may 2008

Why do people hate the airlines?

OK…their track record for on-time service is spotty. And they often have trouble with luggage. Yet, many of the factors that influence performance are outside of their control (i.e. the weather).

What is most important to me as a frequent airline customer is safety. I’ve been on a couple of flights delayed because of mechanical issues and was just amazed by the moaning of other passengers. Yes…inconvenience is unpleasant. But, I would much rather have any “mechanical issues” worked out while the plane was still on the ground.

The recent announcement by American Airlines to charge passengers a first-checked-bag $15 fee produced an avalanche of unwarranted criticism in the blogosphere. It’s unfair to American Airlines and a shame their brand has to take such a hit. My reaction to consumers irate about the 15 bucks is just as strong as their whining: get over it!

American Airlines’ corporate communications team and PR shop Weber Shandwick did absolutely the right thing in devising a strategy that focused on explaining “why” this additional charge is necessary. Airlines are under tremendous financial pressure because of the rapidly rising price of fuel. I’m happy to pay a few dollars more to ensure an airline has the resources to run an efficient, safe and (yes) profitable business.

A tough lesson I learned as a small business owner is that there’s a significant difference between business and “good” business. Exceptional clients demand great work and accountability, yet also recognize the value of your counsel, treating you well, paying you on time and respecting a fair profit margin.

Airlines need to focus on their good customers and let everyone else find a different route.

American Takes Flak Over Bag Fee, Despite PR Strategy
http://adage.com/article?article_id=127309

Negotiator extraordinaire Herb Cohen attributes his success representing the interests of the US government during the Iranian hostage crisis, the skyjacking of TWA Flight 847 and the START arms control negotiations with the Soviet Union to a simple premise:

Caring…but not that much.

Make no mistake, Cohen certainly cares about every negotiation he participates in. The quality of his clients validates that. Since leaving public service, Cohen has helped settle the NFL football players’ strike and General Motors’ litigation issues, and recently negotiated celebrity contracts for Larry King and Cal Ripken Jr.

What Cohen brings to the negotiating table is an understanding of his client’s interests and that critical outside perspective. He is able to separate emotion from the process and provide an honest assessment of the best path to follow to achieve the desired result. Cohen is a true counselor.

That’s the position public relations professionals must always strive to achieve. What drives interest in a company among key stakeholders is answering the “why” question. To do this, we have to understand market trends. Be in step with our company’s growth strategy. And know the competitive landscape.

PR will earn the right to participate in meaningful decisions. We must then be prepared to provide honest counsel, even if it’s not what the CEO wants to hear. We have to demonstrate that we care…but not that much.

Read more about Herb Cohen:

http://www.negotiatethis.com/

Part of the foundation of a successful business is intimate relationships with customers and prospects based on honesty, integrity and loyalty.  Right?

The reality is that most companies are unprepared (and even unwilling) to deliver on that promise.  Consider a recent article in Computerworld about the stereotypical sales styles practiced by technology vendors that ostracize the very prospects they target.

 The 6 Most Infuriating Tech Sales Styles

http://www.computerworld.com/action/article.do?command=viewArticleBasic&articleId=316012&source=NLT_AM&nlid=1

Last month at the RSA Conference in San Francisco I chatted with the Chief Security Officer from a university based in Ohio who explained he spends his time at trade shows ducking vendors.  He was there for the peer networking and continuing education courses, and viewed the companies hawking wares as merely a nuisance.

This morning I read about an encryption software firm called Mobile Armor that employed a misleading product comparison matrix in its sales process that implied its product was better than competitors’.  Mobile Armor officials declined to comment for the article, yet have acknowledged that a consultant, who no longer works for the company, created the matrix without the knowledge of company executives.

Vendor Assailed for Unfair Marketing

http://www.fcw.com/online/news/152496-1.html 

The natural (and easy) reaction is to be outraged by the blatant lack of respect many companies display for integrity in the sales and marketing process.  Yet, as comedian Chris Rock once said in a skit about OJ Simpson’s alleged double murder, “I am not saying he should have killed her, but I understand.” (http://www.youtube.com/watch?v=V8Y7GlSmi3Q)

That’s because in many instances prospects -- because of a lack of expertise and time – are forced to make uneducated decisions.  As a result, vendors are placed in the uncomfortable position of balancing complete honesty in the sales and marketing process with the ability to effectively compete the marketplace.

Do you think I am off base?  Has a prospect ever asked if your firm has a particular competency and, to ensure you remain in the running for the business, you overstate your capability?  Any sales executive that answers “no” to that question is most likely on the street looking for work.

At Strategic Communications Group (Strategic), our policy is to never misrepresent our clients’ capabilities, track record or competitive advantages.  Yet, we also position our clients based on the company they are striving to become, rather than what they are today.