Leaking Money Like a Sieve

Is your business or the business of your employer leaking money like a sieve?

I am continually amazed at how often I see businesses that are concerned about not having enough business, while at the very same time they are destroying that business that they do have.

Previously, I posted about the Bellagio Hotel in Las Vegas as an example of this situation. Since that post, I received communication from other guests having similar problems. (And, the Bellagio has chosen to never respond to my follow-up communication with executive management. Amazing!)

Now, my point is not, per se, the Bellagio. It is about businesses just leaking money like a sieve.

Let me give you another example. I am a huge fan of the free newsletter, Early to Rise. I like their free content, respect their paid programs, and I have long admired their business.

I signed up for a year long program they sponsored with consultant Bob Cox. I enjoyed year of Cox's program and in December received notice that if I wanted to continue in the program, I did not have to do anything, my charge card would continue to be billed monthly.

Come January, I noticed communication from Cox had stopped (and so too had the monthly charge). When I received nothing in February, I became concerned and so I submitted an online trouble ticket. As I recall, their site said I would hear back within a week. Two weeks later, I had heard nothing.

So, this time I called customer service, rather than using their non-responsive online customer help function. The customer service rep was very nice and after some research said that the problem was my credit card had failed to go through. Interestingly, they apparently don’t send out an automated notice when a car is declined (which in long programs can happen for things as simple as needing an updated card expiration date). I must admit I don't check every month on these types of programs to see to it that the card they have is still valid.

So, I tell the customer service rep that I want to continue with the program and give him a current credit card. It is now a couple of weeks later and I have heard nothing from the program. When I get my credit card statement, I will find out if they are billing me and, if so, start the customer service process again.

How silly. More accurately, how sad! This is a multi-million dollar business leaking money. Driving away a client who likes their product as result of apparently lacking adequate back-end systems (of the form that businesses 1/100 their size routinely have).

My point is not to attack Early To Rise. I am using them as a real example of another fine company that has bad service problems. Something I see every day.

Is your business leaking money? Is your business driving away customers who want to do business with you?

PS This is just another example of the opportunities in these tough times. How about being a money leak fixer for businesses?