The $127.93 Latte

One of the strange trends that has begun surface in our society is this false sense of entitlement. We have become conditioned to believe that because of “x” we are entitled to “y” even though the two are mutually exclusive of each other. We have lost sight of the free market capitalistic social system that has existed for centuries and replaced with an artificial hierarchy based on wealth, social status, geography, ethnicity, religious affiliation, political affiliation or material possessions. (Don't let me get started on my soap box here)

I remember when I was younger Burger King had an ad campaign and tag line of “have it your way” and had the whole song to go with it “hold the pickles, hold the lettuce…etc”. This type of customer controlled customization was, at least I am beginning to believe, responsible this consumer behavior trend we are dealing with today. I am all for customization, I love the concept of the boutique business model, but i think we as a society failed in understanding its benefits, what it means and have taken it out of context in a way that is becoming self defeating.

I notice it most on a consumer level when I enter my local coffee shop and watch the types of orders that are placed and the behavior accompanies them. The epitome of this has to be Starbucks, where the simple act of getting coffee has turned into a dramatic expression of entitlement and bad behavior. Not only have the orders become absurd, the attitude in which the orders are placed has become down right obnoxious. In the case of Starbucks, I partially blame the evolution of this anomaly on the brand image combined with their abundance of accessibility, but that is a whole other post. Specifically in their case they created a type of customer expectation that then encouraged the subsequent behavioral pattern of their customers. What is freaky to me is how this behavior has segued into society and is gaining momentum.

This type of consumer behavioral pattern has infected our business culture and become a type of accepted negotiation tactic. It seems that committing to pay $X for Y services is just the beginning of the business arrangement as opposed to the totality of it. It has created a trend towards customized deliverables, enhanced services, changes orders and new features at no additional cost to the customer and all for the original contracted price.

Small businesses (as opposed to large corporations) seem to have become the targets here. More often than not they are made to feel obligated to bend, give or concede on things because they are small. Being small does not equate to being desperate or weak. More often than not the small companies are the specialists, the catalysts, connectors and agents of change. We are not small by force but small by choice. Think about this in terms of the auto industry, who would you rather be right now, Ferrari or Chrysler, Tesla or GM. This concept of specialization often gets lost on folks who confuse size for strength.

As a consultant I get contacted very often to help a company, event or organization develop a strategy or branding exercise. This issue of entitlement hits home for me with the occasional client who makes the assumption that “add ins” to our original agreement are part of the agreement. I have become accustom to it and have devised a very easy and clear solution to handling it. I listen, provide a verbal understanding of the request, outline the resources and time and then add: “sounds great we can do that for you as well, how do you want us to bill you for that, should we create an addendum to the agreement we have or should we do a separate hourly billing?”. It is usually followed by a long awkward pause form the client and a “let me get back to you on that”. Sometimes you (as the service provider) have to bite the bullet and give a little in the interest of good business and customer relations. But other times it is OK to just say “No” and let them know they cannot “always have it there way” but be prepared to explain why. More often than not this type of exchange will lead to a stronger relationship, a higher valuation of your contributions if handled correctly.

Back to Starbucks for a minute, I really feel for the front line at folks, those men and women do a great job dealing with some of the biggest A-Holes I have ever seen in our society. They are forced to deal with the customer who wants more from their coffee experience than a beverage. They want to customize their latte into a grande, double decaf, vanilla, chai, non fat soy with extra foam, in large cup, double pump of vanilla, one on the bottom and one on the top, extra hot creation. They want this for no more additional compensation to the person making it or increased earnings for the company supplying it other than that of price of the regular latte. I am always so impressed that the team members in there do it with a smile and efficiency that is inspiring. I am disappointed that they do not charge the customer for the customized deliverables, enhanced services, changes orders and new features…I cannot wait for the day when I hear the gal behind the counter say “no problem, that will be $127.93 ”.