Social media and networking tools like Twitter and Facebook have created the ultimate real-time customer relations experience; beyond face-to-face communication. They may actually be even better because the entire world can listen in on the two-way communication that transpires, and see how caring merchants really are. Some merchants may look on with horror at the ease in which complaints can spread virally, but if you know how to deal with them, they can become great public relations opportunities.

Strategy for Merchants

1. Create company accounts, or customer service-specific accounts if you don’t want to conflict with your current public relations strategy, on the following networks:

Social Networks: Facebook, Twitter, & YouTube Social News Sites: Reddit & Digg Blogging Communities: WordPress, Blogger, & Tumblr

1. Monitor these sites for keywords relevant to your company (your company name especially) and be proactive in responding to customer feelings of frustration as much as outright complaints.
2. Do not wait for customers to try to contact you. If you see a negative conversation starting, enter into it in a friendly, helpful manner and try to find a solution. From this simple exchange you will build loyalty in the one or several consumers you dealt with directly, build up your image with people who see that you helped a fellow consumer, and even quell future complaints by sharing a solution that others may be in need of. Remember, for every customer that voices a complaint, there are many others with the same problem who will not speak out and simply never buy from you again.
3. Also monitor to see what customers are saying about your competitors. If they are having problems with a company they are a loyal customer to, offer yourself as a viable solution they can count on.

Example

Comcast has been doing a fantastic job of handling customer complaints on Twitter with its @comcastcares handle. Being an internet provider, Comcast obviously attracts a lot of attention from internet-savvy folks who network socially online. Bill Gerth, face of @comcastcares, is monitoring Twitter constantly for any tweets containing @comcastcares, and reaching out to those showing any signs of frustration with the company or its products. Example:   laurenairey Lauren Airey i’ve been on hold with @comcastcares for…yep, 20 minutes. on a sunday night? whyyyy?! 23 hours ago Favorite Retweet Reply in reply to ↑ @comcastcaresBill Gerth @laurenairey i apologize for the trouble can i help 23 hours ago via Seesmic Desktop Favorite Retweet Reply

Bottom Line: Local Businesses Can Compete with National Retailers

Some large retailers, most recently Target, have chosen to ignore online customer relations, as they feel it is not worth their time. Small and medium-sized merchants (SMMs) cannot afford this luxury of ignorance; especially with how much their businesses depend on word-of-mouth marketing. Even though it can be overwhelming to effectively use social media for merchants to grow their business, it needs to be done. The online world of consumer reviews and complaints is one place where SMMs can compete with the big box retailers on level ground. Millions of dollars in advertising are not going to fix a consumer complaint. It may even fuel rage among consumers if they see a banner ad alongside a scathing comment for the same company; showing they care more about gaining the attention of the masses instead of helping loyal, individual customers. If SMMs can follow a proactive strategy like the one above, they can generate a golden customer service reputation, and create company advocates out of satisfied consumers.