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November 7th, 2018

A Tale of Two Customers: A Case Study on Customer Retention

A Tale of Two Customers

A Verint study on customer retention revealed that 57% of customers want to switch brands because of a mistake, such as receiving the wrong order or the order does not meet their specifications and expectations. However, 43% revealed that they could overlook those mistakes and errors if they feel the company understands them.

In this article, we will use different customer service experiences from different companies that show how accurate the above statistics are. They might be two instances compared to the many other customer interactions we’ve had, but those two had many lessons to teach.

 

Am I a Low Tier Customer?

The first case was that of a customer who was asking more clarifications for his order. Seven days had passed already before the customer service team discovered their grave mistake. They sent out an apology and addressed the concern, but the damage had been done already.

The next day, the customer replied expressing his disappointment how it took seven long days before he received a reply. He also asked if the reason for the delay was because he was a low-tier customer. Even though the company had no such policy, the customer was angry and hurt.

The customer service team wrote a carefully crafted response:

 

Hi Joe,

We sincerely apologize for making you wait much longer than you should. We also regret that it has made you feel like we care less for you than other customers we have. It will be a significant loss for us if you decide you don’t want our services anymore. However, if you give us another chance, we will prove that you’re never wrong with your decision to stay with us. Rest assured that we are already working on the request you asked from us.

 

After they sent out the email, they made sure that he got his request the next day. Fortunately, he was happy and decided to give the company another try.

 

The Case of the Wrong Order

The second customer in this story received the wrong order. The company is offering two services that are almost similar. The only difference between the two is one single feature. Upon receiving it, the customer asked the representatives thoughtfully if she really got the wrong order or not. Below is the company’s reply to her:

 

Hi Jane,

You are right, and we apologize for the mistake. Keep the product that you purchased, and we will also give you the right one.

 

Her reply was as thoughtful as her first email. She thanked the company for the assistance and praised their kindness. Plus, she ordered a couple more different services from the store.

 

Through the Microscope

There were two different situations and two different clients. Those were not good situations for any company to be in. So what are the valuable lessons that can be learned from these stories?

 

Reply Now If You Can

If the issue at hand can be resolved immediately, don’t delay your response. Having an angry customer to deal with is difficult enough, don’t let the complaints pile up!

 

Own Up to Your Mistake

If the damage has been done already, admit it. Not doing so will aggravate the situation more. If you notice, the company did that for both emails. Furthermore, be sincere with your apologies, or it will lose its effect. Don’t make the mistake of saying that it’s the busy season and you overlooked it.

 

Actively Offer a Solution

You made a mistake, and you are dealing with an angry customer. However, offering the customer a solution or telling them you can still do something about the issue can placate the situation.

As with the example above, the company offered both clients a solution to their problems. Most importantly, they delivered the result immediately. It will show how dedicated you are to your commitment and it makes your customers feel valued.

 

You Can Create a Better Story

Remember, if you apologize but do not do anything about your mistake, the apologies are useless. After all, we remember people more because of how their actions made us feel. The same goes when dealing with customers. It’s not just saying the right things but also reinforcing it with actions that will make us reach customer success.

Avatar Alexis L.
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Alexis L.
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