I stayed at a hotel this week that I had heard about but never stayed at. I can understand why I had heard good things about it – it has a distinct value proposition. There were original and engaging art installations throughout the hotel, which made an impact on the atmosphere, making it elegant, yet homely. Besides the artwork, there was a restaurant that has live jazz performance every night. Originally, I was planning to stay at another big-name hotel that was more expensive but on second thought I wanted to give this place a try. Now that I have experienced it, I’ll definitely be back. It’s a real pleasure when you find a place that has a very focused value proposition (targeted, differentiated, priced right, etc.). If you are ever in Vancouver, check out the Listel hotel.
Another travel story. I seem to have lost my license. I showed up at my car rental agency and realized it at that moment. The lady at the front counter did not look encouraging and had her manager come over. He asked to check my pockets, my briefcase, etc. and after doing all of that he said, “Mr. Hunt, don’t get caught speeding…..PLEASE!!”. He said that because I was a such a long-term customer he was going to let me take a car, but if I got pulled over and was towed that I would have to pay the towing expense. Was I ever relieved. I had several meetings spread over a lot of territory and would have found it to be a very expensive inconvenience. The value of that decision has enhanced my loyalty and reduced my price sensitivity. It raises the question, “How do we reward our most loyal customers?” It does not have to a price discount. Better service can go a long way.
