My wife is a (frequent) consumer of Starbucks coffee and the other week while paying for her Iced Non-Fat Latte I noticed the book that the founder Howard Shultz had written titled "Onward - how Starbucks fought for its Life without Losing Its Soul". I have always been impressed with the business model that Starbucks has, essentially selling the experience rather then simply a cup of caffeine, so this book intrigued me. I immediately went to my Kobo app on my phone and purchased the book (thank-you to the the wonderful world of e-readers and mobile technology). This was a fascinating read on the turnaround of the company thorough returning to the value proposition that Starbucks stands for.
Schultz states:
Schultz is so obsessed with the atmosphere of his stores that he actually cancelled one of the best product launches that Starbucks ever had -- the breakfast sandwich -- for the simple reason that he occasionally smelled burnt cheese when he entered a store. This was an experience he felt was not consistent with the image or value proposition he wants Starbucks to project.
Image is everything in retailing, the way that you display both the physical layout of the store and the way that the people appear, provides a deep message with respect to the value proposition you are presenting. In the case of Starbucks they definitely are not presenting the image of a quick cup of coffee to inject one with sufficient caffeine to get you through the morning and every sight, sound and smell in their stores is connected to the image that is connected to their brand.
I have dragged Starbucks advertisement on long enough, I know you are asking yourself what does this have to do with financial services? Bank branches are becoming more like retail stores everyday with consumers having a larger number of choices in both brands and distribution channel. While banks do not provide a physical product to sell, the experience that clients are looking for is that of a high end retailer. When you look around the branch you work in, do the sights, sounds and smells help sell the value proposition that we are conveying through our advertising and through and advice to the clients? Does your office and even the way you dress help provide the client with the confidence that you can deliver on the value proposition that brought them into your store? The most successful retailers have proven that the connection between appearance and value proposition is strong.
One of the ways that I am in most control of my company's and my personal image is through the way I dress. This is not the beginning of a strict dress code as I am not necessarily a fan of dictating what people wear, however we each need to remember what the value proposition is for our company and how our personal image impacts it. As an organization we do need to allow expressions of individuality and how one dresses reflects the individual. Dress codes can be taken too far and UBS's (United Bank of Switzerland) dress code has gone viral due to the severe restrictions they apparently place on appearance. If you have time, have look at their policy UBS Dress Code and let me know what you think. To contrast with UBS's strict dress code you could compare it with the Huffington Post article describing the Government of Japan's newSuper Cool Biz dress code. Japan is attempting to reduce energy consumption by 15% by moving thermostats to 28 degrees Celsius, making their traditional office garb a little too warm and they are now encouraging Aloha shirts at work - this will not likely catch on in that culture.
I took the opportunity to discuss how important professionalism is with one of our career sales force Sales Mangers, Ann Gow. Please have a look at this quick video to hear her comments:
First Impression Matters from Michael Adamcryck on Vimeo.
The next morning you are trying to decide whether to wear a shirt and tie today or simply a golf shirt, think about how this controllable activity connects to the value proposition you are delivering.
Schultz states:
At the very heart of being a merchant is a desire to tell a story by making sensory, emotional connections. Once, twice or 16,000 times. Ideally, every Starbucks store should tell a story about coffee and what we as an organization believe in. That story should unfold via the taste and presentation of our products as well as the sights, sounds, and smells that surround our customers.
Schultz is so obsessed with the atmosphere of his stores that he actually cancelled one of the best product launches that Starbucks ever had -- the breakfast sandwich -- for the simple reason that he occasionally smelled burnt cheese when he entered a store. This was an experience he felt was not consistent with the image or value proposition he wants Starbucks to project.
Image is everything in retailing, the way that you display both the physical layout of the store and the way that the people appear, provides a deep message with respect to the value proposition you are presenting. In the case of Starbucks they definitely are not presenting the image of a quick cup of coffee to inject one with sufficient caffeine to get you through the morning and every sight, sound and smell in their stores is connected to the image that is connected to their brand.
I have dragged Starbucks advertisement on long enough, I know you are asking yourself what does this have to do with financial services? Bank branches are becoming more like retail stores everyday with consumers having a larger number of choices in both brands and distribution channel. While banks do not provide a physical product to sell, the experience that clients are looking for is that of a high end retailer. When you look around the branch you work in, do the sights, sounds and smells help sell the value proposition that we are conveying through our advertising and through and advice to the clients? Does your office and even the way you dress help provide the client with the confidence that you can deliver on the value proposition that brought them into your store? The most successful retailers have proven that the connection between appearance and value proposition is strong.
I took the opportunity to discuss how important professionalism is with one of our career sales force Sales Mangers, Ann Gow. Please have a look at this quick video to hear her comments:
First Impression Matters from Michael Adamcryck on Vimeo.
The next morning you are trying to decide whether to wear a shirt and tie today or simply a golf shirt, think about how this controllable activity connects to the value proposition you are delivering.
The UBS dress code is unbelievable, however there are many valid points applicable to our Bank. I observe dress inconsistency in branches, especially among frontline staff. The irony is the CSRs and CAO are usually the first face a client sees. I can appreciate where the Bank is going with standard jackets in the retail stores...
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