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Sorry Works!

 

 

One of the easiest and quickest ways to diffuse anger, create rapport, and regain goodwill with unhappy customers is to apologize. Offering an apology to a customer who experiences a problem should be a natural response from customer service providers. Yet, recent research reveals the startling fact that 50% of customers who voice a complaint never receive an apology from the company.

Not only does an apology give "soft benefits" such as creating calm, shaving minutes off of talk time, less stress on the employee, etc., it can also translate into significant and measurable savings in reduced lawsuits, settlement costs, and defense costs. Sound too good to be true? Read on to discover how a Kentucky hospital has saved $1 million dollars in le g al defense fees simply by apologizing.

Doctors and hospitals are beginning to discover what savvy customer service professionals have always known: Sorry works. A new program for doctors, nurses, and hospital administrators called Sorry Works encourages doctors and hospitals to apologize quickly when mishaps occur and to offer a fair settlement upfront to families and their attorneys. The Sorry Works program has resulted in a dramatic drop in lawsuits. The University of Michigan hospital recently implemented Sorry Works and reports that the number of pending cases has dropped and defense attorney fees decreased from $3 million to $1 million annually. Clearly, sorry does work.

Does a $1 million dollar savings based solely on an apology sound too good be true? Let me walk you through exactly why sorry truly does work…here are the facts:

 

1.  Anger - not greed - is what drives liability claims.
Dou g Wojcieszak, spokesperson for Victims and Families United, says that anger, not greed,, is what drives most medical malpractice lawsuits. Further, Dou g says "Anger is generated when doctors and hospitals "clam up" and refuse to talk with the family after a mistake happens. Anger over lack of answers is what drives families to call an attorney to initiate a lawsuit."

The same can be said for product liability claims. When customer service professionals take responsibility for blatant errors and offer up a sincere and unreserved apology they quickly establish rapport and trust and this results in problems being settled much more quickly - without litigation. An apology helps diffuse anger and reestablishes trust and this makes everyone happy. The fact is, happy customers don't sue.

2.  The practice of apologizing improves the corporate reputation.
Research has found that when a hospital adopts Sorry Works, it develops a reputation for honesty. So, when a Sorry Works hospital refuses to offer a settlement that is a signal to lawyers that the case is probably without merit.

Make it a practice to apologize for every problem, regardless of fault, and I guarantee you'll find that your trust and credibility will improve dramatically.

3.  Anger diffusion has been proven to reduce the cost of settlement.
Michigan doctors using Sorry Works say families often settle for less than what they would receive in a lawsuit because they feel they are being treated fairly.

TARP, Inc., a 30-year-old firm that measures customer satisfaction and loyalty, has found that an approach to complaint handling, which emphasizes diffusion of anger techniques, actually can decrease the cost of remedying customer problems. Rational customers who feel that a company is concerned about their problems will generally accept a lesser remedy than complainants who are angry.

4.  Sorry Works is designed to keep doctors out of court.
One of the primary goals of the Sorry Works initiative is to keep doctors out of court. Failing that, if a doctor does end up in court, the case is about the settlement amount, not the question of fault. This acknowledgement of fault up front, backed by a sincere and unreserved apology, will undoubtedly shave time and costs off of the entire litigation process.

The simple act of apologizing to a customer can g o a long way in diffusing, restoring customer confidence, and regaining goodwill. Not only that, it will most often decrease the cost of remedying customer problems.

Myra ’s Tip: I suggest employees apologize when the company is at fault AND when the company is NOT at fault. An apology when the company is not a fault mi g ht sound like this: "Please accept my apology for any inconvenience this misunderstandings may have caused you."

When dealing with unhappy customers, apologize up front and work to quickly correct the problem and you will find that you save your company potentially thousands in repeat calls, escalated calls,  customer defection, and even litigation.

About the Author

Myra Golden is one of the service industry's most prominent trainers and a highly regarded business growth strategist. Companies hire Myra and her team to help them build, recover, and strengthen customer relationships. She can be reached at 866-873-8419 or by email at myra@myragolden.com. She also has a website: www.myragolden.com

 

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