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Preventive Customer Complaint Handling Initiatives |
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Preventive Customer Complaint Management initiatives help organizations build and maintain
relationships, diminishing the likelihood that problems will arise and
develop into complaints. These initiatives include educational activities
directed at both customers and businesses, customer service policies,
guarantees, refund and exchange policies, benchmarks, internal audits
and codes that set out service level commitments, and consequences for
not meeting them.
Preventive initiatives are the “front end” of comprehensive Customer Complaint Management systems. Effective preventive Customer Complaint Management initiatives are well publicized,
adequately funded, consistently applied and well monitored. Because preventive
Customer Complaint Management initiatives can take the form of voluntary codes, we urge
readers to review the publication Voluntary Codes: A Guide for Their
Development and Use, available from Industry Canada’s Office of
Customer Affairs and on the Web (http://strategis.ic.gc.ca/volcodes).
Examples of Preventive Customer Complaint Management Initiatives at Individual Businesses
A pizza chain widely advertises that when its pizzas do not arrive within
a certain time the pizza is free. By establishing an up-front policy about
delivery and offering clear compensation for when the commitment is
not met, customers have an assured outcome (either pizza on time or
free pizza).Customers know in advance what to expect so complaints
are minimal, and the “on time or free” policy becomes an important
competitive advantage.
A major Canadian discount retailer has a service guarantee policy concerning
the accuracy of its checkout scanners. When there is a discrepancy
between the price of a product at the checkout and the advertised price or
the price on the shelves, the customer gets the product free when it is
valued at up to $10 or a $10 discount when it is worth more than $10. As
with the pizza delivery policy described above, the price accuracy policy
gives customers an assured positive outcome. When fully enforced and
publicized, the policy creates a strong stimulus for the business to ensure
that prices are accurate and thus avoid giving away free products. It also
creates a strong incentive for customers to review their receipts. The
policy demonstrates that the retailer is honest and has integrity, and is
an important factor in a customer’s decision to continue to shop at a
particular store.
Examples of Industry-wide Preventive Customer Complaint Management Initiatives
Advertising Standards Canada (ASC) has a pre-clearance service for
advertisements. Firms submit advertisements for review by a panel of
experts prior to use in the marketplace. This process greatly decreases
the likelihood of complaints about an ad. ASC also develops standards for
the advertising industry and the public, publishes information about its
activities, and provides advice to firms and the public. Taken together,
these efforts enhance understanding by all parties of the issues surrounding
advertising before problems occur.
The Cable Television Standards Council administers customer service
standards on issues such as confidentiality and security of customer
information, as well as cable television service commencement, continuation
and termination. The Council regularly conducts on-site visits with
members to ensure ongoing compliance with the standards. Public and industry knowledge of the standards decreases suspicions that individual
customers or member companies are being treated arbitrarily and
unfairly, and adherence to the standards diminishes the likelihood that
complaints will arise. The customer service standards were developed
by the Canadian Cable Television Association with input from industry,
government and customers.
Under the Alberta New Home Warranty Program, participating builders
are certified to ensure that they are competent in the trade and financially
solvent. The program also provides customer education publications and
seminars, as well as builder education courses. Through the up-front
certification program, and related education initiatives, there is greater
assurance of quality workmanship and a decreased likelihood of customer
problems arising.
Summary
Introduction
Market-based Customer Complaints Handling Initiatives
Preventive Customer Complaint Handling Initiatives
Internal Complaints Handling Initiatives
External Private Dispute Resolution Initiatives
Comprehensive Complaints Handling Systems
Characteristics of Effective Online Trustmark Programs
Online Redress
The Need for Effective Customer Complaint Handling Initiatives
Customer Complaint Handling Initiatives and the Law
Developing and Implementing Complaint Handling Initiatives
Elements of Successful Customer Complaint Handling Initiatives
Where Can I Get More Help?
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