1.08


  Resolve conflicts with/for
customers to encourage repeat
          business
Handle Difficult Customers
3 Main Types of Difficult Customers

1. Disagreeable
  –   Unpleasant and hard to help
2. Domineering/ Superior:
  –   Feel they know more and are better than the
      average person
  –   Overly confident
3. Dishonest:
  –   Intentionally attempt to avoid paying part or all of
      the price for a good or service
Categories of Disagreeable Customers

• Argumentative:
  – Seem to look for problems and disagree

• Impatient:
  – Show verbally and nonverbally that they do not want
    to wait

• Leave-me-alone:
  – Don’t want any assistance or advice
Categories of Disagreeable Customers
• Irritable/Moody:
  – Display any attitude that is difficult to deal with


• Insulting:
  – Make unpleasant remarks or use foul language


• Complaining
  – Think everything is wrong
Categories of Disagreeable Customers

• Slow/Methodical:
  – Hesitant to make buying decisions
  – Require a lot of time to decide
Categories of
 Domineering/Superior Customers


• Suspicious:
  – Want facts and proof before making the final buying
    decision
  – Question everything you tell them
  – Has had previous bad experiences with other businesses
Ways Customers are Dishonest

• Always trying to take advantage of employees
• Do not pay for products
   – Theft, pilferage or shoplifting
• Purchase goods–use them–and return them
• Switch or alter prices in store
• Damage goods in store and then ask for discounts
Situations when
       Customers become Difficult
• Problems with merchandise
   – Broken or damaged items

• Changed mind

• Problems with company

• Rude treatment by an employee
Why Attempt to Handle Difficult
               Customers?

• “The Customer is ALWAYS right”
• Strong Customer Service (aka successful handling of
  difficult customers) =
   – Loyal customers who will spend money again
   – Advantage over the competitors (steal away their customer)
   – Word of Mouth



        No                                              Out of
                      No Sales         No Profit
     Customers                                         Business
General Guidelines for Handling
         Difficult Customers
• Be a good listener

• Think before you respond
   – Be detached and professional
   – Do not offer excuses

• Involve senior management if needed

• Be aware of the rules
   – Know your company’s customer-facing processes inside-out

• Empathize
   – Show the customer you understand their situation

• Resolve the issue
   – Actively initiate a process to tackle the customer’s complaint
   – Tell the customer the steps you propose to take
Handle Customer Complaints
Complaint

A customer’s dissatisfaction expressed orally, silently
                     or in writing
  – Some customers actually express the true reasons
  – Others do not tell the real reasons
     • These customers normally conceal the real complaint
     • Example:
        – Customer returns a pair of shoes due to the “color of the shoe” but
          the real reason was the high price
        – Salesperson must skillfully question and inspect the product to
          discover the real complaint
3 Main Reasons for Customer
                   Complaints
            Some complaints are justified, while others aren’t
1. Products
  –   Poor quality
  –   Improper buying decisions (lack of assistance from salesperson)
2. Personnel
  –   Pushy and rude salespeople
  –   Gives incorrect information
3. Business
  –   Type of business offered or lacking
      •   Example: Refusing to accept a credit card
  –   Don’t follow policy
      •   Examples: Don’t take back a return
Costs of Customer Complaints
• Loss of sales
   – Present and Future
   – One dissatisfied customer may tell 10 other potential customers
• Damaged Brand Image
• Additional Recordkeeping and Paperwork
   – Equals TIME
• Markdowns on Returned Goods
   – ½ of returned goods are resold but at a reduced prices
Benefits of Customer Complaints

1. Goodwill
  –   Properly settling complaints will promote goodwill (positive
      feeling towards the business)
2. Increased sales
  –   Repeat customers and may tell others
3. Buying information
  –   Use previous complaint information to prevent future complaints
IMPORTANCE OF APPROPRIATELY
 HANDLING CUSTOMER COMPLAINTS
• Should:
  – Be immediate

  – Be effective

  – Offer customer satisfaction

  – Follow company policy

  – Follow company procedure
Handling Customer Complaints:
                  POLICY
• Develop Company Policy
  –   General rules followed by personnel
  –   Avoids misunderstandings
  –   Fair & consistent treatment of customers
  –   Flexible for interpretation by management
  –   Based mainly on customer satisfaction
Handling Customer Complaints:
          PROCEDURES
• Develop Company Procedures
  – Step by step processes for performing specific tasks
    when handling a customer complaint

     1. Listen for the reason of the complaint
     2. Thank the customer for bringing the problem to your
        attention
     3. Restate the Complaint to make sure you are on the same
        page
     4. Investigate the problem
     5. Explain company policy to the customer
     6. Take action to solve the complaint
WHEN HANDLING COMPLAINTS A
    SALESPERSON MUST REMEMBER:

• Take action based the solutions that are possible within the
  business's policies

• Prevent customer complaints by accurately determining each
  customer's needs
   – Suggesting appropriate products to meet those needs


• General Steps to successfully handling a customer complaint
   1.   Salesperson must fully understand a customer's complaint
   2.   Decide if the complaint is justified
   3.   Investigate the problem to determine how the situation can be handled within
        company policy

Sem 1 -_1.08_ppt

  • 1.
    1.08 Resolveconflicts with/for customers to encourage repeat business
  • 2.
  • 3.
    3 Main Typesof Difficult Customers 1. Disagreeable – Unpleasant and hard to help 2. Domineering/ Superior: – Feel they know more and are better than the average person – Overly confident 3. Dishonest: – Intentionally attempt to avoid paying part or all of the price for a good or service
  • 4.
    Categories of DisagreeableCustomers • Argumentative: – Seem to look for problems and disagree • Impatient: – Show verbally and nonverbally that they do not want to wait • Leave-me-alone: – Don’t want any assistance or advice
  • 5.
    Categories of DisagreeableCustomers • Irritable/Moody: – Display any attitude that is difficult to deal with • Insulting: – Make unpleasant remarks or use foul language • Complaining – Think everything is wrong
  • 6.
    Categories of DisagreeableCustomers • Slow/Methodical: – Hesitant to make buying decisions – Require a lot of time to decide
  • 7.
    Categories of Domineering/SuperiorCustomers • Suspicious: – Want facts and proof before making the final buying decision – Question everything you tell them – Has had previous bad experiences with other businesses
  • 8.
    Ways Customers areDishonest • Always trying to take advantage of employees • Do not pay for products – Theft, pilferage or shoplifting • Purchase goods–use them–and return them • Switch or alter prices in store • Damage goods in store and then ask for discounts
  • 9.
    Situations when Customers become Difficult • Problems with merchandise – Broken or damaged items • Changed mind • Problems with company • Rude treatment by an employee
  • 10.
    Why Attempt toHandle Difficult Customers? • “The Customer is ALWAYS right” • Strong Customer Service (aka successful handling of difficult customers) = – Loyal customers who will spend money again – Advantage over the competitors (steal away their customer) – Word of Mouth No Out of No Sales No Profit Customers Business
  • 11.
    General Guidelines forHandling Difficult Customers • Be a good listener • Think before you respond – Be detached and professional – Do not offer excuses • Involve senior management if needed • Be aware of the rules – Know your company’s customer-facing processes inside-out • Empathize – Show the customer you understand their situation • Resolve the issue – Actively initiate a process to tackle the customer’s complaint – Tell the customer the steps you propose to take
  • 12.
  • 13.
    Complaint A customer’s dissatisfactionexpressed orally, silently or in writing – Some customers actually express the true reasons – Others do not tell the real reasons • These customers normally conceal the real complaint • Example: – Customer returns a pair of shoes due to the “color of the shoe” but the real reason was the high price – Salesperson must skillfully question and inspect the product to discover the real complaint
  • 14.
    3 Main Reasonsfor Customer Complaints Some complaints are justified, while others aren’t 1. Products – Poor quality – Improper buying decisions (lack of assistance from salesperson) 2. Personnel – Pushy and rude salespeople – Gives incorrect information 3. Business – Type of business offered or lacking • Example: Refusing to accept a credit card – Don’t follow policy • Examples: Don’t take back a return
  • 15.
    Costs of CustomerComplaints • Loss of sales – Present and Future – One dissatisfied customer may tell 10 other potential customers • Damaged Brand Image • Additional Recordkeeping and Paperwork – Equals TIME • Markdowns on Returned Goods – ½ of returned goods are resold but at a reduced prices
  • 16.
    Benefits of CustomerComplaints 1. Goodwill – Properly settling complaints will promote goodwill (positive feeling towards the business) 2. Increased sales – Repeat customers and may tell others 3. Buying information – Use previous complaint information to prevent future complaints
  • 17.
    IMPORTANCE OF APPROPRIATELY HANDLING CUSTOMER COMPLAINTS • Should: – Be immediate – Be effective – Offer customer satisfaction – Follow company policy – Follow company procedure
  • 18.
    Handling Customer Complaints: POLICY • Develop Company Policy – General rules followed by personnel – Avoids misunderstandings – Fair & consistent treatment of customers – Flexible for interpretation by management – Based mainly on customer satisfaction
  • 19.
    Handling Customer Complaints: PROCEDURES • Develop Company Procedures – Step by step processes for performing specific tasks when handling a customer complaint 1. Listen for the reason of the complaint 2. Thank the customer for bringing the problem to your attention 3. Restate the Complaint to make sure you are on the same page 4. Investigate the problem 5. Explain company policy to the customer 6. Take action to solve the complaint
  • 20.
    WHEN HANDLING COMPLAINTSA SALESPERSON MUST REMEMBER: • Take action based the solutions that are possible within the business's policies • Prevent customer complaints by accurately determining each customer's needs – Suggesting appropriate products to meet those needs • General Steps to successfully handling a customer complaint 1. Salesperson must fully understand a customer's complaint 2. Decide if the complaint is justified 3. Investigate the problem to determine how the situation can be handled within company policy