"The shipping container is stuck in customs."
That's the best update I could get from our buyer and it wasn't encouraging. We had been waiting for a replenishment order from our overseas supplier for weeks.
Backorders were piling up and customers were getting agitated at the wait. We had been getting a slew of angry phone calls and emails from customers who wanted to know why their order hadn’t arrived.
This might seem like a modern story, but it happened to me over 20 years ago.
I was managing a customer service team for a catalog company. Keeping customers informed about shipping delays was a real struggle. My employees were bearing the brunt of our customers' frustration, so it wasn't easy on them, either.
Today, customer service teams everywhere are experiencing similar supply chain challenges. Several Customer Service Tip of the Week subscribers have emailed me asking for advice.
Here are five tips I learned the hard way—through my own, difficult experience.
#1 Use the pre-emptive acknowledgement
The pre-emptive acknowledgement works by recognizing a situation where a customer is likely to get upset—such as a delay that will make their order take longer to arrive than expected.
You pre-empt the customer's anger by contacting them before they become aware of the issue, apologize for the problem, and offer a solution.
The biggest mistake I made 20 years ago was waiting for customers to check on the status of their order. By then, they were already frustrated. They had expected their order to arrive sooner, and when it hadn't, they took time out of their busy day to contact us.
I eventually learned to check inventory reports every day for inventory problems. As soon as we identified a delay, we launched an outbound campaign (phone, email, and mail) to inform customers.
The amazing thing was most customers were much less frustrated when we used the pre-emptive acknowledgement.
#2 Offer alternatives
Whenever possible, I like to pair the pre-emptive acknowledgement technique with options. Sometimes, customers are willing to be a little flexible to avoid a wait.
At the catalog company, we tried to identify alternatives before contacting a customer to inform them of a delay. Sometimes, we had a similar item or the same item in a different color that was immediately available.
Finding options gives you an opportunity to contact customers with modestly good news:
Is there a similar item or a different color available?
Can you source materials from a different supplier?
Are you able to expedite shipping for a modest fee?
Sometimes, customers are just happy to have a choice. Customers will be less frustrated with waiting for an order if they know they chose to wait longer over an alternative that was available sooner.
#3 Share the worst-case scenario
It can be difficult to predict exactly when a shipment will arrive. When that happens, you can avoid future frustrations by sharing the worst-case scenario.
For example, a friend of mine works for a company that sells fresh produce direct to consumers. It's hard to tell customers exactly when a crop will ripen and the farmer will harvest it. She is usually given a range of time, such as "between June 10 and July 7."
Unfortunately, customers tend to hear the best-case when we give people a range of time. So if my friend told them their order will arrive between June 10 and July 7, many customers will hear "June 10" and start to get anxious when June 10 comes and goes with no update.
Anxious customers create lots of contacts. It’s far better to give the worst-case scenario and say, “Your order will arrive by July 7” and then the customer will be pleasantly surprised if it arrives early.
There are a couple of caveats.
First, be sure that an early shipment won’t cause any problems. For instance, a customer might be traveling when an early shipment arrives. It’s best to keep customers update on early shipments, too.
Second, when creating a shipping estimate, don't forget to include the total time it takes to deliver something to a customer. At the catalog company, we'd often get updates on when a container ship with new merchandise would arrive in port, but it could take several more weeks for the shipment to get to the customer.
The language you use to communicate these delays to customers has a huge impact on how those delays will be received.
#4 Show your hustle
Customers often feel better about a problem when they realize you are working hard on their behalf to solve it.
When sharing a shipping delay, start with the bad news up front. Let customers know clearly and directly that their order is delayed.
Now you can soften the blow by offering alternatives (see tip #2) and telling customers what you are doing to solve the problem.
Are you sourcing new suppliers?
Have you paid for expedited delivery of critical components?
Are you adding more staff to be ready for a large shipment?
Anything you can do to demonstrate your hustle might make customers feel a little better. Sometimes, just providing frequent updates shows the customer you care.
#5 Commit to an update
One of the most frustrating things about supply chain disruptions is when the delay is out of our control. A supplier might promise a shipment within two weeks, but if they fail to deliver, we won't be able to keep our promises to our customers.
When you encounter a situation like this, a great strategy is to focus on what you can control. In this case, you can't commit to a specific deliver date, but you can commit to giving your customer an update.
I learned to use that technique at the catalogue company.
My team would give customers a date when we would contact them again, say 30 days out. We would then set a reminder in our customer service software to follow-up with the customer.
Customers appreciated hearing the updates. It was our chance to build trust by following up exactly when we said we would. This helped customers believe that we were on top of the issue and would keep them informed.
It also prevented a lot of angry calls.
Conclusion
The best solution to a shipping delay is to make the delay go away. Get the shipment in faster and the problem is solved.
But that's not always possible. When you can't make the shipment appear faster, your next best option is to retain customers' trust so they know you are working hard on their behalf and keeping them informed.
Ultimately, great customer experience is about keeping your promises. This means making sure you do what you say you’re going to do, such as deliver orders on time. When something does go wrong, the way you communicate goes a long way to retaining your customers’ trust.
You can learn more about making, and keeping, experience promises from The Guaranteed Customer Experience.