Small Business

How We Kept a Customer Service Screw-Up From Becoming a Nightmare

By Michael Hess

Updated on: July 18, 2011 / 2:44 PM EDT / MoneyWatch

We are fiercely protective and proud of our virtually flawless 10-year customer service reputation, but last week we nearly blew it.

A bug in our website blasted all of our customers with dozens (or more) copies of an auto-responder email. And as if that wasn't bad enough, after we thought we had fixed the glitch, we sent an apology note and -- you guessed it -- all of our customers got bombarded with tons of copies of that, too.

When I started seeing the notes coming back from customers, I thought I was going to be sick. We've had an excellent track record of turning upset people into happy, loyal customers, but those instances have been individual, very few and far between. Email abuse (even if accidental or perceived) is a surefire way to infuriate people; so how much of our precious goodwill had we squandered by bombarding thousands of customers' inboxes with mail from Skooba Design? There was no un-ringing the bell, so we had to deal with it head-on.

We obviously couldn't send another mass apology letter. Even if the glitch was fixed, we were pretty sure no one wanted yet another email from us. So our only immediate option was to put a plan in place to respond instantly and personally to any and all inbound complaints. We had an all-hands discussion, agreed on how we'd handle it, and made it clear that everyone -- office managers, product designers, and yours truly -- would be on call to respond to customers if needed.

When we did get complaints, we explained -- not excused, but briefly and factually explained -- what happened, apologized profusely, promised that we were dropping everything to fix the issue and prevent further trouble, and asked forgiveness and understanding. We addressed the customers by name, and included a direct phone number and email address to a contact person here.

The responses we got (and it is telling that people even took the time to respond) were almost universally positive and supportive. Here are some comments excerpted from just one customer's note:

"I completely understand, I am not upset... actually made me laugh a little... you create some beautiful and functional works of usable art...Keep up the great work! I may only have one of your items now, but that will change very soon... keep your chin up! No one died, no one got bit!"

And there were others of similar good spirit. Thankfully, when all was said and done it wasn't the horrible day we expected, and with only one or two exceptions, our customers were incredibly kind, understanding, and even good-humored. On top of that, the three days after were our best business days all year (and we're having a really good year). Perhaps a coincidence, but still a sign that all was OK in our world after the screw-up.

Even though we made it a decade without an incident of this magnitude, sooner or later most companies will face some kind of scenario requiring damage control. Here's how to mitigate, or even completely defuse, the situation:

1. React quickly, properly, honestly. Don't ignore, deny, or make excuses. Even the slightest whiff of defensiveness can destroy any chance of rescuing the situation. Explain briefly, apologize, and if possible and appropriate, offer something to make up for the trouble. Ask for understanding and patience, and of course, fix the problem.

2. Get personal. Don't communicate like a detached corporation; people expect that, and often hate it more than they do the original problem. Don't try to fog the situation with double-talk or with copy that looks like it was written by a PR robot. Use plain-speak and "keep it real."

3. Maintain calm and perspective. Remember that these things are rarely as bad as you expect, and they will pass. Most of us will never have to deal with a Tylenol- or Toyota-level disaster, and even those very serious problems faded away.

When you screw up, let your response and communication show that your company is down-to-earth and has a soul. If you have an otherwise good reputation and you handle it right, the vast majority of people will cut you slack, and you might even engender more respect and loyalty.

Would love to hear your own experiences and thoughts, and here's hoping your so-called disaster days are few and far-between.