Handling Customer
Complaints
Objectives
• Handle complaints properly
• Adopt appropriate strategies for dealing
with difficult customers
WHAT IS A COMPLAINT?
• An expression of dissatisfaction or
displeasure by a customer whether
justified or not
• The gap between customer’s
expectations and the actual value
delivered by the product or service.
Why do customers complain?
• Bad service?
• Unsatisfactory service?
• Wrong Information?
• Wrong Billing or Charging?
• Delayed service?
• Issues not being handled seriously?
• Rude and disinterested Staff?
• Not getting the services promised?
Why do customers complain?
• Frustrations?
• To impress other people?
• For compensation?
– Anything extra you can think of?
Impact of Guest Complaints
• Loosing the customer
– One unhappy customer stops 35 people
approximately from his friends and acquaintance
from using the service.
– A study suggests that 95% of customers stop using
a hotel’s service because somebody from the hotel
staff was rude to them
• Loosing the opportunity to serve the customer
better
• Bad name for organization
Effect of complaints
100%
Zone of Affection
(Retention)
80%
Loyalty
Zone of Indifference
60%
40% Zone of Defection
20%
0% 4 5
1 2 3
Slightly Satisfied Very
Extremely Somewhat
Dissatisfied Satisfied
Dissatisfied Dissatisfied
Satisfaction
Impacts of Satisfied Guest
• Repeat business
• Recommends the place/service/products to his friends and
acquaintances.
• Avails other services of hotel.
• Appreciates the hotel staff and respects them
Bottom-line profits increase
How to handle customer complaint?
• Empathize
– Listen without interruption and don’t get defensive
– Use a ‘sad but glad’ expression
– Express concern and empathy - apologize sincerely
• Assess
– Establish the problem
– Find out what the customers exactly want
• Solve
– Explain what you can and cannot do
– Fully discuss alternatives
– Take Action
• Evaluate
– Follow up on the customer to check if they are satisfied with the action provided
Do’s and Don’t’s
DO’s DONT’s
Listen to the complaint as if it Ignore the problem and
were your own hope it goes away
Identify the important points Ignore the guest
Sympathize Afraid to tackle the problem
Thank the Guest for bringing Forget you have a
the matter supervisor to refer to
Explain what can be done Delay
Act quickly
More DO’s
• Do something extra as a gesture of apology to
make customer feel special and valued
• If you cant give to customer what he/she is
asking for, rather than refusing straightaway,
give another option.
More DON’T’s
•Talk down to the customer
•Be defensive
•Justify why it happened
•Blame other people or departments
•Blame the customer
Record Customer Complaints
• All customer complaints must be recorded
and reported to the supervisor
• The best way to deal with complaint is to
prevent it from occurring
Benefits of positive handling of complaints
The value of amicably resolving complaints
can not be underestimated and include:
• Promoting goodwill
• Improved customer relations
• Positive work of mouth publicity
• Promotion of enterprise service ethic
• Opportunity of repeat business
Complaint an Opportunity
• In many ways you should consider a
genuine complaint as an opportunity and
turn it around to your advantage
• Unspoken dissatisfaction is the most
damaging to any business
• Whereas a complaint allows you the
opportunity to remedy the situation and to
regain the customer’s goodwill
Understanding Customer
Service
Preventing Customer Complaints
Customer Service
• Why do we need to treat the customers
well?
– They are our bread and butter.
– They are the reason for our job.
– They are the reason our company exists.
Customer Service
• What is Superior customer service?
– Providing services in a way which delights the
customer is good customer service.
– Service that exceeds customer expectation
and makes you stand out from rest of the
competitors.
– Service that makes the customer to visit
again and again.
Service is
• Customers in a restaurant want more than
a meal
• Guests in hotels want more than a room
• Client in a transaction want more than a
settlement
• Customer want more that just the product
or service that is offered – they also want
to be treated well
Service is Intangible
• Service is intangible
• Intangibles deal with the human side of an
organization
They include human emotions, behaviors,
understandings, feelings, and perceptions
Service is Intangible
• Examples of customer service intangible
• Satisfaction
• Attentiveness
• Flow
• Helpfulness
• Sensitivity
• Tone
• Attitude
• Knowledge
• Understanding
• Tact
• Guidance
Two Dimensions of Service
• The procedural dimension
– Consist of the established systems and
procedures to deliver products and/or
services
• The personal dimension
– How service providers (using their attitudes,
behaviors, and verbal skills) interact with
customers
Two Dimensions of Service
The Freezer The Factory
Low in both personal and Good in procedural service,
procedural service. bad in personal service.
Motto : “We don’t care” Motto : “You are number.
We are here to process
you”
The Friendly Zoo Quality Customer Service
Bad in procedural service, Excellent in both the
good in personal service. personal and procedural
Motto : “We are trying dimensions.
hard, but don’t really know Motto : ‘We care and we
what we are doing” deliver”
Key Skills for Quality
Customer Service
What You Should Know?
• Customer Service Person
• Know Your Organization
• Know Your Product/Service
• Know Your Customer
Know Your Organization
• Know Your Organization
• Organization mission and vision
• Organization culture
• Customer interaction policy and
procedures
• Company support for product/service
Know Your Product/Service
• Know Your Product/Service
• Product /service development and quality
improvement process
• Product/service configuration
• Performance data and specification
• Maintenance and care
• Price and delivery
Know Your Customers
• Know Your CUSTOMERS
• Customer Needs
• Customer Concerns
• Customer Personality
Developing Excellent Communication
with Customers
Excellent Verbal
Communication Skills
Productive
Excellent Non-Verbal Relationship
with
Communication Skills
Customers
Excellent Listening
Skills
Excellent Verbal Communication
with Customers
• Plan your messages
• Greet customer warmly and
Communicating sincerely
positively…..
• Be specific
• Use “small talk”
• Use simple language
• Paraphrase
Excellent Verbal Communication
with Customers
• Ask positively phrased
question (Instead, “Why do you
Communicating feel that way” , use: What makes
positively….. you feel that way? Instead, Why
do you want that color, use :
What other colors have you
considered?)
• Communicate to your
customer’s style
• Agree with customers
• Solicit customer feedback and
participation
Excellent Verbal Communication
with Customers
Words and phrases that build
relationship:
Please
Thank you
I can or will
Communicating
How may I help?
positively…..
I understand how you feel
You’re right
May I
Would you mind…..
I apologize for….
Excellent Verbal Communication
with Customers
Words and phrases that damage
relationship:
You don’t understand
You don’s see my point
Hold on a second
Avoiding
negative Our policy says (or prohibits)
communication That’s not my responsibility
What you need to do is…..
Why don’t you
The word “problem”
The word “but”
The word “no”
Excellent Verbal Communication
with Customers
• Six C of giving good information to
customers
- Clear
- Concise
- Correct
- Complete
- Courteous
- Concrete
Non Verbal Communication with
Customers
Body language
Volume Cues
Non Verbal
Behavior
Appearance
and Grooming
Miscellaneous
Cues
Body language
• Eye contact
• Posture
• Facial expression
• Gestures
What does your body language
indicate..
Brisk, erect walk Confidence
Standing with hands on hips Readiness, aggression
Sitting with legs crossed, foot
Boredom
kicking slightly
Sitting, legs apart Open, relaxed
Arms crossed on chest Defensiveness
Walking with hands in pockets,
Dejection
shoulders hunched
Hand to cheek Evaluation, thinking
Touching, slightly rubbing nose Rejection, doubt, lying
Rubbing the eye Doubt, disbelief
Anger, frustration,
Hands clasped behind back
apprehension
Locked ankles Apprehension
Continued…
Head resting in hand, eyes
Boredom
downcast
Rubbing hands Anticipation
Sitting with hands clasped behind Confidence,
head, legs crossed superiority
Sincerity, openness,
Open palm
innocence
Pinching bridge of nose, eyes
Negative evaluation
closed
Tapping or drumming fingers Impatience
Stepping fingers Authoritative
Lack of self-
Patting/fondling hair
confidence; insecurity
Tilted head Interest
Trying to make a
Stroking chin
decision
Looking down, face turned away Disbelief
Volume Cue
• Pitch
• Volume
• Rate of speech
• Voice quality
• Articulation
• Pauses
• Silence
Appearance and Grooming
• Hygiene (regular washing and combing of
hair, use of mouthwash and deodorant)
• Clothing and accessories
Miscellaneous cues
• Personal habits
• Proper etiquette and manners
Positive and Negative Communication Behavior
Positive Negative
• Brief eye contact • Yawning
• Eyes wide open Eye contact,orposture,
• Frowning sneering facial
• Smiling • Attending
expression, gestures
to matters other
than the customer
• Nodding affirmatively • Leaning away from customers
as he/she speaks
• Expressive body gestures • Subdued or Minimal hand
gestures
• Open body stance • Staring blankly or coolly at
• Listening actively customers
• Remaining silent as • Interrupting
customer speaks
• Gesturing with open hand • Pointing finger or object at
customer
• Clean, organize work area • Disorganized, cluttered work
space
Characteristics of Good Listener
• Empathy
• Understanding
• Patience
• Attentiveness
• Objectivity
Strategies for Improved Listening
• Stop talking !
• Prepare yourself
• Listen actively
• Show willingness to listen
• Show empathy
• Send positive nonverbal cues
• Don’t argue
• Ask questions
To listen more effectively…..
Attend physically – the right body language helps us
to focus on the customer and encourages the customer
to give us more information
Attend mentally – follow the customer’s flow of
thought, listen to understand, not evaluate; listen first,
then assess
Check it verbally – paraphrase, clarify, probe further,
summarize your understanding
Customer Focused Behavior
• Act promptly
• Guide rather than direct
• Don’t rush customer
• Offer assistance
• Don’t keep customer waiting
• Avoid unprofessional actions
Addressing Customer
Needs and Behavior Style
Addressing Customer Needs
To Feel Welcome To Feel Appreciated
To Be Understood To Feel Important
To Feel Comfortable To Be Respected
Customer Needs
Addressing Customer Needs
Use an enthusiastic greeting, smile,
To Feel Welcome use the customer’s name, thank the
customer, be positive
Listen actively, paraphrase, ask key
To Be Understood question, give positive feedback,
empathize
Use an enthusiastic welcome, relieve
To Feel Comfortable anxiety through friendly
communication, explain your action
calmly, ensure physical comfort
Addressing Customer Needs
Thank the customer, follow up, go
To Feel Appreciated beyond service expectations, provide
“special” offers, remember special
details about the customer
Use the customer’s name, give
To Feel Important special treatment when possible,
elicit opinions
Listen, don’t interrupt, acknowledge
To Be Respected
the customer’s emotions and
concerns, take time to serve, ask
advice, elicit feedback
Four Styles of Behavior
• Dominance
• Steadiness
• Influencing
• Compliance
Four Styles of Behavior
• Appears to be quite busy
• May give the impression of not
Dominance
listening
• Displays a serious attitude
• Voices strong opinions
• Appears quite active
• Takes social initiatives in most
Influencing
cases
• Likes to encourage informality
• Expresses emotional opinions
(feelings)
Four Styles of Behavior
• Give the appearance of being
quiet and reserved
Steadiness • Listen attentively to other people
• Tend to avoid the use of power
• Make decisions in a thoughtful and
deliberate manner
• Control emotional expressions
• Displays a preference for
Compliance
orderliness
• Tends to express measured
opinions
• Sees difficult to get to know
Strategies to Deal with Dominance Person
• Keep the relationship a businesslike as
possible
Dominance
• Develop strong personal relationship is
not a high priority for dominance
person
• Be as efficient, time disciplined, and
well organized as possible
• Provide appropriate facts, figures, and
success probabilities
• Try to identify their primary objectives
and then determine ways to support
with these objectives
Strategies to Deal with Influencing Person
• Be enthusiastic
• Avoid an approach that is too stiff and
Influencing
formal
• Take time to establish goodwill and
build relationship
• Do not place too much emphasis on
the facts and details
• Plan actions that will provide support
for their opinions, ideas and dreams
• Maintain good eye contact
• Be a good listener
Strategies to Deal with Steadiness Person
• Take time to build a social relationship
with the steadiness person
Steadiness
• Spend time learning about the things
that are important in this individual’s life
• Provide personal assurance and support
for their views
• If you disagree with a steadiness person,
cur the desire to disagree assertively;
steadiness person dislike interpersonal
conflict
• Give them the time to comprehend your
explanation/responses. Patience is
important
Strategies to Deal with Steadiness Person
• Provide a thoughtful, well organized
approach
Compliance
• Take a no-nonsense, businesslike
approach
• Use specific questions that show
clear direction
• Provide detailed and comprehensive
information
• Never pressure the compliance
person to make quick decisions
Resolving Service
Breakdown
Service Breakdown
Service breakdowns occur whenever any
product or service fail to meet the
customer’s expectations
Service Recovery Strategy
Express Listen to Uncover the
respect understand expectations
Outline Take action Double
the and follow check for
solutions through satisfaction
Service Recovery Strategy
Express Listen to Uncover the
respect understand expectations
"What you “Will you please
Listen carefully;
are telling me tell me what you
empathize with
are feel need to be
the customer; and
important” done?”
do not make
excuses or
interruption
“Please tell me
what happened”
Service Recovery Strategy
Outline Take action Double
the and follow check for
solutions through satisfaction
“I will take “You refund has “I am following
this action” or been requested. I up to make
“You have will personally sure your
several check with check arrived”
choices” accounting to
ensure your check
goes out Friday”
Roadblock to Service Recovery
• Not listening
• Lack of respect
• Inadequate materials or supporting
equipment
• Poor or inadequate communication
• Lack of training
• Work conflict
Dealing with Difficult
Customers
Types of Difficult Customers
• Rude
• Impatient
• Noisy
• Talkative
• Confused - unable to make decisions
• Silent
• Fussy
Types of Difficult Customers
• Rude Customer
Can be rude to everyone - they just don’t
feel comfortable being nice.
- DO . Ignore their rudeness and don’t take
it personally
- DON’T. Become Rude and Aggressive
Types of Difficult Customers
• Impatient Customer
Always in a hurry - and it won’t matter how
quickly you serve them - they will still be
impatient
- DO. Serve them quickly and politely
- DON’T. Waste their time with conversation
and they may not want you trying to sell
them products and services
Types of Difficult Customers
• Confused Customer
Find it difficult to make decisions and may
take a long time to decide
- DO. Be helpful by making suggestions and
asking questions
- DON’T. Rush them - they could become
flustered and embarrassed
Types of Difficult Customers
• Talkative Customer
Wants to talk and could spend all day
doing it
- DO. Be friendly and attentive - Lead the
conversation
- DON’T. Ignore them or give them all your
attention so other customers are ignored
Dealing with Difficult Customers
TYPE TECHNIQUE
Argumentative Do not argue back
Disbelieving Keep to the facts
Indecisive Show range of
alternatives
Nervous Establish confidence,
do not rush
Dealing with Difficult Customers
TYPE TECHNIQUE
Pompous Allow guests to
maintain dignity
Short-tempered Tact, patience and
firm response
Silent Use questioning
technique
Talkative Listen with patience
and tact
Dealing with Difficult People
• Don’t take it personally
• Remain calm, listen carefully
• Focus on the problem, not the person
• Reward yourself for turning a difficult customer
into a happy one
• When all else fail, ask for help
Managing Yourself
Do not return anger with anger. Remember
customer has nothing personal against you
he is reacting to the deficiency in service.
Don’t get emotional.
Don’t react respond.
Keep control of situations.
Apologize whenever required.
Be calm and composed always.
ACTIVITY
1. List 5 commonly occurring complaints from your
customers (internal or external). How did you handle
each?
2. Role Play.
a. Create groups with 5 members.
b. Meet for 30 minutes and discuss on a scenario in your work
place where you successfully handled complaints from difficult
customers
c. Identify and indicate which of the concepts you learn today
were you able to apply
d. You will be given another 30 minutes to rehearse for your role
play presentation
e. The best presentation will be rewarded.