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THE SILENT KILLER OF SALES
"The Customer Never Came Back".
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In 2010, we wrote an article called "The True Cost of Complaints". You will find it on our web site located on our NEWS PAGE (blog). The emphasis in that article was on actual costs to manufacturers for reported complaints such as those resulting in fines, injury, recalls, negative publicity, etc.
What we did not discuss is the more subtle effect of those situations where an item or product is not meeting manufacturers' specs and creates a negative response by the buyer, but simply results in no more sales of that product to that consumer or company. The negative and passive response could be from: short count, missing parts, unseen broken items, foreign objects or a wide variety of other seemingly minor "flaws"
Past studies have shown that in reported complaints, the area of "perceived poor quality" will result in at least a loss of sales in the 2 to 3 % range. For high volume competitive products, this is significant!
The unknown and unreported cases will surely increase that percentage considerably. The result could simply be - "I wonder why we aren't selling more of "X" ?
The obvious answer is : be as sure as you can that you are producing and shipping the highest quality product possible. We have solutions for you!
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