Wednesday, September 23, 2015

Make the Most Out of Your Unhappy Customer

For anyone that is working/worked in retail, you can directly relate to this post. We've all seen them, dealt with them, heard them and even cried from them (that's another story). Especially when the holiday season comes around, it seems like the nasty, bitter customers come swarming in for the best deals. How can marketers make the most out of their unhappy consumers? There's a fear that the unhappy consumer is posting a mean Facebook post as they're walking out of the store, so how can that be prevented? You have to make the most out of your unhappy customer.

I've worked at Kmart for five years now and I can rest assure that I have dealt with the best of the best customers to the worst of the worst. I've seen how a company can suffer from the worst of the worst customers. For example, on the wonderful and exciting day of Black Friday, a women wanted to put many pieces of jewelry on layaway. She was happy because she was saving hundreds of dollars on our Black Friday deals when there was a piece of jewelry she thought would be on sale and it wasn't. Long story short, the lady got upset, wanted to speak with a manager and get the deal. Now, this customer has no idea that for loss prevention causes, you can't just sell a $499.99 ring for $49.99 because that is what the customer wants. That just can't happen. So, she stopped all of her purchases and left the store. This is a case in which an unhappy customer caused a decrease in revenue for that day.

Once a customer is unhappy and starts to get nasty it seems like there is no going back. But, there is a way in which companies can turn their unhappy consumers into their most loyal. All the company has to do is cooperate and make them happy again. This is a concept we touched up in Professor Costanzo's Promotional Strategy class. If you can please the customer and show them great customer service, then that can turn the whole situation into a positive Facebook post about your company's great customer service. The unsatisfied customer becomes your biggest ally in spreading positive WOM about your brand.

I've seen how an unhappy customer can hurt revenue, like the lady on Black Friday, but I've also seen how managing those customers can benefit the company. For example, one day during the summer I was working at the jewelry counter when this nasty, mean looking older man that had alcohol breath came in to make a payment on a layaway. When I say this guy was rude, that is an understatement. So, immediately I knew I had to adjust and manage this guy to make him happy. I realize that he was over six weeks late in paying off his layaway (you only have two weeks to do so). When I noticed that his layaway had been returned to stock, I gulped fearing the reaction I'd get from him. Instead of telling him what had happened, I contacted my manager and we dealt with the situation. We told him that his layaway had been returned to stock, however he can put them on layaway again with a reduced percentage off. This pleased him greatly, even to the point that he came back every month and made new layaways. This really showcased that if you manage an unhappy customer the right way, they can become a loyal customer.

Many companies may fear the bitter customer, but what they may not realize is that it is a time for opportunity. They have the opportunity to influence and persuade that customer into thinking that the company or brand does whatever it takes for its customer's satisfaction. They can spread positive WOM, tell others to visit your store and keep coming back because of your company's great customer service. So, the take away from this: Don't be scared of your unhappy customers. Make them your most loyal ally.

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