AVOID UPGRADING FROM WINDOWS 8.0 TO WINDOWS 8.1

Honestly, Microsoft and Dell misled me.

I keep getting reminders to upgrade from Windows 8 to Windows 8.1. What's more, the upgrade is free and designed to fix annoyances with Windows 8 (e.g., the lack of a Start button).

I've learned over the years that Microsoft loves hype (Apple does too, but they often delivered in the Steve Jobs era). I've suffered by paying for lousy updates like Windows ME.

Defer Upgrades

My new practice is to only upgrade when buying a new computer. When I got my new Dell mere months ago, I wanted Windows 7. That operating system works extremely well and much of what I do is browser-based. Windows 8 didn’t offer anything worthwhile since my computer doesn’t have a touch screen. Dell didn’t allow a “downgrade” to Windows 7. That meant I got stuck with Windows 8. It's not horrible but its not unnoticeable improvement either.

Anyway, I kept getting these reminders to upgrade to Windows 8.1. I didn't earlier because nothing was broken  and I was wary of new problems arising. By now, the bugs had to be fixed, right?

The instructions say the installation only starts when you accept the new license. I figured I could at least download the new version. I decided to proceed yesterday. The process is very slow but I was able to use my computer during the download.

Reboot

After hours passed. When I returned from a meeting, a message said my computer would reboot in seven minutes and to save my work. With normal updates you can delay the reboot until you're ready. I thought that was the case here. I expected another reminder, which I could also delay. No No No.

My computer rebooted automatically.

I didn’t have a chance to finish saving my work. This was very annoying because I was nearly done. After the reboot, I accepted the lengthy new license and answered several questions. After waiting and waiting, all I got was a black screen. The hard disk light keeps flashing, which suggests that something is installing. When I move the mouse, I see the pointer and the circle which indicates something is in process. That's been going on for hours.

Get Back

Apparently you can revert to Windows 8 if the installation fails. That option did not appear. An online search says that going back requires a reinstallation of the operating system. That means having to reinstall all the applications too. The data might be preserved.

In my case, I have backups made in real time via CrashPlan and Dropbox. I doubt I'll lose anything except time but time is precious. I'll call Dell because I have their highest level of support. From what I can tell from my online search, the difficulties may have arisen from the drivers for the video card. Either Dell didn’t update them or Microsoft didn’t install the the right ones.

The moral: beware of what companies tell you. Technology, updates can be much more of a hassle then warranted. That's a price early adopters seem willing to pay. I wasn’t. No gain. More pain.

Links

• My frustrating upgrade to Windows 8 (Forbes, Oct 2013) (new)
• 7 Windows 8.1 issues and how to fix them (MakeUseOf, Nov 2013) (new)
• How to upgrade to Windows 8.1 and downgrade back to Windows 8 (MakeUseOf, Nov 2013) (new)
• Avoid Windows 8
• Apple’s risky marketing strategy
• What happens when your computer breakdown
• Recovering from another computer breakdown
• Update from Windows 8 to Windows 8.1 (Microsoft)
• Errors stymie Windows 8.1 updates on some devices (ComputerWorld, Oct 2013)
• How to uninstall Windows 8.1 (CNET, Nov 2013)

PS Your clients may be wary when you offer them something new …

RECOVERING FROM ANOTHER COMPUTER BREAKDOWN

April Fools Day was yesterday. Today I’ve got more problems with my Lenovo ThinkPads. I’ve learned and am now better prepared.

My ThinkPad W520 workstation hasn’t been the same since the two repairs last year. The fan keeps running loud and there’s heat even when I’m doing basic things like typing. The internal speakers no longer work (for the second time).

My backup ThinkPad X200 Tablet has a pricey 128 GB SSD that’s defective, according to Windows. (My Dell netbook also has a defective 32 GB SSD but I rarely use it.)

This morning, the W520 refused to start because of an error with some controller. Later, it did start but it’s no longer reliable. None of my computers are.

Data Loss

At least I don’t need to worry about data loss. My key files are in my 61 GB Dropbox (see review), which means I have synchronized copies and archived versions. I use cloud-based services regularly.

I've also got CrashPlan+ Unlimited which backs up to an external hard drive and an online archive (review on about.com, Apr 2013). I’ve got every version of every file available.

The issue is no longer data loss. The issue is reliability. That will require another computer. The problem is deciding which to get.

Which One?

Costco has the best basic warranty (2 years) and return policy (90 days) but the selection is limited. Best Buy, Future Shop and Staples offer more choice but still play the game of having sales instead of great prices everyday. Computer stores have better prices but seem to be tough on returns (might even have restocking fees). Online manufacturers Lenovo and Dell offer choice and customization … but also use the gimmick of sales and delivery takes time if you customize.

The Ideal

The ideal notebook computer would have these features (in no particular order):

• lightweight
• portable (e.g., 13” or 14” screen)
• Windows 8 touchscreen (reduces the need for a tablet)
• powerful processor (e.g., Intel Core i7)
• lots of memory (minimum of 8 GB, upgradeable to 16 GB)
• lots of high-speed storage (e.g., 1 TB at 7200 rpm)
• all-day battery (e.g., 8 hours)
• nonglare HD screen (900x1600 or 1080x1920)
• 3 year onsite next-business-day repairs
• VGA output (many projectors and monitors lack the newer HDMI inputs)
• English (non-bilingual) keyboard
• inexpensive

There’s no such choice.

Unless you order a customized computer, you’re stuck with compromises like a 1366x768 screen and a slow hard drive. If you order customized, your computer is a one-off. You wait for delivery and get a less reliable computer. According to a Lenovo repair shop, the most problems are with computers that are CTO (Customized To Order).

There are too many substandard choices … but I need to decide.

Your Clients

How do your clients (current and prospective) feel about what you offer? What’s simple or clear to you may confuse them. Rather than asking for your advice, they may decide to do nothing. Isn’t that a lose/lose?

Links

• How Lenovo put attention ahead of trust (new)
• What happens when your computer breaks down?
• Hero or zero: the sad tale of Lenovo and UPS
• The magic of Dropbox for sync and sharing
• Beat your smartphone with a netbook
• Are you seen as a commodity like a notebook?
• Are you scrimping and splurging in the wrong places?
• RiachardAtDell and Dell’s flubbed opportunity
• Repairing your computer vs fixing your finances
• reBOOT: What happens when you donate your computer
• Are you more like Apple, Google or Microsoft?
• The power of redundancy
• image courtesy of dinostock

PS What would you do if your computer became unreliable?

THE TALE OF THE HOTEL THAT WASN’T THERE

The address was on a major Toronto street. Even so, I checked Google maps. The Street View showed what looked like the hotel under construction.

My months-old navigation system plotted the path to what seemed to be a brand-new building.

The hotel wasn't there.

I could see it on a side street but not how to get there. I was in the left hand lane and the path looked like a right turn three lanes over. I backtracked and turned on what looked like the correct street.
Eventually, I got to the networking event at 7:43 AM, 13 minutes late.

I happened to be chatting with a member of the foreign property management team about the “bait & switch” address. He agreed that the address was prestigious ... but misleading. Fooling visitors doesn't make a good first impression --- especially if they've been traveling for hours to get there and battled heavy traffic.

Each attendee had 30 seconds to introduce themselves to 60+ attendees. The hotel manager took 78 seconds — more than twice his share but didn't have much to say. The facilities were going to upgraded. That's nice but of no value to us right then.

Washrooms

The washroom was in bad condition.
There was a smell. Two of the four urinals were out of order. Maybe that explained the water on the floor. At least three soap dispensers were empty.

How could this be?

The We Care notice said:

In order to maintain a high standard of cleanliness in our restrooms, we clean and resupply them every hour. If this restroom should need attention, please refer to the front desk attendant for assistance. We'll respond immediately. This is just another way we show you that we care.

That’s impressive but not true. Yet someone signed the sheet at 8 AM to say the facilities were in proper working order. Gulp!

Parking

We got a "special" parking rate of $6 for 7 AM to 10 AM. That’s three hours. That’s excessive for an event that runs 1.5 hours from 7:30 AM to 9:00 AM.  Even two hours (7:15 AM to 9:15 AM) would have been ample.

The parking rate sign showed the normal rate for two hours was $4.50. Our “special” cost us 33% extra and the spots we vacated could be resold.
This is worse. Another group paid $6 from 8 AM to 5 PM. That’s nine hours.

The property manager’s representative listened to my concerns and gave my business card to the hotel manager. Nothing happened. Surprised?

What About You?

If your actions don't match your words, your customers will find out and can easily tell others. Proof is easy to provide since today’s smartphones have cameras. Google+ has instant photo uploads on Android devices. Try undoing that.

Where might you be exaggerating? What can you do to meet or exceed expectations?

Links

• Marketing lessons from hotelier Steve Gupta
• $499/night but no bath robe
• Instant photo uploads from Android is Google Plus’s killer feature (ReadWriteWeb, June 2011)
• Where’s the music in your store?
• Make better first impressions without being there
• What if your clients could buy direct?
• Hero or Zero: The sad tale of Lenovo and UPS
• The car purchase: recovering from bad service
• Do you annoy your clients without knowing?
• Diluting the soup

PS What would you do if you endured my ordeal?

SIGNS OF THE WRONG SOCIAL MEDIA EXPERT

If you're looking for help with social media, you'll find many vendors ready to take your money. How do you hire a social media expert you trust to deliver on the promises? Let's look at some of the warning signs.

Wrong Author

You'll likely be shown examples of social media success. The vendor implies they participated but this isn't always true. One firm showed Facebook pages for well-known companies and said this was the kind of work they do. That does not mean the vendor did the work shown.

There's a related caution. Are you shown the sources for videos, graphics and other content? Sometimes the credits are suppressed, which is disrespectful to the creators and misleading. You might think the vendor created something they nabbed from YouTube.

Wrong Examples

What works for Starbucks, Zappos and Coca-Cola isn't the right or only answer. It's not as if fools have marketed Tim Hortons and Pepsi to the edge of bankruptcy. What works for other companies need not work for you.

Wrong Country

What works in the US may flop elsewhere. Wal-Mart left Germany. Are you shown examples suited for your country?

Wrong Category

What works for mass market products may not work for niche products or intangibles. For instance, buying insurance is not as simple or routine as getting your daily coffee. If you choose the wrong brew, the cost is low and damage minimal. If you spill the stuff and stain your clothing, you might sue because there's no warning that this might happen. (Note: this is not legal advice. Consult your lawyer before seeking lawsuit windfalls.)

Wrong Timeframe

A search engine optimization vendor said that getting on Google's first page takes six months. That's a nice way to get a contract for half a year. You can get on page one anytime based on factors like your content (though Google Realtime search is currently unavailable). You could also buy Google Adwords if earning attention takes too long.

Fish or Fishing

Is the vendor teachingg you to fish or selling you the catch of the day every day? There are often low-cost, easy-to-use, easy-to-implement options that will give you reasonably good results instantly.

Say you want to gauge how your company is mentioned in social media. Why not start with Google Analytics, Google Alerts, Twitter searches and Facebook searches. They are all free. Going beyond, there are other tools like Google PostRank, Klout and PeerIndex --- free or inexpensive. As your needs and understanding grows, you can upgrade to fancy dashboards with nice graphs.

Once the novelty is gone, what actions will you take based on the data you receive? If you aren't likely to do much, how does gathering more help? If your primary concern is crisis management, do you really have a problem that Google, Twitter or Facebook won't quickly spot? You connections with phone or email are part of your early warning system too.

Omissions

What's left out is often matters. How do you know what's missing? Seek a vendor that's an advocate for customers like you. You'll see this in how they educate you for free via text, audio or video.

David Ogilvy's brilliant 1,900 word ad from the 1960s shows customers how to advertise. Do you think education hurts sales?

Links

• How to hire a social media expert
• Measurement Matters: Free tools
• Google Realtime Search and the aftermath of the Google-Twitter split (Search Engine Land, July 7, 2011)
• Arranging the perfect social media workshop
• Picking the best medium for your message
• How to create advertising that sells

PS Have you had bad experiences with "experts"?

GO BEYOND LINKEDIN (A SAD CASE STUDY)

If you're not online anywhere (company websites don't count), LinkedIn is the one place you need to be. It's free. You control your profile. Your profile moves with you if you change jobs.

LinkedIn isn't enough. What if your access gets blocked? Mine is …

You want to be findable on other sites through a web search.

Day 1

Here's what happened. LinkedIn now has a Country Manager for Canada. Jonathan Lister is speaking at the Toronto Board of Trade on Feb 8, 2011 about

1. Marketing your business with social media
2. Building and managing your business' reputation online
3. Creating a high quality professional network online

I registered and thought that others in my network would be interested too. To inform them, I posted a message on LinkedIn (which also cross-posted to @mActuary on Twitter).

Minutes later, I got an email from a connection. He asked why I posted the update six times. I checked and the update was now posted 30 times but not by me. Twitter was working fine.

I posted another update to apologize to my network and to alert LinkedIn of the problem. As an extra precaution, I sent Jonathan a message through LinkedIn. As an extra, extra precaution, I exited my Chrome web browser and started using FireFox instead.

Day 2

I didn't notice until now, but LinkedIn retweeted exactly 12 hours later.

The problem wasn't fixed.

Day 3

I tried signing in to LinkedIn and got this message.

The only contact option is by email. I filled out the form and got this email saying "A service professional will review and respond to your inquiry as quickly as possible." That's reassuring but inaccurate.

I've been waiting over 33 hours, which is weeks in Internet time. There's no obvious way to talk to a human being and get immediate action.

Day 4

I'm getting emails from connections through LinkedIn but can't reply unless they are in my CRM system. If I can't find them online, I can't reply until LinkedIn restores access.

Your Lesson

At least I'm still findable online. Are you?

If you're looking for another place to show up, consider a free Google Profile (e.g., mine). The ideal is your own personal website (e.g., mine). If you're looking for content, start by nabbing stuff from your LinkedIn profile.

Links

• LinkedIn's Jonathan Lister discusses social media (new)
• Why you need a weak link to give excellent service
• Get foundin LinkedIn to keep growin
• Where is your Google Profile?
• Adventures in networking without ever meeting
• What if your clients could buy direct?

PS There's still time to get tickets to see Jonathan. I hope my account will be restored before then.

What If Your Clients Could Buy Direct?

We've been looking for solid wood beds made in Canada. No veneer. Only solid oak or maple. Made with care by artists.

We found a retailer and placed an order. The process was like visiting a car dealer (see recovering from bad service). There were several mark-ups at the last minute. Delivery takes 4-6 weeks and only takes place on Thursdays.

We would have preferred to deal direct with the manufacturer because the advisor added more to the price than the experience.

What about your customers?

If you're the exclusive source for a hot gadget like the iPhone4 or iPad, customers will seek you out. If you only face limited competition, you can force your clients to accept the world's longest mobile phone contracts even if they feel cheated.

Most of us face real competition and reasonable substitutes. So client-friendly actions become good business.
Maybe your clients can't buy directly. If they could, can you show why dealing through you is a better choice?

Twelve Books

Seth Godin has written 12 books but now he's going to bypass the traditional publishing world. That process creates delay and adds expense. Seth already reaches readers directly through his excellent blog. He realizes that most of them never bought any of his books at a bookstore. So why stick to old ways that give so little to the readers and the authors?

How does blogging create a viable business model? Well giving away value attracts people to you. Some become clients. Blogging may not be ideal for you.

What if you're in the role of the publisher or if you run a physical book store? Consider getting nicer bed for more comfort during your sleepless nights.

The Middleman Matters

Sometimes the middleman plays a valuable role. For example: the Ferrari Market Letter targets a small niche. Yet roughly 5,000 subscribers pay $130 a year. That's $650,000 of revenue from a select group of buyers, sellers and aficionados.

How can you create value from the viewpoint of the clients who buy your offerings? Here client means the final purchaser, not another intermediary. You may think you're adding value but you're hardly objective.

Why They Buy From You Now

Clients buy for a range of reasons.

Bad Reasons

If your clients deal with you because of

• ignorance (e.g., comparing mobile phone rate plans)
• regulation (e.g., limited mobile phone carriers)
• exclusivity (e.g., AT&T and the iPhone)

how secure is your future in a world of information, deregulation and choice?

Good Reasons

Maybe your clients choose you for your

1. service (you cure and prevent the headaches)
2. speed (you eliminate the learning curve a DIYer faces)
3. quality (your craftsmanship vs their handyman skills)
4. warranty (your E&O insurance vs their buyer beware)
5. convenience (who has time to grate cheese anymore?)

Best Reasons

With the right offer, your clients value you and welcome your involvement. Even if they can buy direct.

Links

• Moving on (Seth leaves traditional publishing)
• The secret of the Rousch effect (Seth Godin)
• How authors really make money: The rebirth of Seth Godin and the death of traditional publishing (Tim Ferriss)
• Canadians have the world's longest mobile phone contracts (Ellen Roseman)
• The car purchase: recovering from bad service
• Do your clients feel cheated?
• Image courtesy of Laura Leavell (Longwood, Florida, USA)

Hero or Zero: The Sad Tale of Lenovo and UPS

It's difficult to please but easy to disappoint. This tale gives examples of both. Both Lenovo and UPS are well-regarded companies. Your experiences may vary.

In late December, I ordered the excellent Lenovo ThinkPad X200 tablet online. The online order form didn't allow selection of the 8 cell extended life battery or the multitouch screen. I couldn't easily call from India. Zero!

I phoned on Monday Jan 4 when back in Canada. I learned that Lenovo removes items in limited supply from their website. That makes some sense but why not show the estimated delays instead? To my delight, the sales rep configured the computer just as I wanted. Hero!

On the downside, delivery would take at least four weeks (February 4 at the earliest). That was fine since we've got other computers.

Thursday

Imagine my surprise to see a UPS delivery sticker on my door on Thursday, Jan 22 --- exactly two weeks before the earliest expected delivery. Hero!

The next delivery attempt would take place the next day. Since no one would be home, I phoned UPS to hold the computer for pickup at their depot. The automated attendant asked me to use their website. I did.

The only rescheduling option was Return To Sender!?! Since Lenovo already has plenty of computers, why would they want mine back?

I phoned UPS and eventually spoke to a person by pressing 0. She explained that even though I was paying, Lenovo dictated the delivery options. UPS would

1. attempt delivery on Friday when no one would be home
2. attempt delivery on Monday when no one would be home
3. allow me to pickup the order from their depot for five business days starting on Tuesday

Crazy. Wasted time. Wasted fuel. Disappointed customer. Lose lose lose. Zero!

The Request

I phoned Lenovo Canada at the number on my invoice (which arrived that day). I got transferred to shipping ... in the US. They couldn't help me. They couldn't even access my file. However, they asked to use my first name. Why? They couldn't do anything except apologize. The rep gave me the correct Canadian phone number and told me to select option 6. Before transferring me, he asked if there was anything else he could do for me. Hero!

After a few minutes on hold, my call was disconnected. Zero!

I phoned the correct number and pressed option 6 for shipping. The rep immediately agreed to instruct UPS to let me pickup my order from their depot the next day. But he couldn't. Only the sales team had authority. He'd contact them to have the change made that evening. Hero!

It was now about 7pm. I'd spent an hour on websites and the phone. Zero!

Friday (elapsed day 2)

I checked the UPS website on Friday morning. Nothing had been done. UPS would make a delivery attempt later that day. When no one would be home. Zero!

Monday (elapsed day 5)

I adjusted my schedule to be home after dropping my son at school. I stuck a note on the front door telling UPS that I'd be home by 9am and giving my phone number. My wife left home at 8:30am. I returned home at 8:50am.

UPS arrived at 8:40am. Can you hear my groan?

I called UPS to have them hold my parcel at their depot. The location was a 37 km round trip estimated to take 45 minutes with normal traffic. I'd have to wait until Tuesday and was advised to phone first. Zero!

The Real Hero

At 2:10pm, the door bell rang. There stood the UPS deliveryman with my package!!! I refrained from hugging him but did thank him. He took the initiative to make a second trip. That's excellent service. Hero!

Lessons

This experience shows that even good companies adhere to inane rules that hurt the customers they're trying to serve. Why not allow the bill-paying customer to modify the delivery time or location? Why not have evening and weekend delivery? Why not give a narrower delivery window?

I got my computer on Monday, instead of Thursday. This is about two weeks earlier than the target delivery date at purchase. Hero! But the delays in delivery process made this experience disappointing. Zero!

The exception is the UPS deliveryman who took the extra step of returning to make the delivery. This initiative gives our tale a happy ending. Hero!

See how quickly customer expectations change? You can easily disappoint your clients without knowing. Even if they seem happy today, they may not stay that way. What's the saying? A halo can quickly become a noose. Do you know where you're going wrong?

Links

• How Lenovo put attention ahead of trust (new)
• ThinkPad X200 Multi-touch (Laptop Magazine): excellent touchscreen, stellar performance, stellar battery life
• Editor's Choice (NotebookReview.com): performed very well in almost every category
• Editor's Choice (ComputerShopper.com): the addition of Windows 7 and an excellent touchscreen make the already excellent X200 Tablet even more usable

PS The X200 Tablet with a multitouch screen looks like a compact, well-engineered delight. Hero!

Do you annoy your clients without knowing?

You don't intend to annoy customers but maybe that happens. Let's look an example and a possible solution.

The Situation

I wanted to send an agent $10. PayPal makes this quick, simple and flexible

• use the recipient's email address or phone number
• pay from your PayPal balance, bank account or credit card
• transact from the PayPal website or your mobile phone (US only)
• free except for credit cards (you decide whether the recipient or you pay the fee)

This agent required the use of a specific service. Let's call it "2PAY". The registration requires that you're at least age 18 and have a mobile phone from selected providers. That's not too onerous. Registration includes the following mandatory fields

• your date of birth
• your occupation [how can this matter?]
• username [why not use your email address?]
• mobile PIN [one more thing to remember]
• two security questions [why not one?]
• language preference [even though the whole page is in the language you choose]

You also provide access to your bank account or credit card --- restricted to MasterCard or VISA. American Express cardholders aren't welcome here. Once you add a credit card, there is no way to remove it.

Enter your postal code in the usual format (e.g., A1B 2C3) and you'll get an error when you Submit. This wipes out some other info, which you get to input again.

To activate your account, you get a lengthy mixed case confirmation code on your mobile phone. You input this on the "2PASS" website on your computer. A link then gets sent to your computer. You click on it and enter your logon information.

I sent the $10 after wasting 20 minutes on a service that falls well below expectations and Internet norms. In contrast, PayPal takes mere seconds and accepts Amex.

Terms of Service

Here are excerpts from the Terms of Use

You agree to have access to computer with a minimum web browser version of Microsoft Internet Explorer 6.0 or 7.0, or Mozilla Firefox 1.5.0 or 2.0, and the ability to receive and read e-mail [users of Google Chrome or Apple Safari are breaking the rules]

... not a deposit account and may not be insured by the Canada Deposit Insurance Corporation or any provincial deposit insurance program [but you're responsible to pay them anything you owe]

You agree that we may keep any benefits provided by a financial institution that holds these funds. [how is this fair? why kind of benefits are contemplated?]

In addition to the fees that we charge, you acknowledge that you may also be required to pay fees and charges to others [you get to pay and pay]

The terms go on and on. PayPal provides free protection with no limits on eBay

"So go ahead, shop with confidence. PayPal is with you every step of the way."

You get no guarantees with "2PAY". If you have a problem, that's your tough luck.

There's More

I passed some feedback to "2PAY" directly on their website and got this form letter reply

Thank you for your email. Due to the security vulnerabilities of email communication, it is [our] policy not to respond to inquiries specific to a particular account by email. We apologise for any inconvenience. [I didn't send email. I used an online form. They sent me a copy by insecure email.]

For assistance with matters particular to your account, please give us a call toll-free at 1-888-XXX-XXXX anytime between 11am and 8pm EST. ["anytime" excludes weekends and early birds.]

Intentions

The folks at "2PAY" didn't intend to annoy with their PayPal clone. You have noble intentions but may annoy too. How would you know?

Objective feedback is difficult to get. Here's a different idea. Invite observant communicators outside your target customers (and family) to review what you take for granted. Things like

• the clarity of your marketing material
• the quality of your handouts
• your follow-up process
• your voicemail greeting
• your email signature
• the overall impression you create

Any volunteers?

Do you market like a chimney repairer?

Who ya gonna call?

--- Ray Parker, Ghostbusters

Small chunks of brick fell from both our chimneys.

Let's say this isn't your idea of a Do-It-Yourself project. How do you find someone you trust to

1. diagnose the real problem accurately
2. solve the problem properly
3. charge a reasonable price
4. stand behind the work

We asked neighbours but knew how referrals lead you astray from our leaky basement this spring. We asked tradespeople we knew for referrals. We looked at ads.

Dis-ease

Here's what we experienced, in no particular order:

• no consensus (e.g., repair or rebuild?)
• useless information (e.g., need for scaffolding, how to colour match the mortar)
• no handouts
• no company websites
• no real email addresses (e.g., generic hotmail and gmail)
• few with photos of previous jobs
• few who went on the roof to inspect and photograph the damage: does your doctor prescribe with diagnosing first?
• no written client testimonials
• poor followup (eager to quote, but slow to return phone calls)
• no request for our email address for ongoing marketing (e.g., an eNewsletter)
• no clear differentiation (why you? in 25 words or less)
• no certifications: can anyone repair chimneys?
• not available when needed (except the lousy ones ... they were available the next day)
• no mention of the home renovation tax credit to offset part of the cost
• no offers post-repair service (e.g., annual reinspection or preventative maintenance)

Stand Out

We felt unsettled during the process. Since we couldn't gauge the quality of the recommendations or work, we focused on what we could see. And extrapolated. Even now, we hope we made the right decision. Your prospects may feel similarly uncomfortable. Maybe your current clients do too.

How different are you from

• the chimney repairers
• your competitors?

How easy to stand out by doing more. Just a little is enough.

Links

• How referrals lead you astray: the big lesson from a wet basement
• Creating your web presence in three easy steps
• How "Do Not Spam" laws help and hurt
• The four habits of highly referrable people
• Services: selling the invisible
• photo courtesy of Slavomir Ulicny

Tax Worries for Small Business Owners in Canada

You can see a lot by just looking.
--- Yogi Berra

Do you work with small business owners? 

The Canadian Federation of Independent Business (CFIB) has oodles of information that you can access at cfib.ca as a nonmember. Knowing the timely concerns of their 105,000 members makes you more credible and your suggestions more relevant.

Employment

Statistics Canada reports that overall employment for the year ending in February 2009 fell 1.8%, a loss of 258,000 jobs. 

However, businesses with less than 100 employees grew modestly:

• 1-19 employees: +0.6% (added 29,700 jobs)
• 20-99 employees: +0.1% (added 4,700 jobs)

We'll now look at findings from two of the many CFIB surveys. Some questions allowed multiple answers. You'll find links to the reports at the end of this post.

Tax Competitiveness

This survey took place in June 2007 and 7,845 members responded. As you would expect, tax has a big impact.

Taxes Most Affecting Business Growth

The taxes that most affect business growth are

1. payroll tax (e.g., employment insurance, Canada Pension Plan): 63%
2. corporate income tax: 54%
3. property/capital tax: 47%
4. personal income tax: 43%
5. sales tax (e.g., GST and provincial): 43%

Tax Reduction Priorities

Priorities for tax reductions are

1. personal income tax: 67%
2. fuel tax, other excise tax, duties and tariffs: 61%
   
3. corporate income tax: 45%
   

Use Of Tax Savings

Savings from tax reductions would be used to

1. invest in new equipment: 66%
2. pay down debt: 53%
3. increase employee wages: 53%
4. hire additional employees: 39%
5. invest in additional employee training: 32%

Canada Revenue Agency (CRA)

This survey took place in April 2008 and 8,271 CFIB members replied.

Service

Service from the CRA over the last three years stayed the same for 70% of respondents, improved for 11% and worsened for 19%. The biggest issues are

• accessibility of staff
• readability and simplicity of the information
• promptness of written responses

Audits

Over the last three years, 24% of businesses were visited by a CRA auditor. Here's why

1. GST: 52%
2. Income tax (personal and/or corporate): 39%
3. payroll deductions (e.g., employment insurance): 36%
4. GST and income tax: 30%

The auditors were rated acceptable or better for overall professionalism, courtesy and knowledge by 82%-86% of respondents.

Over a three year period, businesses spent 69 hours meeting the auditor's requests. 

Cost of Complying

Businesses spend an average of $18,300 complying with tax obligations (federal, provincial and municipal). 

Worth Joining?

There's much more available from CFIB. I''m intrigued by reports on how businesses market and the thorny issue of succession planning. 

Are you a small business owner too? You may want to join. You'll give CFIB a bigger voice and get opportunities to network with other members. 

Links

• Small business still growing despite continuing weakness in the job markets (CFIB | Mar 2009)
  
• Tax Competitiveness (CFIB | Aug 2007)
• Canada Revenue Agency (CFIB | April 2008)
• Marketing Your Business (CFIB | May 2008)
• Surviving an Audit: Two Lies and Three Tips (Riscario Insider | Feb 2009)

The Car Purchase: Recovering From Bad Service

Your most unhappy customers are your greatest source of learning. --- Bill Gates

Statistics suggest that when customers complain, business owners and managers ought to get excited about it. The complaining customer represents a huge opportunity for more business. --- Zig Ziglar

We can reduce mistakes but not prevent them. Since perfection is unattainable, quick recovery is the best strategy. This can increase your revenue thanks to reciprocity, the first universal principal of influence.

Here's an example with a happy ending: buying a car. Things when bad on the delivery day

• delivery 5.5 hours late
• obvious paperwork errors
• extra 750km on the odometer

I kept being told the car would be ready in 15 minutes. In total, I waited in the dealership over 4 hours.

What Happened
The promised delivery time was 2pm. I arrived around 3:45pm, just after returning my leased BMW nearby. My new car, a Mercedes E-Class, was not ready. Neither was the paperwork, even though I'd answered the only outstanding question the day before to save time.

I was told the car and paperwork would be ready in 15-30 minutes. While waiting, I could enjoy a cappuccino. That sounded fine. But delay followed delay. Each time I was told the delay would only be 15-30 minutes. I left at 7:53pm, which ruined our evening plans --- a dinner to celebrate our son's report card.

The Guilty Parties
There were three guilty parties

Dealership
The car was not ready on time. The waxing was underway 4.5 hours after the promised delivery time. The paperwork was not ready and needed three sets of revisions.

Why the delay? The dealership was very busy and staff were working 12 hour days. They were trying to do their best. So what? Customers don't care.

Yoda: Try not. Do ... or do not. There is no try.

Advisor
The advisor

• didn't mention the extra 750km on the odometer (2,500 km instead of 1,750 km) or reduce the price accordingly (I buy demonstrators when possible)
• didn't give a proper estimate of the revised delivery time or advance notification of the delay
  
• didn't check the paperwork for errors which would have slipped in if I didn't notice
• didn't explain the features (try using a navigation system or tuning the radio these days) even though I asked several times while waiting
  
• left me to service other customers
• gave me the keys in a dimly lit garage :(
  

Manufacturer
My biggest fear was reliability, which has been a problem for Mercedes. A friend with an earlier E-Class had various shocking problems including squeaky brakes and lights burning out. In Canada, sales have only rebounded recently after 3 years of declines. In contrast, BMW sales have grown for 17 consecutive years. Lexus sales doubled since 2002.

So I was very sensitive to flaws. The next day, I inserted my first CD and it got stuck and needed to be pushed in with another CD. The parking guidance system beeps to signal obstructions that aren't there. The navigation system gives poor directions compared to my 2006 TomTom with 2007 maps (perhaps the DVD --- dated 2006 --- is outdated).

Corrective Action
The advisor did followup with me --- which no previous advisor did. However, nothing happened.

Our relationship with you is of the utmost importance to us
--- covering letter, Mercedes-Benz Purchase Experience Survey

I got action after completing a satisfaction survey which was to "be reviewed carefully and acted upon". I specifically wrote that I no longer wanted to deal with that advisor or dealership. Guess who called? The manager of that dealership. I reiterated my desire to deal with someone else. The regional vice president called and we spoke for an hour on a range of issues. This made me feel much better because he listened and made me feel I was being listened to and that my concerns had some validity. I felt appreciated. This was more important than I expected. Immediately afterwards, I started feeling much better about the car since the Mercedes commitment to client satisfaction is more than words.

I was encouraged to follow protocol by returning to the original dealership. Since dealing with corporate-owned stores had been a major selling point I asked to go to another location. I was advised to go to the downtown Toronto location, their Canadian flagship (once renovations finish this summer). I agreed.

Here's what's to happen

• discount to compensate for the extra kilometres
  
• servicing the identified concerns
• redelivery of the vehicle, including 1-2 hours to explain the features in details
  

I've since spoken to the downtown service manager who is coordinating and anticipate an excellent experience. That's why I'm posting now before the actual outcome.

The Wasted Hours
I got an apology for the hours lost waiting for delivery. Is that "fair"? Perhaps. They are doing rework to erase the bad day. That seems reasonable.

Lessons Learned
Bad news spreads fast and leaves a deeper impression. I'd rather be what Zig Ziglar calls a "good finder". To be fair to Mercedes-Benz, I didn't tell anyone about this unpleasant experience. I'm sharing it now because of the favourable outcome. Here are three lessons

1. Keep your promises.
2. If you break rule 1, give realistic estimates.
3. Find someone who cares and the rest will work out
   

To err is human. To recover is divine.

Links

• Audi, BMW, Lexus and Mercedes-Benz: Three Lessons From The Salespeople
  
• How BMW Plans To Stay No 1 (Globe & Mail, Mar 3, 2008)
• Zig Ziglar buys a car (podcast)
  
• The BMW Innovation Drive and the new 5-series [new]
• The BMW Vehicle Exchange Event and other reasons to be cynical [new]
• How to save on your next Audi, BMW or Mercedes-Benz [new]

Audi, BMW, Lexus and Mercedes-Benz: Three Lessons From The Salespeople

I've been mulling over what to do when the lease on my BMW ends. As you know, I couldn't find my previous salesperson from last time. I've visited dealerships selling Audi, BMW, Lexus and Mercedes-Benz. The salespeople are among the best. Here are three lessons for advisors in financial services

1. Understand your client
   
2. Cut the clutter
3. Stand apart

Understand Your Client
Not a single car advisor took the time to truly understand my needs and wants. Performance or comfort? Buy or lease? Roomy or easy to park? Gas guzzler or friend of the environment?

They took the easy escape, talking about the product features. Two even gave instructions on how to tune the radio --- which is no longer easy --- before the test drive (during which I turned the radio off). Would you buy a car because of the radio?

Cut The Clutter
There was a tendency to provide useless data such as

• BMW makes more types of engines than anyone else [so what?]
• Audi has the lowest residual values [44% after 3 years on an A6 vs 54% on a BMW 5-series or 59% on a Mercedes E-class] because they are more realistic [which leads to the highest lease rates and loses sales!?!]
• confusing technical details comparing All Wheel Drive systems among manufacturers
• Lexus offered complicated lease options with extra lump sum deposits before I had finished test driving vehicles from other manufacturers
  

Simple is hard. Maybe we overload our clients too.

Stand Apart
Highend cars cost megadollars but dealerships pinch pennies. Audi didn't print a lease quote and only gave a rough (uncompetitive) verbal estimate. At BMW, the printer didn't work on the first visit or even three weeks later, but the sales rep wrote down the key figures. They had an X5 in the showroom but not to test drive. In contrast, Lexus took a GS out of the showroom.

The exception was Mercedes-Benz, which runs their own dealerships. This is a huge competitive advantage. The facility was spacious and impressive --- a great first impression. At the reception desk, I said I was interested in the E-Class and immediately got a thick glossy booklet. The sales rep offered me coffee (which I declined) and then cappuccino (which I accepted). He also asked for my business card (following proper business card etiquette) and drivers license. When we sat down, he started entering my contact information while I reviewed sections he pointed out in the booklet.

No other dealership offered

• a brochure
• a refreshment
  
• a desktop drivers license scanner (my license never left my sight, a way to protect against identity theft)
  

These little things make a lasting impression. In financial services, I still see advisors who don't use colour printers, nice paper or nice bindings (e.g., folders or binders). A shiny new car communicates eloquently but insurance is intangible, a promise on a piece of paper. Doesn't that demand high quality handouts to help show that you're good --- especially if your firm isn't a household name?


Overall
The overall experience was disappointing. And this is before the dreaded negotiation process. Do our clients fare any better at our hands?


Update: The car purchase: recovering from bad service

A Better Email Notification Service For You

Here we grow! You can now get email notifications of new posts from Feedburner, which Google bought for $100 million US in June 2007. As usual, Google made the service better and cheaper. The purchase shows how relevant blogging has become. As of today Feedburner burns blog feeds for 1,322,961 feeds for 743,793 publishers (see statistics).

Growing Pains
There's no seamless way to transfer your email addresses from the old service which was discontinued last month. For your protection, anti-spam laws require that you opt-in again. Sorry for the inconvenience.

Please resubscribe by clicking on the links below

• subscribe to Marketing Actuary by email or newsreader
  
• subscribe to Riscario Insider (for consumers) by email or newsreader
  

During the transition, you may have missed

• Who's Reading: The Top 5 Posts of 2007
• Three Communication Tips: Jokes, Length , Offense
  
• How Would You Sell Soap?

What Happened to Zookoda
Australia-based Zookoda was terrific. A few months ago, they were purchased by controversial PayPerPost (now called IZEA), which pays bloggers to write posts that look real but are actually advertising (see Polluting the Blogosphere in BusinessWeek). A bad sign. Service did not improve.

Zookoda couldn't cope with spammers. On December 21, 2007, they suspended all broadcasts to make major changes. There was no advance warning or exemption for honest bloggers. Like me :(

Zookoda restored service on Jan 9 but there have been serious mixups. Content went to the wrong subscribers. I stopped using Zookoda last week after Spanish content was sent out.

Plan B
I'd been experimenting with another email service: Feedburner, which is now owned by Google. (Aside: my blog is hosted by Blogger, which Google bought in 2003, enhanced, and relaunched in 2007. Traffic is tracked by Google Analytics.) The service is very reliable but less flexible. Unfortunately, there's currently no way to move the mailing list from Zookoda.

New readers can now only subscribe via Feedburner. What about existing readers? You can

• re-subscribe to Marketing Actuary by email or newsreader
  
• re-subscribe to Riscario Insider by email or newsreader

Again, my sincere apologies for the inconvenience.

Emails Going Astray

If you negotiate the minefield in the drive
and beat the dogs
and cheat the cold electronic eyes
and if you make it past the shotgun in the hall.
Dial the combination.
Open the priest hole,
and if I'm in I'll tell you.
--- Pink Floyd, The Final Cut

I'm not that hard to reach. At least not on purpose.

Why You May Disagree
You won't visit this blog daily. You're busy and there's usually one article a week. The day of posting varies with my schedule (my target is Tuesday morning). So the best way to get to keep up to date is by subscribing for updates by email. When there's something new, you'll then get an email from a formerly-Australian company. The notifications use a real email address for an account. Some of you have been sending replies but I haven't been reading them because I don't monitor that account.

Advisors would say that I wasn't replying to their emails. I'd check my Blackberry and Microsoft Outlook and see no message. Must be transmission problem at their end, I figured. Wrong.

Here's an example of a series of messages I ignored

(1st email not received ... really)

(2nd email) still waiting: Hey Promod still awaiting your phone call. I have business to do and would appreciate your assistance please.

3rd time asking: call me please.

This case had a premium over $2.7 million spread over 3 years. The good news is that the advisor phoned and we spoke --- after several rounds of phone tag.

Lessons Learned
Ease of use increases usage. It's much easier to reply to an email than to look up an email address. How can you make it easier for your clients to reach you?

I'd tell you to send work-related email to my work email account but human behavior is difficult to change. So I have started monitoring the account in question.

So thanks for the emails. (Also, feel free to share your comments on this or any other post. You can do this anonymously.)

Diluting The Soup

It's 1:36pm and I've yet to have lunch. One of those days. There's a sandwich chain up ahead, they've got empty parking spots and I don't have to make a left turn. Since I'm not with a client, that place will suit me fine.

I ask for a toasted sandwich with lettuce, tomatoes, swiss cheese and mustard. The server gives me cheddar instead, which I don't notice until I'm eating. She did cut a fresh tomato, which balances out.

It's -16C and I want a hot drink. I decide on hot chocolate. I ask if they have any because it's past regular lunch times. They do. I ask for a large cup. I figure a healthy sandwich balances out the extra calories. I'm used to getting hot chocolate from a machine that fills your cup with premixed hot chocolate. Here it's different. They add a packet of Carnation hot chocolate to boiling water. I see what the server does, but it doesn't register. The pangs of hunger must have dulled my perceptions. Do you see the problem?

The hot chocolate packet is designed for small cups, probably 250 mL (or 8 ounces if you're still clinging to Imperial units). The server adds the packet and fills the large cup with hot water. So the extra 35 cents for supersizing my drink only got me

• more water
• a larger cup

No topping of whipped cream. No marshmallow.

Again, this didn't register until I took my first sip of the diluted concoction. It tasted horrible. What would you do? Take it back or just take it? I'm wimpy when it comes to complaining. So I drank it. My goal was something hot, after all. As I neared the bottom of the cup, the flavour got stronger. You know why? The powder had not been stirred properly. So for a few sips I got proper hot chocolate and then an over-sweet mixture. There was some chocolate paste left at one side of the cup.

A tea bag can make one cup or two. Not so with hot chocolate. Surely the server knew this. Yet did nothing. Except earn extra profit. You see, the beverage server was also the owner. There's no novice employee at fault.

For want of a nail, the shoe was lost.
For want of a shoe, the horse was lost.
For want of a horse, the rider was lost.
For want of a rider, the battle was lost.
For want of a battle. the kingdom was lost.
All for the want of a nail.
--- Benjamin Franklin remixed

We can easily under-deliver and then get surprised when the customer doesn't return. On the positive side, I didn't get extra calories. And I got a blog post.

Have you experienced bad service? What did you do?