Customer complaints

Complaints are inevitable in every business. A customer complaint is an expression of dissatisfaction made to an organization, related to its products, or the complaints-handling process itself. While expressing dissatisfaction, the complainant expects a response or resolution form the organisation. The information obtained through the complaints-handling process can lead to improvements in products and processes and, where the complaints are properly handled, can improve the reputation of the organization, regardless of size, location, and sector.   An effective and efficient complaints-handling process reflects the needs of both the organizations supplying products and those who are the recipients of those products. An effective complaints handling process can:

1. Enhance customer satisfaction
2. Offer opportunities to maintain or enhance customer loyalty and approval
3. Improve domestic and international competitiveness
4. Provide a complainant with access to an open and responsive complaints-handling process
5. Enhance the ability of the organization to resolve complaints in a consistent, systematic, and responsive manner, to the satisfaction of the complainant and the organization
6. Enhance the ability of an organization to identify trends and eliminate causes of complaints
7. Improve the organization’s operations
8. Help an organization create a customer-focused approach to resolving complaints
9. Encourage personnel to improve their skills in working with customers
10. Provide a basis for continual review and analysis of the complaints-handling process, the resolution of complaints, and process improvements made

Customers may raise the complaints through various platforms and channels. Organisation shall have necessary arrangements in place to quickly capture the complaints so that can address it without leading to further escalation. The platforms where the customers will raise the complaint are:

1. Complaints raised in public media
2. Complaints made to regulatory bodies
3. Expressing dissatisfaction to other customers
4. Direct complaints

Public media

Dissatisfied customers leave bad reviews in social media and other public platforms which affects overall brand perception. Customers are more likely to leave a review after a negative experience than a positive one. Public media complaints should be addressed fastest and provided solutions as soon as possible. Public multimedia has the reach of millions of people. If the customer takes his/her complaint to social media platforms it can reach all those who are following the organisation’s social media accounts. Failure to address such complaints put a negative impression on the current as well as on the potential customers of the company. Therefore, these kinds of complaints must be addressed quickly and with utmost care. A company should have enough trained people to handle their social media accounts and complaints should be sent to the related departments.

Complaints made to regulatory bodies

Many countries and regions have regulatory mechanisms available for the consumers to lodge formal complaints against the products and services they have purchased. Regulatory bodies will investigate such complaints and provide a resolution. The seller will have to adhere to the resolution taken by the regulatory body.

Expressing dissatisfaction to other customers

Undoubtedly ‘word of mouth’ is one of the best marketing tools even in today’s world. It is likely that an unhappy customer will express his/her displeasure about a product to friends, relatives and people in their circle. This can damage brand reputation, thus leading to loss of prospective customers especially in the case of B2C businesses.

Direct complaints

Direct complaints are made directly to the organisation by the customer through the complaints reporting mechanism. Such complaints are relatively easy to handle and gives an opportunity for the organisation to analyse and improve. Having a proper complaints handling mechanism in place is one of the proactive measures to prevent the customers expressing their dissatisfaction outside the organisation and causing more damage to the brand.