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When Someone Else Erodes Your Corporate Reputation
At lunch the other day, I dashed into the local outlet of a big-box sporting goods retailer to grab a pair of Nikes. This is a pretty easy process for me. I just snag a pair of size 11 running shoes. At a price point of about $85, my feet will be perfectly comfortable no matter how much I run, bike, walk or stand. If I pay less my feet don’t seem to get the support they need; if I pay more it seems all I do is pay more. I have been buying Nikes like this for decades. Happily.
Last week, however, my local retailer worked very hard to sow the seeds of doubt regarding my purchase.
“Would you like to buy our ‘protection plan,’” he wanted to know.
“Why would I need that?”
“Well in case the bottoms de-laminate, a seam pops or you blow out an eyelet, something like that.”
“I’ve been running in size 11 Nikes for decades. Never had a problem.”
“Well this protects you if you…”
“How many people get the plan?”
“About half.”
“No. I’ll pass.”
His figure of half may or may not be true. Regardless, I was shocked and downright annoyed that someone would try to sell me a warranty for a pair of running shoes. The sales guy clearly tried to make me think that my new Nikes were prone to problems. At the risk of sounding old, I was wearing Nikes before he was born and have great confidence in the brand from a practical point of view.
I would be ticked if I were Nike–one of their major retailers is telling every purchaser that the shoes may not last. Nike ought to take action.
My 15-minute lunchtime experience was a corporate reputation management blunder on two counts: 1) The sales guy tried to make me think that a brand that has always served me well might not continue to do so. (Something I knew was not true.) 2) I was disappointed that a national sporting goods retailer would try to profit from the prospect of a product failing versus assuring me they would stand behind their merchandise.
Next time I need a pair of running shoes I will once again go through my size-11, quick-purchase drill. Simply put, Nike shoes and my feet are a great match. Such has not always been the case with other brands. When I do make that next purchase I can assure, however, that I will not be buying from the same retailer. Just like every other consumer, I can vote with my feet.
2 Responses to “When Someone Else Erodes Your Corporate Reputation”
I have had this same thought many times before. I am amazed whenever I buy something at a premium price point and a retail rep tries to tell me what I'm buying won't last twelve months.
This has happened on flat screens, digital cameras, shoes, digital cards, coffee maker, laptop, and a variety of other smaller items.
If the retailer sells such "crap" to begin with, why would I want to buy it?
I don't think most of the major brands have thought through the amount of damage they are causing through retail 101 failure.
Great insight, Mark. Especially when you consider that product quality is the #1 driver of corporate trust, manfacturers should be reading the riot act on this issue to their retailers.
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