The Ricoh Canada

CustomerExperience

Journey

Jacques Chartrain

Director, Customer Care

Ricoh Canada Inc.

May 11th 2012

ICSA 15th Annual Customer

Service Conference

About Ricoh

Ricoh Company Ltd Established in 1936 Leader in document management & image communication. Recognized environmental leader 109,000 people in 390 locations 23 Manufacturing plants worldwide Operations in 200 countries and territories A Global Fortune 500 Company

About Ricoh

About Ricoh Canada

Ricoh Canada Inc. Subsidiary of Ricoh Americas Corporation 2,100 employees in Canada

1,500 Certified Technicians 450 Sales Representatives

115% Growth Over Last 10 Years Call Centres in Toronto & Edmonton 2006 NQI Canada Award for Excellence

The Challenge

To become the market leader To create a Customer Centric Culture in the organization To position service excellence as a competitive advantage To develop a value proposition based on the customer experience

Customer Experience

MyCustomer Program (Phase I)

Employee led initiative launched in 2004 Half-day mandatory orientation program for all employees Full-day “Customer Safari” Focuses specifically on the Customer Experience Based on the Colin Shaw “Beyond Philosophy” model

Colin Shaw/Beyond Philosophy

The Customer Experience

“A Customer Experience is an interaction between an organization and a Customer. It is a blend of an organization’s physical performance, the senses stimulated and emotions

evoked, each intuitively measured against Customer Expectations across all moments of contact.”

“Building Great Customer Experiences (2002), Colin Shaw & John Ivens”

Departmental Value Propositions

We represent Ricoh to our customers and strive to consistently deliver the highest possible impression of Ricoh and all of its people and partners, by addressing and resolving customer needs in a timely, accurate and positive manner.

We are dedicated to enhancing Ricoh’s perceived value to customers by proudly providing a friendly, professional and satisfying experience, either directly or by coordinating support efforts with other groups within Ricoh and externally.

We are entrusted with carrying the voice of the customer within Ricoh.

We actively support the efforts of all Sales channels by providing value added services.

We focus on fostering teamwork and continuous improvement in everything we do.

To our customers, WE ARE RICOH!

Customer Satisfaction & NPS

2002 Satisfaction Survey program expanded to include NPS Welcome call program launched Call Quality/Call Monitoring program initiated Satisfaction Surveys enclosed in service confirmation e-mails Satisfaction Survey restructured from annual to monthly Customer Issue Log program integrated into voice of the customer initiative

1st Results and Lessons Learned

Immediate improvement in NPS and Customer Satisfaction Customer feedback indicated a lack of consistency in delivery Call Monitoring revealed a individualized approach by CSR Signs that expectations vary by customer/caller “Customer Knowledge” resides with Sales Representatives “Emotional Signature” lacking to provide deliberate experience

MyCustomer Phase II

Celebrate Successes as a Company Integrate Customer Satisfaction and NPS results into Performance Review System and employee Incentive program Drive more accountability down to the branch level Define the Ricoh “emotional signature” Re-engineer critical moments of contact Share customer intelligence Provide department specific customer experience training programs and tools

Celebrating Success

Recognition at annual kick off President’s blog Consistent message from Senior Management Team Balanced Score Card Ricoh Value Proposition RAVE Employee Recognition “Thank you” events

B2B Emotions

B2B Marketing Speak to a Different Set of Buying Emotions: While B2B prospects are generally not moved by common B2C motivators, like impulse or status, different individual emotional motivators apply. For example, the fear of making the wrong decision, the level of confidence in the forecasted ROI, the level of trust established in the seller’s people—all of these are very real emotional motivators in the B2B world.

B2B Prospects Conduct More Research: They do this not only for personal benefit, but because they also need to “sell” the recommended purchase to others.

More People are Involved in the B2B Purchase-Decision Process: Most business purchases have multiple parties in the purchasing organization influencing the decision-making process.

B2B Sales Rely Heavily on Personal Interactions: Unlike sales to consumers, B2B marketing doesn’t happen through tightly controlled, highly crafted communications vehicles like television commercials or other mass media. One-to-one customer relationship building, through personal interaction, demands sophisticated sales management and an educated, knowledgeable, trained staff whose words and actions are aligned with corporate brand objectives.

B2B Emotions

Avoidance of Negative EmotionsResearch shows that emotions impact decision making because we take the anticipation of emotions into our decision making. When looking to buy something, we balance the pleasure of the prospective possession with the pain of acquiring it.

In B2C marketing, marketers often capitalize on the anticipation of positive emotion by appealing to aspirational feelings such as desire. In contrast, the strongest B2B brands capitalize on the avoidance of negative emotions. This is because there is an asymmetry between the upside and downside of B2B purchases: the buyer does not experience the full benefit of the solution directly and may or not be rewarded for making a good purchase, but a bad purchase can destroy the buyer's reputation and damage job security.

The Emotional “Clusters”

Negative EmotionsAvoid making them feel..• Frustrated• Confused• Manipulated• Angry• Ignored• Taken advantage of• Disrespected• Unimportant• Unappreciated• Hurried• Stressed• Disappointed

Positive EmotionsMake them feel…• Important• Empathized• Understood• Safe and secure• Appreciated• Respected• Informed• In control• Happy• Pleased• Trusted• Cared for

The Emotional “Clusters”

CLUSTER EMOTIONS

Destructive Dissatisfied, Frustrated, Disappointed, Irritated, Stressed, Unhappy, Neglected, Hurried, Confused, Manipulated, Ignored, Taken advantage of, Disrespected, Unimportant, Unappreciated

Attention Exploratory, Indulgent , Energetic, Interested, Stimulated

Recommendation Focussed , Safe , Cared for , Valued, Trusted

Advocacy Pleased, Happy

The Emotional Signature

We want the customers to feel good about Ricoh after the experience

We want the customers to feel good about our people after the experience

We want the customers to feel good about themselves after the experience

We want customers to expect to feel good before every Ricoh experience

Negative Emotions

Results from…..

• Processes and policies (Management)• Attitude of our people (Training & Coaching)• Inappropriate resource levels (Management)• Poor planning (Management)• Poor execution (Training & Coaching)• Partner’s performance (3rd Party)• Act of god (3rd Party)

Positive Emotions

Results from…..

• Attitude of our people (Training & Coaching)• Demonstrating empathy (Training & Coaching)• Listening (Training & Coaching)• Reinforcing the positive messages (Training & Coaching)• Confirming they made the right choice• Offering options/alternatives/choices

Moment Re-Engineering

Opportunity Area

Danger Area

Moment Re-Engineering

OfficeUsers

HelpDesks

Reliable, easy, Available, supported

Fast, efficient, Value add

Peace of mind, convenience,Security, appreciation, trust,Job security, satisfaction

Peace of mind, convenience,Security, appreciation, trust,Job security, satisfaction, Being informed

Business empowerment, office efficiency, communication support

IT support, minimizing down time, added value

Anyone who makes/sells copiers, printers, faxes or document management software

Anyone who services copiers, printers, faxes or document management software

Moment Re-Engineering

2004-2011

The Quantitative Results

Quantitative Results

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 20110%

10%

20%

30%

40%

50%

60%

70%3

5%

42

%

55

% 59

%

55

% 57

%

Ricoh Canada Net Promoter Score (FY2006 to 2011)

NP

S

Quantitative Results

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 20110%

10%

20%

30%

40%

50%

60%

70%

80%4

9%

57

%

64

% 67

%

66

%

67

%

15

%

15

%

10

%

8% 1

2%

11

%

PROMOTERS/DETRACTORS - Ricoh Canada 2006-2011

PROMOTERS DETRACTORS

% o

f P

RO

MO

TE

RS

/DE

TR

AC

TO

RS

Quantitative Results

Dec 04 Dec 05 Dec 06 Dec 07 Dec 08 Dec 09 Dec 10 Dec 11

Ricoh Canada Total Machines In Field (2004-2011)

Questions?

Thank you.