Dollars and Sense: Customer complaints must be handled

Published 12:00 am Wednesday, December 6, 2006

Have you ever been standing in line at a customer service counter when the clerk says to the customer service manager, &8220;Mrs. Smith is on the line, and she has a complaint.&8221;

Isn&8217;t the typical reaction for the manager to roll his eyes, look disgusted and let out a long sigh? Why?

We need to view complaints as good things!

Sure, nobody wants to create unpleasant situations for their customers. But it&8217;s going to happen, and we need feedback from our customers to help us correct situations that may otherwise drive them to our competitors.

We can&8217;t fix what we don&8217;t know is broken.

The statistics about complaints are overwhelming. It costs about five times as much to acquire a new customer as it does to retain an existing customer (more in some industries).

Bad news travels fast &045; dissatisfied customers will share their bad experience with 9-12 other people.

That results in even more complaints as negative momentum grows.

But customers whose complaints are properly resolved will share the good news with almost as many people as they&8217;ll share bad news with.

That leads to new business!

So, you&8217;re the benefactor of a loyal customer taking the time to voice a complaint to you.

What do they expect in return from you?

First, they expect empathy.

You may think to yourself, &8220;That&8217;s a really dumb complaint.&8221;

But listening to their concerns allows them to express their frustrations. Showing empathy makes them feel like they&8217;re talking to someone who cares, and you&8217;re 80 percent of the way to having a satisfied customer!

Beyond empathy, customers want atonement &045; something that says, even if just symbolically, &8220;I&8217;d like to make this up to you.&8221;

They want trustworthiness.

If you make a promise, be sure to keep it.

Never offer an explanation that is less than honest or accurate, or at least acknowledge that you don&8217;t have all the facts.

Finally, they want you to follow up to be sure their concern is fully resolved.

Open your arms to complaints &045; properly handled, they can be key tools in developing loyal and satisfied customers