In a recent post on MediaPost’s Marketing Tools: Customer Relationship Management blog, Kathleen Stockham writes about the appalling situation in which a terminally ill Spirit Airlines customer, who was medically advised not to fly after he bought his non-refundable ticket, was repeatedly rebuffed in his attempts to secure a refund. After taking a beating in mainstream and social media alike, Spirit relented, although none too graciously.

This event led Ms. Stockham to write her post, in which she posits the following three rules:

Rule #1 – We screw up; customers, brands, retailers. We all have our blind spots, but it is in how we recover that customers remember and react to.

Rule #2 – The customer is always right. Yes your mileage may vary but in the end, the customer is always right or rue the day you tell them otherwise.

Rule #3 – Social media is your best friend and your biggest adversary, when in doubt, see Rule #1 and #2.

No refund for dying man? That's NOT the Spirit!

1. Accommodating one customer will severely inconvenience others. This actually happened to me. A few years ago, my family and I showed up at the airport check-in counter for a flight to the Dominican Republic one minute – one minute! – after the doors closed. The airline would not accommodate us (or anyone else on line) by putting us on that flight. The background is that the night before we had been hit by a disastrous ice storm. Our usual half hour trip to the airport took 2-1/2 hours and we passed countless accidents and abandoned cars on the way.

   The airline explained that if they held the flight it would lose its place in the de-icing queue and takeoff would be delayed by up to three hours. In addition, the airline put us on a flight to a different part of the island (waiving change fees) that took off only an hour later. And while it took us all day to traverse the DR – it’s a big place! – we believed we were treated very fairly. Here’s what the airline did right:

   • They explained the situation neutrally, without making the situation “us vs. them”.
   • They had the facts on their side. We could just imagine being “those people” responsible for a planeload of passengers spending hours sitting on a cold plane instead of a warm beach. No need to rub our noses in it, and they didn’t.
   • They tried to find a solution. The counter staff sent out a radio call for staff familiar with the DR. They got us on the next flight and gave us detailed directions to our original destination. Insisting on change fees would have left a bad taste but they waived them without being asked. In short, the airline successfully balanced our interests against those of a large number of other customers
2. The customer has an agenda. The customer is angry that the company is unionized – or non-union. Sells products made in Israel – or has taken them off the shelves. The list of potential grievances is endless, and the ability of aggrieved customers to reach an audience is growing daily. What to do?
   
   • Take the customer, and the issue, seriously. The customer might be factually mistaken, and might be willing to share correct information, especially if he/she has already shared content that is misleading or untrue. If the customer is factually correct, it is a good idea to engage to the point of taking the complaint seriously. There is no need to agree with the customer’s position, but there is no need to treat him/her as a wingnut, either.
   • Promise consideration, not change. In most cases, it is reasonable to forward claims from advocates to the appropriate person in management, and it is therefore truthful to tell the consumer that that is what you will do. It’s probably true that management is open to feedback from customers on almost any subject, and if so, say so. If the issue is one like Chick-fil-A’s “Closed on Sundays” policy, which is well-known and immutable, it’s only fair to politely inform the customer that, although you respect his/her position, the company’s policy is not likely to change. The best that can be hoped for is that delicate handling defuses the customer’s hostility before he/she reaches the keyboard.
3. The customer wants a benefit that hasn’t been earned. This is something that can give businesses fits. A free bottle of wine, an upgraded rental car, a pass to an airline lounge – these are just a few of the soft benefits that companies use to reward loyal customers. When the benefit is conferred right in front of a less deserving customer, feelings can be hurt and demands can be made. Here are some suggestions:
   
   • Always have access to customer profiles in real time. A customer who is one visit away from earning the benefit he wants probably should get it. The first time customer … not so much. It’s easier to deny a request for a benefit (politely, please!) if you know the facts and they are on your side.
   • Explain the rules. Even if eligibility for soft rewards is somewhat discretionary, explain to the customer what it takes to qualify. A customer who understands your expectations, and knows how to meet them, is less likely to go away angry.
   • Consider half a loaf. It’s important to determine whether this is a customer you want to retain, and it’s sometimes difficult to make these judgments on the fly. Associates should always feel free to bring in a supervisor without fear of an adverse evaluation. You don’t want to incentivize bad behavior, but if this is a customer you want to keep, and the request was made politely, consider trying to meet the customer part way. A free dessert instead of the wine, perhaps?

Is the customer always right, when he/she has ready access to social media? Let us know in the comments.