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Global Automotive Forum |

Brand Management |

BRAND

 
Started by : Meena Deshmukh, Product/Brand Manager, Videocon Inds   05 08 2010 11:39:36 +0000
Industry : All IndustriesFunctional Area : Product Recall(Others)
Activity:  153 views;  last activity : 11 07 2010 20:34:10 +0000

A product recall can significantly affect a company’s bottom line and its reputation, but a swift recall and restitution to purchasers can minimize harm to the company – and even improve customer satisfaction.

http://www.unm.edu/~dirkcgib/sample1.jpg

So, what firms should do to recover from a brand recall???

 
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1 2 3 4 5
1 Say Sorry - There Is No Harm In It
2 Right Communication - Quick Action
3 Reparation to the consumers.
4 Quality policy
5 "Say Sorry - There Is No Harm In It"
6 Make the recall a planned move
7 say sorry

Say Sorry - There Is No Harm In It

idea posted by Meena Deshmukh Product/Brand Manager, Videocon Inds

Consumers are forgiving, so if a firm apologizes, acknowledges the problem, and doesn’t make the mistake again and again, consumers will continue to be loyal to that brand.

After apologizing, the firm needs to get the product off store shelves and out of consumer’ hands as quickly as possible. To do this, the firm must choose the best way to compensate the product purchasers and who will interface with the customer to price the restitution.

There are many choices – the manufacturer, distributor or retailer can collect the recalled product and restitution can be provided by repairing or replacing the product or refunding the purchase price.

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agree with Meena

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i agree with the comments of Ms.Meena, this inturn will help in boosting the business & the cosumers will also be loyal to the brand, simultaneously trust the products of that brand

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Thanks for the referral Ms.Meena.

I accept your argument and you are correct. This is the best way.

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Right Communication - Quick Action

idea posted by Vipin Bhasin Private Equity/Hedge Fund/VC-Manager, Indian Investment Co.

Make communication with their customers and distributors on immediate basis. Don't try to keep silent. Quick action on collecting your products & communicate about your new replacing product features. "CHICAGO TYLENOL MURDERS" USA 1982 case we have read that how company overcome the same situation through quick action & communication.

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Reparation to the consumers.

idea posted by Mohammad Bakhsh Project Leader/Managing Consultant, Freelancer

The brand is not a name alone, but it is a consciously built confidence in the loyal consumers.Their confidence is shattered when they found that quality is compromised. i would suggest ,that firms must be transparent in telling the consumers regarding the defect in the product and they must be made good in time bound programme.It is my own experience,that certain company of a brand had to replace tea packet to me on my complaint.

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True. It's better to be honest while admitting the mistake. Effective and proper steps should also be taken to avoid recuurence in future. Best is to do a root cause analysis and institute process to eliminate the defect.

having said it take proper steps to educate the customers the need for recall and impliment it as a time bound programme.

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Quality policy

idea posted by KALIYAMOORTHY Oil & Gas Area Coordinator, Undisclosed

Ensure, prior to roll out of  products, its quality that is determined by the manufacturer. Not once at least twice to see your product match your specification desired. If not, stop there itself. No need to recall notice issues. Which is a costly affair in terms of Money & Reputation. Keep a Quality poilcy that ensures customers "No-recall at all".

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"Say Sorry - There Is No Harm In It"

idea posted by Krishna Bhardwaj Lyrics Writer, Freelancer
"Say sorry - There is no harm in it". Accepting mistake is the best way and try not to repeat the mistake in future and to give best product in future.
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Make the recall a planned move

idea posted by Sujit Sood :-)
At the end of the day what matters is business. Any kind of immediate or corrective action taken is not going to lessen the dent in buyers confidence.Even if there has been an error there needs to be a public acknowledgement of the same but not as an error but as a feature. By doing that the organization would retain its trust in people's psyche. After tht as an added facility or a perk to the buyers offer a free upgrade or exchange n in that offer disclaim all responsibilities for any damages thereof. This wud go a long way in retaining buyer confidence.
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say sorry

idea posted by Tarun Kumar Verma MBA/PGDM student, IIScs
say sorry, its a way to again take response from customer
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