How To Earn More Money From Your Customers
A reminder of what matters.
Last week, I had an experience that reminded me of what really matters when serving customers.
In today’s issue, I will show you the easiest way to earn more money from your customers and keep your customers for years and years.
LFG. 🦅
I Have a "No Tipping" Policy
I absolutely hate the new form of tipping culture.
I actively avoid local coffee shops because of it. I find it completely absurd when I buy a cup of coffee, and the barista flips a giant screen in my face and stares at me while I fill out the suggested tipping prompt.
I’ve always been a great tipper, but this new social norm has completely ruined tipping for me. Every time I found myself in this situation, I would feel anxious and slightly resentful.
I did all the work in this scenario. Why am I tipping you in exchange for doing zero work or adding any extra value to my life?
Side note: These tipping machines have actually decreased the amount that people tip, which is sad because there are plenty of college kids and single moms working hard at coffee shops getting hurt because owners are lazy.
Anyway, as a way to alleviate this small resentment I was building up, I decided that I’m just not going to tip at all. Obviously, I still tip 20% at restaurants, but if someone throws a screen in my face and says, “It’s gonna ask you a question,” then I instantly hit the no-tip button.
My Local Starbucks
On Wednesdays, I go to Starbucks.
We live on the edge of a giant lake, and there is a Starbucks on the other side. So every Wednesday, I walk across the lake to Starbucks. It’s a 2 1/2 mile walk there and back, so it feels good to get some steps in, enjoy the sunshine, and get out of my home office.
Last week, I did my usual Starbucks run, and the most amazing thing happened.
I walked in the door as usual, and the girl working at the counter said, “Hey Tim, do you want your small black coffee again?”
I was almost shocked. I said, “You know my name?”
She said, “Yes, of course. You come in here every Wednesday and get the short black coffee.”
I instantly felt a big smile come across my face. It’s been so long since someone actually treated me like a valued customer that the experience felt alien. But I was instantly reminded of how good it feels to simply be recognized and called by my first name.
I asked her what her name was. She said her name was Addy. I imagine she’s a college student. I thanked her for her service, and then guess what I did?
I TIPPED HER.
Of course I did. I’m a human being. I love when people make me feel special and recognized.
Addy will get a tip any time she’s there.
Treating Your Customers Like People
Do you know why my customers stay with me for so long?
It’s because I am part of their team.
I’ve never seen myself as a vendor. One of the reasons why I spend so much time on reporting is because relaying information, both good news and bad news, is a way to establish trust and connection.
If one of my customers has a problem, I always call them. I call them personally, and I call them by their first names. If we have a bad month in terms of the results we’ve generated for our customers (yes, it does happen), then I tell them the truth and explain exactly why it happened.
I try my best to make my customers feel special. I want them to feel like I value them and appreciate them, which I do. I want them to say to themselves, “don’t worry, Tim will handle it”, and then instantly forget about whatever problem they were thinking of and go back to focusing on whatever is most important to them.
You don’t have to lose this cultural ethos as your company gets bigger. In fact, there are many big companies that do a great job making their customers feel special. Zappos comes to mind. I remember one time they sent me a new JanSport backpack because I posted on Instagram that JanSports are the only backpacks I would ever wear and I needed a new one because I’d had mine for so long.
I’ve bought my Chucks from Zappos for more than 10 years.
These things matter. Remembering people’s names matters. Making them feel special matters.
Personalization is a tool for growth, but it’s also a tool for happiness.
Don’t lose the people in the data.
Love you guys. Talk to you tomorrow.
Tim
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Insightful.