Why Creating a Hospitality Culture Drives Business Success

Shep Hyken
Why Creating a Hospitality Culture Drives Business Success
Why Creating a Hospitality Culture Drives Business Success

I’ve spent decades studying what makes businesses successful, and one truth stands out above all others: what happens on the inside of a company is felt on the outside by customers. This isn’t just a nice theory—it’s a fundamental business principle that drives profitability and customer loyalty.

Recently, I had the pleasure of interviewing Taylor Scott, founder of Lead with Hospitality and author of “Give Hospitality.” Our conversation reinforced my belief that the most powerful customer experiences begin with how we treat our employees.

The Hospitality Mindset Begins Internally

Years ago, I wrote about the concept of FUN in business—an acronym for Fulfillment, Uniqueness, and Next. Brian Keley from Baptist Health South once told me, “We want to create an experience where our employees never want to leave.” When organizations achieve this, everything falls into place: employees treat each other better, and consequently, they treat customers better.

Taylor’s experience working with Disney, Wynn, Encore, and the Cosmopolitan in Las Vegas taught him the same lesson. These hospitality giants understand that exceptional customer experiences start with outstanding employee experiences.

First Impressions Matter—For Employees Too

Most companies focus intensely on customer first impressions while neglecting the first impressions they make on new employees. Taylor’s book “Give Hospitality” tells the story of a woman who leaves a toxic workplace and joins a resort where her first week is essentially a paid vacation—experiencing the brand as a guest before serving guests herself.

Think about your own onboarding process. Does it make new hires feel:

  • Welcome
  • Comfortable
  • Important

Or does it bombard them with paperwork, policies, and procedures before they’ve had a chance to connect with your company’s mission and values?

See also  Why Mere Satisfaction Isn't Enough for Customer Loyalty

Transactions vs. Relationships

One of my favorite concepts we discussed was the difference between transactions and relationships. While many businesses focus on completing transactions efficiently, the best organizations build relationships—both with customers and employees.

Building internal relationships starts with aligning personal and organizational values during the hiring process. As Taylor explained, “What are your organizational values? Can we spend time during the selection process really trying to understand if this individual’s personal values align with our organizational values?

Learning from the Best

Taylor pointed to Marriott and United Airlines as examples of companies that excel at creating loyalty through recognition and consistent experiences. When employees at these companies recognize loyal customers by name and acknowledge their status, they reinforce the relationship.

But the true test of loyalty comes when you ask: If they were to take away the points and perks, would customers still do business with them? The answer lies in what Marcus Lemonis calls the three fundamentals: people, process, and product.

When you combine great people, efficient processes, and excellent products with recognition, you create an experience that builds genuine loyalty.

Simple Actions That Cost Nothing

What struck me most about our conversation was how many of the most powerful culture-building actions cost absolutely nothing:

  • Using the golden rule
  • Being inclusive
  • Validating others
  • Engaging on a human level
  • Helping people identify and use their natural gifts
  • Focusing on making an impact rather than just an impression

These simple actions create both financial returns and meaning within organizations. As Taylor put it, they “transform jobs into truly meaningful work.”

See also  Transparency Must Flow Both Ways in Customer Experience

The Ultimate Payoff

When you build a culture based on hospitality principles, you create an environment where people never want to leave. They become ambassadors for your values and mission. They engage better and work harder because they feel connected to something larger than themselves.

My mantra has always been “Always Be Amazing.” But amazement doesn’t happen by accident. It occurs when leaders intentionally cultivate cultures where hospitality emanates from the inside out.

To transform your customer experience, start by transforming your employee experience. Give hospitality first to those who work with you, and they’ll naturally extend it to those who buy from you.

About Self Employed's Editorial Process

The Self Employed editorial policy is led by editor-in-chief, Renee Johnson. We take great pride in the quality of our content. Our writers create original, accurate, engaging content that is free of ethical concerns or conflicts. Our rigorous editorial process includes editing for accuracy, recency, and clarity.

Follow:
Shep Hyken has been at the forefront of the CS/CX Revolution for decades. His experience runs the gamut from helping notable companies like Disney and FedEx to improve their already outstanding customer service, to helping small and mid-sized organizations transform poor customer experience into a highlight of the organization.