Tweet

Is an Angry Customer a Loyal Customer?

Guest post by: MIchael Daley

Article Overview: An angry customer is sometimes unavoidable. If they let you know they are upset, and if you take care of them, they can actually become an asset to your business. Here's how to make it happen.

Is an Angry Customer a Loyal Customer?

Can an angry customer become a loyal customer? Or in fact is an angry customer already a loyal customer? Leave your comment after you read this article.

An angry customer is sometimes unavoidable. If they let you know they are upset, and if you take care of them, they can actually become an asset to your business.

I know the previous statement sounds like a paradox. But think about it. Statistics show that the typical company hears from only 4% of its dissatisfied customers, 96% of unhappy customers just walk away, and 91% of those never come back.

If you can get past the angry tone of voice, the outrageous demands, and the occasional name calling of those 4%, you realize they are talking to, or, in some cases, shouting at you because they feel you can fix the situation. They are giving you another chance because they are loyal to your company. Don't pass up this opportunity!

View this as a chance to solidify their loyalty. A study by Technical Assistance Research Programs shows that customers who have had a problem resolved successfully and amicably tend to be more loyal than customers who have never experienced a problem with a particular business. This does not mean to purposely go and get your customers angry. Yet only the most fortunate of business owners have 100% customer satisfaction.

Fix the problem. Learn from the experience. Put in processes so that it doesn't happen again. Most customers do not want to know why a problem happened; they want to know how you are going to fix it.

How can you fix the problem?

Listen to the customer.

The customer is king (or queen). No business owner likes to hear bad news but remember your customer cares enough to let you know there is a problem. The cause of the anger might not be your fault. Don't get defensive since at this emotional juncture they do not want to know about the snowstorm in the Midwest that delayed their shipment. Listen to the voice of the customer. They are going to tell you in detail what the problem is. It might be happening to other customers and you can learn about a problem that can help your operations and brand.

Be considerate and concerned.

Continue to listen and let the customer vent. Don't make excuses. You can say something like "I understand your frustration." "I can see why this situation would make you or anyone upset." "If I were you I would be upset too."

Thank the customer for bringing the problem to your attention.

No customer really wants to think of themselves as complainers or whiners. That's why only 4% will let you know they are dissatisfied. You can say something as simple as "Thank you for bringing this to my attention." An apology is a way of thanking the customer for letting you know of the problem. "I apologize for the inconvenience this has caused you."

Only now should you start to probe for a resolution.

Remember, do not blame the customer! Do not blame an employee or vendor. You are the boss. You set policy and are responsible for the actions of your employees. You chose your company's vendors and suppliers. Get ready for a cliché...The buck stops here. Ask the customer what it will take to make them happy. If their demand can't be met, say something like "That is a good solution but unfortunately we can't meet those expectations. Here's a suggestion as to how we can remedy the problem. What do you think?"

Make sure the problem is resolved.

Ask some probing questions like "Does this resolve all your concerns?" or"We want to thank you for your business and by the way is there anything else we can do to assist you?"

Here are some other items.

Never, ever say "It's the company policy!". Policies are meant to be changed or modified. There are always exceptions. Falling back on "company policy" will create an atmosphere of isolationism. The customer will tend to feel you have pushed him away. You can tell them why the policy is in place, and you will review it. But still make the customer happy.

Don't avoid a dissatisfied customer. If you know there is going to be a problem, be proactive and let the customer know about it. Return phone calls and emails. Hoping the problem goes away is not a solution. In reality, the customer will go away and tell 10 friends how angry they are, if you are lucky. With the internet, thousands can learn of your indifference to an angry customer immediately.

If you have employees, consider empowering them to resolve issues. If an employee can fix a problem without saying "I have to talk to the manager" then the appearance of genuine concern is immediate and flows through the whole organization.

Knowledge is power. Knowing the problems of a dissatisfied customer can help you become a better company. Put yourself in the customer's shoes and see their side of the problem.

Loyal customers, those that give you another chance, will become assets to your company; driving repeat business and referrals to you. All of which are contributors to the bottom line. Handle them with indifference or even worse, do not get involved at all, and you will have a huge liability spreading the word about your terrible service.

What do think? Is an angry customer an asset or a liability?

Related Articles
  Extraordinary Customer Service: Where Does It Begin?
  Upselling to Loyal Customers
  Are Your Customers Satisfied or Loyal?
  Expansion Plans
  Taking Current Customers For Granted Is Something Your Business Cannot Afford
  The bad table
  How to use customer incentives to dramatically increase customer loyalty
  How to build customer loyalty
  Dealing with Difficult Customers
  Tips to Increase Profits - Reward Customer Loyalty
  To Grow Your Business Requires Closing the Gap Between Sales and Customer Service
  Fostering a Superior Customer Service Culture
  Top 10 Ways To Create A Hot Customer Loyalty Program
  What Does a Customer Really Want?
  Can your customers be as loyal as a big brown dog?
  From Complaint to Raving Fans
  Handling Irate Customers Allow Them to Vent
  Women Angry At Work
  Increase Sales to Your Business By Consistent Excellent Customer Service
  Is It's Never Too Late or Early to Build Customer Loyalty

Article Tags: angry customer, asset, be concerned, customer loyalty, customer satisfaction, customer satisfaction, empower employees, liability, listen to the customer, opportunity, unhappy customer, upset customer



Related Forum Posts
Re: Two Useful Books To Help You Focus On The CLIENT - Hi David, To add to your thread, I'd like to recommend Jonathan Tisch's "Chocolates On The Pillow Aren't Enough: Reinventing The Customer Experience". Tisch's book includes content on "Welcoming Customers", "The New Art of Customization", "The Challenges of Customer Diversity" and "Offering Something Extra to Your Customers" to name a few.
Re: Paypal process $315 million in payments per day. - I agree with you David, their Customer relations suck. This mean other payment systems like 2CO and WORLDPAY should work on their customers relations to take more slice of the market.
Re: Welcome to Entrepreneur University! - Hi Evan and GT, Can you clarify? If you join the "Preferred Customer" you are not entitled to commission? Why? This is the the $79.95/month account, I don't understand why you are not getting commission from it?
Re: Email Marketing Benefits - Robert, Many lists consist of more prospects than customers. Customer lists are the best, but they are created because prospects successfully transform into customers.
Marketers, Learn What You Can, Cannot Control Online - I am a Customer Service Representative in my company so naturally every once and a while I get angry customers fed up with my companies policies. Oh! I remember one day on my way home from school I was walking by a gas station and there was a man with a huge cardboard sign outside a small car mechanic business telling people not to go there because they are crooks. I am pretty sure they lost tons of business. I know my mama kept away from there after I told her about it. I found it pretty funny. I wonder if the guy got arrested or fined though....


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

THE “SECRET RECIPES” OF LEADERSHIP

How to Conduct a B2B Marketing Content Audit

How do I finance a franchise?

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.