PROBLEM SOLVING & HANDLING CUSTOMER COMPLAINTS

PROBLEM SOLVING & HANDLING CUSTOMER COMPLAINTS NOTES

Customers are becoming more demanding and in some cases–rude. Complaints
are an opportunity to improve existing service and begin delivering
quality service. Identifies basic problem solving skills, complex
problem and irate customer handling skills. Introduces the concepts of
self-talk and class acts. Key Points Covered: Learn why complaints
should be considered “opportunities.” Learn why the average business
hears from only 4% of its dissatisfied customers. Visualize what the
other 96% do. Learn to know the easiest type of complaint to resolve.
Learn to understand the four basic steps you should take when handling a
specific problem. The more complex problems require expanding these four
basic steps. Learn two additional skills needed to diffuse difficult
situations. Irate customers can be upsetting.

How To Deal With Customer Complaints


Every business has to deal with situations in which things go wrong from
a customer’s point of view. However you respond if this happens, don’t
be dismissive of your customer’s problem – even if you’re convinced
you’re not at fault. Although it might seem contradictory
a customer with a complaint represents a genuine opportunity for your
business:

  • if you handle the complaint successfully, your customer is likely to
    prove more loyal than if nothing had gone wrong
  • people willing to complain are rare – your complaining customer may
    be alerting you to a problem experienced by many others who silently
    took their custom elsewhere Complaints should be handled
    courteously, sympathetically and – above all – swiftly. Make sure
    that your business has an established procedure for dealing with
    customer complaints and that it is known to all your employees. At
    the very least it should involve:
  • listening sympathetically to establish the details of the complaint
  • recording the details together with relevant material, such as a
    sales receipt or damaged goods
  • offering rectification – whether by repair, replacement or refund
  • appropriate follow-up action, such as a letter of apology or a phone
    call to make sure that the problem has been made good

If you’re proud of the way you rectify problems – by offering
no-questions refunds, for example – make sure your customers know about
it. Your method of dealing with customer problems is one more way to
stay ahead of your competitors

ESSENTIAL TIPS IN HANDLING CUSTOMER COMPLAINTS

The hardest complainant type first:
If a customer is abusive you must to make you first goal is to calm the
customer’s temper and take control of the situation. You need remain
open and friendly, stay calm and keep your voice low and controlled.
Tell the customer you are interested in his/her complaint and say ‘in
order to help you I need to fully understand your problem’. Then ask
‘can you tell me what is wrong in a calm voice to ensure I focus on the
problem (rather than the emotion) so I am better able to find a
solution’. Let customer ‘vent his or her frustration’ and don’t
interrupt. Telling you their complete story, and describing how upset
they are, allows customers to release pent-up frustrations. It is wise
to take notes as you go as it helps you with your response and shows the
customer you are seriously interested in their problem.

BLAMING OTHERS IN YOUR ORGANIZATION

The worst tactic I have come across is a customer service officer trying
to blame me, the customer, for the problem. Never play the blame game!
Blaming the customer for the problem will dramatically worsen the
situation. Also particularly never use the phrase ‘sir our system
requires…‘ or even worse ‘sir you don’t understand our system’ (a common
phrase with many service providers in Asia, especially bank staff).
Never blame others in your organization. Both the ‘system excuse’ and
blaming others will be seen as evasive (or even worse cowardly) and
destroy your credibility with the customer. No customer cares about your
‘problems’, they just want their problem solved. Accept responsibility
as a representative of your company and place your efforts into solving
the problem.
‘FRUSTRATION: HAVING TO RESIST THE TEMPTATION TO CHOKE THE LIVING S OUT
OF SOMEONE WHO REALLY DESERVES IT!’ This is a funny saying however it
has no place in customer complaint handling, in spite of the bad
attitude of many
customer service’s staff I have met (and trained) over the years.

GET THE ENTIRE STORY:
When the customer has told you the whole story regarding a complaint
tell the customer what you will do to solve the problem. Do not tell the
customer what he or she must do to solve the problem. Use phrases such
as… ‘I will contact the xyz department’… ‘I will find the document’… ‘I
will gather the necessary information’ etc. If you use ‘I’ in place of
‘you,’ you will help to minimise tension as it assures the customer
that you are taking responsibility for the
resolution of the issue. If you need to refer the matter to a third
party always check back with the customer to ensure the other party has
made contact and that the problem has been solved. Sure it’s wise to
check with the third party to ensure a solution has been found first,
however contacting the customer after the event will reinforce both your
own and your company’s image. Important point never use the word ‘no’,
either recommend a solution or suggest a compromise.

PROBLEM SOLVING AS A CHANCE TO LEARN AND IMPROVE


If you view problem solving as a chance to find out how to improve your
company’s operation (or image) and as an opportunity to learn something,
rather than a nasty experience, you can approach these difficult
situations with a more positive frame of mind. In most complaint
situations there are only win-win or lose-lose results. Everyone will
win with satisfied customers as you can gain a positive company image
and an advocate for you and your products/services (plus hopefully some
personal satisfaction) or everyone can lose with upset customers and the
gradual destruction of your company’s place in the market plus… personal
emotional upset.
Every time you allow someone else to change your emotional state YOU
LOSE. Turn complaints into opportunities! In reality when you win, so
does the customer and if you lose, so does the customer.

IT’S BETTER TO RECEIVE A COMPLAINT THAN HAVE AN EX-CUSTOMER THAT NEVER
TELLS YOU WHY THEY LEFT!
FOLLOW-UP:

  1. After you’ve resolved a customers’ complaint, it’s essential you
    place a record on file to ensure the next person handling the customer
    is aware of the problems encountered so they do not inadvertently ‘walk
    into a minefield’.
  2. Best practice in customer service demands that we place a file note
    to give a little extra attention to the customer to reinforce the fact
    that the previous problem was a ‘one off’. This may well cement good
    future relations.
  3. You must also ensure that the problem’s causes are analysed and
    counter measures are employed to make sure the same situation does not
    recur. If you learn a ‘better’ way you do business make the learning
    worthwhile and find a way for your company to make the changes required.
    Also the last thing you want is for any customer to have a similar problem let
    alone the same customer have two bad experiences in a row. If they do,
    chances are you’ve lost them (and all those they can influence) forever.

ONE UNANSWERED COMPLAINT CAN LEAD TO THE LOSS OF LARGE NUMBERS OF
POTENTIAL CUSTOMERS

Effective or ’good’ customer service needs to be a company wide
philosophy not just a procedure. Effective complaint handling is a key
element to retaining customers. All job descriptions should contain a
responsibility statement for all functions and levels of staff,
regardless of their perceived requirement for direct customer contact
(or not). In hiring interviews, orientation programmes and training
sessions, emphasize that everyone is in the customer service business.
Make sure that all employees understand how they directly or indirectly
‘effect’ the customer. Include customer service in all performance
evaluations and set up a complaint recording system with a section to
report outcomes and responsible personnel.

Even if you don’t have a formal ‘Total Quality Management’ function ask
employees to submit a list of the specific things they’ve done to help
provide superior customer service. If ‘to serve a customer is the only
reason for a business to exist’ (and it is) you need to be passionate
about updating or modifying your staff’s attitudes and company
procedures to eliminate as many complaints as you can.

LEARN TO LOVE COMPLAINTS, THEY ARE GUIDEPOSTS TO IMPROVED PERFORMANCE!
If you can view problem solving as a chance to find out how to improve
your company’s operation (or image) and as an opportunity to learn
something, rather than a nasty experience, you can approach these
difficult situations with a more positive frame of mind. In most
complaint situations there is only win-win or lose-lose results. Win
with satisfied customers and a positive company image (plus personal
satisfaction) or upset customers and the gradual destruction of your
company’s hard fought place in the market and personal emotional upset.
Every time you allow someone else to change your emotional state YOU
LOSE. Turn complaints into opportunities! Remember when you win, so does
the customer and if you lose, so does the customer.

Under the heading of “focus on the people who focus on the customers”, a
manager’s customer service guide I once read (source unknown) stated:
“Make customer service a part of all written or verbal job
descriptions—no matter the function or level. In hiring interviews,
orientation, and on-the-job training, emphasize that everyone is in the
customer service business. And make sure that all employees understand
how they directly or indirectly ‘touch’ the customer.”

“Remember that people do what’s expected when it’s inspected! Include
customer service in all performance evaluations. Prior to conducting
evaluations ask employees to submit a list of the specific things they’ve done to help provide superior customer service.”

“Go on a paralysing policy hunt! Ask employees to identify policies and
procedures that get in the way of providing good service. Then do your
best to update, modify, or eliminate as many as you can.”

Research indicates that:

  1. Seven out of ten complaining customers will do business with you
    again if you resolve the complaint in their favour and if it is resolved
    on the spot, 95% will do business with you again.
  2. A typical business hears from only 4% of its dissatisfied customers;
    the other 96% just go silently away and 91% of them will never come back.
  3. A typical dissatisfied customer personally tells more than eight
    people about his or her problem. With today’s communication options and
    social media usage a dissatisfied customer may now publicize his or her
    dissatisfaction to thousands.

Talking of dissatisfaction… dissatisfied with your job? Take a look at
the free blank resume form and update your resume perhaps!

Get Topical Notes On Customer Care Here

INTRODUCTION TO CUSTOMER CARE

How To Identify Customers Need; What Customers Want

How To Handle Customers

CUSTOMER RETENTION AND EARNING LOYALTY-Customer Care

Sequence For Handling Customers Difficult Situations

Customer Care-BEHAVIOR VERSATILITY NOTES

PROBLEM SOLVING & HANDLING CUSTOMER COMPLAINTS