How-to Lose a Customer for Life Featuring Orsino in Hove
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I was recently at a local Italian restaurant called Orsino, which is located in Hove (south coast of England)... and they gave me a lesson in how to LOSE a lifetime customer with one stupid and greedy act.
Disclaimer: I appreciate that this act may have been the acts of just one or two employees, and may not represent Orsino as a brand.
So here is the quick back story…
I have eaten at Orsino’s at least 10 times in the past few months alone…
I have taken girls, business colleagues, clients and friends…
I also recommend the restaurant to local people, so it is fair to assume that I was set to generate thousands of dollars for the restaurant as a customer and via word of mouth.
That was until greed took over…
Here is what happened: We finished our meal and asked for the bill (the cheque).. we paid, and I gave my usual, generous tip in cash. (not the norm in the UK)
However, just as we were about to leave, we noticed that the receipt for our meal had been craftily folded over part of the way down.
We opened it up to see what was being covered, and here is what it said:
“Service charge of 10% included: = £10.50″
Note: both the percentage and the amount are purely for the purpose of the story, I don’t recall the exact amounts.
Now, I am not a huge fan of compulsory service charges, but I appreciate that often restaurants decide to include them, and I go along with it… BUT, to conceal the service charge in the hope that the customer won’t realise, and therefore add an additional LARGE tip on top of the service charge, is in my opinion, nothing short of fraud.
Needless to say, we scooped up our additional tip, and will now no longer be eating at Orsino ever again.
I estimate that in an attempt to make a few pounds extra, they have lost a customer that was potentially worth thousands of pounds lifetime value to them.
So what is the moral of this story?
Focus more on the lifetime value of a customer, and don’t try and get a quick buck in the short term… especially if that involves being sneaky, aggressive or dishonest.
For the staff or management at Orsino, feel free to contact me with an explanation, I am more than happy to publish your thoughts on this matter.
Dean
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