Product recalls happen. Just ask any of the lemon law lawyers in the Bay Area and they’ll tell you that product defects can cause some mighty tremendous ripple effects. Knowing the possibility, though, just means you should take steps to prepare for one should it ever happen. With some forward-thinking strategy, you can manage a product recall and minimize the potential damage that it does to your overall brand. Here’s what you should know.
What Is A Product Recall?
Recalls occur when a company has to pull a product from the market due to a defect or production error. During the recall process, it’s up to the company to convince customers to return these defective items and compensate them accordingly in the interest of safety.
Managing recalls is important, because the way you go about recalling a product affects both safety and the image of your brand. Having to acknowledge a defect or error may already be perceived as a strike against your brand, but with proper management, you can mitigate that negative press and even come out looking better if you take the right steps.
Strategies For Managing That Recall
So what actions should you take when it’s time to perform a recall? There are many paths to take, but, by-and-large, five things to keep in mind as you navigate this challenge.
Most importantly, perhaps, is that when you notice or learn of an issue with your products, you take action as soon as possible. With a rapid response, you can start addressing issues before media outlets catch wind of the errors, and it goes a long way to showing your customers that you’re taking the issue seriously and doing everything in your power to set things right.
When recalls occur, customers have questions. You can allay their concerns, however, by keeping the lines of communication open. Make sure you have plenty of customer care and customer support reps ready to field calls and messages about the recall, and be upfront when explaining to customers what’s going on and what you’re going to do to correct it.
Provide an Explanation
This leads us to our next important strategy point: be prepared to provide an explanation to customers, and make certain it’s satisfactory. It doesn’t have to be a long statement, and it doesn’t need to inform the customer of every single detail, but it should be accurate and understanding of the customer’s potential frustration. Taking this step will often provide you with a great deal of goodwill, and make consumers more willing to accept your solutions.
Profits are important, true, but you’ll most often be shooting yourself in the proverbial foot if you decide to decline offering customers refunds during a product recall. A hit on revenues can be a fair price to retain customer loyalty, so whenever possible, issue refunds during a recall.
Cooperate With Authorities
A product recall can sometimes attract the attention of government agencies and third-party regulators. When that happens, be sure to stay in compliance with whatever rules, steps, and procedures they’ve laid out. Cooperate, and you’ll be improving the likelihood that all goes smoothly and according to your plans.