The Disney Co. re-releases a 50-year-old animated film, and it makes millions. Apple creates a cell phone, and the world holds its breath. Toyota makes a hybrid car, and in the era of $3-per-gallon gasoline, the Prius becomes a legend.
Do these initiatives succeed because the companies make a marketing splash? Or because they deliver performance? Clearly, it’s the latter. There’s a lesson to be learned here: If you have a limited sum to invest in your business, opt for improving performance — every time. The long-term payback will be extraordinary.
The quality you provide to customers is the value they receive from the performance of your products and services. Quality can refer to the number of mistakes per million parts in a manufacturing process. It also can refer to the refreshing taste of a dessert at a frozen custard stand, the speed with which a pizza is delivered, or the friendliness of your service technicians when they greet customers.
Your marketing theme will not be taken seriously if your actual performance doesn’t live up to the promises you make. Here’s a phrase-association game. What do you think of when you read these descriptions:
• An amazingly well designed, user-friendly computer …
• Entertainment for all members of the family …
• A cup of coffee so delicious it feels like a reward …
Most likely, Apple, Disney and Starbucks. These companies first created incredible quality, then became known for that quality. High quality first, great brand second. The brand attracts and keeps lots of great customers, but you can’t successfully advertise what doesn’t exist. You can use the same methods for enhancing quality no matter what business you are in. Here are five steps to breakthrough quality:
1. Define the performance business you are in.
Disney/Pixar Animation Studio is in the motion and emotion performance business. Their quality is wrapped up in visually and emotionally appealing films. When Pixar’s standard of quality became dramatically greater than that of Disney’s animated films, Disney bought them out and put them in charge.
What performance are customers looking for from you? Do your customers want you to deliver faster (FedEx), break down less often (Toyota), make the buying process easier (amazon.com), or deliver breakthrough ideas (IDEO)? Focus on the performance you are expected to deliver.
2. Identify your current standard.
So, how are you really doing in the areas in which customers expect you to perform in? Ask your customers a few simple questions: In terms of our performance for you, what are we doing really well? Where are we average or below average versus competitors? How could we perform better for you?
If you ask 15 customers those questions, you will get an idea of your current reality. Now, shop the competition. Study the performance they are delivering. Look at it from the customer’s point of view. What is the competition doing better than you?
3. Focus on only two points.
As you work to enhance quality, focus on only two points: the point just ahead of the best performer in the world, and the point just ahead of where you are right now. Who is the best performer in the world in your particular area? What makes that organization’s performance better than yours? That is the only point that matters to customers. They want to be with the best of the best.
While keeping the highest standard in the world in mind, focus on getting to the point just ahead of where you are right now. Each day, move forward one step in terms of providing greater quality. And keep moving until you reach the spot just ahead of the best performer in the world.
4. The Tiger Woods Syndrome.
There is one danger to be on the lookout for. One day, you will be the best in the world in your performance area. Then what do you do? Tiger Woods and Michael Jordan faced that problem, but instead of looking back at the second best performer, they kept their eyes focused on raising their own performance bar. If you are the best performer in the world, ask yourself one simple question: How can I make tomorrow better than today in terms of performance for my customers?
5. Loop back with customers.
Customers have a neat way of keeping companies grounded in reality. In case you thought about coasting on past performances, remember that customers don’t care about the past. Continue to engage customers in meaningful conversations about the quality they receive from you and what would make it better.
Every time you increase your relevant business performance, it’s like putting money in the bank. Customers become more loyal, they purchase more of your products and services, they tell other people about the quality you offer, and they keep coming back for years and years. Quality is the real secret formula for long-term success. n
