Businesses dread dealing with dissatisfied customers, but it’s important to let them complain. Great customer service has become part of a company’s marketing plan because when customers are happy, they’ll let their friends and family know. And when they’re not and a company doesn’t have a plan in place to deal with feedback, they’ll run everywhere else to complain. And that makes sales plummet.

What makes it more challenging nowadays is that the walls are down; the marketplace is global, and customers can complain anywhere they want to online. So companies have to pay attention to prevent them from going to the competition to get what they want.

Do a search for certain companies, and instead of positive press showing up in the search results, complaints pop up. A famous example is “United Breaks Guitars,” a video that explained what happened to a guy who experienced horrible customer service when his guitar was mishandled and ruined on a flight.

[youtube]http://www.youtube.com/watch?v=5YGc4zOqozo[/youtube]

Letting customers complain gives them an opportunity to vent. They can express themselves and show their frustration. When the company responds, a relationship develops, and it becomes a way to show empathy. Many customers call a business and get an automated, depersonalized message. Or they encounter a clueless employee who hasn’t been trained to deal with problems.

But when an understanding person is ready to respond, it enhances customer service, and helps the company’s reputation as well. Ira Kalb describes some negative consequences in Business Insider and how they can be prevented.

He says when a customer complains, it’s an opportunity to fix what’s wrong. He adds that they’re more honest than employees because their complaints aren’t linked to a job or fear of retribution. One way he suggests to connect with inactive customers is to ask them why they haven’t bought something in a while. Finding out what the problems are and solving them ensures loyalty and good buzz.

What are some effective ways you’ve dealt with customer complaints?