Best Buy: A Cautionary Tale
We've all got customers that make our jobs harder—particularly when we have to deal with problems that arise from that business relationship. 
But as Best Buy has recently shown us, ignoring the problem and the customer don't work. In fact it can land you in a serious amount of legal trouble, with bad PR to boot.
If you haven't heard, Raelynn Campbell filed at $54 million lawsuit against the mega electronics chain for giving her the run-around about her laptop computer, which she turned in to be fixed under her warranty. But after six weeks the machine still wasn't ready—three months later, Best Buy finally admitted to Campbell that they had lost her computer (and all the personal information contained therein).
Ultimately, Best Buy offered to pay her $900 for losing the machine... as a gift card. She countered that it had originally cost over $1,100, not to mention all her data that was now gone for good. She demanded $2,100, and Best Buy simply ignored her.At this point, Campbell was made aware that all her personal data on the machine could lead to a major identity theft issue, though Best Buy never filed their legally required notice that she was at risk. That was the last straw, and she filed suit for $54 million, representing herself.
In case you haven't noticed, consumers no longer tolerate being walked on by businesses big or small.
When it comes to insurance, there's a real benefit of being an agent (instead of being involved with online policy purchases), because you can give the kind of personal attention that keeps customers from feeling neglected and abused—which can keep you and your agency's name out of the mud.
As for Best Buy, I'm sure they're wishing they'd have dealt with the problem instead burying their heads in the sand. I can't say I'm surprised—their lack of customer service is one of the reasons I don't shop there anymore.
So, how does your customer service stack up? Don't stay in the dark about it—survey your current customers and see where you need to improve. The results might not be pretty, but they'll help you improve retention in the long run.
Comments
I experienced a similar experience with Best Buy over a flat panel television.
Although nothing of mine was lost by Best Buy, I purchased a flat panel television from them a year ago. It was still under the in-home service plan when the television failed completely. Best Buy's policy is to fix something 3 times before they'll replace it.
Best Buy fixed the television (ironically, their own brand - Insignia) twice and then made me wait 60 days before they finally replaced the television. Meanwhile, they were more than aware of this particular problem happening.
I'm glad to see that Raelynn is fighting back. I've stopped shopping there completely.
Posted by: Derek | February 19, 2008 06:47 AM
Good thoughts about customer service Megan! I too have had bad experiences with Best Buy and one of my insurance agents, and anytime they are brought up I let anyone I'm talking to know about it. Just goes to show just how far a little customer service will go.
Posted by: Cass | February 20, 2008 07:09 AM
Derek, Thanks for stopping by and sharing your experiences with Best Buy. I think more stories like yours will continue to come out of the woodwork now that Best Buy has been called out. But then The Consumerist has been calling out bad-behaving businesses for years.
I'd like to see poor customer treatment really take a toll on big chains and thereby boost small specialty businesses. (In full discloser, my dad runs a privately owned photography store.)
Cass, thanks not only for the comment, but for the hat tip on this story. Too many people underestimate word of mouth. Factor in people using the internet to share their bad experiences and the results could be devastating to businesses large and small.
Posted by: Megan | February 20, 2008 09:32 AM