Costco
SongFan
Posted 2007-10-29 5:19 PM (#1269)
Subject: Costco


Visionary

Posts: 3204
Memphis

Since I have spent the last few days verbalizing the maddening level of frustration with Victory I thought I would explain why I feel Costco is the exact opposite.

For you guys without a Costco in your town, it is basically an upscale version of Sam's Club. (I'm a member of both.) Warehouse, discount shopping. With 5 kids, a Great Dane and an English Bulldog this format fits my lifestyle perfectly.

As I get older, I lean towards quality. My nod goes to Costco because they offer stuff that seems just a step above Sam's. Nothing major, just enough. After a few years of being a Costco member, we had a discussion about them at work.

One of the guys said "Have you heard about their lifetime customer satisfaction policy?"

I said, "No, what does that mean?"

He said, "Just what I said. Lifetime. You can walk in there with something you bought years ago and get a refund, no questions asked."

"What about a receipt?"

"Don't need one. Tell them approximately when you bought it and they will look it up in the computer. If it's in there, you get your money back."

"You mean, go back and get the current model, if they still carry it?"

"I mean you will get your money back, tax and all."

"Bull."

He said, "Try it."

I had a set of outdoor solar lights that were about 3 years old and about 1/3 of them were burned out. I threw the whole set in a box, drove to Costco, walked up to Customer Service and plunked it on the counter.

The girl behind the counter smiled at me. "What have we got here?"

"Hi, I bought these sometime around spring of '03 and they are starting to burn out. Just wondered if I can get a refund."

"Hand me your card, let's check....Spring of '03?"

"Yep."

She fiddled with the computer for about a minute then walked over to the other end of the counter. (Here we go, time to call a manager.) She fiddled with a computer at the other end for about another minute and the cash drawer popped open. She counted out $109.76 and walked back over to me. She counted out the money, handed me my card and said "Sorry about the wait Mr. Warren, this computer is slower than that one." I stood there with my hand out and my mouth open, dumbfounded. I wanted to cry. It was an epiphany. She stood there with a knowing grin on her face and we both knew that she had just blown me away. I stood there staring at her, then my hand, back to her. She just said "Anything else?"

"No thanks." I turned and slowly walked into the store. "Wow." I proceeded to spend that money plus another $200 and it wasn't even a scheduled stop.

I have done this two other times: A 2-year old pressure washer and a 2-year old stainless BBQ grill ($500). Never a receipt, always the same result. (Now they put the money on a Costco gift card.) To say I am a convert for life is the understatement of the century.

This mentality does not come from my local store. It is a corporate culture. I will get this treatment from any Costco in the country and it starts with the attitude of the very top guy. Do some research on this company and you will see that they are the model for everyone else to emulate. Then check out their stock history. I am obviously not bringing them to their knees with my refunds.

This is the reason I am so hard on Victory management. Say what you want about suppliers, shippers, corporate secrets, stock options, whatever. The bottom line is this whole ordeal is occurring because Tom Tiller has created a code of silence. He is afraid of the lawyers, the accountants, the Board of Trustees, the shortsighted stockholders and anyone else who thinks that admitting a fault and taking care of it is a sign of weakness. He's all about blowing the horn of his latest roll-out but he clams up like a mouse if there are any problems he may have to admit to.

Lots of companies make great products. I want the experience to match the product. So far, when the guys at work ask about Victory I get a knot in my gut. Get a backbone and play it straight with the customers you have tried so hard to convert. You might be surprised at the loyalty. (Not to mention your stock prices and bottom line.) If I got blown away over a set of lights imagine what I'd feel over a $22,000 motorcycle.

Do I really think Tom Tiller reads this stuff? No. Do I think anything will change? Not likely. Like I've said before, I have a whole new set of expectations.

 



Edited by SongFan 2007-10-29 5:32 PM
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cjnoho
Posted 2007-10-29 9:39 PM (#1278 - in reply to #1269)
Subject: Re: Costco


Visionary

Posts: 1324
So Cal
My wifes favorite store is Costco. Quality and customer service cant be beat. Wal-mart is another she loves for the same reason. I havent been there in a while (my wife is asian, a man that shops for himself is a sign of a bad wife) but I also like the quality of their meat. These kinds of places are becomming hard to find in the US. Quality and service built this country.

I worked for a tire store when I was younger. The manager loved to do warranty claims. He always said it was easy money. All you have to do is fill out the paperwork correctly and send it in and the send you money. It kept the customer happy and comming back and it only took a few seconds to do. Other managers hated the paperwork, but wondered why their numbers were always low.

There are people out there that spend more time and energy trying to avoid work than it would take to do the job.

Attitudes like that usually start at the top. More and more companys feel the number one priority is shareholders. They dont realize without a strong customer base there are no shareholders.
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99busa
Posted 2007-10-30 8:59 PM (#1313 - in reply to #1269)
Subject: RE: Costco


New user

Posts: 3
What comes around goes around. With the buying power, Costco and Wal-Mart are asking all of their the suppliers that they are having this lifetime warranty "are you with us or not?" meaning anything their customer returns, they will get a full credit as well from their suplpiers.

This means we are paying much cheaper nowadays to mass merchants but also means we are lossing something......all the unigue difference from places to places from shops to shops, and guess what? What comes around goes around, those suppliers in China will have to figure out something to make money, so leaded paint all those crazy stuffs.....

I support Victory on their efforts of providing something different to the market...I for one will love to be different and I certainly don't mind things are not perfect at the 1st try, as long as they will keep improving....

My 2 cents

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WillieByte
Posted 2007-10-30 9:26 PM (#1314 - in reply to #1269)
Subject: Re: Costco


Cruiser

Posts: 104
Plainfield Illinois
Get serious. CostCo and Wal-Mart are retailers that have no qualms about trade practices or squishing any small business.
They manufacture nothing.
Those of us that have spent their entire careers in manufacturing and now are faced with trying to compete with communists that shouldn't even be allowed to sell in this country would tend to spend less at Wal-Mart.
I'd rather have another Harley than shop there.

<<<< clears throat and coughs up a big old lung cookie and .... PATOOOOOOIE !!! right on Wal-mart's billions
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VisionTex
Posted 2007-10-30 10:35 PM (#1317 - in reply to #1269)
Subject: RE: Costco


Visionary

Posts: 1484
LaPorte,Tx.
Costco is a service company, they probably don't make squat, they sell it. They buy from the cheapest supplier, they probably have alliances with companys that manufacture to get the lowest price per unit sold. Hell, if they sold motorcyles they might be selling Victorys, hey then you could be ranting on Costco. Think about that.......when you manufacture something it is a whole lot different than selling something that someone else has made. I work for an American manufacturing company that strives everyday to make a quality product that is sold everywhere.........and we stand behind it, just like Victory. If I was a member of the manufacturing team a Spirit Lake and was reading your rant, how do you think I would feel. I'm making a product that has been praised in quality and I'm part of this company that is making a difference in the motorcyel world, and all this ranting might drive customers away.......what is this? I'm sure that all the crap that is coming out of China that gets returned some how is compensated through the retailers. Costco is not stupid, they are not taking the return in the shorts, the company who made the product, or we are somewhere down the road.
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cjnoho
Posted 2007-10-31 12:57 AM (#1320 - in reply to #1269)
Subject: Re: Costco


Visionary

Posts: 1324
So Cal
I grew up in a steel town in Pa. when American products were second to none and Japanese products were junk. They learned, we rested on our laurels. I've seen union and management go head to head and destroy the steel industry in that area. This is a global market now. Many American jobs rely on foreign companys. For them to pull out now and go home would devastate our economy. .I've seen people claim victory when they convince a community to vote against Costco and Wal-Mart because of their low wages and substandard benefits. But they provide no alternative to take its place. Some victory. No job is better than a substandard one? They would have provided work experience that may have encouraged some to better themselves and change the things that don't work. Personally I think it all stinks, but the time to do something about it was 40 years ago. Just like immigration, we waited too long and now there is no simple solution. We can turn our heads and let the Wal-Marts and Costcos devour this nation, or we can learn from them and improve on their ideas and compete head to head.
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BUCKEYE
Posted 2007-10-31 11:46 AM (#1339 - in reply to #1269)
Subject: Re: Costco


Iron Butt

Posts: 904
29 Palms California
I agree, keep jobs here. I agree, I like to pay less for anything. I agree, China is communist. I agree I fought in a War so you could vent, and I would also like to add WHOOPTY FRICKEN DOOO! Get on your bike and ride! oh,,,wait for your bike and WHOOPTY FRICKEN DOO DA DAY!
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