The power of social media
January 15 2008 by Ellen Roseman
I’m a believer in posting your complaints online, especially when it’s done with a light touch (no name-calling, please). And I’m impressed when I see people set up websites to air their dirty laundry and provoke a response from the company that has done them wrong.
Jeff Jarvis got a rise out of Dell in 2005, when he posted his story on his Buzzmachine blog. He paid his time in Dell Hell and now he thinks the company has come a long way in learning from customers. Heck, he even got Businessweek magazine to pay attention.
Here’s a Canadian example, involving Nick Breau of Fredericton, N.B. His 52-inch TV set, purchased from BestBuy.ca in 2005, stopped working recently and he couldn’t get it fixed. He sent me an email yesterday morning:
A friend sent me a message that you may have contacts at Best Buy that can help resolve my situation. I have been fighting with Best Buy for the last 4 weeks to get a television serviced under their PSP (personal service plan). So far, all they have offered to do was refund the price I paid for my service plan and not service the set.
Breau knows computer code. So he started a website to express his outrage.
By mid-afternoon yesterday, he had an email from Best Buy, saying he’d get a refund of the $2,300 purchase price. That’s better than the previous offer to give him back the $300 cost of the three-year warranty.
What caused the about-face decision? Maybe his blog — and maybe my sending his email to several Best Buy contacts, asking them to do the right thing. This was one of the swiftest capitulations I have seen.
After reporting his victory at his website, Breau recommended checking the website of a social media expert in the U.S., Jason Falls, who recently gave a talk in Fredericton. I find some of his stuff mystifying to read, but I liked what he said about building brand communities. Something’s happening here.
Nick Breau
Jan 15 2008
I am curious to know if it was your contact or the post that made them suddenly so co-operative. Nonetheless, it does go to show what you can accomplish (in only a matter of days) by putting something online.
DT
Jan 15 2008
I had quite a bizarre experience when I wanted to buy a refrigerator from Leon’s. I’m sending my correspondence should you already have consumers running into problems with Leon’s business practice which I’ve described here.
Attention: The President,
Leon’s Furniture Ltd.,
Toronto.
Dear Sir,
As you have asked for feedback on our shopping experience at Leon’s, and as I feel it is to the best interest of consumers to have Leon’s remain a competitive Canadian-owned retailer, I have taken the time to send you this email.
On Dec. 29, my wife and I ordered a Maytag 18.9 cu. ft. refrigerator from the Scarborough store to replace our old less energy-efficient refrigerator. We also purchased the four-year Leon’s Platinum Protection Plan.
When we got home, we read about the Leon’s Integrity Pricing guarantee in the sales order folder and I wanted to do a pricing comparison on the Internet. Much to my surprise (and chagrin), I discovered that the sales order did not contain a proper description (name and model number) of the refrigerator we ordered, and contained an expected delivery date up to December 2008.
Had I not gone to the store the following day to cancel the order, legally my wife and I would have contracted to purchase any “18-inch Deluxe Fridge,” which Leon’s could take up to a year to deliver.
In my over 38 years working, living, and purchasing furniture and appliances from retailers in Toronto, I have never yet encountered a situation where the name and model number of the purchased appliance is not described in the sales order. Nor have I encountered a situation where the retailer can take up to a year to deliver the appliance.
Furthermore, I found out that the effective date of the Leon’s Platinum Protection Plan started from the date of the sales order, instead of the date that the refrigerator was delivered. Please see the attached Platinum Protection Plan sales order.
So, if it takes four weeks for a refrigerator to be delivered, in effect a customer would have been protected for only 3 years and 48 weeks in a 4-year Platinum Protection Plan.
I don’t know if you’d feel the same way as I do… but the above policies are certainly not fitting of Leon’s slogan “We Don’t Just Sell You A Piece Of Furniture, We Sell You Peace Of Mind”.
I wish to point out that we found the salesperson and the customer service staff to be excellent. The problem is with the corporate policy and procedures, which I found to be shockingly poorly designed for a corporation as large as Leon’s.
A simple procedure of taking a deposit from me before transporting the refrigerator from the Woodbridge store to the Scarborough store would have saved all the inconvenience of our canceling the order and now again having to shop around for that Maytag refrigerator.
Jason Falls
Jan 15 2008
Another powerful result of social media is when a friend of someone who was in the audience you spoke to links to your website. How pleasant a surprise to see you pointing people my way. Thank you in spades!
It’s true that social media is changing the way corporations do business. The watercooler talk is now seen by thousands and the Best Buys and Leons of the world had better pay attention or the repercussions of the negativity could adversely effect their businesses for years. Some companies get it. Others fear it. Still others haven’t a clue.
That’s where folks like me come in. I’m honored (oops, honoured) you would mention me on your blog. Thank you so much and thanks for sparking the conversation about social media here. The more learning that takes place, the better our marketplaces will be, both on-line and off!
Pam Breau
Jan 15 2008
I’m an old fogey (must be, I’m Nick’s Mom) and I just think this whole thing is sooo cool. I love learning from my kids!
HC
Jan 16 2008
Scenario One: My family and I were flying to Europe to attend a family wedding. The only difference? My family flew from Toronto Pearson on Air Canada and I flew from Detroit.
I went to the Duty-Free store at Detroit International Airport to buy two bottles of vodka and a bottle of aftershave. At checkout, the clerk requested my boarding pass and asked if Amsterdam is my final destination. I replied that is wasn’t and that I would be connecting in Amsterdam to fly to Copenhagen.
The clerk politely advised me that security in Amsterdam would confiscate all liquid purchases and that I should not buy them. There is also a well-displayed sign notifying passengers that if they were unsure of the duty-free security situation at your destination, they should inquire.
I immediately tried to call my family, who were boarding Air Canada at Pearson to warn them not to buy duty-free, but it was too late.
Scenario Two: My family, flew to Europe from Pearson. As in in Detroit, when my family purchased their Duty-Free spirits and some perfume at Pearson, they were also asked for their boarding pass. The clerk made no effort to inquire if
London was their final destination (which it wasn’t), nor was there any sign posted to caution passengers that their purchases would be confiscated if they transited through Europe.
That’s exactly what happened. Heathrow security took one look at the Duty-Free, confiscated all the purchases and threw them in the trash. To add insult to injury, they also mentioned that they confiscate enough duty-free liquor from Canadians to open their own store. In the meantime, my kids, who worked very hard to save money to buy their cousins some gifts,
were out $100.
I put it to you that those who run and own Toronto Pearson’s Duty-Free are very well aware of these regulations and rather than forfeit a considerable portion of their sales, they make no effort to have their employees ask if the boarding card displays the passenger’s final destination, nor do they post a sign in their stores warning passengers of the European regulations.
In fact, I would go as far as to state that they fraudulently sell Duty-Free products to passengers while knowing that these purchases will be seized. After all, that is the business they are in.
At best, this is blatantly dishonest and at worst, it is downright fraud. It is also quite possibly open to a considerable class-action lawsuit from the thousands of passengers who unwittingly purchase expensive liquor etc. at Toronto Pearson, only to have it confiscated in Europe. I have no doubt that the operators of the Duty-Free stores are well aware of this situation.
The Canadian public needs to know about this scam and any help you can offer in making this happen will be appreciated by all who have to fly through Pearson.
———————————————————————————————————————–
Ellen, Good morning. After writing to you and getting help with sending a complaint, I received this very apologetic and conciliatory email from the brass at The Nuance Group (Toronto’s Duty-Free owners).
It’s self-explanatory. However, I don’t buy their story about this being an isolated incident.
I wonder how many travelers returning to European destinations never bother to make a claim for confiscated goods and simply write it off to their own ignorance of the rules.
I suggested in my response that their staff inform travelers and that they also post a sign saying, “IF YOU ARE TRANSITING THROUGH EUROPE, DON’T BUY LIQUOR!”
While my son will receive a refund, I remain unconvinced that they are making any serious efforts to prevent this from happening in the future and their goal remains to sell as much liquor as possible, otherwise they go out of business.
Subject: Mr. C complaint
Please allow me to introduce myself, my name is James Van Rassel, I am the General Manager for The Nuance Group; we are the Duty Free operators at Toronto Pearson Airport.
I am in receipt of your letter dated Jan. 1, 2008; I received the letter from the Greater Toronto Airport Authority in order to respond.
I have read your letter and I understand your frustration and disappointment. You are correct; your family should have never been sold liquor as they were going to be on a connecting flight upon their arrival in London. They also should have been instructed that the perfume they wanted to purchase needed to be less than 100 ml. and able to fit in a clear sealable bag, which we should have supplied. I must apologize for the fact that it appears we failed to ask the correct questions and offer the correct information.
There have been restrictions in place in regards to liquids and gels since Nov. 6, 2006. Since this date, passengers have not been able to carry liquids greater than 100 ml through security checkpoints in any country in the EU. We have tried many ways to communicate this message to our customers for the past 14 months now. We have had signs at the cash explaining the security situation. Even with the signs, we still encountered problems with passengers losing their liquor purchases in Europe.
Most recently, we went with staff communication, both on the sales floor and at the cash. We have found that this has minimized the number of people who have lost their product. Unfortunately from time to time, we fail to execute on our standards at the cash desk. In your situation, this was the case. Once again we apologize!
I can assure you that we have never intended to sell product that will end up being confiscated by airport security personnel. There is one policy that we have had in place since Nov. 6, 2006. In every situation that we have been made aware of, where we sold liquor to a transiting passenger without warning that the liquor would be confiscated, we have offered a full refund to the customer for the confiscated product.
Please forward a copy of your receipt for the lost product and we will be more than happy to arrange for you to receive a refund.
I would like to thank you for taking the time to write this letter of complaint. With your permission, I would like to use your scenario in future customer service trainings. I believe it is important for the sales associates we have working on the sales floor to get a true appreciation of the frustration that can happen as a result of us failing to communicate the proper message to all customers.
JT
Jan 18 2008
Had to share with you my latest experience with Air Canada.
My wife and I flew to Vancouver from London via Toronto to have Christmas with the grandkids. Left the Sunday before Christmas and returned the Sunday before New Year’s.
Going out, our luggage didn’t arrive with us, but was delivered later that night. Par for the course, I thought.
Going home, our luggage didn’t arrive either. And I couldn’t help but notice that in London I was not alone. In fact, just about everyone on the plane was missing their luggage.
No wonder. Going down, there was an excuse. The connecting flight from London was held up because of weather and arrived in Toronto with only about 45 minutes to make the Vancouver connection.
Then I noticed, going home, that the flight left us even less time to make the connection to London. I knew they wouldn’t have time to open the cargo hold, let alone transfer the baggage. Hence, I suspect, the large luggageless crowd in London.
The next day, when the luggage didn’t arrive and we tried to call through the maze of connections, etc., we were told that because there were fewer flights due to the holiday, the chances are they wouldn’t get our luggage on the next plane because it would be full and it could be delayed even further. My wife’s bags arrived three days later.
But, I have to admit, Air Canada had its priorities straight. My son, who among other things owns a wine store in Yaletown, gave us a case of fine wine to take home. Early on New Year’s Eve, someone buzzed our apartment from Air Canada. No bags, mind you, but there was a delivery.
I went to the lobby to find a smiling delivery man with the case of wine in tow.
“We figured you might need this for New Year’s Eve,” he said with a smile.
How could you not appreciate that?
RS
Jan 21 2008
Read your article about Doug Schneider’s problems with Expedia and how he decided to set up http://www.myexpediaexperience.com.
You might be interested in http://www.cruisebumping.ca, which has all kinds of interesting links.
HVF
Jan 21 2008
As a long time reader of your Toronto Star columns, I felt you were the person who could assist me in my belief that I was caught in a “bait and switch” scheme being used by Holland America Cruise line. I have tried to communicate my disbelief in their tactics, but have not received a reply. My research has shown they have used this tactic before.
The cruise was booked through Vacations to Go, an internet site in Houston, Texas. I have had many dealings with this company and have no complaints about their services. Below is a saga of the communications that have transpired between us since the trip was booked on Sept 18, 2007.
COMMUNICATION FROM HOLLAND AMERICA, RECEIVED SEPT. 17, 2007
Dear HVF,
We are so pleased that you have selected Holland America Line for your upcoming Australia & New Zealand cruise. Part of the pleasure of travel is in the planning and anticipation of the enjoyment to come. In addition to consulting with your travel professional at Vacations to Go, we invite you to explore the links in this email as you plan the details of your cruise.
· CONFIRMATION OF PAYMENT TO HOLLAND AMERICA POSTED ON ACCOUNT SEPT 18, 2007
$2829.28 Canadian, converted to US Dollars $2985.29……including Port charges of $550.00
COMMUNICATION RECEIVED FROM BETHANY BROWN -P.R. DEPT. VTG - OCT 12, 2007
Dear HVF,
Vacations To Go has received a very important notification from Holland America regarding your upcoming sailing on the Statendam. The notification reads as follows:
“Due to governmental action, actual taxes for this voyage now exceed the estimates used by Holland America Line for purposes of releasing brochures and this product for sale. As a result, an increase of $87.94 USD per person has been applied to your booking.”
To discuss payment options for the additional tax amount, and for answers to any questions you may have, please contact your cruise counselor, whose contact information appears on your Vacations To Go confirmation. Thanks and best wishes!
Sincerely,
Bethany Brown
Assistant Manager, Cruise Site
Vacations To Go
COMMUNICATION THAT I SENT TO B.B. AT VTG ON OCT. 13, 2007
I think something is wrong here!
I paid the amount requested, in full, some time ago. Holland America will have that money for 3 1/2 months.
Any change in costs, whether it be due to Government taxes, the rise in the cost of fuel/food or the value of the American dollar on the world market, or any other reason, should be the responsibility of Holland America.
You do not pay for a product with the understanding that was the total cost, as so carefully detailed by Sebastian, only to be told sometime later that the company has made a mistake….I am sure that they have ways of making up these addtional costs by manipulating on-board costs! I do not authorize the additional cost being put on MY VISA CARD.
REPLY FROM MY BOOKING AGENT AT VTG ON OCT. 22, 2007
I received your e-mail in response to Holland America contacting you about the increase in government taxes for your Jan. 19, 2008 cruise. I completely understand and agree with your position on this, unfortunately, there’s nothing more that can be done.
The additional government tax amount of $87.94 per person must be paid, either by paying it now or at the ship (it will be added to your onboard account if not paid beforehand). Please let me know as soon as possible how you would like this handled. I apologize for the inconvenience, and again, I understand your position.
COMMUNICATION SENT OCT. 24 TO BOOKING AGENT AND VTG PRESIDENT
Thank you for your support on this issue. However, I disagree that there is nothing more that can be done.
I realize that Vacations to Go is in a delicate position as you do not want to lose the Holland America business. When I spoke to them some years ago, they indicated that over 60% of their bookings came from you folks.
I need an explanation as to why they think they can change a cost after the purchase of an item. This is unheard of in any business dealings I have ever had. Once a deal has been signed and money exchanged confirming the arrangement, the company cannot renege on this transaction because they have an unanticipated expense.
I have met my side of the bargain and I expect them to do the same. If not, their reputation in the travel industry will become suspect. I know that I would be unwilling to deal with them again and will make sure many other are aware of their unethical business practices.
As I suggested in an earlier communication, I think the wise thing for Holland America to do would be to “bite the bullet” on this one and write this additional cost off. When people committed to this trip, they paid considerable port charges ($550 in our case) in advance.
A wise investment of this money for 3 months should more than pay for the increase they are expecting.
COMMUNICATION FROM AGENT AT VTG OCT. 24, 2007
As stated in my previous e-mail, I completely understand and agree with your position on this, and if it were me, I would demand an explanation, too. And just so that I can be sure I’m communicating this to you clearly, this tax increase is not coming from Vacations To Go but, instead, directly from Holland America Line.
That being said, I’ll provide you with Holland America Line’s official stance on this, as stated in the “Details, Details…” section of their published brochures (available in print or online at http://www.nxtbook.com/nxtbooks/hal/asiapacific08/index.php):
“FARES, NON-DISCOUNTABLE AMOUNTS, TAXES AND SURCHARGES”
… If cost factors dictate the need for fare increases, Holland America Line may do so at any time prior to departure. …
The term “Taxes” as used by Holland America Line refers to certain taxes, fees and charges imposed by governmental or quasi-governmental authorities, including port authorities, relating to any aspect of your cruise or tour. If governmental action results in any element of Taxes exceeding the estimates used by Holland America Line for purposes of preparing this brochure, we reserve the right to pass through the extra amount.
Similarly, Holland America Line reserves the right to impose or pass through fuel surcharges, security charges or similar incidental surcharges. No right of cancellation exists under either of these circumstances.”
The key point I’d like to draw out from what is stated above is that Holland America “estimates” the government taxes on their cruises and tours. If Holland America Line underestimates the taxes, Holland America Line expects the passenger to pay the difference.
Please let me know if you have any additional questions, comments or concerns. Also, please let me know what action you intend to take at this point. I look forward to hearing from you soon.
COMMUNICATION WITH VTG ON NOV. 6, 2007
I have been doing some research and have learned that this is obviously becoming a “BAIT AND SWITCH” technique that Holland America seems to use often.
I have copied for you a short excerpt from the USA Today Blog that outlines their tactics….this time about a mistake in cruise prices. See below:
“As a travel agent, I am appalled by Holland America’s cavalier attitude. My guess is that when Holland America says that they can’t honor the fare because they are losing money on these customers, what they mean is that they aren’t making the profit spread they desire. I know that I will advise my clients of this incident and forewarn them that Holland America may ask them for additional money later, since the rate they were quoted may be a mistake. My guess is that a lot of customers upon hearing this news will choose to book another line. The bean counters at Holland America clearly have a created a lot of ill will with their current and prospective clients due to this decision and I’m sure that some who can’t afford the extra money may sue for compensation for airline ticket cancellation fees and other expenses incurred by Holland America’s gross negligence in this situation (taking 6 weeks to discover the problem).”
NOTICE I RECEIVED NOV. 21 FROM AGENT AT VTG
I’m just following up with your regarding to your upcoming cruise with Holland America Line on Jan. 19, 2008. Have you reached any decision regarding payment of the government taxes on your cruise? I’m concerned about this issue being unresolved at this time because Holland America Line has informed me today that as long as the balance due on the taxes is unpaid, they will not issue your cruise tickets and therefore will deny boarding. Please contact me as soon as possible to let me know how you want to handle your cruise booking and I will be happy to assist you.
Ric
Jan 23 2008
Although I agree 100% with slamming companies who refuse to listen to a customer or make things right, I also believe that it is important to praise a company or its staff member if expected or exceptional service is received.
I, like most of the readers and contributors here, have dealt with customer service agents both in Canada and offshore. Although I don’t agree with sending these jobs offshore, I am more than ready to compliment the agent when they do a good job.
Trouble is that most of the bad customer service comes from companies who first of all do not hire the right agents (either because of attitude or their inability to speak the language of the country they are providing service to) and then not training the agents properly.
I sometimes think that people criticize agents because they are irritated at even having to call them. This is usually because the company they work for has screwed something up and the first contact with that company is the poor agent who will now receive your wrath !!
So on a positive side, here are a few agents I have dealt with recently who were great:
The Palm technical agent in the Philippines, who not only fixed my problem 100% but made me feel good about calling her company.
The ICICI bank agent in India I called today in order to find out where their customer service centre was for Canadian customers. Answer is that like her, all customer service agents are in India but again she was bright, friendly and well informed about her company’s products.
The agent at Statistics Canada who explained how their website worked and how to “data mine” the information I wanted. He also added that I should understand that much of the information was misused by politicians to make their point (like how the average wage in Ontario is over $19 per hour).
And finally the Microsoft customer service agent in China some months ago, who gave 110% when trying to solve my problem (the final solution was to reinstall XP).
Although there are some really bad customer service people on the other end of our phones, there are also some great ones who need to be complimented for their GREAT service.
Finally on the subject of Air Canada and baggage.
Prior to my retirement 3 years ago, I had been flying at least twice a month for over 25 years. I have traveled to 40 of the 50 US states, all of Canada’s provinces and territories and many foreign countries. Not all of those trips were with A.C. but most were.
In all those trips I have NEVER lost a piece of luggage and on only 2 occasions have had luggage delayed to a later flight. I know it only takes one instance of all your luggage disappearing to make you really upset, but the reality is that most airlines do a great job of getting your bags to the same destination as the passenger. One key to good service is to get to the airport well in advance of your flight. It never ceases to amaze me how some people think that an 8 am departure means you can check in at 7:45.
Bottom line is if you get good service from an employee, make sure their company knows about it. On the other hand, if it is really bad, be sure to contribute to Ellen’s blog !!
Carole Schmidt
May 4 2008
I purchased 4 appliances at Leon’s in Sept. 2001. Within 3 months, my fridge, a GE Profile, had major problems with the freezer portion. After 2 different technicians came to “repair” the fridge, it was finally replaced.
I now have extreme problems with my front loading tumble action washer Frigidaire Gallery, model GLTF1240AS0.
The bearings are shot and the oil is leaking inside the tumbler and is ruining my clothes, notwithstanding the fact that during the final spin, the noise level has always been like a helicopter was in the house and my neighbours feel there is an earthquake as everything vibrates in their apartment. On the front panel of my washer in lovely dark grey letters are the words “sound silencer”.
After the initial shock of finding all my whites were smeared with oil, I called the manufacturer and was told that I had to wipe the rubber inside the washer door opening after every load. Of course the problem seemed to be solved when I did that and I continued to wash. Now the oil spill is reaching epidemic proportions and countless items have been ruined.
I have never heard of anyone having this problem and there is no mention of such a thing on the internet. I believe this is a manufacturing error and the maker is responsible for this even if the warranty is over, after all the washer is just 5½ years old.
Have you ever heard anything about this kind of problem? I will be calling the manufacturer tomorrow.
Thank you.