According to John Tschohl from the Service Quality Institute, when customers complain, they are giving you an opportunity to do better, and to be better, by pointing out deficiencies in your operations. In the process, they are providing you with data you can use to identify areas with issues that need to be addressed.
‘I hate complaining customers. They’re annoying whiners who are looking to get something free. I wish they would just go away.’ That’s how many business owners, executives, manager, and employees view customers who have complaints about the products or services they purchase. But there’s an upside to customers who complain.
If you receive few complaints, that doesn’t necessarily mean you provide flawless service; it might mean customers who have experienced problems with your products or service chose to do business elsewhere. Research studies show that because of poor customer experiences, 50 percent of customers switch companies they buy from. Studies also show that 95 percent of customers who have had a bad experience do not complain.
Defecting customers have a major impact on your bottom line. It can cost five times more to attract new customers than it does to retain current customers. Research shows that complaining customers are overwhelmingly loyal and sincere. They want to continue doing business with you if you set things right. The first step you must take is to make complaining easy.
Many companies solicit complaints through surveys, which is costly, but then do nothing with the results. Instead of using that feedback to develop strategies and establish a plan of action to prevent similar complaints in the future, they often let it lie dormant in a computer file. Surveys are a waste of time and money.
Complaint prevention is the foundation of quality service for any business. When management doesn’t recognise complaints as opportunities, neither do employees who would rather run and hide than deal with a difficult situation or irate customer. You must train employees in the techniques of dealing with complaints, whether it is in person, on the phone, or by email. When they do so quickly and to the customer’s satisfaction, it is magic.
When customers complain, they are giving you a second chance to keep them, and their money, coming back to you. Getting new customers is expensive; keeping them should be one of your top priorities. When customers complain, thank them, resolve their issues, and use the information they provide to improve what you do and how you do it.
SERVICE QUALITY INSTITUTE
www.customer-service.com
