Visit a restaurant, retail and/or entertainment operation of your choosing and conduct a Secret Shopper Analysis of the service received.

Disney Institute

The Disney Keys to Excellence – Seminar Notes

September 8, 1999

Walt Disney World Success Formula:

• Quality Cast Experience + Quality Guest Experience + Quality Business Practices = Future [It’s like an algebra equation, what you do to one part of the equation, do to the others]

Employee Selection & Training:

• Hire for attitude and train for job skills.

• Potential employees watch a video about the different employment opportunities/expectations and then select which one/s they feel are the best match for them (15-20% of people do not apply after viewing the video).

• Employees are trained on traditions before they are trained about job duties. The average employee goes through 2-1/2 weeks of training before starting their job.

• To create employee loyalty Disney uses: an effective selection process, effective training, a supportive environment & recognition.

Set Expectations and Provide the Necessary Tools:

• It is everyone's responsibility to keep the park clean. If the Vice President is unwilling to pick up trash to help keep the park clean (one of the guest expectations) then why would a Cast Member desire to?

• The guests help keep the park clean (and are given the tools to do so). Trash cans are located every 25 steps/paces because they learned that the maximum distance people will travel to dispose of something is 27 steps/paces.

Creating Customer Loyalty:

1. Decide what level of customer service you want to provide (Walmart or Nordstrom?)

2. Universal definition of poor customer service = not meeting customer expectations, this is challenging because everyone's expectations are different!

3. Due to all the choices customers have, business today is 10% product and 90% service

4. People will give your product the benefit of the doubt but not your service

5. Service problems are usually indicative of system problems

6. Guests may not always be right but allow them to be wring with dignity

7. Develop relationships that create a demand for something that is still under construction

8. Know your customers! FAQ's at Disneyland: where is a bathroom? Where is Mickey Mouse? What time is the 3 o'clock parade?

The guest asking where is the bathroom wants fast and accurate information. The guest asking about Mickey wants to know where they can find him and when (there are multiple Mickeys out and about simultaneously and their locations are carefully designed so you won't see two near each other, yet provide as many guests as possible the opportunity to see him). The guest asking about the parade wants to know when the parade will pass by where they will be at 3 o'clock (the Cast Members have a grid that shows this exact information for easy reference).

9. The average family takes 370 photos while at Disneyland. 5% of all of Kodak's film processed includes pictures of Disneyland. Cast Members are encouraged to offer to take pictures of families so that they will have a complete family picture of their visit.

10. Wow Factor! New customers don't require, but it is a nice touch. Returning customers want a wow experience.

11. Customer Loyalty Model = Make a promise + Engage the Minds of Guests and the Hearts of Employees

12. Customer Loyalty is about tapping into emotion, giving guests a memory and something to share with others

13. Customer Loyalty Characteristics:

· Relationship

· Attachment/Affection

· Honesty/Trust

· Value

· Reliability/Dependability

· Repeat Business

14. Create value for your customer and they will develop a loyalty for your business.

15. Repeat customers are important, advocates are essential

16. It takes 47 positive experiences/interactions to make up for 1 negative experiences/interaction. Over the course of an eight hour visit, guests will run into an average of 60 Cast Members. So if they have one negative experience, nearly all the others Cast Members they see will have to provide a positive experience for them.

Why customers leave:

· 1% die

· 3% move away

· 5% influenced by friend/family to go elsewhere

· 9% lured away by competition

· 14% dissatisfied with product

· 68% dissatisfied with service, attitude of indifference from employee

Cycle of Service:

• A cycle of service is all the points at which a customer has contact with your company in some way (i.e. Disney Parking Lot).

· People pay $5 to park, this covers cleaning the lot and providing service

· 17,000 people get locked out of their cars each year. 1,100 of the cars are still running!

· Can you help me find my car? All Parking Attendants have a grid of the lot and times at which each quadrant was filled so all they have to do is ask the guest when they arrived and then take them to that section. (give them to tools to succeed)

Disney Service Recovery Matrix:

+

Severity

-

- Responsibility +

A-Ha's:

• The only places in Disneyland where the Cast Members are trained not to smile = Haunted House at Disneyland and the Tower of Terror at Disneyworld (how do expectations vary within your company?)

• Inspect what you expect. Discuss Expectations. Give a timeline for correction and then follow up. In 1956 Walt rode the Jungle Cruise, it took 6 minutes and the ride was supposed to take 9 minutes and be exactly the same every time. Walt spoke with the employee, explained his expectations and gave a timeline for correction. Walt then followed up by riding all seven boats on the Jungle Cruise and congratulating the staff for a job well done.

• The only thing worse than training an employee and having them leave is not training them and having them stay.

• Take 5 minutes to reach out and connect with 5 people a day that you may not otherwise.

"Hero"

Guest doesn't know where they parked.

Help them find their car and Guest may tell others about his/her positive experience.

"Red Carpet"

Space Mountain breaks down and people are stuck on it for several hours.

Whatever it takes to recover the customer (i.e. free Season Pass)

"Empathize"

Guest has a flat tire.

If possible help them or refer them to someone who can.

"Fix It"

Guest orders salad with dressing on the side.

Fix it and comp meal (depending on severity of mistake).