Monday 28 September 2009

Local hero

In the matter of household shopping we look back nostalgically to the high street of yesteryear. Ah, those were the days. The butcher, the baker, the grocer. Ooh, hello, Postman Pat! In every shop a cheery greeting. And great personal service.

Gone. For ever. Whatever happened to them?

You bankrupted them. Yes, you.

You trooped off to the unloveable supermarket, didn’t you, where the food is fresher, the choice greater, the prices lower? Sure, the experience is impersonal, but does that bother you? No. You can look after yourself, thank you very much.

Small may be beautiful but bigger is better. Beastly it may be, but biggest is best.

Affordability is the critical factor here. Yes, a handbuilt car is the one you’d like. In your dreams. Back here on earth, c’mon let’s get grounded, the mass produced car is the one you can afford.

Funerals are no exception. You don’t want a production line funeral. You don’t want to be borne to your final resting place by Tesco. You don’t want to deal with a faceless organisation. You’d rather interact with humans who seem to care about you, have time for you, people who answer to you, not their line manager.

You want a bespoke, handbuilt, boutique funeral. Because small is beautiful.

And here we come to one of the great paradoxes of the funeral industry:

You can have one!

Any business which can reduce its unit price can make itself more affordable. Any undertaking enterprise that can open a few branches, share a car pool, operate a central mortuary, drive deals with coffin makers and other suppliers and work its employees to death, can, according to the immutable laws of business, do it cheaper. Obviously.

But they don’t.

In fact, a handbuilt funeral, a boutique undertaker, is likely to cost you considerably less than one of the big chains.

Whaa?! Why do they charge more?

Because they can. Because they’re greedy.

If you’re not going to compete on price, what’s left? Service, of course. But service, as we know, consumes time. It is the first victim of economies of scale. That doesn’t matter a bit if you’re buying your groceries. But when you buy a funeral, it's service that matters most.

And it’s because the big chains of funeral directors, most of them, can’t offer what most people want most—service—that they’ve got nothing to boast about. So, when they buy up a small, independent undertaker, they don’t put a huge poster in the window proclaiming UNDER NEW MANAGEMENT! Oh no. They go on sort of pretending to be the little guy they bought out. Are they ashamed to confess who they are? You answer that. Is this practice a bit shady? The judgement is entirely yours.

Can’t be too careful in my business. I used to hold the romantic notion that the law was all about justice until a property developer, enraged by my naïveté, told me it was all about intimidation. “You hire the most expensive barrister you can afford and you bloody well terrify the living s**t out of them!” he yelled patiently. He did it a lot. The yelling, too. He drove a handbuilt car.

Down in Sandhurst, Berkshire, Holmes and Sons, Funeral Directors, are keen to point out to their customers the difference between themselves and their competitors. This is the point of marketing: to define your USP and set yourself apart. Would that other funeral directors understood this First Law. On their unusually well written website David Holmes says this:

Locally it can be hard to know who is who in the funeral business. Some companies trade with names that can easily confuse. Camberley & District funeral directors are in fact the Co-op, as are George Parker in Yateley. In Fleet the Co-op name appears above the door. In some parts of Surrey & Hampshire, the Office of Fair Trading has forced the Co-op to sell some funeral businesses. They had become too dominant, there was a lack of real competition said the OFT. The Co-op´s legal people insist we tell you that being big doesn´t of course mean being bad.


In Fleet, Farnborough and Frimley the Goddards & Ford–Mears firms are in fact owned by a major independent UK car dealer. Mr Goddard sold out many years ago; we suspect local families would have no idea who actually owns the businesses nowadays, they just remember the name. In Aldershot ´Finches´ are now part of Dignity Plc, a major national chain trading with hundreds of names.

We believe bereaved families benefit from dealing with owners rather than managers answering to distant directors. With David Holmes & Sons YOU are the priority, not Head Office rules and figures. Our service is second to none – our charges are reasonable. We´re not under pressure to sell you anything. For your protection, we are members of both respected trade associations.

The gist of what Mr Holmes has to say here is easily grasped: he is beset by Co-ops and by branches belonging to other funeral chains, and they are not, he reckons, trading transparently. Many of these branches are owned by Southern Co-operatives, an independent Co-op society which, nonetheless, is about to re-brand its funeral operation under Funeralcare, yet retain its independence. Confused? I am. Why the heck would they want to do that?


The OFT did, indeed, compel The Co-operative Group Limited (CWG), the mother of Funeralcare, to sell off some of its branches following its purchase of the Fairways Group in 2006. The OFT's grounds were that this acquisition could result in substantial lessening of competition in specified areas. When CWG proposed to sell some of its branches to Southern Co-ops it was told that it must not on the grounds that Southern was not "independent of and unconnected to CGL".


All this information is in the public domain. Mr Holmes's facts are easily checked and verified.


But his is a new business in the area. He is an independent, and proud of it. What, therefore, is the response of the Co-op? Raise its game? Trade transparently? Meet Mr Holmes on his own ground?

None of the above. They want to meet him in the High Court. Yes, can you believe it, they’re threatening legal action against Mr Holmes unless he removes the reference to the Office of Fair Trading. Is this Southern Co-ops or Funeralcare doing the suing? Sue King, press officer at Southern Co-ops, has promised to tell me.

Nice one, Co-op. If you can’t beat em, trash em.


In your dreams.

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6 Comments:

Anonymous Kathryn Edwards said...

Good ferreting, Charles! Tell us, on what basis is Mr Homes to be sued?

28 September 2009 at 13:48  
Anonymous james said...

I often feel inspired to do something outrageous and dangerous after reading one of Charles' David and Big G triumphs, where he do champion the cause of true - oft unheralded - champions.
Nor do I feel so alone in the independant Funeral Director Sector - but emboldened to shout louder about how very committed we are to providing service.
Perhaps as speaker following the Rotary Club Dinner in Gloucester tonight offers just such a window!

28 September 2009 at 17:08  
Blogger Charles Cowling said...

This from Co-op Funeralcare's senior public relations officer, Ruth Chadwick:

Charles

Sue King has forwarded your email to me for comment.

Please find below a response from The Co-operative Funeralcare.

A spokesperson for The Co-operative Funeralcare, said: "We contacted David Holmes & Son, requesting that it removed comments relating to The Co-operative Funeralcare from its website, which we felt were derogotary. The website copy has since changed, so we have not taken any further action."

Regards

Ruth Chadwick

30 September 2009 at 10:37  
Blogger Charles Cowling said...

My response to Ruth Chadwick's chilly communication:

Dear Ruth

Very good to hear from you. Thank you for responding. I have posted your reply on my blog: http://www.goodfuneralguide.co.uk/2009/09/local-hero.html

It is my understanding at this stage that David Holmes has not made material changes to the text on his website, but has simply noted objections to it made by The Co-operative Funeralcare. I have asked him to clarify. You might want to look into this.

In the broader context, I think there is an urgent need for Funeralcare to respond to criticisms I have made of it over the last eighteen months in the light, particularly, of the forthcoming publication of the print Good Funeral Guide on 13 May 2010 by Continuum Books. This is likely to impact negatively on Funeralcare. Already, many people have read what I have written on my blog. I have received many private responses, not one of which has been anything but highly critical of Funeralcare.

I have repeatedly asked Funeralcare to respond to criticism and proclaim the good news about itself. I have received perfunctory responses at best (your own is typical), and these have naturally served only to reinforce my doubts about Funeralcare's ethical position and commitment to offering best possible service at best possible prices.

It is my mission to furnish the public, through diligent research, with the best informed and most balanced interpretation of the funeral industry.

I can only do that if Funeralcare talks to me. I therefore welcome detailed, constructive refutation of the conclusions I have reached to date. I should be very happy to be proved wrong.

You can read what I have written about Funeralcare by searching my blog archive. Alternatively, I can supply you with the links.

I very much hope that now, after so long, a spirit of consumer-focussed openness may break out at The Co-operative.

With all best wishes,

Charles

30 September 2009 at 12:09  
Blogger Matty's surrogate mum said...

You are so naughty Chas but so right to make the point. The sooner the funeral world wakes up to what they are there for the better.

Fantastic stuff.

Lynne x

22 October 2009 at 07:54  
Anonymous David Holmes said...

Still no word from the Co-op's lawyers. I assume they were just bluffing - putting the pressure on me! - David Holmes

19 March 2010 at 22:21  

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