Angry customer with paper bag over head and sad face on it

The Effects of Unhappy Customers

Word-of-mouth, customer advocacy, and social advocacy measurement all have fairly simple concepts. The majority of the time, a customer recommends a product to a friend, who then purchases it. But what happens if that new person ends up being a dissatisfied client? Do they share negative experiences with others? This blog looks at the impact unhappy customers have on businesses.

Keeping customers happy is essential to any business. Customers are more likely to shop elsewhere if they are not satisfied. Customer dissatisfaction frequently results in the loss of customers and prospective clients. Customers who are not happy will talk negatively about your company for years to come. Because of this, it’s crucial that your company offers the highest quality customer service.


While it’s easy to define your reputation in your personal life, it’s not so easy to define it in the world of business. What is reputation, exactly? The majority of people associate reputation with being bad. They believe that a person’s reputation is always unfavourable. However, a company also has a reputation. And in today’s society, a company’s reputation is frequently just as crucial as its goods or services. Let’s examine a coffee shop as an example. Everything depends on the company’s reputation.

You will have a lot more customers than if you are just another coffee shop in the area if it has a reputation for being a good place to go after school or if it is said to have a great atmosphere for studying. The difference between the ordinary and the extraordinary, as well as between success and failure, is reputation. It’s what establishes a company’s reputation.

Did you know: There are more than 200,000 people per day who post reviews on Google, Facebook, or Yelp about their experience with a company?

Customers who don’t return

Getting a new customer to return is reportedly one of the hardest things for any business to do. Getting them to return a second, third, or fourth time is even more difficult. It shouldn’t be and in fact, it could be quite easy by putting in place a strong customer retention strategy. No matter how excellent your goods or services are, having them alone is insufficient. You must entice customers to return, which you can do by giving them what they desire. And what do your clients desire? They want to feel valued by your company and that your attention is focused on their needs.

As mentioned in our previous blog “Why Would I Need To Focus On Customer Retention?

  • 91% of unhappy customers are likely to stop doing business with a company.
  • Unhappy customers frequently share their experiences with nine to fifteen other people; some even share their stories with twenty.
  • A negative experience causes 86% of customers to stop doing business with a company.
  • 42% of customers who enjoy their shopping will return for more purchases.

Any potential referrals from current customers

According to research, clients gained through recommendations are more likely to be devoted, spend more money, and refer others, which fosters a growth-promoting cycle for your company. Here are only a few of the 17 reasons from SaaSquatch why you should rethink that. Without excellent customer satisfaction, referrals won’t come in. If you think you’ll just go out and get new customers, rethink it. 

  • When recommended by a friend, people are four times more likely to make a purchase.
  • New referral customers have a lifetime value that is 16% higher than non-referral customers.
  • 92% of respondents said they had confidence in personal recommendations.
  • 84% of B2B decision makers begin their research with a recommendation.

If you own your own business, you are aware that maintaining your reputation is the most crucial task. Unfortunately, there isn’t much you can do to fight that online reputation once it’s out there. One negative online review or one negative word-of-mouth referral can have a significant negative impact on your reputation. And occasionally, no matter how carefully you plan, some things are simply out of your control. Sure, managing your reputation benefits from keeping your customers happy, but it also benefits from maintaining the happiness of your staff. You can ensure that you have procedures in place to keep things running efficiently, and you can even hire experts to assist you.

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