A few weeks ago, I went to a local home center to purchase a hose for the backyard. I didn’t need anything special. Just something to spray water on a couple of gardens. The prices ranged from $17 to more than $100. Being the cheapskate I am, I bought the “light duty” version for $17. I wasn’t expecting high quality, but I found myself spending two or three minutes removing the kinks each time I went to use it. In essence, it was a piece of crap. So back to the store I went.
I did not have the receipt, but figured they’d give me store credit and I’d use that to buy a better hose. The person at the customer service counter said, “We don’t issue store credit. But maybe we can find your purchase in the system. Do you have the SKU?” I didn’t, but went back to the hose section, found the one I had purchased, took a picture of the label with the SKU on it and brought it back to him. I gave him the credit card I remembered using and he couldn’t find it in the system. I gave him the other credit card I use and the debit card I use and he still couldn’t find it. He looked at me and said, “There’s nothing else I can do.”
So after ten minutes of this, I said to him, “Okay. You keep this piece of crap. I’ll go across the street and buy a better hose over there.” As I turned to walk away, he said, “Have a nice rest of your day.”
We’ve all been through this kind of frustration. But here’s the bigger picture. In addition to what I do for Common Sense Enterprises, I have owned and managed rental properties for more than 20 years. I spend a few thousand dollars every year at this store and the one across the street for supplies and repairs. I shop at the one across the street more often and have never had difficulty returning an item, even without the receipt. They just give me store credit. Why this company won’t give customers store credit baffles me. Or maybe this clerk is just misinformed. Either way, I can only imagine the damage it is doing to customer relations.
Over the years, I have met with several successful business owners who encourage their employees to act in the best interests of the customers at all times, even if it costs the company a few bucks. The Nordstrom chain has been famous for doing this for decades. This takes some encouraging to make sure people believe it. But once this approach is embraced in the culture, the quality of service skyrockets and so do sales.
Way too many times, I’ve seen managerial worry about minor losses and the rules they foster crowd out the goodwill critical to establishing loyal customer relationships. You probably have too. If an employee is taught or conditioned to worry more about losses than service, they will not feel empowered to make the best decision when these inevitable situations arise. This is true for the small organization such as mine or the nationwide conglomerate. So . . . how about yours?