Is Operating Under the Mantra “the Customer's Always Right” Good for Your Company?

For one, customers are the reason businesses thrive. The better your customer retention the better the profit, and the more your business can grow. So, going above and beyond in providing great customer service is a no brainer for business owners.

Besides that, any backlash for bad customer service could be catastrophic. All it takes is one viral bad review and you'll find your revenue plummeting. Owners would rather avoid getting negative reviews and so happily adopt the rule.

On the other hand, operating under this rule might not be the best way to go because it leaves employees feeling unhappy. Customers can, at times, be difficult, demanding and downright rude. If employees are forced to put up with borderline abusive customers it'll leave them feeling terrible, which in return causes the level of customer service to drop, leaving your business at the mercy of both bad employees and unhappy customers.

Another adverse effect is that management supports customers against employees. It shows that the company cares more about customers than they do their employees causing the rise in bitterness and dissatisfaction. It also shows employers lack of faith in their employees to handle difficult situations when needed. It creates a negative working atmosphere and will definitely affect employee performance.

So, while customers are crucial to any businesses success, operating in such a way that hurts your employees is harmful to your business. Finding the balance in using this rule is key to keeping both your customers and employees happy.