1. Chapter 9. Recover the potentially lost customer
BUILDING TRUST AND LASTING RELATIONSHIPS

2. LEARNING OBJECTIVE 1: UNDERSTAND THE CASE FOR SERVICE RECOVERY
On average, companies lose half their customers every five years
Attempts to recover lost customer have strong positive impact on profitability
Unrecovered customers do a great deal of damage
Recovered customers are even MORE likely to stay loyal than customers who have not had a problem

3. “Second life cycle” customers
Are already familiar with your products and services
Have preferences (likes/dislikes) that you already know
May feel flattered at your attempt to win them back
Become comfortable doing business with you (again) more quickly than new customers

4. LEARNING OBJECTIVE 2: DEVELOP YOUR RECOVERY SKILLS
Feel their “pain”
Clarify the specific problem and do all you can to resolve it
Go beyond with “symbolic atonement”
Look back and learn from each situation
Understand your own reactions

5. LEARNING OBJECTIVE 3: HANDLE THE OCCASIONAL chronic complainer
Such “customers from hell” are rare. Don’t be too quick to classify.
If dealing with a true chronic complainer. Use these tips:
Tip1. Be certain this really is a chronic complainer

6. HANDLING CHRONIC COMPLAINER (Con’t)
Tip 2. Know what to do
Actively listen; rephrase complain in your own words
Establish the facts
Resist temptation to apologize
Get the complainer to propose a solution
Tip 3. take a break. Cool off, reflect

7. LEARNING OBJECTIVE 4: APPLY HUMAN RELATIONS TIPS FOR APPROPRIATE TONE
Tip 4: Remember that people are self-interested (what’s in it for me?)
Tip 5: Use receiver-centered messages
Tip 6: Talk with people as individuals, not groups
Tip 7: Give positive information
Tip 8: Avoid abrasive tone
Tip 9: Be assertive, not aggressive

8. A FINAL THOUGHT
Customer complaints are opportunities for building customer loyalty. While complainers can be annoying, they can also be helpful. Recovering a lost customer is almost always worth the effort.