • 17. Shannon Williams King “We flew a client from Australia on our dime prior to closing to make sure she liked the home - and was in person to sign her closing docs.” Note: this price point was $400,000.
  • 18. Sasha Farmer, CRS “For the past 4 years I have kept a “sunshine fund” – at the end of each month I take 1% of my commission checks and put them into a separate small checking account. Inevitably, one of my clients will call a month or two after closing asking for a recommendation for a plumber because they have a sink leaking, or an electrician because they've blown a fuse, or HVAC because suddenly the AC isn't kicking in, or something unexpected has popped up. I have that extra little cushion of account that I can use at my discretion to offer some towards helping.”
  • 19. Nobu Hata “I drove five hours for four signatures on a $125K relo deal for the nicest couple in the world. Incidentally, that same couple sent me a $15million commercial buyer.” Note: Nobu had to give away that $15million commercial buyer – referral fee-free – because he had already taken his new position at NAR.
  • 20. Julie Beall, CRS “The house of a client burned down. They had just moved. They called me from the emergency room. They were new in town and knew no one. They only knew their REALTOR®. I offered them a place to stay. They lived with us for four months. I remember laying in bed the first night they were there thinking what the hell had I done to myself and my family. These people are now special friends in our lives.”
  • 21. Jeremy Hart, Future CRS  “Next time I'm feeling like real estate is full of arrogant a**holes, I'm coming back to read this post again. Full of awesome stuff.”
  • 22. SMALL GESTURES @MauraNeill
  • 23. Some Examples of Small Gestures  Creating playlists that match your clients’ music preferences for a day of househunting in the car  Research restaurants that fit an out-of-town client’s favorites while in town (especially for clients with special dietary needs!)  Make your closing gifts personal, instead of “one-size-fits-all”  Creating video previews of homes at the top of your out-of-town clients’ lists – OR – visiting a property to FaceTime with a client on their lunchbreak
  • 24. Some Examples of Small Gestures  Creating a private Facebook group for each transaction to share updates/reminders with that client  “Giving away the milk for free” – giving consumers the information they want to build trust and credibility  Being flexible
  • 25. ACTION ITEMS  Make a list of things you already do that truly set you apart from other agents in your market  What are three things you can add to your list to make each client’s experience with you exemplary?  What questions can you ask in your buyer and seller initial consultations to glean more information to help you personalize your service?
  • 26. CREATING THE EXPERIENCE @MauraNeill
  • 27. The Nordstrom Experience  Carefully choreographed customer experience  Ease of navigation  Improved comfort and familiarity  One-stop shopping  Local feeling In short:  They listened to the customer.
  • 28. The “We” Experience  “The more information I have…the better I can serve the customer…This isn’t just my deal. It’s not an “I” experience; it’s a “we” experience. ~ Patrick McCarthy – top Nordstrom sales associate, 15 consecutive years
  • 30. ACTION ITEM: Create the Experience Beyond your market knowledge and your real estate experience, the client experience is your value proposition. Outline your client experience, from beginning to end, for every type of client. Design the experience to match your personality – and the type of client you serve. Create buyer and seller questionnaires online – have them filled out before your appointment
  • 32. What Do Your Goals Look Like? What does your business plan measure? Transactions Volume Commissions Listings taken/listings sold Where is the client here?
  • 33. Incorporate Client-centric Goals  Happily Closed Clients  Incoming Testimonials  Referrals from Past Clients *Doesn’t have to be warm & fuzzy, but focusing on these things can help you stay focused more on your clients and less on yourself.
  • 35. Proving the Difference  Nordstrom considers its culture to be the key element that separates them from the competition:  Employee autonomy  Customer first mentality  Lack of rules limiting employees’ ability to serve  Salespeople take a true interest in the customer  Money-back guarantee/return policy – truly sets them apart
  • 36. You vs. Them  What’s your value proposition? Do you even know?  What’s your “money-back guarantee”?  Easy-exit listing agreement  Easy-exit buyer brokerage agreement  How else do you offer a guarantee?
  • 37. ACTION ITEMS  Write down what sets you apart from others. Be specific.  On which items do you focus when meeting with buyers? Sellers?  How do you communicate those items that set you apart so that the potential client becomes a client?  In the initial Buyer Consultation?  In the Listing Appointment?  Throughout the process?
  • 38. Taking a Page From the HOSPITALITY INDUSTRY @MauraNeill
  • 39. Hospitality vs. Service “Service is the technical delivery of a product. Hospitality is how the delivery of that product makes its recipient feel. Service is a monologue – we decide how we want to do things and set our own standards for service. Hospitality, on the other hand, is a dialogue. [It] requires thoughtful listening to the other person, and follow-up with a thoughtful, gracious, appropriate response. It takes both great service and great hospitality to rise to the top.” ~ Danny Meyer, restaurantuer
  • 40. Turning Over the Rocks  Think like a fly fisherman  Look for the story behind the story  Collect the dots  Give your clients a feeling of “shared ownership”
  • 41. What Do You Know About Your Clients? Raziel Ungar, CRS Create space in your CRM -OR- a spreadsheet where you can file information/jot notes about your clients Where can you find information/details?  Facebook  Your questionnaires  Your notes Notes, articles of interest, birthday/anniversary cards, phone calls, conversation starters
  • 42. Keeping Client Records  Expand your database – vertically not horizontally  Add details about your current/past clients instead of cold leads  Depth and details instead of volume  Take notes – after meetings, during phone calls, as you think of them  Facebook Graph Search
  • 44. INSPIRING LOYALTY @MauraNeill
  • 45. Follow-Through  Thank You Note: “Even if it’s the tenth time I’ve waited on that customer, I don’t thank him for his business; I thank him for his loyalty.”  Nordstrom provides its employees with free thank you notes – plus address labels, postage, etc. – and encourages them to use them daily!  Follow-Up Call: “Ninety percent of the time, they’re so stunned that you called, they remember you.”
  • 46. NAR’s 2012 Profile Said…  87% of clients were satisfied with their REALTOR® and would refer them again BUT  Only 10% did. Why?
  • 47. WHY IT ALL MATTERS @MauraNeill
  • 48. Why Does It Matter? People.  We’re in the business of helping people  The “depressed market” didn’t weed out the bad agents, it just forced them into hibernation  It’s about more than just commissions
  • 49. Final Thought: “If We Sell You Well, Tell Others. If Not, Tell Us.”
  • 50. Recommended Reading The Nordstrom Way The Inside Story of America’s #1 Customer Service Company By Robert Spector and Patrick D. McCarthy
  • 51. Recommended Reading Setting the Table The Transforming Power of Hospitality in Business By Danny Meyer
  • 52. Find This Presentation Online www.mauraneill.com/nordstrom-sab Photo credit: “Computer mouse, mousepad, hand” by Si1veryon Flickr.com
  • 53. Connect With Me about.me/MauraNeill

Hinweis der Redaktion

  1. How much do you think about the customer experience when YOU are the customer?
  2. As usual, when I create a course or a workshop like this one, I like to turn to my friends – many of whom are CRSs and are here at SAB. When I asked for examples of things they do that put the customer first, I expected a list of things they do every day – such as get a clients’ music preferences and create a playlist or find a satellite radio station that matched for a long day of househunting or finding out the restaurant preferences of an out-of-town client and creating a list of restaurants they may like while in town for their househunting trip. But when they answered, I found some pretty inspiring stories, what Nordstrom would refer to as “heroics”.
  3. Nordstrom recognizes its employees “Heroics” through a Weekly V.I.P. Club and Employee of the Month. Heroics are described as employees who go above and beyond for the customer – not just for employee sales performance and commission earning. EXAMPLES. However, for us, as mostly independent contractors who frequently work alone or on small teams (at least much smaller than a giant department store), when do we have opportunities for heroics?
  4. Of course, every opportunities for “Heroics” are probably few and far between. And thankfully so. However, every client and every transaction has room for “simple pleasures,” those unique touches you can add to really set your service apart from others’.
  5. Beginning in the late 1970s, Nordstrom began renovating their stores to create a more inviting experience. They widened the aisles, changed the lighting, designed departments based on the lifestyles of those who shopped there and gave those departments their own unique décor and feel, added coffee shops and restaurants, made fitting rooms larger and improved the lighting, even featured the works of local artists, live music, and The goal was a feeling of utmost convenience and openness, to attract the customer to linger longer and, therefore, buy more.