The dictionary defines reputation as “the views that are generally held about somebody or something.” In other words, when people think about doing business with you, your reputation is going to be a big part of whether they decide to go with you or with someone else. Very few business owners and managers realize the need for, the value in, and the role of reputation in gaining and retaining customers.
ACTION ITEM
Find out what your reputation or your company's reputation is in the marketplace by asking. Then assume that, if one person is unhappy, ten more are unhappy but haven't told you. Become someone who is obsessed with protecting and safeguarding your reputation.
Take a lesson from the Michelin Tire Company, which, over the years, has built a reputation for having the highest quality tires. When their fourteen cars (more than half the field) pulled out of the 2005 U. S. Grand Prix in Indianapolis, thousands of people were up in arms that they had been cheated. Almost immediately, Michelin protected their reputation by apologizing to the people who had bought tickets and spending a reported $10 million to give refunds to those who felt they had gotten a raw deal. You can bet that was a painful event for Michelin, but, in years to come, they will recover all that money, because they did the right thing to protect their reputation.
TAKEAWAY
It is said that past performance is the best predictor
of future performance, and that means your
reputation tells a story. If it's good, you'll win
customers; if it's tarnished, you're in trouble.