Cofounder and CEO of PissedConsumer, a review platform that helps consumers be heard and brands improve their customer service processes. getty
The customer is the foundation of any successful business. Without satisfied customers, a business will not thrive. This is why customer service and customer support are such important aspects of any business. The “customer is always right” philosophy suggests that businesses should prioritize customer satisfaction above all else and do everything in their power to ensure that their customers are happy.
However, this philosophy has faced criticism and controversy, with some arguing that it places too much power in the hands of the consumer and can lead to businesses sacrificing their own principles and values in the pursuit of customer satisfaction. So, in my opinion, it’s important for businesses to strike a balance between prioritizing customer satisfaction and standing firm on their own values and principles.
The idea that “the customer is always right” has become ingrained in business culture But is it really the best approach for companies today? Let’s take a closer look at the origins of this phrase, why some argue the customer isn’t always right, and how businesses can strike the right balance between customer satisfaction and company success
The History Behind “The Customer Is Always Right”
The notion that the customer is always right first emerged in the early 20th century. Department store owner Harry Gordon Selfridge and hotelier César Ritz are often credited with coining the phrase as a customer service motto for their businesses.
The concept took hold because it was novel for the time, Customers were not used to being treated as priorities or having businesses focus on satisfying their needs above all else Adopting this service mentality helped certain companies stand out and build loyalty,
Over time, “the customer is always right” became a ubiquitous business maxim. It trained staff to quickly resolve customer complaints without question. The goal was to foster an environment where customers felt empowered.
Flaws in the “Customer Is Always Right” Mentality
Despite its popularity, many argue that taking “the customer is always right” too literally can harm businesses today. Here are a few key reasons why the customer may not always be right:
1. Unreasonable Customer Demands
Customers can make unfair or unrealistic demands. For example, a customer might request a full refund on a sofa without returning it. Always accommodating the customer in cases like this can lead to abuse and lost profits.
2. Customer Misunderstandings
Sometimes a customer complains about an issue that stems from their own confusion or misunderstanding. For instance, they may request a refund by claiming a product doesn’t work when they simply used it incorrectly.
3. Abuse of Staff
Rude or belligerent customers can mistreat staff. Always siding with the customer in these scenarios can hurt employee morale and retention.
4. Time Drain
Certain “high maintenance” customers demand excessive time and resources compared to the value they provide. For example, a customer requiring constant account support for a low-revenue transaction.
5. Unrealistic Expectations
Trying to satisfy every customer’s needs 24/7 is unrealistic. Businesses need to set reasonable expectations about what they can offer.
Finding the Right Balance
Does this mean companies should stop prioritizing customer satisfaction? Of course not. The heart of “the customer is always right” still holds true – making customers happy needs to be a top priority in business. However, companies also can’t sustain themselves without setting practical limitations.
Here are some ways businesses can strike the right balance:
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Empower staff to use best judgment. Don’t force them to always blindly side with the customer. Trust employees to decide when a customer demand is unfair or unrealistic.
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Be selective about high-maintenance customers. Apply the 80/20 rule. Know which 20% of customers create 80% of customer service issues and evaluate if those relationships are worth preserving.
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Set expectations upfront. Be clear about what you can reasonably offer or not offer customers. Managing expectations early can reduce misunderstandings.
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Listen to customers. Give upset customers a platform to voice frustrations. Don’t dismiss complaints out of hand even if they seem unreasonable. Seek to understand their perspective.
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Turn mistakes into learning opportunities. When a customer complaint does have validity, own up to it and use it to improve rather than assigning blame.
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Focus on win-win solutions. Don’t look at customer interactions as zero-sum. Find resolutions that satisfy complaints while still upholding policies and company needs.
The Takeaway
Businesses should absolutely make customer satisfaction a priority. But they need balance. The mantra “the customer is always right” promotes a good service mindset when applied flexibly. However, taking it too literally can set unrealistic expectations that hurt company culture, staff morale, profitability, and customer experiences in the long run. With empathy, flexibility and boundaries, businesses can keep customers happy while upholding their own needs.
Nobody is in the right 100% of the time.
As a business owner with extensive experience in the customer service side of things, I’ve always heard that the customer is always right. While this may seem like a simple and straightforward approach to customer service, it’s not always as straightforward in practice.
There are times when the customer is indeed right, and there are also times when this approach just doesn’t work. MORE FROM
When is the customer in the wrong?
Now, let’s consider situations when the customer is in the wrong. For example, a customer may claim that they received the wrong item in their order, but upon investigation, it turns out that they actually ordered the wrong item.
In this case, the customer is not right; therefore, the customer service agent should not feel obligated to accommodate their request. Instead, explain the situation to the customer and work with them to find a solution that is fair to both parties.
Another situation where this philosophy doesn’t work is when the customer is being unreasonable or demanding. For example, a customer may make a request that is simply not possible for the customer service agent to fulfill, or they may make demands that are out of line with what your business can reasonably offer. In these cases, the customer service agent should not feel obligated to bend to the customer’s will but should instead find a way to meet the customer’s needs within the limits of what is possible.
Is the Customer Always Right? | 5 Minute Video
What does “the customer is always right” mean?
So, let’s take a look. What Is the Meaning of “The Customer Is Always Right”? “The customer is always right” is a pretty common saying used in the business world because it emphasizes the importance of providing the best possible customer service so your patrons are satisfied and come back.
What should you do if a customer is wrong?
If the customer is wrong or doesn’t actually have all the necessary information, cover your bases and research the problem further before proposing a solution. Researching the issue yourself offers the customer additional findings and reassurance—remember, you’re the expert. Rely on facts, not feelings.
Is customer service always right?
While ‘always right’ usually translates to ‘never wrong’, this isn’t necessarily the case when it comes to customer service. Customers aren’t going to be right in every situation. But they are entitled to having support and service teams do everything in their power (within reason) to satisfy their needs.
Who said ‘the customer is always right’?
“The customer is always right” is a popular phrase attributed to several turn-of-the-century American retail pioneers. Swiss hotelier César Ritz, perhaps most famous for the Ritz Hotel in Paris and the Carlton in London, used the slogan “Le client n’a jamais tort” (or, “the customer is never wrong”) as early as the 1890s.
