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CHEAP, GRUMPY KIWIS
a higher RWC risk than greedy Kiwis

by Media Release, last updated on 28th September 2011

The managing director of the KiwiHost franchise says business should be allowed to hike prices to improve service during the Rugby World Cup

Businesses should be allowed to charge high prices during the Rugby World Cup or we risk New Zealand being perceived of as ‘cheap and grumpy,’ says the country’s oldest established customer service expert. Jared Brixton is managing director of KiwiHost New Zealand, which has franchises throughout the country.

He says businesses should be allowed to hike their prices because it will achieve positive behaviour change in service delivery – the greater the reward, the harder people work. 'We can talk about customer service ad nauseam, but the promise of big rewards will be far more effective in getting people to work harder on delivering a more positive experience for our visitors. The tourists who do come are prepared to pay high prices and they will be happy to do so, provided we can back our prices with a fantastic world cup experience.'

Mr Brixton said a greater risk than so-called greedy Kiwis would be Kiwis who are cheap and grumpy and skimping on everything – including a positive attitude – just to turn a dollar.

'People don’t remember prices, they remember the experiences they had. We should be pulling out all stops to deliver a great experience if we want to build New Zealand’s reputation as a destination. If you consider that the tournament runs at a loss because we hope to reap the rewards in tourism, then we should be more worried about what people think post Rugby World Cup, not before it.'

He added, however, that an ongoing concern would be the level of skills many businesses brought to the table, because it didn’t appear that many front-line businesses were putting enough emphasis on improving their customer service. 'If you fail to deliver a polished, enthusiastic performance it won’t matter how high or low your prices are, our visitors will go away unhappy and that is the very last thing we want.'

Read Grant Thornton's analysis of how the RWC will benefit franchisors and franchisees.

 
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