
If you work in customer service, efficient complaint handling is crucial. One poorly handled problem or complaint can send a customer running for the competition. Consider the following:
- A customer who goes to the effort to complain, but remains dissatisfied is usually 50% less loyal than someone who did not bother to complain.
- Research by TARP has found that if a complaint handling system is inadequate, it will further alienate the customer, resulting in lower repurchase rates.
- The problem is rarely the problem. The company’s response usually ends up being the real “problem.” The complaint handling process has a significant impact on customer satisfaction because customers are more emotionally involved in and observant of recovery service than in routine or first-time service and are often more dissatisfied by an organization’s failure to recover than by the service failure itself.




