University of Central Florida (UCF) MAR3023 Marketing Practice Exam 2

When a firm responds quickly to customer complaints, they aim to minimize negative word of mouth. Quick responses show customers that the company values their feedback and is committed to resolving issues. This proactive approach can prevent dissatisfaction from escalating and can help maintain a positive relationship with customers.

Negative word of mouth can spread rapidly, especially in the age of social media, where a single negative experience shared can influence many potential customers. By addressing complaints effectively and swiftly, firms can mitigate the risk of unhappy customers sharing their negative experiences, which can be detrimental to a brand's reputation and customer acquisition.

While operational costs, online sales, and customer service staff may be affected indirectly, the primary objective in responding to complaints is to protect the brand's image by reducing negative word of mouth.