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1-Page Summary of Hug Your Haters
Overview
To have a good customer service, you need to hire well-educated and competent people. You should not skimp on their salaries because they are the backbone of your company. Once you do that, you must train them properly so that they can serve customers better.
Everyone loves to be praised. And people who praise us are often our favorite people. However, we should appreciate critics too because they tell us what needs to change in order for things to get even better than they already are.
But how should you deal with complaints? That’s one of the questions this article answers, and it’s a critical one because if customers don’t get their issues solved in an effective manner, they’ll stop using your company. However, if you handle complaints correctly, you can turn frustrated customers into loyal followers who will promote your brand for free.
The author’s tips on how to charm your critics provide useful advice. He talks about why customers of Fresh Brothers Pizza are glad if their pizza arrives a little late, what is so bad about putting an angry client on hold and why passengers who forget their stuff at Schiphol airport become such great fans of KLM.
Big Idea #1: It’s essential for businesses to handle customer complaints effectively.
Do you enjoy calling customer support hotlines? Being on hold for hours listening to muzak? Or does this experience make you wonder why companies invest huge sums of money in advertising while investing zilch in customer service? It might seem like these companies don’t care about holding onto their existing customers. But that’s a major mistake because it’s key to retain the customers they already have.
In fact, if you manage to retain a single percent of your customers, it can boost your profits by 25 to 85%. This is because when you keep them happy and address their complaints appropriately, they’ll feel loyalty towards your business.
For example, Debbie Goldberg of Fresh Brothers Pizza personally answers every Yelp review. She gets very few poor reviews, but when she does, she takes extreme care to address the reviewer.
She apologizes for the customer’s bad experience and acknowledges that there is a problem. She says they are already working on fixing it, so she asks them to give her more details about their issue.
Finally, she offers her customers a gift certificate to apologize for the inconvenience. With this simple action, Goldberg has retained many customers that otherwise would have left unhappy.
Big Idea #2: Listening to customers and being more accommodating than your competitors will help you succeed.
If you don’t get feedback from your instructor, you might keep doing the wrong thing.
Because customers are important, they can help us improve by giving negative feedback. In fact, only 5% of our customers will actually complain about the product or service we provide them. So even if they’re unhappy with your business, you should listen to their complaints and try to fix whatever it is that’s making them unhappy. The other 95% might be dissatisfied for the same reasons as well; so you’ll want to look into those problems too!
It’s important to listen to your customers because you can learn a lot about what they want. For example, Square Cow Movers is a small family business that helps locals move houses. In the past, their customer reviews have been poor.
Finally, the owner analyzed complaints and found that customers were missing information about when their moving crew would arrive. This enabled the company to respond accordingly.
So, their company told its employees to improve communication with clients. They were also told to keep them apprised on vital information. Guess what?