By: Erika Stevens

If you haven’t already heard yesterday Borders filed for Chapter 11 bankruptcy.  I read an article towards the end of 2010 that forecasted trouble for the bookstore so it seemed to be looming in the background.  What came as a surprise was the email I received from the CEO Mike Edwards this morning because I am a part of the Borders Rewards Program.  Mr. Edward’s email acknowledges not only the changing economy but the changes in bookselling that have occurred over the last few years.  He freely admits that the company needs to take time to reposition themselves.  This kind of blunt honesty resonates with customers who were curious about the details after yesterday’s announcement. 

For me the email reinforced the importance of customer communication that has been top of mind since I read an article last night entitled “A Healthy Business Marriage Relies on Text Analytics” in the latest copy of Loyalty Management magazine.  Though the article was focused on the importance of the business listening to customers and the use of text analytics to do so, there were a number of thoughts on communication that resonate with both sides of the relationship.  Particularly true is the well known sentiment that “communication is the key to a healthy relationship.”  In our personal relationships we know that when things get tough communication can suffer but communication is essential to make it through those hard times.  
 
Borders’ well known rewards program (if you are a member you can agree that they send a lot of emails) gave them a way to communicate with customers in a time of uncertainty.  As a business you never know how your customers will react to bad news.  But I can say in this instance, as a loyal customer, I appreciate the communication about the future of Borders and the reassurance that the rewards program will still be there.  The email did not ask for my monetary support or beg me to buy more products it did something much more than that.  It made me a part of a trusted circle that deserve to be informed and reminded me how important I am as a loyal customer by letting me know the rewards program will continue on.  The email also pointed at a website explaining the reorganization and a phone number to call with concerns.  This simple email proves that Borders truly does care about their customers and their support in this time of reevaluation.