FACTORS AFFECTING CONSUMER COMPLAINT BEHAVIOUR

Abstract

Complaints traditionally had been regarded as negative responses from a dissatisfied consumer. Previously, most of the companies had tried to prevent and reduce them to the lowest level but nowadays, companies encourage customers to complaint and speak up directly to the organisations. Studies in marketing consider these negative responses as useful feedback and as indispensable indicators of unsatisfactory performance (Phau & Sari, 2004). In addition, without this valuable feedback, a company is unable to make corresponding improvements and will easily lose its competitiveness in the market. Nowadays, with the fierce competition in business, it is critical for businesses to satisfy their customer. If complaints are handled properly by the organisation, it will enhance customer satisfaction and turn regular customers into loyal customer. However, previous studies found that the number of consumer who complaints is lower than those who do not complaint (Andreassen, 2001). Most of dissatisfied consumers prefer to change brands, stop patronage the products and tell friends, families and relatives about their bad purchase experience than to voice their dissatisfaction directly to the companies or manufacturers (Day & Ash, 1979). Customer will not only give up patronage, but they also will spread a negative word of mouth that jeopardises the company’s image. Thus, service providers should encourage consumer to complaint if they experience service failure.