In business, is honesty always the best policy?  Even if being honest results in you turning a customer away from your business?  Being honest with your customers, no matter what the situation, is a customer service skill that we should all embrace and practice.  Here's why...

Recently my husband and I were at a very nice landscaping nursery, and we were in the market to purchase mulch, shrubs, and flowers in order to freshen up our lawn for the upcoming holidays.  The employee we worked with was extremely knowledgeable and helpful, and he understood our vision and needs.  When it came time to pick out the yards and yards of mulch we needed, he confidently said, "You don't want to buy that quantity of mulch from us.  Go to XXX right down the road, and you will pay 1/2 the price.  We are the best place to buy plants."  His honesty cost them $200 in business, but what it gained was a loyal, long-term customer whose spending will be well beyond the $200.  We trust, value, and respect this nursery more than we would have had this exchange about mulch never happened.  Telling your customers the true value and quality of what you are selling is the best thing you can do.

What about in the situation where you have made a mistake or have given the customer a return that is less than what you promised or short of the intended value?  For example, you provide a report that has errors.  In our business, this is something that is a potential reality for us and does happen on occasion.  When our customers question an error, rather than hiding the truth, making false claims and justifications, or telling a lie, we own the mistake.  We apologize for our oversight, quickly correct the mistake, and take every step possible to ensure that our customers' confidence in our abilities and our products is restored.  It's not always easy to regain credibility after an error is made, but customers will respect you and your ability to recover if you always:

• offer a genuine apology.
• be honest.
• handle the situation fast.

Today's customers have no patience for doing business with those who are not truthful.  It isn't fun to tell a customer that a mistake has been made or that a product will arrive later than expected.  But when you tell customers the truth about the situations and define what steps you will take to make it right, your customers walk away knowing that they can depend on you to give the truth.  You are building their trust.

Have the courage to tell the truth because the benefits are well worth it.  Being open and honest with your customers is always beneficial in the long run.  Honesty is not only the best policy, but it's the ONLY policy.