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Greed vs. The Customer Experience

September 20, 2005 | Comments 20 Comments

Almost a year ago I put a whole lot of thought into a concept I called “The Sweet Spot”.

The Sweet Spot is that special place where customer needs and business needs are in perfect balance. It’s an extremely tricky place to be. So much so that you should be commended, as a Web professional, if you even make the attempt.

(Usually the front line Web professionals are taken out of the equation altogether, so don’t fret if you have no say in these matters. I feel your pain.)

As the Web stands right now you can make boatloads of money by ignoring the customer experience. Sad but true. However, I think that’s a losing proposition in the long term. People are starting to wise up and the adverse effects it can have on your brand could hurt you for years.

In my experience it seems to make good business sense to side with your customers anyway. But it does seem like that’s pretty rare. The lure of more and more “easy” money seems to take over and the experience falls by the wayside.

The Lure of Green

I’m all for people making money on the Web. I usually don’t mind advertising and I know why it’s there. I also know, first hand, how hard it can be to do advertising right. As well, I don’t mind paying for a content or service, as long as it’s reasonable and it makes for a better experience.

The process of figuring out how much money you can make with your Web site or application, and still provide a good experience for your customers is a rough one.

Especially when it comes to advertising on the Web. Ads are in direct conflict with a good experience. They have to be somewhat intrusive to be effective, but you go too far and you lose readers or customers. You simply can’t have ads and not hurt the experience.

The problem is, as a publisher, you need to have ads to make money in most cases. As Web publishers have been finding out for years, people have an ever harder time paying for content than they do dealing with ads.

But you can find an acceptable balance between ads and a good experience. I’m trying to do that here on my site, and I know many publishers who put lots of thought into how to place ads on their sites. But, again, it’s tricky. Do it wrong and what you think is beneficial actually ends up hurting you.

When it really gets bad is when a publisher combines ads with pay-for content with no regard to the experience.

Example: ESPN.com

A perfect example is ESPN.com. They’ve damaged their experience to the point that it’s almost unusable. All because they’re seemingly trying to make a few extra (million) bucks. If this doesn’t cost them loyal readers I’d be really surprised. I know I don’t use ESPN.com much any more. And I used to go there every day. I sure as heck won’t pay for anything they’re offering any more.

  • They move things around all the time, making it very hard to find things consistently. Presumably they do this to keep you hunting and pecking around the site and looking at ads.
  • They’ve recently added one of those splash screen ads, thus barring your way to the home page. After so long without them it was impossible not to notice.
  • The ad stuff is barely tolerable, but they also keep moving content into paid services, at ridiculous prices. It seems like every time I turn around they’re taking away something that was free or upping the prices — if they’re doing that they should also be removing the ads.
  • To top it off, you have to view and bypass all sorts of ads to even get to the paid content. There are no short cuts, and they tend to make you re-login and look at even more ads anytime you try to do anything.

Some of this might be due to poor design decisions, but the overall message I get is that they’re all about the money and they’re not passing any benefit on to me, the customer. In my mind that shines a bad light on ESPN’s entire brand. I get the feeling they don’t care a whit about me as a customer.

Now, realistically, they’re big enough and have a strong enough brand that they’ll probably get through it. With a boatload of extra coin in their pockets no less. But there is a lesson to be learned here. I honestly don’t think many companies could do what they’ve done and actually benefit from it in the long run.

And, regardless, it’s damaging to their brand.

The Customer Is Always Right…Right?

I’m a firm believer that experience will matter more and more as time goes on. I also think experience will be a key component in anyone’s branding efforts. Especially on the Web. As we’re presented with more choice and more opportunities to find the products and services that truly suit us, the more the customer experience really matters. Sometimes it’ll be the only thing the customer can hold on to.

I know it’s important to me. Give me a choice and I’ll almost always go with what I see as the stronger brand. That impression is usually based on my experience with the company or the experience of other’s passed along to me.

It’s important, if you want to maintain your brand online, to try and align your business with the needs and desires of your customers. This means making design decisions that benefit them, while still trying to find ways to pay the bills. It means responding to their e-mails in a timely and friendly manner. It means providing content that is easily found, read and written in a tone that puts a smile on your face. It means be honest and open with people. It means giving a little extra to your loyal customers.

It’s a lot of work, but I think it’ll pay off in the long run.

A Few Good Brands

I thought I’d take a second to talk about some folks I’ve had personal experience with who I feel are doing it right:

  • 37 Signals. The products are well worth the cost. They’ve upped services without uping prices. They’re responsive and personal.
  • Neves. Nice, easy to use site. Great products. They’ve given me a little “extra” every time I’ve ordered from them. Their correspondence is light, funny and informative.
  • Coudal Partners. I ordered some JewelBoxes and the service was great. They were able to work with my special needs and gave me a special price plan to fit. They were quick and friendly with all correspondence.
  • Dreamhost. Sure, I get a kickback for recommending them. But the service is great, cheap and full of extras. They add free stuff to my service all the time. They’re friendly, funny, open and great at providing the info you need to get something done.
  • Gawker. For what they do they’re pretty good. They care about the quality of the content. They actually take the time to worry about how their ads effect the experience of their readers.
  • Amazon. They’re not perfect and at times I think they tinker too much. But they’ve got most of it down right. I usually have no problems using their site. I tend to find what I’m looking for and the checkout process is cake. The few times I’ve had issues they’ve been very responsive and easy to work with.
  • PayPal. I was very pleasantly surprised when I had to sort out my first issue with PayPal. The experience wasn’t perfect, but it ended up much better than expected. I was able to figure out the process online easy enough and when I had to contact them to help me sort things out they were responsive, friendly and helpful. Their service seems to work well for me and is relatively easy to use. It goes to show that a little can go a long way on the Web. Probably because there are so many who don’t do much of anything to improve the experience.

Do you have a company or band you think does particularly well online?

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Comments

1. William Stewart said:

One of my favorite companies is “Woot!” They only sell one product each day for a good price, they have a hilarious FAQ/Company Statement, and their only ad is a miniscule sponsor link on the top of the page.

As their FAQ admits, customer support is virtually non-existant:

I want to talk to a live person there, can I call you? No. We are busy sourcing new products and shipping orders. You can post a comment to our community board, but we don’t guarantee we’ll respond. You should Google for the manufacturer contact to get product answers – we suggest a dating service, magic 8 ball, or ouija board for general life solutions.

Woot gets it right. They deliver low prices at the expense of hundreds of links, a fancy site and 24/7 support. They have only one gimmick – selling one product cheaper than the other guys – and they stick to it.

BTW, I am not affiliated with Woot!

Posted on September 20, 2005 09:27 AM | #

2. Henrik said:

I tried reporting stolen/misused accounts to PayPal, only to find that it was impossible to get in contact with them without an account myself. That kinda sucked…

Other than that I’m afraid I’m too young to be dealing with companies on the level you are, but pagina and datorbutiken had very quick deliveries and datorbutiken were friendly and sent me a cpu fan for free when this one was making funny noises.

Posted on September 20, 2005 10:46 AM | #

3. Christian Watson said:

I can’t comment on the ESPN experience, but I do agree with what you’re saying.

One point I do want to make is that as a user/customer, I don’t think advertising per se is a bad thing.

As a purchaser of goods and services (usually software or related services) I often look to ads - be they sponsored listings on SERPs or ads on relevant sites - as a way of quickly finding vendors who might be able to provide these goods/services.

My thought process is (usually correctly, in my experience) that if a vendor has put some money into advertising a product, then it is probably worth my looking at it.

This certainly saves me a lot of time when I am looking to buy something.

Posted on September 20, 2005 12:37 PM | #

4. Coudal said:

Thanks for the comments on Jewelboxing, we have found that a blazing reply can go a long way towards turning an inquiry into a customer.

Here’s another interesting thing. When people write and ask for a sample we generally reply immdediately with a “Sure thing. Where to?” For every ten people who ask for a sample, seven eventually buy. That’s because our product is very impressive when you get it in your hand. But check this. Two of the seven buy before they ever receive the sample. It’s like the fact that we’re willing and friendly about it is enough to convince them to give our product a try.

Posted on September 20, 2005 12:47 PM | #

5. Chris Hester said:

Before we praise PayPal, perhaps some recent events need to be considered:

  • The Inquirer: Paypal freezes Something Awful’s relief fund
  • Digg: PayPal Blocks Million Dollar Homepage
  • Posted on September 20, 2005 12:49 PM | #

    6. Keith said:

    Coudal – “Two of the seven buy before they ever receive the sample. It’s like the fact that we’re willing and friendly about it is enough to convince them to give our product a try.” Exactly.

    I just had a horrible experience with Vonage, that got worse and worse. If I felt at the beginning that they even cared about my problem, I’d have probably been much more inclined to work it out. Sometimes a little extra effort can go a LONG way.

    Posted on September 20, 2005 12:53 PM | #

    7. Gabriel Mihalache said:

    The problem with people like those running ESPN.com is that they client is not you, but rather the advertisers.

    If advertisers ask for generalized weirdness that annoys you, the ESPN team delivers. If the visitors numbers will decrease, then so will these tactics (or maybe they’ll increase, burying the site)

    The people who need to understand your concernes are not necessarily the people building these sites but rather the advertisers which are in love with these stupid tricks.

    Posted on September 20, 2005 01:49 PM | #

    8. Keith said:

    Gabriel – When ESPN asks me to fork out $30 for content I am the customer.

    Also, without readers they’ve got no advertisers. I get the point you’re making and you could be right that advertisers are the problem. In that case the people at ESPN should be smart enough to battle the advertisers a bit. I mean if people jump ship, so will the advertisers.

    Posted on September 20, 2005 02:01 PM | #

    9. Mike D. said:

    Gabriel is exactly right here. Your $30 is nothing compared to advertising revenue. Even when combined with everyone’s else $30, it’s pocket change.

    And yes… I can also attest that advertisers do indeed ask for the “generalized weirdness” that Gabriel speaks of.

    Good post though… I agree with nearly all of it.

    Posted on September 20, 2005 03:11 PM | #

    10. monkeyinabox said:

    Boooo ESPN! Their site used to be a great reference for fantasy sports (of course I didn’t always win). Then they started pulling back content, slowly at first until there is almost nothing left. It’s not like are giving you a college education, it’s someones opinion on sports. Why in the world would I pay for that when it’s not something anyone else can get? Especially if it’s not always rock solid advice.

    And yes the ads have gotten worse and more obtrusive all the time. Their site is almost worse than watching their tv stations in regards to commercials you get to see. It’s probably the fact that fewer people are going to the site that they feel they need to have more ads and charge for everything. With the internet that never works because there is always something else coming along that is better and cheaper.

    Posted on September 20, 2005 03:54 PM | #

    11. Keith said:

    Mike – Good enough. But then why ask for the $30 in the first place? Is the pocket change worth it? Probably not, right?

    But anyway, I’m sure Gabriel is right, however, regardless of how much it is, as soon as I pay them, I’m their customer. The fact that they don’t care still sucks.

    monkeyinabox – I think much of that content isn’t even their own. They probably pay for it and pull it from elsewhere. Which is fine, I suppose, but I just feel like they’re really cheapening themselves too damn much with all this..

    Posted on September 20, 2005 05:00 PM | #

    12. Calrion said:

    I agree with your sweet spot theory, but also think that business need and customer need can overlap sometimes (which is great!). I think there needs to be a focus on what the user wants from a website; by designing with the user in mind we create a better experience.

    I also recently resolved my first dispute with a PayPal payment and was deeply satisfied with the way it was handled. I have absolutely no hesitation in using PayPal for any payments I make or receive. (If only they’d bring PayPal Visa card to Australia.)

    PS: Love the new redesign; similar, yet cleaner and tidier.

    Posted on September 21, 2005 01:15 AM | #

    13. Onno said:

    Nice description ‘the sweet spot’, it’s indeed a very delicate balance between user needs and business needs.

    I’m not sure wether the user actually is always right, but I’m sure most people will not visit a realworld shop after being told that they don’t get it. Or have to listen to 5 minutes of advertising before being able to purchase something.

    I’m pretty sure that sites with poor user experience will eventually run out of customers if they don’t change their attitude. It might take a while, but ease of use and simplicity of websites will prevail over irritation and frustration. Just as it has with cars and microwaves.

    Posted on September 21, 2005 02:26 AM | #

    14. geeky said:

    I’m so glad I’m not the only one who is annoyed with ESPN’s new web practices. I’m especially annoyed with the way the charge for links to local news stories, when I can look up those same stories with Google News and read them for free.

    My latest customer experience complaint is for PaperStyle.com, where I just ordered some invitations. I was told upon purchase that I would recieve a confirmation email - 3 days later, I still have no confirmation email, but my account has been charged. In addition, their order tracking page says “To view details on a particular order click on its order number”, yet there are no clickable links on the page! I would cancel the order, but there is no way for me to do that either.

    I’ve had consistently good experience with Amazon. They’re easy to use and always ship earlier than expected. Just recently I had a good customer experience with Apple, where ordering was super easy, I got what I ordered on-time, and the actual product (iPhoto photobook) surpassed my expectations.

    Posted on September 21, 2005 06:58 AM | #

    15. beth said:

    I think companies like ESPN approach the web in the wrong way. For a large company, with an established brand, the website (in my opinion) should serve to sell and reinforce the brand, not ads, because the site itself is just a big ad. Who wants to pay to see an ad? Take for example marthastewart.com, the advertising is unobtrusive. They offer a lot of free content as incentive to go buy the magazines, or watch the shows.

    Posted on September 21, 2005 07:15 AM | #

    16. Mike D. said:

    Keith: It’s mainly to show diversification of revenues. Most businesses are considered healthier when they have multiple, independent sources of income and ESPN Insider along with paid Fantasy products have been the most logical ways to show this diversification. If god forbid something really terrible happens to the ad market (like 90% of people start blocking ads), ESPN is in a position to gate at much of their content as they want. Additionally, it’s easy to add new and possibly expensive features to the site if you put them behind Insider. Let’s say the company wants to test out streaming a live NCAA tourney game. Make that publicly available and you can start to take servers down. Gate it with Insider and you can a nice controlled environment in which to test.

    I must stress that I’m not agreeing or disagreeing with any of these practices. Just explaining.

    Posted on September 21, 2005 09:45 AM | #

    17. Keith said:

    Mike – Oh I know. And I understand. I just think they’re going about it all wrong. I mean, I get why they’d do that, but they need to recognize that, as a reader, I don’t give a crap. I mean, how they run their business and the whys and hows of what’s presented to me aren’t something I even need to know.

    The message that’s being received (regardless of how it’s sent) is – “Pay up sucker. Oh, and by the way, please ignore our not-ready-for-primetime-shit.”

    I dunno, I guess I beleive (as I’m sure you do) that you can do all the things your talking about and still keep the readers happy. It’s finding the “Sweet Spot”. Like I mentioned, maybe ESPN is a bad example because they probably don’t need to do that. But most Web-based companies don’t have the brand, etc. that ESPN does to fall back on.

    Posted on September 21, 2005 10:15 AM | #

    18. Su said:

    Keith, you’re still writing for Gawker Media on an at least semi-regular basis, no? Standard disclosure practice is called for here.

    While their products are nice, I think I used to like 37S a lot more in the past. Lately, they’ve developed an increasing(-ly annoying) tendency to make proclamations which then devolve into a lot of backpedalling or outright silence once holes get poked in them. It’s really offputting.

    Dreamhost do make me happy.

    Posted on September 21, 2005 11:08 AM | #

    19. Michael Moncur said:

    My favorite example of this is TVGuide.com. Every time I look at their site it’s become less usable in some way. The ads get more obnoxious, and they take away features - for example, sometimes I want to look at a listing 3 weeks in the future, or a listing for two weeks ago. You used to be able to, but they’ve shrunk the available data to the point it’s nearly worthless.

    Every time I do this I wonder if it’s a scheme to increase subscriptions to the paper version.

    Posted on September 22, 2005 08:53 PM | #

    20. Paul Solecki said:

    Amazon really do have it right. I noticed an order should have been shipped 2 days previously and they apologised profusley(sp?) and gave me a £5 voucher as amends! The only problem I have with them is that after adding to a cart you can’t get back where you were…say page 34/100 which is a bit annoying.

    To be honest with many sites I’ve completely forgotten about advertising as I’ve been using adblock/Firefox for so long that hardly any sites show ads to me :)

    Posted on September 28, 2005 08:19 AM | #

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