WorldCity Business Magazine

(6) Special Report - Miami: moody adolescent or energized young adult?

by Jane Edwards-Hall

Two studies point to the strengths and weaknesses of Miamis all-important service culture

There is considerable talk about Miamis place on the world stage, its identity and its direction. Is Miami a serious global player that attracts long-term business, as well as visitors? Can it compete on the same level with other world cities, such as Singapore, Hong Kong and Dubai? And is it a place that not only welcomes the world but also captures the imagination and inspires people to return?

Two studies suggest that, if Miami is to live up to its potential, it needs to act like an energized young adult who will nurture a welcoming and hospitable international environment but still nourish its local identity.

On the other hand, Miami needs to spare us from its moody adolescent side because, more than ever in todays service culture, its simply not enough to meet peoples needs and wants. There is a mandate to delight.

The Miami office of Grass Roots Performance Measurement, a global agency providing performance improvement and mystery shopping services, recently conducted a mystery shopping project 13 industry sectors in 10 U.S. cities, including Miami. Professional mystery shoppers were dispatched to visit specific retail stores and dining locations. The questionnaires shoppers completed were the same across industry sectors and cities so that direct comparisons could be made. All shoppers were briefed and always required to behave, and make inquiries, as real customers, unbeknown to the outlets.

So, how did Miami rate for service? On the face of it, a good overall rating of 79 percent out of 100 percent was achieved. Still, Miami was outranked by Phoenix, Dallas, Kansas City and Chicago. Miami ranked in the middle together with Seattle, Atlanta, Los Angeles and Boston. But can Miami really settle for middle-of-the-road?

The results indicate that the service culture in Miami appears to be inconsistent and undifferentiating. This should be viewed as an opportunity to improve. Miamis service community needs to understand the areas of best practice and capitalize on this through education and communication at all levels of the community. Likewise, we should look at what makes Phoenix and Dallas better according to these findings and adopt or at least learn from those behaviors.

Miami equals other cities on the basics of good service. It followed national trends in receiving high ratings for environment, greeting, closing and overall impressions which is a promising start, but it isnt differentiating. Also, note that Miami appears to have a real problem with its cashier staff in certain retail and service sectors, which needs addressing. _(See graph below.)_

As for industry sectors, Miami outperformed in retailing, specifically electronics, furniture stores, cell phones and real estate, which is good news for Miami residents. However, the eating and drinking sectors, which include bars, coffee shops and quick-service restaurants, didnt fare so well. _(See graph on following page.)_

Interestingly, the hospitality sector could do well to go and purchase a flat screen TV or a sofa and understand good service in Miami. In fact, Miami offers the best experience to consumers looking to buy a flat screen TV of all 10 cities covered, receiving a score of 92 percent. Heres how one consumer summed up his experience at a Miami outlet of Circuit City: I did not have to wait to be assisted. While I was browsing around the area of the flat screen TVs, I was approached by an associate who offered help. He had ample knowledge on the merchandise and gave me information on the different brands. He answered all my questions with details, and he supported his answers with brochures from each manufacturer. I would definitely go back.

Perhaps the most important part of our study was what it revealed about Miamis ability to cater to demanding and discerning international tourists. Miami is a tourist destination, yet suffers a similar fate of other global destination cities where good hospitality isnt always achieved. For example, the English waiter is often viewed as reserved, while the French waiter as brusque and aloof.

Miami registered reasonably high but results for eating and drinking establishments were inconsistent. But shouldnt Miami dazzle? If our bars, coffee shops and quick-service restaurants cant even meet expectations, how can they delight?

Our study, of course, revealed some exceptional results, as well. Many Miami bartenders know the job and provide service as if they truly enjoy it. Heres how one satisfied customer responded to his experience at a Miami Cheesecake Factory location.They can be knowledgeable and make recommendations. Our bartender gave two recommendations from the wine they stock and gave me time to decide. He understood me immediately when I explained I was looking for an un-oaked wine. He knew the bar well and he was determined to satisfy my needs. He was knowledgeable without patronizing me.

The real trick is providing this kind of experience all the time with everyone who enters an establishment. This wasnt the case with a number of coffee shops visited in Miami. The service was less than welcoming, especially in comparison to other cities. Researchers encountered rude staff that paid little attention to the customer.

Heres how one dissatisfied customer described his experience at a restaurant that shall not be named: Associate X walked up and nodded her head. She did not say a word, nor did she smile. All of it was a bad experience. I was very disappointed. I felt as though I was bothering Associate X. I would not return based on this visit.

All stakeholders in Miamis service industry have a responsibility to make Miami the city of choice. Front-line staff is critical in delivering this. People need to feel valued and special all the time they should feel the same when they pick up a burger to-go on Collins Avenue in South Beach as they do when they get pampered at the Mandarin Oriental Hotel.

A second study recently conducted by Grass Roots involved a consumer poll of residents of Miami-Dade and Broward counties, and a similar poll with visitors and non-visitors to Miami from across the country.

Curiously, visitors to Miami rated the city at being better in customer service than its own residents. Of the 196 residents interviewed, 58 percent had a negative view of customer service in general and 68 percent felt that service was better in other U.S. cities. Of the 425 ever visited respondents, 77percent had a positive view of service in Miami.

While its good that visitors have such a positive perception, we need to understand why South Floridians are more critical. In time, this kind of negative sentiment could lead to a general erosion of Miamis overall service image.

Miami residents found service to be similar to this residents experience: In stores and restaurants staff do not seem to be trained about the importance of providing good service. Very often they will be talking on their cell phone while serving you at a store and not even make eye contact. In restaurants many staff members do not act professionally. This is an important issue if we are to attract foreign business investment Miami has to be a great place to live as well as a great place to play.

While visitors to Miami were positive overall, responses further strengthened the view that many impressions that outsiders have are out-dated and that there is a need for some real positive reinforcement of Miami as a tourist and business destination. Many outsiders said they view Miami as:

1. Fun
2. Glamorous
3. Eclectic
4. Diverse
5. With great weather and beaches

Yet, at the same time many respondents saw a darker side. They view Miami as:

1. Dangerous
2. Over-crowded
3. Good to visit but not live there
4. Expensive
5. Dirty
6. With bad traffic and bad drivers

These diverse views can be appealing to the visitor but not the inhabitant. As one non-visitor told us Miamis hot, laid-back and violent and another said dirty, fun and dangerous meaning its violent image can be sexy and appealing also. Visitors to Miami seem to enjoy the fact that, Its a little like going out of the country without leaving the U.S.A.

For Miami to strengthen its brand it needs to become the energized young adult, and our recent studies indicate signs of maturity already. But Miami needs to be more self-aware of its direction and this means more research.

The next step requires openness and transparency not only to understand the regions current status but, more importantly, to understand where Miami wants to go and what it will take to get there. We shouldnt ignore the flaws but rather see them as growing pains and challenges
to overcome.

Jane Edwards-Hall is general manager of Grass Roots Performance Measurement. Her mystery shopping and market research experience spans 21 years and five countries the U.K., Greece, the Czech and Slovak Republics, Hungary and now the U.S. Most of Janes experience has been in the start-up and development of new research operations for large multinational agencies including Nielsen, IMS Health and Research International. She joined the Grass Roots Group in summer 2007 to head up their new U.S. performance measurement agency headquartered in Miami. She can be reached at Jane.Edwards@grg.com.