Gap 5 & Roswell
January 21st, 2008
The secret hidden in Roswell’s hangar is not an alien body or spaceship.
It’s Gap 5.
Gap 5 is the reason service contracts are terminated. The bigger the gap, the harder to retain the account. And for contractors, shrinking Gap 5 means keeping contracts longer.
Gap 5 is the difference between customers’ service expectations and their perceptions. As you can guess, there are four other gaps before Gap 5. But they only contribute to Gap 5. Gap 5 is the big enchilada. It’s why customers change service contractors.
Why is Gap 5 in Roswell?
Because it’s a secret.
Customers don’t tell contractors what they expect or how they’ll perceive service. Not explicitly. Not in ways contractors can work with. Also, customers aren’t being asked, or contractors don’t know how to ask.
Specifications aren’t in Roswell
Don’t get fooled into thinking specifications tell contractors what customers expect. Specs only tell the “what”, and sometimes the “where” and “when”. Rarely, if ever, do specs spell out the “how”, “who”, or “why” services should be performed.
When a specific task hasn’t been performed, customers cancel contracts with “you didn’t meet the specs”. However, you can bet the large majority of cancellations are much more subtle. This is Gap 5 in the flesh.
KPIs aren’t in Roswell
Key Performance Indicators are like odometers and speedometers. They show customers how far or fast service has been performing. However, they don’t state what customers are looking for, especially before service is performed.
The Importance of Gap 5
That brings us to Gap 5, which was created back in the mid 1980s as part of the ServQual model for assessing service quality. And although ServQual isn’t perfect, its Gap 5 provides a spotlight on a contract’s potential longevity.
Gap 5 Exposed: EXPECTATIONS
Gap 5 in the ServQual model shows customers’ expectations are driven from four places:
- Customers’ personal needs
- Customers’ past experiences
- Word of mouth
- Marketing communications from contractors
KEY TAKEAWAY: Only one of these factors is controlled by the contractor, marketing communications. The majority of customers’ information is outside contractors’ direct control.
This means contractors must deliver lots of value to existing customers, resolve issues quickly and to customers’ satisfaction, and treat everyone as if they’re customers for life. Because they are.
Gap 5 Exposed: PERCEPTIONS
Customers’ service is driven by two areas:
- Delivery of Service
- External Communications to Customers
KEY TAKEAWAY: Although contractors believe they’re in control of delivery and marketing, they’re not entirely. Perception is everything.
Contractors deliver service and believe customers have seen it. Not always the case. Services by nature are invisible. Customers can’t and don’t see everything contractors do for them.
Think about the day porter or guard helping an elderly visitor through the revolving doors into the building.
Contractors must tangibilize services. That’s what KPIs and Business Review Meetings help to do. But contractors must also seek ways of making their services more visible in ways that customers allow and appreciate. For example, a leave behind note on tenants’ desks when a special service has been done (washing a coffee cup?).
Not always an easy task when customers want their outsourced services to be seen as in-house by their customers.
The Roswell Conclusion
Contractors need to take actions to shrink Gap 5, or suffer high customer turnover as the consequence.
They must define customers’ expectations in ways the contractor can fully understand. Ideally, during the transition before the start of service. And in doing so, they’ll help make customers’ aware of their own expectations.
Also, contractors must make their service delivery as visible and tangible as possible, within the realms of customers’ approval. Then they must communicate their performance regularly (KPIs and Business Review Meetings).
How do you determine customers’ expectations?
~~~~~~
Chris Arlen
President, Service Performance
Technorati: account retention, customer service, service quality
Entry Filed under: Service
6 Comments Add your own
1.
sleepless on seattle coffee | January 24th, 2008 at 5:55 pm
Can you sell the truth persuasively? Absolutely. It is actually the easiest way to sell. You believe it, its provable, defensible. It is like a three legged chair, stable, reliable…real. Yet many people only use two of the three aspects at a time. Sell the truth or worse persuasively sell….neither works exceptionally well for the long run. While fact based selling is excellent for qualification type applications, “we do this”, it hardly convinces a client that a change should be made. People will generally be successful selling the truth, but without being convincing the success will be tempered. On the other hand comments such as “What a sales pitch”….”They don’t really or can’t do this”….are great cliches for a persuasive seller who can’t back it up. So rethink what it is you are trying to sell, break it down, re-engineer it from the ground up and see what makes your own operation tick. If you break everything down to its essence and you can’t sell the truth persuasively, that is the key to change what you do or maintain your existence in the used car slow lane. Short term, gadget based contracts, no relationships, maybe the occasional apologetic lunch or some sports tickets Mr/Ms upset client? Who’s passing you and your business, creating new sales at a rate faster than your business during the same tough economic times? Someone who broke down their business to its essence and found they can actually deliver what they say they can, and then became passionate about it. They understand that if you really can deliver, and you are proud of what you deliver, then you can sell that concept, hopefully persuasively. So how do you become persuasive? Study, practice and seek out a persuasion coach. A what? Check out the web, look for truth, persuasion and selling and you will find a plethora of options to read. This one a favorite, actually made me laugh a bit. These are actaul quotes….”In order to retain their attention, you should keep copy as concise as possible.” Alright, good advice. Next sentence gives me the tickle in my tummy…”Generally, longer copy is more persuasive than short because it gives you more time to sell. After all, the more a customer knows about your product or service, the more likely they are to buy it”. Complete contradiction. And as I read on I find this is a printed, researched author it drives home a key thing my father once told me, full of sage advice himself…not everything you read is good. So, back to the concept of a persuasion coach, lots of people lay claim to having this skill on the web. One such company, yes company, even has a snappy web address touting the fact.The lead sentence grabs your attention….”Persuasion pervades all forms of business interaction, whether dealing with coworkers or customers, subordinates or bosses, internal departments or outside suppliers”. Wow, they must have read the author’s quote earlier, concise but long, but didn’t actually educate me on anything, in fact the run-on and on sentence tuned me out. If you want to really find a persuasion coach, someone who understands your business and can help you break it down to its essence and help you take a deep look inside at what makes your organization tick, try applying for regional, state or national business award through a recognized and reputable organization. For really no one knows your business better than you and it a proven fact that when you try coaching others you become more leaned yourself. The American Society for Quality offers one such a program as does many others, and one time through the ringer will tell you alot about the strength and weaknesses of your operation. Then take the time to bridge the gaps, plug the holes and build a stronger foundation (thats it for cliches) and then apply again a second time and see how you have improved. Once you see what you really do, then, and only then, should you bring in a persuasion coach to help you start fresh with persuasive, sales materials based on the truth. The owner/operator of this website is one such persuasion coach.
2.
Chris Arlen | January 25th, 2008 at 10:31 am
It’s interesting how words carry legacy meanings.
Like “selling” can conjure up a plaid-jacketed used-car salesman.
Or, if we’re a salesperson and don’t want to thought of that way, we think of ourselves as “consultants helping customers buy what they want”.
Do you think the word “persuasive” is a negative, or positive, and how so?
3.
Michael | April 9th, 2008 at 8:20 am
We will always have to live in the shadow of the stereotypical salesman. The question of whether the word “persuasive†is negative or positive is dependent upon how we persuade. We can approach the word “manipulate†in the same way as to whether it is negative or positive.
The true question is “what is the motive behind being persuasive or being able to manipulate� The end result needs to be in the clients’ best interest, as well as being profitable for the contractor selling. So, how do we get there?
We often hear about the dissatisfaction of a potential client with their existing service provider. We feel the door is wide open with that prospect waiting for us with open arms. One thing is for sure, there is an opportunity for business, but the truth is the prospect is rarely waiting for us with open arms. He will be ready to scrutinize and find any weakness’s which may exist with the potential service provider.
Once you’ve past the “weakness†test you will have the opportunity to gather more information regarding the existing issues. You professionally communicate with the prospect gathering information which helps you formulate the solution to his needs. You know you can take care of him and provide the best service he’s ever received, the question is will he see your solution as his solution? The answer to this question is one of those little details that separate the good from the great. Does the prospect know the solutions to his existing problems other than just replacing the service provider? He may know the problems and symptoms, but does he really know the answer to the solution. It is a proven fact that most people know what they want, but don’t know how to get there. Has the sales consultant properly clarified all of the prospects existing needs and solutions with affirmation of understanding from the prospect?
This scenario is the appropriate time to professionally use the “persuasive†and “manipulate†words of action by demonstrating skillful and careful presentation of facts and solutions in a positive manner that will effectively influence the prospect to say “yesâ€. You know his issues; you know what he wants, now its time to lead him where you need him to go to realize he needs you. Sometimes the prospect looks like a sledgehammer hit him knowing that you nailed his real needs and now all his objections are taken away leaving him with the only choice of agreement. We’ve all heard the saying “the truth always hurtsâ€, this is why so many sales consultants under perform because they are afraid they may offend the prospect. The truth is, with proper presentation the client will respect you for your honesty and willingness to address the tough issues.
These are only my thoughts and experiences. Tell me what you think.
4.
Chris Arlen | April 9th, 2008 at 8:41 am
Michael,
I like your chronology of fact finding to presenting solutions. Classic consultative approach. Can be difficult in practice.
How do you get prospects to open up in the beginning and share their areas of dissatisfaction? How do you get them to tell you of their pain if you’ve just introduced yourself?
5.
Michael | April 9th, 2008 at 9:09 am
Chris,
The condensed/simplified version of the process can be deceivingly simple, can’t it? You are absolutely right about the process being difficult. It requires great planning, patience and self control to pull it off.
The truth of the matter is that it usually requires multiple meetings before the prospect truly understands your intent to work in his interest. Once the defensive wall has been dropped then, and only then, will the prospect share some of the details of the problems they have been having.
Even though it is difficult, a series of properly asked open ended questions, followed by affirmation and/or agreement with the prospect can propagate the divulgence of information we are looking for earlier within the selling process.
Once again this is a simplified condensed version of the process.
6.
Chris Arlen | April 9th, 2008 at 9:49 am
Realistic time lines are always helpful. From that first meeting to customer sharing of pains. Sounds worthy of an article or blog.
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