Losers vs. Leaders: Are You Punishing Your Customers?

How are you punishing your customers for doing business with you? Delta recently decided to join the other airlines who are losing money and charge their coach customers $15 per bag for flying with them. Platinum and gold flyers are exempt but their families traveling with them aren’t. Most of you know that Delta who lost over 4 Billion in the first quarter of 2008, purchased Northwest, who also lost several billion in the same quarter. It celebrated by charging fees it never charged before.

Meanwhile Southwest Airlines, the industry leader still has no luggage fee for first bag. In a recent poll from Michigan State University, southwest still ranked above the other airlines in customer service and satisfaction by over 11 points while Delta ranked near the bottom.

Question: How are YOU punishing your customers for doing business with you?  Wouldn’t it make sense to go out of your way to accomodate your loyal fans or customers?

It makes as much sense as states who are raising taxes on their wealthiest residents, then watching them move out of state. We raise “Sin Taxes” to not only punish those who participate but curb their adctivity.then we are surpirsed when people are over charged or over taxed and they quit living in the state or using the airline.

Prediction: Delta and it’s friends will lose more money, overbook flights and charge more until they go bankrupt again – and they WILL go out of business. All Southwest has to do is keep doing what got them there.

In a recession the smartest thing you can do is re-invent your business model and income stream scheme. Delta is doing the same thing that got them broke in 2007 and will get them broke again. Who cares about the customers? Make’em pay! That’s what they get for doing business with us!

Advertisements

1 Response to “Losers vs. Leaders: Are You Punishing Your Customers?”


  1. 1 Michael Benidt July 22, 2009 at 6:25 pm

    We just flew Southwest to Phoenix and because of the need for various types of clothing (winter wear in meeting rooms and swimsuits and shorts outside) Sheryl had an extra piece of luggage to check. We braced ourselves to pay for her extra bag, but when we arrived at check in, they just said, “No need to pay.” The agent did look up and say, “But, we still have a blast making fun of the airlines who do charge for the first bag.”

    They’re not only funny and fun, but they know the first rule of good customer service – “Always Say Yes.”

    Hmmm,… any wonder that we always fly Southwest whenever we can now.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s




Newsletter Sign Up

Share this blog.

Bookmark and Share

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 2,041 other followers

Calendar

July 2009
S M T W T F S
« Jun   Aug »
 1234
567891011
12131415161718
19202122232425
262728293031  

Pages

Twitter Feeds

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 2,041 other followers


%d bloggers like this: