Tuesday, February 5, 2008

Dunkin's

Dunkin Donuts… It is by far one of my most favorite fast food retail outlets to visit. Since I was a little boy growing up in the suburbs of Boston, my parents would always bring me to Dunkin’s after Sunday morning mass. Boy, did I love being treated to a butternut donut while mom and dad got their coffees after Church.

Twenty years later, I make a daily trip to the local Dunkin Donuts almost every morning. Their coffee, whether it is ice or hot, always gets me going for the busy day ahead. Although I enjoy their fantastic coffee, something else inside me draws my attraction to the brand.

Like so many other Americans that visit Dunkin Donuts routinely, I find myself purchasing the company’s products not only because of the quality taste of the coffee, but because I get a relief and a sense of comfort or sense of security from their products.

Let me elaborate. I could easily do without paying $2.26 for a medium ice coffee everyday. Aside from the natural attraction to caffeine, I’m confident I could eventually stop drinking coffee all together. When I think about it, the company’s stores are fairly plain and boring as well. The fluorescent lighting, and the long lines don’t add much value to the products. So what really drives me to pay for all those coffees?

Buying a coffee from Dunkin Donuts is something to look forward to. It is not only something to look forward to, but it’s a place I can go to get something that will help me through my day. It’s a place I can go that will give me a boost when I need it. No matter how bad (or good) the day is going, no matter how busy or rushed I feel, it is truly a relief to visit a nearby Dunkin Donuts and order that trusted ice coffee that has gotten me through so many days of the past.

Not only does the product provide me a boost, but for nearly twenty years, I have been getting a sense of comfort and security when I buy Dunkin Donuts products. I don’t think there is another brand in the market where I have as much loyalty in as Dunkin’s. This loyalty does not result from a beautiful retail environment, or from outstanding customer service, but rather from a simple, yet unique product that has always been there for me and my family for many years. Its history between my family is what differentiates itself.

Sure, you may argue that customer service is crucial in today’s competitive fast food market. But I argue this- if a consumer can bond with a product so closely over a long period of time, and that loyalty towards the product has been engrained over the years, the value of that product is significantly higher versus a competitor who may have a nice retail store, or offer above average customer service, or differentiate itself in other ways.

Having a long, positive history between Dunkin Donuts and myself is a great example of my “eternal” loyalty to the brand. The retailer’s coffee has always been there for me. I have become emotionally attached to the brand, and thus have been transformed not only into a loyal customer, but a Dunkin Donuts brand zealot. A long lasting history between a brand and a consumer is a powerful differentiator in today’s marketplace.

Tuesday, January 29, 2008

Welcome to "YCTS?"

I've heard many times on CNBC that the United States' economy is considered a "service economy". The latest time I heard it on the news I thought about it a bit. It made sense to me when I heard that we were participating in a service economy because the latest "product" that I paid for was in fact a service - a home inspection that cost me $455 dollars (which included a radon water and air test). The last true hard product I bought, well liquid in this case, was a fill up at my local Exxon. Sixteen gallons of 87 octane unleaded at $2.96 each. I didn't just receive gas, I also got some service.

What I mean by getting service is that I received more than what I went there for. For example, someone had to deliver that gas to the station. It wasn't just created there. I was also paying for the convenience of having a pump that could pump it into my car. There was a roof over my head to shelter me from the snow - not the cold however. There were lights to help me see what I was doing. The station was open beyond 5:00 and they accepted credit cards for payment- at the pump - at no extra cost. I much prefer this than having to prepay or go inside the store to pay. They also had an available squeegee and towels to wash my windshield (which I did not use because I knew three minutes later my car would be splashed with salty slush). At this Exxon they also offered free air should my tires need to be inflated. If I had wanted to visit one of my local no-name gas stations, they would have even pumped the gas for me!

All of these gas station conveniences were services that the station provided. No employee had to lift a finger at the time of my visit, but they were convenience services. How was my overall experience at this gas station? I give it a good grade. In fact, I might even visit it again. I'm actually quite certain I will visit it again because it is convenient - it is at the end of the road that I live on which allows for a quick fill-up without having to stray far from my normal commute. But most importantly, I will visit it again because the service was good. If the service was less than good, I might give it another thought and go the extra block to the no-name gas station.

We are very observant when it comes to how we are treated when we shop. Do you recall the last time you visited your local hardware store or supermarket and thought to yourself, "If they keep treating their customers that way, they will lose out on some business." Maybe you haven't thought that, but many people do. People expect good service when they fork over their hard earned dollars for something they need. Anything less than good might be recalled the next time someone asks you where to go for a gallon of paint or a bag of lettuce.

This blog is simply about service. Before you roll your eyes or click on that X in the upper right corner of your web browser, consider what our goal is. We want to call out companies that offer less than stellar service. Not less than good, but less than stellar. This blog will hopefully allow you to realize the service (or lack of service) you are receiving which you may not have noticed before. We collectively as an economy need to demand more from the small businesses and corporations we help support. We need to make them realize that there are options for our dollars - we can simply take them elsewhere.

D