Handling Customer Complaints - National Retail Association

Customer complaints
Customer complaints give us the opportunity to identify issues or potential problems in our
business. Effectively handling customer complaints becomes easier with time and practice. Every
one of us has the potential to be a complaining customer. That doesn’t mean that we are difficult
or abusive, it means our expectations of a product or service was not met. It is very likely that a
complaining customer can be transformed into a loyal, long-term customer if the problem can be
resolved quickly and efficiently.
The way that employees respond and handle a customer complaint will have a direct impact on
the business and any future interactions with that particular customer.
Retailers use this skill to:
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Meet the customers’ expectations
Maintain goodwill
Uphold the company’s image and reputation
Rectify issues
Identify potential or existing problems
To improve your learners skills set in handling customer complaints, share these tips and
strategies.
The following pages contain information and activities to assist entry level team members to
improve the handling of customer complaints within a retail business. The contents include the
following:
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The AQUA Principle: The four elements needed to address, and resolve a customer complaint.
Activities: Exercises and games that can be embedded in workplace training to improve
complaints handling in your business.
© Commonwealth of Australia 2015. This teaching resource has been produced by the National Retail Association with the assistance
of funding provided by the Australian Government through the Department of Education and Training.
The AQUA principle:
1. Acknowledge
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Acknowledge the customers complaint and let them vent their concerns. Never interrupt
someone when they are venting, allowing them to get it off their chest is part of the process.
Thank the customer for bringing the problem to your attention.
2. Question
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Ask open ended questions that will help you gather information to identify the issue
Clarify your understanding of the situation with closed and reflective questions
3. Understand
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Demonstrate genuine understanding and empathy. Empathy is the ability to put yourself in the
customer’s situation.
4. Answer
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Carefully consider possible solutions.
Respond to the situation with answers that show the customer you have taken their concerns
seriously, and indicate how you will follow up on the situation.
Always ensure that you follow through with what you have promised and keep the customer
informed of any further issues and relevant action that is being taken.
Customer complaint scenario
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© Commonwealth of Australia 2015. This teaching resource has been produced by the National Retail Association with the assistance
of funding provided by the Australian Government through the Department of Education and Training.
Activities
To improve your learners’ skills set in handling customer complaints try this activity with your
learners.
You are working for a large National department store in the Homewares department and a
customer has approached you with the following issue:
 The expensive crystal vase that was ordered as a wedding gift was delivered to the customers
home in a damaged condition
 The item was originally selected from the couples gift registry
 The wedding is a week away
 Your store is currently out of stock of this item
 Brainstorm solutions that would rectify the issue and keep the customer happy.
Continuous improvement activity
To improve your learners’ skills set in handling customer complaints try this activity with your
learners.
You are the manager of a menswear store and a customer has just returned one of the shirts that
were part of last week’s order. The customer returned the shirt because the stitching on the seam
was starting to unravel. This is the third shirt from this shipment that has been returned since they
were put on display.
When the customer returned the item she made an offhanded comment about the salesperson
being “quite abrupt” when she initially purchased the item. Upon investigation you have
determined that the initial sales person was Robert. Robert has only been with the company for
several weeks and this is the second complaint made about his abrupt nature.
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What problems have you identified that are impacting negatively on the business?
How would you use this information to make positive changes to the business?
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© Commonwealth of Australia 2015. This teaching resource has been produced by the National Retail Association with the assistance
of funding provided by the Australian Government through the Department of Education and Training.