It was recently reported that customer complaints against Saveology had grown so numerous that the Better Business Bureau (BBB) had revoked its accreditation and the Florida Attorney General was investigating the daily deal provider.

So what has Saveology done, or NOT done, to rack up more than 800 complaints with the Better Business Bureau, 50 complaints with Florida’s Attorney General, 20 complaints with Florida’s Consumer Services, and 70 consumer complaints on RipoffReport.com?

Money for Nothing
Some of the top complaints included not getting rebates for deals purchased, being charged recurring fees for tech support services that were never approved for purchase, and not receiving products ordered on Saveology.com.

Misrepresentation
A complaint was also filed with the Florida Attorney General stating that Saveology’s related tech support company, MyTechHelp (now Techzilla), has employees who “pretend” to be Apple, Dell, HP, Microsoft and other tech support.

While the accusations above are damaging, their effects could have been minimized if Saveology had addressed them early and taken appropriate ownership of the problems and made a public attempt to rectify the situation. But that did not happen. What follows is a text book example of how NOT to handle a customer service issue.

Blame the Consumer
When the BBB voiced concern over rebates not being provided to consumers, Saveology put the fault on the consumers stating they had provided inaccurate information.

Minimize the Severity
When asked about having 800 complaints with the BBB alone, CEO Benizon Aboud pointed out that Saveology processes 1.1 million purchases, therefore, only .007 percent of customers have an issue with the company.

Stop Communicating
Customers are encouraged to share their feedback at customerservice@saveology.com. However, according to the BBB, emails are going unanswered. On May 28, Saveology’s accreditation in the Better Business Bureau was revoked by BBB’s board of directors “due to engaging in activities reflecting poorly on the BBB or its members.”

Overlooking Opportunities
In today’s over-connected world where Instagrammed photos of a single person’s dinner are shared as often as baby photos, it’s no surprise that frustrated consumers who can’t seem to reach anyone in Customer Service are taking to social media to sound off. So it’s baffling that despite scores of negative comments being made on the Saveology Facebook page this year alone, Saveology has not posted a response in almost nine months.

At Electrum Branding, we believe customer feedback, both good and bad, should be encouraged and received with equal appreciation. Praise highlights behaviors that should be recognized and replicated. Criticism should be seen as an opportunity to improve your service delivery through effective coaching. Regardless of whether your feedback is a critique or compliment, view it as a tool that will improve your business so respond enthusiastically.

Reported by Marcia Heroux Pounds in the June 9, 2013 issue of the Sun Sentinel