Customer complaints are very costly for any business and the best way to manage them is by using preventative measures to ensure they do not arise. Other than loss of time, a business can suffer from loss of future business opportunities through referrals. A business can also suffer reputational risks if customer complaints remain unmanaged.
However, the biggest risk is when they become litigious. When the customer goes to court over unresolved disputes with the business the process becomes time-consuming and can injure the reputation of the business.
