The Federal Aviation Administration said recently it would fine Southwest Airlines Co. $10.2 million for safety violations that included knowingly flying more than three dozen jets without mandatory inspections for structural damage.
The fine would be the largest ever levied against an airline, the FAA said.
As a frequent Southwest customer (it is one of my favorite U.S. airlines) I was shocked, disappointed and frankly, concerned when this news came out. I trusted Southwest Airlines.
When Southwest belatedly conducted the inspections, it found cracks in the bodies of six Boeing 737-300s, with the largest measuring 4 inches. Serious fractures can depressurize an aircraft and in 1988 caused an Aloha Airlines jet to rip apart, killing a flight attendant.
How does Southwest recover from this?
How have other businesses regained customer trust after something goes terribly wrong?
THEY KEPT FLYING
They kept flying - even after Southwest reported its failure to make the scheduled inspections.
"That decision could have jeopardized people's lives," said G. Frederick Mirgle, chairman of the department of aviation maintenance science at Embry-Riddle Aeronautical University.
He noted that Southwest has never had a passenger fatality from an accident. "That does not negate the fact that this could have created one."
EXAMPLES OF THREE OTHER COMPANIES THAT HAVE LOST CUSTOMER TRUST
* Menu Foods - the manufacturer of wet dog and cat food sold by the millions under private-label brands at major stores such as PETCO and Walmart - has been trying to recover since the discovery that some of their wet cat and dog food was produced with adulterated wheat gluten. Multitudes of illnesses and deaths of beloved family pets are being attributed to this situation.
* JetBlue's customer experience meltdown begain with a winter 2007 snowstorm - when they canceled 1,096 flights, stranding thousands of passengers, flight attendants and pilots.
* Con Edison's New York City customers experienced a 10-day power outage in the summer of 2006.
SEVEN WAYS TO RECOVER FROM LOSING CUSTOMER TRUST
(1.) Start by apologizing; communicate quickly.
And don't apologize if you can't do it right. Start with sincerely caring, communicate what happened, explain how you will help customers - and do it quickly.
(2.) Be humble. JetBlue had the advantage in their situation because of their service record and history. David Neeleman, JetBlue's CEO, said he felt "mortified" and "humiliated" and began to take action immediately. Neeleman exercised even great concern when he stepped aside as CEO to hand the operations leadership over to Dave Barger, who he said was better prepared to lead that side of the business.
(3.) Make sure your customers know you care; put yourself in the customer's shoes. Menu Foods missed an opportunity here. People want to see a dog and cat food company show great empathy for the pet-ownership emotional connection.
(4.) Turn "recovery" into an opportunity that asks your customers, "Who else" would respond this way?
For example, why don't airlines have a contingency plan to transform delays during spring and winter break (when families are forced to spend long periods of time waiting in airports) into unexpected experiences? Imagine families' reactions when airline employees give games and snacks to the kids? Imagine the number of people who would recommend the company based on this inexpensive but positive experience.
(5.) Make sure to tell customers about extra steps that are being taken to make sure this does not happen again. This will build and keep customer loyalty.
(6.) Communicate frequently, actively and enthusiastically. Find an active way in the media to communicate directly to customers about what is happening, where they can get help and what is being done to fix the situation.
(7.) Make the changes necessary to ensure that this does not happen again. Think about Tylenol. In 1982, Johnson & Johnson experienced a crisis when it was discovered that numerous bottles of its Extra-Strength Tylenol capsules contained cyanide. The company recalled more than 31 million bottles at a cost of over $100 million. Johnson & Johnson's response was immediate, active, extensive and appropriate.
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