Customer complaint behavior
Describe the place and time decision
Given this, we believe that organizations can undertake several strategies to lower the cost or increase the benefit of complaining, without "giving away the store. Research also shows that dissatisfied customers will tell more people about their experience than a happy customer. The key is in understanding why your consumers are not complaining, and then choosing the proper approach in response. In order to follow through on this strategy, an organization must communicate effectively to consumers, and hire complaint handling personnel who are competent communicators and who can interact effectively with complaining consumers Garrett, Meyers and Camey Following, we discuss some of these strategies. While consumer exit is bad for the organization, the effects of negative word of mouth are potentially much worse since it can influence many more people TARP There are several negative outcomes possible. These customers are the ones whose behavior you can most rely on. The choice of a response style exhibited by consumers is determined by episode specific variables such as the probability of obtaining redress, the costs and benefits from complaint actions and the nature of dissatisfying service and personality variables such as prior experiences, alienation, and attitudes, toward complaining. Complaints using social media Social media allows dissatisfied customers to reach large online audiences with their complaints. Auto manufacturers are designing elaborate training procedures and operations manuals for dealerships customers, service managers in an effort to help dealers win back dissatisfied customers. Garcia and Robert C. Consumers however rarely file complaints in the more formal legal sense, which consists of a formal legal process see the article on complaint. Hirschman, Albert O. In some countries for example Australia ,  the United Kingdom,  and many countries of the European Community , the making of consumer complaints, particularly regarding the sale of financial services , is governed by statute law.
Robinson, Larry M. We believe that this is a major misuse of resources. An excellent example of this is Texize who successfully gained market share by guaranteeing to replace any garment from which they could not remove a stain Kendall and Russ These can be addressed through increasing consumer knowledge by way of consumer education programs TARP Consequently, while gaining valuable information, the organization may still lose the consumer as well as incur the added expense of handling a third party complaint.
It also gives the organization the ability to spot defective machinery, problems on the product line, and problems downstream with the distributors.
In order to follow through on this strategy, an organization must communicate effectively to consumers, and hire complaint handling personnel who are competent communicators and who can interact effectively with complaining consumers Garrett, Meyers and Camey Scott Maynes et al.
This brings with it the potential for eliminating future dissatisfaction from this source.
Research also shows that dissatisfied customers will tell more people about their experience than a happy customer. But for everyone who complains, there are twenty six others who feel the same way but did not voice a complaint.
Complaint behaviour examples
Third, they may voice their complaints to the manufacturer or retailer involved or take no action even when dissatisfied if they are loyal to the seller or believe complaining is pointless. Accessing general consumer surveys done among the public, and integrating this information with information collected by the organization, can let organizations know how many dissatisfied consumers they may potentially have, what percentage of these consumers actually complained, and why the non complainers did not complain. Gilly, Mary C. Sometimes, it may just be a case of letting consumers know how to get in touch with the organization Strahle et al. We believe that an important direction for future research is to continue the focus on the complaint-related personality variables in consumer complaint behavior. Through these actions, the organization has the chance to dramatically impact the consumer tendency to complain directly to the organization, instead of elsewhere, especially if the consumer is aware that the complaint will be handled Richins We believe that this is a major misuse of resources. Websites, blogs and chat sites dedicated to business complaints are increasingly popular vehicles for dissatisfied customers. In Table 2, it appears that the worst possible consumer complaint behaviors for the organization are those that do not involve external sources. A key construct in most complaint management situations is the communication between the consumer and the organization Garrett, Meyers and Camey
A model of consumers complaining behavior CCB is shown in Figure. Based on this, we were able to suggest how complaint managers could have a direct and proactive effect on complaint behavior.
based on 47 review