Mistakes are inevitable in every business and none of us are perfect. This does not mean we must have dissatisfied customers as a result. How you recover from those mistakes is what defines you, and how professional your business is. A good recovery can convert a potentially frustrated customer into a loyal fan.

No business can afford to lose customers. Most industry experts agree it costs about five times as much to generate a new client as it does to retain an existing one. So how do you recover from your mistakes? How do you keep your customers happy when things go wrong?

It starts with an attitude of gratitude and a culture of empathy. Train your staff to appreciate every client and to understand the cost of losing customers. Teach your employees to see the situation from the customer’s perspective. Help them understand the hidden costs and frustrations the customer goes through when mistakes happen.

For example, if an auto shop does not make repairs correctly, the vehicle could break down. This may cause the customer to miss an important meeting. Then the customer has to pay for a tow truck and spend even more time waiting for the repairs .

It is also important to empower your employees to offer immediate solutions to resolve a problem. If the inconvenience is too great and the company cannot afford to compensate the customer, the tone of the response must convey the company’s regret.

Sometimes the little things make the biggest difference. A heartfelt call from the owner, or a handwritten card with a gift certificate can go a long way towards service recovery.

Finally, if the situation results in company policy change or corrective measures, let the customer know what you are doing. This will make them feel like part of the quality control process and it reinforces your commitment to providing great service.


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Bill Nordbrock is vice president of community relations for SCORE Southern Arizona, a nonprofit group that offers free small-business counseling and mentoring by appointment. For information, go to southernarizona.score.org, send an email to mentoring@scoresouthernaz.org or call 505-3636.