Brian and I just got back from a business trip that provoked an unusual amount of discussion on customer experience, branding and hotel room biohazards.
What follows is something like a travelogue.
Sheraton Keauhou Bay Resort & Spa, Kona, Hawaii, Day 1.
We check in, receive a simple welcome, and are handed some coupons to a restaurant that is closed and a key to an outdated room. A black light special. The lamp on the desktop maintains its posture with the aid of Scotch Tape. There’s no hot water in the shower and our “Lanai” overlooks the parking lot.
All of this courtesy of my Starwood Platinum status.
Gross.
Taxi Cab. Highway. Day 2.
Destination: The Four Seasons Resort Hualalai. Brian and I are giving a presentation here this morning. His topic: How to create a killer user experience on the Web. My topic: Why that’s worth doing.
During our cab ride, we talk about the thoroughly disappointing brand experience at the Sheraton. This of course goes where it usually goes with us: real estate.
This Sheraton, a franchised property, broke promises the Sheraton brand had made, and largely kept to us, for years.
Sound familiar?
We leave that territory when we arrive at the Four Seasons. Sheer splendor. We hurry through the lobby in search of the restaurant before our meeting. It is 7:30 a.m. and the place is packed.
After breakfast we hike the grounds in search of our meeting room. Everything is picture perfect. From signage to foliage. It is as if God runs the grounds crew.
Four Seasons Resort. Late afternoon.
Our meeting is over and it’s time to head back to the land of frayed carpet and sticky tabletops.
I am not excited.
So I stop by the reservation desk at the Four Seasons and inquire about a room for the next couple days. One is available, with an expansive ocean view, despite my lack of status in their rewards program. After all, this is Kona, Hawaii. What other view could there be?
I check us in. Midway though getting registered, I am handed a chilled platter. On it are skewered pineapples and an ice-cold Mai Tai. A simple gesture to get me into the right headspace.
I place the beaded necklace they hand me over my head and take the key.
Taxi cab. Highway. Evening.
I call Starwood on my way back to the Sheraton to retrieve our belongings. They handle the cancellation of my reservation with such ease that I wonder if this isn’t the first time this has happened. Or the second. Or the last.
I grab our stuff and take a photo of the taped lamp. A postcard image from paradise.
Four Seasons Resort. Room 2213. Balcony. Night.
Two hotels. One sells rooms. The other sells heaven.
The former is a series of interactions wholly disconnected from the exuberant brand promises communicated through its Website and the gauzy images piped through the in-room promo loop.
They go to great lengths to sell people with words and images. But fail in real life.
And the latter? A hypnotic excursion of wonderment. The brand expression is calculated and understated. They don’t resort to a sales pitch. Or rely on advertising to distract me. They create a set of i’s and t’s. They dot and cross them. Every minute of every day.
Yes, you get what you pay for. But you should get what you’ve been promised at any price. And, hopefully, a little more than you’ve expected. One brand nailed it, one failed miserably.
Dots, crosses, pineapples and cocktails
I understand the difficulty real estate brokerages have creating and executing on brand promises. Maybe you’re not even aware of all the i’s and t’s you have. Or you are, but in your attempt to dot and cross as many as you can, you find the i’s revolt. The t’s complain. Neither letter realizing the inherent value of being a part of your alphabet.
Maybe you don’t care. And have no plans on being anything but a timeworn Sheraton. After all, they sell rooms every day. They’re still here, for now.
Or maybe you do care. A lot. But you don’t know where to start. You struggle with the risks of pursuing “new” ideas with which you have no track record.
I get it. But here’s what I know for sure: A clean room, hot water, fresh pineapple and a cocktail are not elements available exclusively to the Four Seasons. These things are within every hotel’s reach. But few grab for them. The one that does gets 4 times the room rate and is packed despite a torpid economy.
We don’t take exotic vacations that often. We don’t buy real estate often either. You don’t have too many opportunities to get the customer experience right. Or wrong.
When I take my next vacation, I have no doubt in my mind where I’m going if I am able to afford it. And I’m convincing my closest friends to do the same.
I am also quite sure where I won’t be staying.
Mai Tai, anyone?
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I have always preferred the St Regis:)
The difference between advertising and reality is sometimes so huge that it hurts. Personally, I don’t want to hurt anyone. But you don’t have to lie in order to attract new customers, if what you’re offering is good.
Marc-
I just got back from Maui a few weeks ago. I own two weeks of time share at the Marriott in Ka’anapali and one week at the Westin in Ka’anapali. (Don’t ask…it’s complicated).
We decided to go over one day early and to stay at the Sheraton at Black Rock. I have often walked through their grounds and through their lobby on previous visits, but never stayed there. So it seemed logical to take some of our Starwood points and a few bucks and get a room at the Sheraton. Logical maybe, but stupid on retrospect.
Our checkin mirrored yours to the “T” and the room experience was very similar. We were so gad to get out of there the next day and get down to the Marriott that we were out long before our late check out time.
On our return home we talked with the hotel management and found them to be unsympathetic to our requests for a refund of our points. When we got nowhere with that tactic, we contacted Starwood who happily listened and then refunded the points.
It appears that Sheraton Hotels on two of the islands have slipped down to the level of motels, they certainly are no longer resort quality.
Nothing describes the brand experience better then the Four Seasons.
We have sold multiple properties in Hualalai this year with the on site real estate company as our listing partner. They do a great job of carrying through the experience from the hotel with their clients.
Difference between them and must other brokerages is that they have 8 employees and not IC’s.
Waiting to see who ultimately cracks the code or as you say does anyone really care.
As you, Brian and my Realtor buddy Billy (@Mauibillly) enjoy the Islands, and get paid to do so, I sit back East in 50 degree weather wondering if my land deal is closing next week. Way to make us poor saps feel good!
Oh, nice article.
Sent from Barrett’s EVO.
Thank you Barrett! Marc – Next time you are in Hawaii (Maui) we would love to meet you. I’m an avid follower. Many businesses in Hawaii have forgotten that we are actually all in the service business, and that a key aspect of that is providing a memorable experience each step of the way…Four Seasons is one of our corporate heroes. They get it and we get it. We want our team to provide Four Seasons quality service in every transaction. It’s a lofty goal…but doable. All the best, Billy
Hey Billy,
Mahalo. Next time. For sure.
Is it a lofty goal? Yes in terms of wanting to reach a place most seem to not know exists. But doing isn’t lofty. For some, it’s a passion. It’s the reason why they exist. Companies like Four Season don’t just wake up one day and say, we’re gonna blow people away and then tell all their employees to do the same. That stuff would last a day or two.
These things come from someplace deeper. What I noticed about the Four Season employees, is how each seem to possess a natural softness and desire to please. My guess is that’s where they start in the hiring process. And not just here where I was. I’ve found this to be consistent at every FS I’ve had the rare pleasure to stay at.
How many brokerages recruit people based on a cultural fit? Or personality traits that matches the core beliefs of the company? I’m not sure. My guess is, recruitment is based predominantly on sales. It is what it is. But it’s also why most brokerages are recognized by name only and as a result the fight to stay on top, reign in market share and continually invest big bucks into marketing strategies like the Sheraton does is because that all they can do to combat the lack of a real definable brand.
Conversely, Four Seasons puts their money into actually nailing the experience. Vetting employees. And making promises they can deliver on.
Lofty? Totally. Doable. Yes.
Thanks Barrett for the intro.
Mike there are companies cracking the code. Check the directory over here. A lot of these brokerages are doing this. Hiring differently. Growing slowly. Meticulously. Worth reading about what and how the are doing it. http://bhgrealestateblog.com/beta-brokerage/
I couldn’t have said it any better and probably not as well. Executing isn’t easy. You have to feel it deeply to live it; hire extremely carefully and do your best to make every action reflect your commitment to your values. I ran a service business in the Silicon Valley that did it very well. I am trying to improve on that same model here in real estate.
I read the intro to “The Monster” about Ameriquest and their role in the Subprime debacle. The thing that absolutely blew my mind was how rotten and truly evil the behavior of the employees at Ameriquest was…and it all started at the top. The Four Seasons represents our heroes, Ameriquest our anti-heroes. Thanks for sharing the beta brokerage list. We hope to be on that list some day as well.
Billy, anyone is eligible to make the list provided they meet the criteria BHG set forth. Go ahead and apply to be considered.
but the sheraton is green….i see an energy-saver bulb in that lamp!
Marc,
Here is the interesting thing.
How can the Sheraton still be in business? In a world of internet reviews and ratings how can the sub standard survive?
Trip Advisor gives the Sheraton a 71% approval rating and 4 out of 5 stars. “It is the 11th out of 19 hotels in Kailua-Kona”
The Four Seasons gets a 90% rating, 5 out of 5 stars and is No.1 out of 19 Hotels.
It is interesting reading all the “AMAZING & FANTASTIC” reviews for the Sheraton. It leads me to be desperate for the next wave of the web which I hope will be … I only want to see reviews from people like me.
You raise interesting points.
If you throw enough money into promotion, you will plant seeds in people’s minds and culture their experiences. Fast food companies are masters at this.
Look at the McDonalds burger. When you unwrap it, it looks nothing like what’s portrayed in the ad slick a mere 10 feet in front of you. But most people don’t notice that. Or care.
Sheraton will attract a class of consumer who might not view a busted lamp no longer held together by Scotch Tape as a big deal. In some cases, their outdated rooms might be upgrades for those who stay there. Hence their experience would be different than mine or different than anyone who stops for a second and thinks about the fact that what Sheraton advertised isn’t what you got.
The Sheraton’s of the world exist on the fumes of great marketing and mass consumption. As do many other brands across many other verticals. Including most brokerages.
The problem facing real estate is that the first interaction is often a Website. Then an individual. There’s no pool. No view. No holiday. Nothing to distract the user from immediately recognizing when what they are dealing with, is not what was promised. Or inferior to what they can easily back out of. Like going from a really silly looking Website to a great one.
Marc, it’s a great thing that you/we are able to vent our frustrations about companies and products that fail to meet our expectations. Hearing what others think about products and services they’ve encountered is a fantastic thing to have at our disposal. Reviews help us in some degree with our decision making process. I read reviews all the time and even rate things too. Keeps businesses and people on their toes. It’s one thing to believe that you have a great business and employees and do all the right things, but it doesn’t matter if the paying public doesn’t agree. And everyone has a choice to disagree and ignore what’s being said or to listen and root out and solve the problems.
As for real estate, you’re only seeing the problem facing realtors as having to do with all the crappy websites, when there’s a far greater problem. As with your hotel episode, buyers and sellers have forever given agents bad feedback…can all those people be wrong? No.
Realtors choose to ignore what the public thinks of us, and to change it. They don’t want to believe there’s anything’s wrong. It rolls off their backs as though it’s the consumers who are the problem. They like your hotel chain have been hearing it for decades…and they too aren’t listening. They just don’t care, and figure that everyone will tire themselves out and stop, then all will be forgotten…and besides where else can buyers and sellers go. It’s the old monopolistic mentality, that consumers have to go along because they don’t have a choice.
Everyone knows that no one wants to talk to a realtor until that absolutely have to. They’d rather be water-boarded than have to deal with most realtors. It’s so bad that we ourselves hate dealing with other agents.
As with the Sheraton, and others…the negativity isn’t going away and it’ll get far worse if ignored.
We fail miserably at the exact thing you’re complaining about
The Sheraton won’t change their ways, either will realtors. At what point will they get the message?
Jill, I hear you and respect your candor. There’s a significant truth in your words and you are not alone as a person, as an agent and as a consumer who feel this way.
I often wonder if the fault lies in the agents themselves as people or is it possible that something happens to them when they become a Realtor. Does the process, the training, the advice they receive from marketers, gurus and brokers turn them from human to something else?
I think so. Not long ago, in a discussion regarding my real estate issues with an agent, my question was answered with a line straight out of some Realtor script. Word for word. I know because I have a copy of that very script and it came from the “how to overcome objections” section.
I asked if they could cut the canned bullshit and give me an honest answer. It took a few beats but the real person behind the agent eventually came out. And the answer I finally got, the truth, endeared me to him.
What’s it going to take to see industry wide changes? Discussion just like this. Because this discussion has been taking place for a while now and as a result, and across America, an entirely new brokerage movement is growing. From legacy companies doing great things a host of brand new companies bringing something refreshing to the market and to the people – enlightened agents who being drawn to these firms.
From my perch, what I see, excites me. The movement is small, but it’s growing. And it inspires me.
This is a good dialog…I’ll suggest a few of my pet peeves and see if anyone agrees.
1. Licensing Standards are far too low. There is too little education / training required to become a Realtor. Considering the fact that we are “fiduciaries”in what are some of our client’s largest financial decisions in their lives, shouldn’t we be required to be a little more educated? Ditto on continuing ed in most states.
2. Too many Realtors tolerate / enable COE violations. I had “conversation” with my local association officer about this and didn’t get very far.
The new brokerage movement is positive and strong. Innovators and new business models are compelling and challenging Realtors to improve, but the headwinds are significant and the inertia fairy substantial.
Hopefully the market will prevail and the new breed of agent will grow market share to the point that the old guys die out or get it, but I truly believe raising the standards and enforcing the COE would go a long way to improving the professionalism in the industry. Disappointment and disgust with the “sales process” as managed by Realtors and the NAR has driven a lot of the innovation thus far, and if the NAR doesn’t get it soon they may find themselves going the way of the dinosaur.
I know our brokerage is going to continue to fight to change the negative perceptions in each and every transaction we handle! I bet Jill will as well.
Marc, thank you for taking a leadership role in “the movement” and supporting the efforts and dialog…I’m a relatively new consumer of your ideas, but really appreciate what you guys are doing.
Marc,
Great article. It’s amazing the difference between the two companies and the parallel that exists in Brokerages and just about any business segment.
Rob, couldn’t disagree with you more. If you woke up one day and found yourself in realtorland, you couldn’t tell one brokerage company from the next and the same for all the listings. The industries mass market approach makes puts every home and agent on par with the competition. There’s motion bit of differentiation to be found…with a few exceptions.
A special shoutbout to your site. It’s different and it speaks to consumers in their language…and it will eventually resonate with them when it catches on. Great job. Love it!
Good luck!
Thanks…I think.