Wednesday, April 25, 2012

My Perspective of Compensation - The Art of Complaint


This is life. Everyone will experience troubling issues with travel. It is only a matter of sooner or later.

In this case, dealing with complaints is basically unavoidable.

I will not describe myself as a road warrior, as if I compare to others, I am simply an amateur. However, based on all the materials that I have read (like Consumerist, Christopher Elliott, FlyerTalk, even local channel news), a lot of travelers in fact do not know how to deal with these troubling issues. Lucky me (or I should say I am unlucky that I have learned a lot), in my course of life, I have learned the best way to deal with these issues and get the most reasonable (Remember – not maximum) compensation that I can. And here they are.

1.      Never ask for a full refund.

A lot of people think if you have trouble with your travel, you should ask for a refund, right? I was used to have this idea as well. But in fact it is all wrong.

Never ask for a full refund. Never.

Trust me or not – by asking for a full refund, you have basically shut down the entire communication channel. Regardless how reasonable you are, the company will stop listening to you because you simply ask for a full refund.

Then in what situation you can ask for a full refund?

a.      Your arrangement was not used at all.

Like shopping in a retail store, if you have bought an item and you have never opened it, unless it is a special item or all sales are final, the retail store has basically no excuse to offer a full refund when you return your item.

Same theory here. If you have booked a hotel but did not check it for some reasons, the security deposit is for sure gone. But if you can demonstrate and convince that it is out of your control, it is possible that the company can make some exceptions in this case.

b.      The amount in question is so small.

I will demonstrate this by my own example.

I have once stayed in a major chain hotel (3-star quality) by booking through Priceline’s “Name Your Own Price”. The cost is about $50. I was booked for 1 night.

Here is the issue – the bathtub was so dirty. I discovered the issue in the morning when I supposed to check out. I was having a shower at that time.

If I went down and complain, how would that hotel think of me? In most of the case, they might think that I was trying to make troubles (as why didn’t I make the complaint earlier until check-out).

What I have done was instead complaining to the hotel, I made a complaint to Priceline through American Express (aka chargeback). What surprise me was – Priceline agreed with me and issued a full refund. In the entire case, what American Express had offered was their assistance in this case. The decision of refund was made exclusively by Priceline.

2.      Make your case.

How to make a complaint effective? It is simple. Make your own case that even the company can’t resist. What it means is basically evidence.

And here is a real life example.

I was currently dealing with Singapore Airlines for my family members’ baggage issue. The short story was Singapore Airlines refused to compensate for damaged baggage because the damage was so minor. So I wrote to Singapore Airlines Corporate for a review. When I received the response a month later, I was stunned – basically totally two different thing.

Fortunately, I have the evidence – a “courtesy” damage report from Singapore Airlines describing the damage, as well as photos of the damaged baggage with baggage tag intact (to prove the bag was not used afterward).

Although I have not yet received Singapore Airlines’ final response yet, at least Singapore Airlines knows something was not right.

3.      Know your right under the law.

This one is easy – but as far as I know, a lot of people do not in fact know what they are entitled under the law.

4.      Calm Down

Remember – regardless who you deal with, they are trained to comfort you. Yelling at them will not do the work (but I know that there are some exceptions). Somehow, what you should do is calm yourself down and make sure that whoever you deal with can understand your position.

5.      Don’t make an offer.

Believe me or not – most of the companies’ internal policies allow authorized employees to issue compensation for issues. But it is basically a trade secret that unless someone is willing to speak up or sharing in the internet. So in theory, no one knows how it works.

So – make it simple – let the system works for you. See what they are willing to offer.

Usually by now, if you can calmly make your case, the company should have given you a decent compensation already.

6.      Always follow the chain of command.

Consumerist has an “almost guaranteed” method – Executive Email Carpet Bomb or EECB. Basically, what EECB is you launch a mass email campaign toward the company executive and hopefully they will look into the issues.

It is a good idea in my opinion and experience. However – a lot of people seem to forget – there are people for that (and sure executives are not designed to do complaint as well).

Always make your case to the proper channel first. Then ask for a higher review (this usually associates with unsatisfactory compensation). Don’t send to the executives until you truly exhaust all resources.

7.      Never says “Never”.

Never says “Never”. Remember you make a complaint because somehow you want the company to win you back as a customer. So it is always unwise to say “ I will never...again…”

In this case – as you have said the magic word – why would the company have the excuse to do anything for you?

8.      Accept the form of compensation, as soon as the amount is reasonable.

Of course, cash is king. But if a company offers you gift card, voucher, and even points, don’t always reject the offer if it is a reasonable offer.

Remember – what the company is your business. By providing gift card, voucher, and even points, the company in fact encourages you to try again and give the company another chance to make it up.

Have some faith and take it. In some cases, these offers are usually more generous than the actual cash value.

Sunday, April 15, 2012

People. They destroy an airline. (Update)

I finally got the "official" and yet "bureaucratic" response.

Trust me - it did take me a long way for the response (I will share some of my methods in the future). Before I comment anything, why don't you look at it first?

(The following response was edited for its format and some personal information was withheld.)

"Our Ref: XXXXXXX

11 April 2012

Mr Kung
Email: ______________________

Dear Mr Kung

Thank you for your follow up message.

It appears that there was a system error, a combined reply has been sent to you on 20 February 2012 under case reference XXXXXXX, reference number for the email you have sent to the Marco Polo Club. I am sorry that the message was not delivered to you accordingly. I have attached the below reply for your easy reference.

Once again thank you for contacting us.

Kind regards

__________________
Customer Relations Executive
Customer Relations Department
Cathay Pacific Airways

Our Ref: XXXXXXX

20 February 2012

Mr Kin Wah Kung
Email: ______________________

Dear Mr Kung

Thank you for your letter and contacting the Marco Polo Club, which has referred your concerns to us.

Please allow me to address the issues you raised in point for convenience:

Promotional Campaign
We very much appreciate your feedback in regards to our marketing campaign as it enables us to identify the areas that need improvement.

Check-in and lounge access
Marco Polo Club Silver member or above are eligible to use Business Class or designated club counters for check-in, and use our designated lounges at worldwide airports regardless of their ravelling class. Thus I am sorry to learn that you were denied access at both of our contract lounge provider, SAS Business Lounge and Swiss Business Lounge. Please accept our apologies for the inconvenience caused.

Cabin facilities and inflight safety
I will follow up with our Engineering Department to determine the cause of the observation you described with our cabin and seat facilities as it was not indicated as a defect on our reports. I have likewise raised your concern in regards to our inflight safety video and handling to the relevant departments for their review.

Condensation
The problem of water dripping was caused by condensation onboard the aircraft. The on-board environmental system on the aircraft produces very cold air, which cools the overhead area in the cabin to almost freezing point. When the aircraft doors are open for passenger embarkation and catering loading, the hot air from outside causes moisture to form on the cold overhead area, and subsequently drops of condensation may drip down in the cabin area during the flight.

At present, we have no way around this since our on-board environmental control system has to be efficient enough to cool the aircraft. Boeing and Airbus are looking into this matter but it may take some time to resolve. We appreciate your frustration over this matter, and hope the foregoing helps to clarify this problem in more detail.

Lounge quality - The Wing
Your comments regarding the food variety and computer station has been duly noted and forwarded to our Caterer and Product department for their future planning.

Baggage Claim
Whilst I am sorry that your baggage was damaged during transit, I am however most concerned to learn of the handling from our Baggage team in Chicago and San Francisco. Our staff are expected to assist passengers in a professional and timely manner and I regret that this was not the case.

I would like to assure you that various points you raised regarding our service and operation has been duly noted and forwarded to the relevant departments for their necessary follow up. In the meantime, please accept our apologies for the inconvenience caused.

Mr Kung, thank you for choosing Cathay Pacific, and I hope that despite this regrettable experience, we will have the pleasure of serving you onboard our flights again in future.

Kind regards

__________________
Customer Relations Executive
Customer Relations Department
Cathay Pacific Airways
This message contains confidential information and is intended only for the individual named. If you are not the named recipient, you must not read, copy or otherwise use the contents of this message. Any unauthorised use may lead to legal proceedings against you.

Email transmission cannot be guaranteed to be secure or error-free as information could be intercepted, corrupted, lost, destroyed, incomplete or contain viruses. The sender therefore does not accept liability for any errors or omissions in the contents of this message which arise as a result of email transmission.

Tuesday, April 3, 2012

People. They destroy an airline. (Part 2 of 2)

About 2 months ago, I posted the following:

People. They destroy an airline. (Part 1 of 2)

Now, I think it is absolutely the good time to talk about it.

As you may aware, I took "People. They destroy an airline." exactly from Cathay Pacific's "People. They make an airline." which is CX's most recent marketing campaign, describing how Cathay Pacific is excellent in service.

Without going into the detail (as if you have read my blog, you should have know my issues with CX), I have emailed my concern about CX's service via Macro Polo Club. Just in case, I have sent the exact same thing by traditional method - Mail.

I sent the email on January 29, 2012. The letter was sent same day.

I have received the following on February 7, 2012 as response:


"Our Ref: XXXXXXX

Dear Mr Kung

We acknowledge receipt of your correspondence.

We are currently conducting a review of this matter with the relevant
party, and will write to you within 20 business days from the issue date
of this acknowledgement letter.

Thank you for contacting us.

Yours sincerely


Customer Relations Department
Cathay Pacific Airways

(This is a computer generated reply.  No signature is required.)"

As of now - this was the only response I have ever received.

Due to CX's recent IT upgrade, all phone lines are busy (and even dead tones).

But there is a thing I am certain with my entire experience with Cathay Pacific, which Cathay Pacific basically fails every single aspect of customer service.

Officially, I can classify myself as the unluckiest passenger Cathay Pacific ever has.

I have traveled with quite a few airlines. Cathay Pacific was one of the Skytrax's 5 star airlines that I have every traveled (another one is Singapore Airlines). The best rating get me the worst customer service.

Some people may think that (due to my past comments) I naturally hate Cathay Pacific (which I am not).

But based on my experience, the fact pretty much speaks the truth for me.

People. They really destroy an airline.