Categorized | General, Management

7 Tips for Managing Customer Complaints


angryNo matter how good you are, when selling either a service or a product, you are bound to get hit with some complaints. Managing customer complaints intelligently, efficiently, promptly, and pleasantly can turn a possible catastrophe into a solidly loyal customer. Here are a few tips to help you do that:

  • Never take it personally when a customer yells at you for something you both know is not your fault. He is frustrated, disappointed, and angry. If you don’t take it personally, you can control your own attitude, and that will ease the situation.
  • Don’t ignore complaints, even when they are indirect and non-confrontational. When there is basis to them, it shows you a flaw in your business, shipping, or product that you may have been unaware of. When this is the case, acknowledge such to your customer.
  • Keep track of complaints and review them on a regular basis. A standard form is a good idea, and everything that happens, including follow-up should be written down and dated.
  • Deal the same way with phone complaints, emails, letters, and face-to-face confrontations. They are all important clues to how your business is doing.
  • If a customer receives a product that is not working, you will make him much happier if he can bring it right to you and exchange it. If a new one has to be ordered, then place the order immediately, and don’t wait for him to ship it back. You will have made a friend when he gets it back just days after he has returned it!
  • Always try to offer something to a dissatisfied customer (if there is any basis to his complaint). Refunds, a discount on a different model, getting it fixed, or replacing it, will renew his trust in your business.
  • When nothing you do calms your customer, ask him what he would do in your shoes. Does he have a better solution? Then explain why that would/would not be feasible, or modify it to a point where both you and he feel it is fair. Thanking him for his input, will make him feel important and you will win kudos.

Always remember that you don’t have a business if you cannot keep your customers. They may not always be right, but they are always entitled to courteous treatment, whether asking a question, making or returning something, or dealing with a complaint.


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8 Responses to “7 Tips for Managing Customer Complaints”

  1. This is a particular area of interest to me.

    If you can handle a customer who has a complaint with dazzlingly good customer service you can turn a disappointed person to a powerful advocate for your brand who will tell every one who will listen how great they feel after dealing with you.

    They really want just 3 things from you. And if you give them these 3 things they will love you for it. They will love you because most of the time they complain, no-one listens to them. So here are the 3 things they want from you: A) Acknowledgment, B) Apology, C) A promise of Action.

    1. So first, acknowledge them; “thank you for your feedback Joe Bloggs”. Easy.

    2. Next, apologise for their negative experience. But it wasn’t your fault was it? It doesn’t matter whose fault it was, apologise anyway. You can say “I’m sorry you had such a disappointing experience when xyz happened”

    3. Next, address their issue or concern and describe the changes you are going to make (or even better “have made”) so it won’t happen again. Like this “We are making changes this week to ensure this doesn’t happen again to you or anyone else”

    Here’s an article I wrote an article similar to this one

  2. Steve Swann says:

    Totally agree with your comments Sheldon. The one minor amendment might be to change “promise of Action” to “evidence of Action”.

    Taking the first step yourself often encourages the aggrieved party to take a step toward reconciliation too.

  3. Chris says:

    This is all excellent advice. I think companies too might benefit if Managers only dealt with complaints because quite often less senior employees do not have sufficient authority to resolve an issue.

    For example last week I purchased a new laptop from a large Auckland PC retailer in Penrose. Took it back to the office, turned it on and it would not boot. Called them and said I wanted a replacement and returned it immediately. Upon arrival the salesmen and repair staff wanted to try and fix it and proceeded to run diagnostics on it as apparently exchanging stock involved a lot of hassle for them with serial numbers.

    After waiting 30 minutes I called for the manager and insisted on a replacement. When he arrived he was not inclined to replace it either until I said I had only purchased it 90 minutes earlier. He said his staff had not disclosed that to him and promptly replaced it.

    But my company will never buy again from this shop because of this poor approach to a customer complaint and we will share out experience with others. Now, if the manager had given me something for my trouble, say even a $15 memory stick, or whatever, I probably would not be bagging the company now. They got $2,500 from me but at what price for future lost sales ?

  4. Ken Duncan says:

    Excellent & something that is not done well.
    Not sure on your solution there Chris of senior managers as that is part of what upsets people. oh yes sir/maam but I can’t do anything here as I need to send it upstairs. Have had that at vodafone of late & the left doesn’t seem to know what the right is doing. one is saying yes you are right & we are redeeming all that. the other is saying yes you are right & it needs to be sorted but you owe us this much (after being asked to re -up a contract with discount until end of year which has never happened & service curtailed) it has now being on going for 3 months because it always has to go higher. give staff the authority to deal with it. it only needs checks & balances. Other wise you are seen as insincere & fobbing the complaint off. Having worked with PI you must follow this up or other wise it will come back to bite you ie bad credit rating even though all acknowledge you are in the right. that can affect your business. Hence why some people keep at you even if they are small clients.

  5. Chris says:

    Ken, smaller companies certainly have an advantage in dealing with complaints, for example I own my business and I just tell all our new clients that if they are unhappy with our service, then don’t pay, or if you have already paid, then I will refund their money.

    No one’s ever asked for their money back, but they know they can, if they want.

  6. Great article, companies need to understand that irrespective of size how complaints are handled determines customer retention. After time happy/disgruntled customers accumulate.

  7. Dave says:

    Only 2 tips required.

    1. Make the customer happy if at all humanly possible.

    2. Find out exactly what went wrong and make sure it doesn’t happen again.

    In that order!

    K.I.S.S.

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