Why is Complaints Handling Important?
By talking back when they believe they have not received their money’s worth,
consumers give businesses an opportunity to correct the immediate problem
and restore goodwill. Experience shows that consumers who complain about
products and services continue to frequent the businesses and buy the products
they complain about if they believe the complaint was resolved fairly.
Research into complaint behaviour reveals that only a fraction of dissatisfied
consumers complains to business and, thereby, gives the company an
opportunity to correct the problem. There is evidence that some consumers do
not complain because they are sceptical about a business willingness or ability
to resolve disputes fairly. Consumers simply withdraw their patronage and
criticise the company or the product to others