Why “the customer is always right” is bad for business - and what you should do instead

Difficult customers are nothing new, but 2021 takes the cake. Over the past year, customers have routinely made headlines for verbally (and sometimes physically ) attacking frontline workers over long wait times, product shortages, COVID safety precautions, and other reasons that are virtually always outside the workers’ control.

“They’re just yelling the entire time,” Marcus Brotherns, who quit his fast food job this summer after too many encounters with angry customers, told NPR. “I never want to do something like this again.”

Marcus isn’t alone. According to a 2021 survey, more than half of all former hospitality workers said they wouldn’t go back to work even if they were paid much more, citing a degrading culture of long hours, rude customers, and little respect.?

There’s not a true labor shortage. Rather, there’s a shortage of companies that offer workers what they really want : meaningful work, ways to grow, a manager that trusts them, and quality work-life balance. As our research at Humu shows , the Great Resignation isn’t a compensation issue: it’s a culture issue, often caused by a disregard for employee wellbeing.

For years the retail mantra given to frontline workers has been “the customer is always right.” Or to finish the sentence: “The customer is always right … which means you are wrong.” Take the abuse. Apologize for things you don’t control. And no matter what, smile and nod.?

That might have been good advice when customers were more civil, but not if you want your front line workers to stick around today. Here’s what you might want to try instead.?

Trust your people, and have their back

People who know that their boss will side with the customer, even when that customer is rude or wrong, quickly lose trust in leadership. Employee trust levels are already at record lows: less than a third of employees think their employer cares about their wellbeing. Eroding trust further by prioritizing the most outrageous customer demands over the mental health of your people is a fast way to drive them out the door. No one wants to work a demeaning, demanding job where their manager doesn’t trust their judgment.?

Once new hires have shown that they’re competent and motivated, trust them more than what feels comfortable, especially when it comes to dealing with customers. Empower your people to offer solutions on a case-by-case basis. Employees need to know that when a customer is unfair or rude, management will have their back ... and not automatically take the customer’s side. (Or worse, blame the employee for a customer interaction gone wrong for reasons beyond their control.)?

Don’t minimize how your employees feel

You can’t always prevent upsetting customer interactions, but you can be there for your people afterwards. When issues with an angry customer arise, acknowledge and validate your employee’s perspective. For instance, if an employee tells you about an upsetting interaction with a customer, avoid minimizing their feelings by calling it “a little annoying” or “part of the job.” Underestimating someone’s feelings tends to be far costlier than overestimating them.

Much better is to reflect your employee’s emotions back to them, saying something like “I understand that you’re upset this happened, and rightfully so—no one should be allowed to take their emotions out on you like that." And then go a step further: "Here’s what I’m going to do to prevent this from happening again.” Validating your employees’ emotions shows that you trust their version of events, and makes them more likely to come to you with concerns in the future. As an added bonus, when your employees feel heard and valued, they’re more likely to effectively calm down an irate customer, or go above and beyond to solve a pressing problem. It’s a win-win.

Empower your people to say no—politely

Not every customer is worth the time and energy it takes to keep them satisfied. This doesn’t just apply to the rude customers you read about in headlines: even polite customers can be wrong, or make requests that your business simply can’t accommodate.

Rather than forcing your people to say yes to a series of one-off, time-consuming requests, train them on how to clearly and kindly explain why they can’t accommodate certain asks. Sometimes doing what’s best for the long-term health of your company means parting ways with a customer that doesn’t match your vision and values—and making room for the customers that do.

Focus on metrics that support long-term growth??

A narrow focus on the customer being right might mean you’re overlooking other, equally important indicators of company health, including turnover, employee wellbeing, how much you’re investing in inclusion, and whether managers are actually getting better at managing.?

Define your company’s employee-focused metrics for success, and then track them. How are managers improving, as rated by their direct reports? Do your people see opportunities for growth? Do they plan to stick around? Studies show that employee satisfaction and retention rates are two of the best indicators of a company’s long-term health—and overall customer satisfaction. That’s why our philosophy at Humu is to make it easy to offer your people autonomy, learning in the flow of work , and the personalized support they need to thrive and to deliver exceptional customer experiences.

Instead of being “customer first,” the top companies of the future will be “employee first.” By focusing on building a strong, empowering employee culture, the customer experience–and your profits—will fall into place.?