HANDLING CUSTOMER COMPLAINTS

What is a Complaint? “An expression of dissatisfaction made to an organization, related to its products or services, or the complaints-handling process itself, where a response or resolution is explicitly or implicitly expected”

Why do customers complain? Their expectations have not been met! To release their anger To help improve the service

Why do customers complain? What proportion of unhappy customers complain? Generally 9% to 37% of unhappy customers make complaints to the firms. The rest never bother to complain Why don’t unhappy customers complain? They think it is not worth the time or effort. They further think that no one would be concerned about their problem or solve it. They do not know where to go or what to do. Each happy customer will tell at least six other people

Most common complaints... Wrong information Poor customer service attitude Overpricing Lack of adequate information Delays Unresponsiveness of service providers

The customer is not always right but... The customer is always the customer and this means simply that solving the problem is often more important than who is right. If you can solve their problem without blaming yourself or others, you will reduce stress, everyone will feel better and you will be on your way to attaining CUSTOMER SATISFACTION

Is a complaint a gift? Why? Complaints are gift packages waiting to be opened because they: Are given freely Are unexpected…they come as a surprise (usually)

Is a complaint a gift? Why? A complaint gives you: Free direct communication from the customer about service failures, competitors offerings etc. without the added cost of conducting a survey Readily available market research: they define what customers want

Is a complaint a gift? Why? A complaint gives you the opportunity to: Increase customer trust Build long term relationships- customers will use your services again if they believe complaints are welcomed and addressed Rectify service failures

Is a complaint a gift? Why? If a customer is complaining, you are being given a chance to retain that customer

The customer’s needs when they complain Needs relating to the complaint To have their concern dealt with quickly, fairly and properly To be given what they have been denied and perhaps an apology To have action taken to rectify a problem or address a concern- Needs as individuals To be heard To be understood To be respected

When the customer’s need is met… You automatically Engage your Customer as your Advocate! Who is your advocate??? A person who publicly supports or recommends you Someone who speaks, or argues in your favor  

Steps for Handling Customer Complaints

How to Handle Customer Complaints How do you react to customer complaints about the way you do your work? Especially when you think you are doing your best??? People react to customer complaints in different ways… Some Ignore complaints Become defensive Become angry or annoyed Are concerned about the loss of trade or the damage to their professional reputation

How to Handle Customer Complaints For others, it is A hindrance They just wish the customer would go away! Or They do not believe some or all of what the customer is complaining about. These reactions are as a result of blame being attributed to us or our organization.

How to Handle Customer Complaints In making complaints, some customers portray the following characteristics Lack of gracious social skills to communicate properly Nervousness Harshness Very Emotional Lack understanding of you or your organization’s limitations Rudeness Unreasonableness

How to Handle Customer Complaints Listen Apologise Acknowledge Explain action Thank Follow up Remember not to take it personally Remain calm Focus on the problem and not person Turn unhappy people into happy customers

How to Handle Customer Complaints Address customers by name All communication should be in the first person. Use “I am sorry” not “we” Don’t make excuses or blame others in your organization Give the customer your full attention and establish eye contact Paraphrase their complaint in your own words to determine whether you have correctly understood the situation.

How to Handle Customer Complaints If you don’t know the answer to their problem, don’t lie. Call back when you say you will, even if for some reason, you haven’t been able to obtain a satisfactory answer by then Make the customer part of the solution not part of the problem

How to handle customer complaints Don’t be defensive Don’t take criticisms personally Offer an apology even if the disservice is not your fault Show empathy by using such phrases as: “I can understand how you feel”, “I appreciate what you’re saying.”

How to Handle Customer Complaints Tell them what you can do…not what you can’t do Find out what it will take to turn their dissatisfaction into satisfaction If they agree to that solution, act quickly before they change their mind Follow up And remember: You can never win an argument with a customer