Frantic shoppers and end-of-year frustrations contribute to a rather tense retailing environment, but amid the madness, it is important that South African companies remain open to the various learning opportunities potentially presented by their own business blunders.
When alerted to service issues – whether the conduct of a sales representative on a store floor or a customer's disappointment with a specific product – consider these incidents as rare second chances for a business to rectify a damaged relationship.
The key though, is being aware of consumer complaints in the first place.
Tracking such grievances, let alone responding to them quickly and effectively, is one of the most difficult (and rewarding) challenges for a business. The unfortunate reality is that few consumers actually take the time to express their dissatisfaction directly to a company about a product or service. Whether due to apathy, time constraints or not wanting to cause a fuss, many South Africans continue to tolerate poor service without speaking up.
When consumers experience poor service, most simply tell friends, family or colleagues; not bothering to go directly to the source of the problem. According to Nielsen Media Research, the world's leading provider of consumer marketing information, reports of bad experiences outnumber good service reports by as much as five to one. International research across a wide range of sectors indicates that customers who have had a bad experience will tell approximately 11 others about it, while those with positive experiences will tell just six people.
Even among consumers who do lodge complaints, many now entirely forgo corporate complaint channels – whether outsourced call centres, general customer service numbers or nondescript email addresses. Increasing numbers are opting to rather convey their displeasure with a company through independent Web-based services that track and manage consumer complaints.
There is a role for online intermediaries in our world of networked networks.
The speed with which an organisation responds and resolves complaints is crucial to maintaining its online reputation and retaining customer loyalty. By the facilitating and carefully analysing the complaint management process, it is possible for an organisation to effectively respond to consumers who are increasingly choosing to complain online.
Few organisations can afford not to listen to consumers. Today, the ramifications of poor service and not listening and responding to customer dissatisfaction are acute. From blogs to industry ombudsmen, the number of complaint channels and ways for consumers to be heard continues to expand. With the ubiquity of Internet and the growth of social networking Web sites such as Facebook, word-of-mouth has been taken to another level.
Although SA's private sector has started to proactively address the country's modern consumerism and improve its responsiveness to customer service issues, many companies still do not have adequate channels in place through which customers can launch complaints. Even among large organisations with a choice of feedback consumer feedback mechanisms in place, customers are increasing using alternative channels in order to receive an adequate response in a timely manner.
The main lesson to be learned: it is the prerogative of consumers to choose where, how and to whom they will complain, and as much as businesses may establish a set of channels to hear and respond to their customers, organisations must be flexible and open to new avenues and methods to address consumer dissatisfaction.
Some say it's a brave new world. Perhaps more accurately, SA businesses need to be much braver in tackling the new customer service realities of the online world.
