The Building Blocks Of Grassroots-Driven Customer Engagement

The Building Blocks Of Grassroots-Driven Customer Engagement at LEGOLAND

In a recent Forbes article titled, “The Building Blocks of Grassroots-Driven Customer Engagement at LEGOLAND,” Chris Cancialosi highlights the expansive benefits of customer engagement. Using a trading program implemented by LEGOLAND parks worldwide, Cancialosi explains how customers are able to trade fully assembled Lego figures with employees of the park who are cleverly called, “Model Citizens.” This type of engaging interaction between employees and customers plays an important role in customer satisfaction. The writer cites Gallup research that states, “fully engaged customers represent an average 23 percent premium in terms of profitability, revenue, and loyalty compared with the average customer. In hospitality specifically, fully engaged guests spend 46 percent more per year.” (Cancialosi, 2017)

Discussion

In chapter two of the textbook, “marketing strategy planning is the main focus” (Perreault, W. D., Cannon, J. P., & McCarthy, E. J., 2014). LEGO has shaped these strategies at their LEGOLAND park. They utilize the four P’s heavily at their parks. Product, place, promotion, and price are what drives customers to the parks. The products LEGO offers in their parks are part of their physical goods and services. They provide customers a chance to purchase LEGOs, of course, and offer services for customers to enjoy throughout the park.

The place aspect of the four P’s is demonstrated when LEGOLAND places products that fit their demographic in accessible locations, ensuring availability when and where customers want them. Promotion is heavily used through the trade system of mini-figures, which serves as a sales promotion that stimulates interest among park-goers to engage in activities, ultimately leading to increased spending on mini-figures and encouraging return visits. The price of admission also plays a significant role; LEGOLAND must keep the parks affordable to attract full families, thereby expanding their customer base. All four P’s—product, place, promotion, and price—are integral to the company's strategic flow, allowing guests to spend more over time due to effective implementation of these principles.

LEGOLAND competes with parks such as Disney, which have a vast follower base. To gain a competitive advantage, LEGOLAND strives to create a memorable and engaging experience. Notably, Chris Cancialosi mentions his personal experience at Disney and describes how LEGOLAND counters Disney’s brand dominance by calling their employees ‘Model Citizens’ instead of ‘janitors,’ fostering a more engaging and personable environment. This aligns with market segmentation strategies by catering specifically to the family-oriented demographic that frequents their parks. LEGO’s allegiance to its core customer base—those who value creative play—guides its marketing and operational strategies.

Reflection

Every company aims to differentiate itself from competitors while fostering customer loyalty. This article illustrates how LEGOLAND successfully employs a dynamic, employee-centered approach to engagement. Engaged employees are generally more motivated, providing higher job satisfaction, reduced absenteeism, and increasing loyalty, which in turn enhances customer experience. Such a connection exemplifies the Engagement-Profit Chain theory (Kruse, 2014), which asserts that profit originates from satisfied, engaged employees who deliver excellent service, leading to satisfied and loyal customers. LEGOLAND exemplifies this link by empowering employees to interact actively and positively with guests, enriching the customer experience and boosting revenue.

The correlation between employee engagement and customer satisfaction has been empirically supported, with research indicating that an effectiveness measure of .43 surpasses many industry benchmarks such as Viagra (.38) and sleep aids (.30), highlighting the importance of employee engagement in driving customer satisfaction. This reinforces the idea that employee empowerment is a critical component for success in customer-centric organizations.

Additional literature, such as Fletcher (2016), emphasizes the importance of developing engaged employees through strategic hiring, onboarding, accountability, and open communication. These practices create a workforce aligned with corporate values and committed to customer engagement. Implementing such practices ensures that employees are motivated to perform their roles effectively, which enhances the overall customer experience and organizational performance.

References

• Cancialosi, C. (2017, March 14). The building blocks of grassroots-driven customer engagement at legoland. Retrieved from exceptional-customer-engagement-at-legoland/#74ff3f3a47a8
• Fletcher, C. (2016, June 24). How employee engagement helps drive customer experience. Retrieved from experience/
• Kruse, K. (2014, January 7). Employee engagement: the wonder drug for customer satisfaction. Retrieved from engagement-the-wonder-drug-for-customer-satisfaction/#4c57814f6d46
• Perreault, W. D., Cannon, J. P., & McCarthy, E. J. (2014). Marketing strategy and planning. In Basic marketing: A marketing strategy planning approach (19th ed.). New York, NY: McGraw-Hill Higher Education.