When working with franchisees, I ask a critical question: “What percentage of your customers would forgive a major mistake and continue doing business with you?” The silence that follows is telling.
Three Customer Types:
- Occasional Buyers: Purchase based on competitive offers. One mistake can cost you.
- Habitual Buyers: Purchase regularly out of habit but lack genuine loyalty. A single error can break the habit.
- Loyal Customers: Clearly know and articulate your value. They support you through occasional mistakes.
Recovering from Mistakes:
- Own It: Admit clearly, “We made a mistake, and we’re sorry.”
- Allow Venting: Let customers express their frustration to move past it.
- Make Good: Provide proportional compensation to repair trust.
- Resell Value: Remind customers why they chose you initially; highlight your strengths again.
- Don’t Push: If resistance remains, step back respectfully.
Remember: Strong relationships survive service hiccups. Focus on building loyalty that withstands mistakes.
“If you’re only one mistake away from losing business, your relationships aren’t solid.” – Paul Dorsey