Converting an angry customer into a returning shopper

5/30/2011

It takes more money to win over new customers than it does keep existing ones happy, and with small business lending still a concern, keeping current consumers pleased is key to the success of many entrepreneurs.

So what do you do when you're faced with an agitated customer? According to American Express OPEN Forum, the key is to address their concerns promptly. The website recently took an unofficial poll that indicated 95 percent of people would still shop with a business they had problems with if their issues were solved quickly and professionally.

"Make [customers] happy. Even if you disagree with the complaint and complainer, too bad," explains the source. "The numbers don't lie - 95 percent of your unhappy customers will stick around if you just make them happy this one time."

That isn't to downplay the importance of finding new customers, however. Several surveys have indicated that many small business owners are planning to do just that by significantly increasing their budgets allocated to advertising and marketing.