{"id":155641,"date":"2015-05-08T13:09:00","date_gmt":"2015-05-08T13:09:00","guid":{"rendered":"http:\/\/www.merindab.com\/private\/2015\/05\/08\/asking-whos-the-customer\/"},"modified":"2015-05-08T13:09:00","modified_gmt":"2015-05-08T13:09:00","slug":"asking-whos-the-customer","status":"publish","type":"post","link":"https:\/\/www.merindab.com\/private\/2015\/05\/08\/asking-whos-the-customer\/","title":{"rendered":"Asking &#8220;who&#8217;s the customer?&#8221;"},"content":{"rendered":"<p><a href=\"http:\/\/bonus.kottke.org\/post\/118373907448\/asking-whos-the-customer\" class=\"tumblr_blog\" target=\"_blank\">jkottke<\/a>:<\/p>\n<blockquote>\n<p>If you\u2019ve bought a ticket to an event in the past, oh, 15-20 years, chances are you got it from Ticketmaster. Chances are also pretty good that you think Ticketmaster completely sucks, mostly because of the unavoidable and exorbitant convenience fee they charge. And that probably has you wondering: if everyone who uses the service hates Ticketmaster so much, how are they still in business? Because ticket buyers are not Ticketmaster\u2019s customers. Artists and venues are Ticketmaster\u2019s real customers and <a href=\"http:\/\/www.quora.com\/Why-do-music-venues-use-ticketing-agencies-sites-vs-simply-selling-their-tickets-themselves\/answer\/John-Harper\" target=\"_blank\">they provide plenty of value to them<\/a>.<\/p>\n<blockquote>\n<p>Ticketmaster sells more tickets than anybody else and they\u2019re the biggest company in the ticket selling game. That gives them certain financial resources that smaller companies don\u2019t have. TM has used this to their advantage by moving the industry toward very aggressive ticketing deals between ticketing companies and their venue clients. This comes in the form of giving more of the service charge per ticket back to the venue (rebates), and in cash to the venue in the form of a signing bonus or advance against future rebates. Venues are businesses too and, thus, they like \u201cfree\u201d money in general (signing bonuses), as well as money now (advances) versus the same money later (rebates).<\/p>\n<\/blockquote>\n<p>Read that whole Quora answer again\u2026there\u2019s nothing in there about TM being helpful for ticket buyers. It turns out asking \u201cwho\u2019s the customer?\u201d is a great way of thinking about when certain companies or industries do things that aren\u2019t aligned with good customer service or user experience.<sup id=\"fnref:1431014383\"><a href=\"1431014383\" rel=\"footnote\" target=\"_blank\">1<\/a><\/sup><\/p>\n<p>Take Apple and Google for instance. Apple sells software and hardware directly to people; that\u2019s where the majority of their revenue comes from. Apple\u2019s customers are the people who use Apple products. Google gets most of their revenue from putting advertising into the products &amp; services they provide. The people who use Google\u2019s products and services are not Google\u2019s customers, the advertisers are Google\u2019s customers. Google does a better job than Ticketmaster at providing a good user experience, but the dissonance that results between who\u2019s paying and who\u2019s using gets the company in trouble sometimes. See also Facebook and Twitter, among many others.<\/p>\n<p>Newspapers, magazines, and television networks have dealt with this same issue for decades now.<sup id=\"fnref:1431013576\"><a href=\"1431013576\" rel=\"footnote\" target=\"_blank\">2<\/a><\/sup> They derive large portions of their revenue from advertisers and, in the case of the TV networks, from the cable companies who pay to carry their channels. That results in all sorts of user hostile behavior, from hiding a magazine\u2019s table of contents in 20 pages of ads to shrieking online advertising to commercials that are louder than the shows to clunky product placement to trimming scenes from syndicated shows to cram in more commercials. From ABC to Vogue to the New York Times, you\u2019re not the customer and it shows.<\/p>\n<p>This might be off-topic (or else the best example of all), but \u201cwho\u2019s the customer?\u201d got me thinking about who the customers of large public corporations really are: shareholders and potential shareholders. The accepted wisdom of <a href=\"http:\/\/www.washingtonpost.com\/business\/economy\/maximizing-shareholder-value-the-goal-that-changed-corporate-america\/2013\/08\/26\/26e9ca8e-ed74-11e2-9008-61e94a7ea20d_story.html\" target=\"_blank\">maximizing shareholder value<\/a> has become an almost moral imperative for large corporations. The needs of their customers, employees, the environment, and the communities in which they\u2019re located often take a backseat to keeping happy the big investment banks, mutual funds, and hedge funds who buy their stock. When providing good customer service and experience is viewed by companies as opposite to maximizing shareholder value, that\u2019s a big problem for consumers.<\/p>\n<ol>\n<li class=\"footnote\" id=\"fn:1431014383\">\n<p>BTW, asking who the customer is doesn\u2019t help in every situation where bad service and contempt for the customer rears its ugly head. See cable companies, mobile carriers, and airlines. Companies also have other conflicts of interest that interfere with good customer experience. Apple, for instance, does all kinds of things that aren\u2019t necessarily in the best interest of the people buying their products. And as the Ticketmaster example shows, determining a company\u2019s true customer isn\u2019t just a matter of where the revenue comes from. It\u2019s never simple.<a href=\"1431014383\" title=\"return to article\" target=\"_blank\">\u21a9<\/a><\/p>\n<\/li>\n<li class=\"footnote\" id=\"fn:1431013576\">\n<p>This is a potential problem with kottke.org as well. Almost all of my revenue comes from advertising. My high regard for the reader keeps me pretty honest (I hope!), but it\u2019s difficult sometimes.<a href=\"1431013576\" title=\"return to article\" target=\"_blank\">\u21a9<\/a><\/p>\n<\/li>\n<\/ol>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>jkottke: If you\u2019ve bought a ticket to an event in the past, oh, 15-20 years, chances are you got it from Ticketmaster. Chances are also pretty good that you think Ticketmaster completely sucks, mostly because of the unavoidable and exorbitant convenience fee they charge. And that probably has you wondering: if everyone who uses the &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.merindab.com\/private\/2015\/05\/08\/asking-whos-the-customer\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Asking &#8220;who&#8217;s the customer?&#8221;&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[17554,4],"_links":{"self":[{"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/posts\/155641"}],"collection":[{"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/comments?post=155641"}],"version-history":[{"count":0,"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/posts\/155641\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/media?parent=155641"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/categories?post=155641"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.merindab.com\/private\/wp-json\/wp\/v2\/tags?post=155641"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}