How To Wreck Your Reputation

I have been on the receiving end of exceptionally bad customer service recently which, as a small business coach, drives me insane. Thoughts like, “How can these people run their businesses like this and expect to keep customers?” run through my head…along with a few others, which I will definitely keep to myself! I end up driving my husband insane too, because I not only tell him all about the treatment I got but how I could boost their business instead of watching it go bust. Hey, boosting business is my passion!

I’m not going to ‘name and shame’ this woman or her business simply because it feels unethical to do so and secondly, I am contracted to work with her for another six months and I want to maintain a professional relationship.

But I am going to use my experience to highlight a crucial point in the complaint handling procedure.

The key breakdown in my respect and confidence wasn’t the fact she messed up, it was how she handled my complaint. Instead of viewing my complaint as an opportunity for her to change my opinion, she reacted emotionally and defensively. I got an email from her telling me all about her sick mother she had to take care of, how busy she is and how clients call her at all hours of the day and night. (This, by the way, isn’t me because I always email her.)

None of these issues are any of my business. As harsh as it may sound, it’s up to her to manage her time, her personal issues and set boundaries with her clients so they don’t call her outside the hours stipulated. I am her client and she blasted me with her personal and professional problems.
A BIG mistake…AND she never resolved what I complained about in the first place! It’s the fastest way to wreck your reputation.

I have a fantastic tool called ‘The Complaint Decision Tree’ that I use with my Gold and Silver Club members. It demonstrates the process a client/customer will follow and the statistics make for very interesting reading! Bear these points in mind when you review your own complaint handling policy.

• If the customer purchases from you and has no complaint s/he is 75% likely to purchase from you again.

• If the customer purchases from you but complains and that complaint has been badly handled, the customer is 87% unlikely to purchase from you ever again.

Here’s the killer statistic:

• If the customer purchases from you but complains and that complaint has been well handled, the customer is 81% likely to purchase from you.

In short the result is this:

If a customer has bought something and complained BUT you handled it well, they are more likely to buy from you again than if they had no problem whatsoever.

So the next time a client or customer makes a complaint, thank them for taking the time to inform you, and then make sure you take the opportunity to turn them into a raving fan of yours.


© 2009 90 Degree Coaching Ltd.

Kirstie Gillon-Wood is Director of 90 Degree Coaching Ltd., a company devoted to supporting women wanting to create independence, and achieve personal and professional success. You can learn more about Kirstie’s products and services at http://www.90degreecoaching.co.nz.

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