"The customer is always right" is a motto or slogan which exhorts service staff to give a high priority to customer satisfaction. It was popularised by pioneering and successful retailers such as Harry Gordon Selfridge, John Wanamaker and Marshall Field. They advocated that customer complaints should be treated seriously so that customers do not feel cheated or deceived. This attitude was novel and influential when misrepresentation was rife and caveat emptor ('let the buyer beware') was a common legal maxim. [2]
Variations of the phrase include le client n'a jamais tort ('the customer is never wrong'), which was the slogan of hotelier César Ritz, first recorded in 1908. [3] A variation frequently used in Germany is der Kunde ist König ('the customer is king'), an expression that is also used in Dutch (klant is koning), while in Japan the motto okyakusama wa kamisama desu (お客様は神様です), meaning 'the customer is a god', is common.[ citation needed ]
American department store entrepreneur Marshall Field is sometimes credited with coining the phrase, as is his one-time employee Harry Gordon Selfridge, and the marketing pioneer John Wanamaker. [4] The earliest known printed mention of the phrase is a September 1905 article in the Boston Globe about Field, which describes him as "broadly speaking" adhering to the theory that "the customer is always right". [5] [6] A November 1905 edition of Corbett's Herald describes one of the country's "most successful merchants", an unnamed multimillionaire who may have been Field, as summing up his business policy with the phrase. [6] During the construction of Harry Selfridge's London store in 1909, the British press ridiculed the project and its policy, unheard of in London, that the customer would be "always right". [7]
A Sears publication from 1905 states that its employees were instructed "to satisfy the customer regardless of whether the customer is right or wrong". [8]
Ritz's le client n'a jamais tort was first recorded in 1908, and is sometimes cited as the origin of the term. [3] [9] Barry Pain used both terms in his 1917 Confessions of Alphonse, writing "The great success of a restaurant is built up on this principle—le patron n’a jamais tort—the customer is always in the right!". [10]
The phrase was coined at a time when most stores operated on the principle of caveat emptor, and could not always be trusted by customers. [4] [11] In 1909, a representative of an unnamed New York company said that their policy of "regarding the customer as always right, no matter how wrong she may be in any transaction in the store" was "the principle that builds up the trade", and that the cost of any delays and unfairly taken liberties were "covered, like other expenses, in the price of the goods". [12] A 1930 article in The Rotarian wrote that while an expensive disagreement over whether a fur coat or diamond ring had been delivered to a customer would be settled by lawsuit rather than assuming that the customer was in the right, it may still be considered profitable for stores to accept small losses over disputes in the interest of maintaining goodwill towards future sales. [4]
Frank Farrington wrote to Mill Supplies in 1914 that this view ignores that customers can be dishonest, have unrealistic expectations or try to misuse a product in ways that void the guarantee: "If we adopt the policy of admitting whatever claims the customer makes to be proper, and if we always settle them at face value, we shall be subjected to inevitable losses." [13] He concluded: "If the customer is made perfectly to understand what it means for him to be right, what right on his part is, then he can be depended on to be right if he is honest, and if he is dishonest, a little effort should result in catching him at it." [13] An article a year later by the same author, written for Merck Report, addressed the caveat emptor aspect while raising many of the same points as the earlier piece. [14]
In a 1939 newspaper article, Damon Runyon wrote of the phrase being intended to "inspire the customer with greater confidence in trade", but remarked that from his own observations of people getting "mighty brash" with wait staff and clerks, that some took it to mean "the customer is always right in taking advantage of the tradespeople". [15]
Forbes wrote in 2013 that there are occasions where the customer makes a mistake and is too demanding, and that therefore one ought to strike a balance between the customer being right and wrong. [16] Business Insider said that the adoption of this motto has "created a sense of entitlement among shoppers that has led to aggression and even violence toward retail workers". [17]
At common law, damages are a remedy in the form of a monetary award to be paid to a claimant as compensation for loss or injury. To warrant the award, the claimant must show that a breach of duty has caused foreseeable loss. To be recognized at law, the loss must involve damage to property, or mental or physical injury; pure economic loss is rarely recognized for the award of damages.
A tort is a civil wrong, other than breach of contract, that causes a claimant to suffer loss or harm, resulting in legal liability for the person who commits the tortious act. Tort law can be contrasted with criminal law, which deals with criminal wrongs that are punishable by the state. While criminal law aims to punish individuals who commit crimes, tort law aims to compensate individuals who suffer harm as a result of the actions of others. Some wrongful acts, such as assault and battery, can result in both a civil lawsuit and a criminal prosecution in countries where the civil and criminal legal systems are separate. Tort law may also be contrasted with contract law, which provides civil remedies after breach of a duty that arises from a contract. Obligations in both tort and criminal law are more fundamental and are imposed regardless of whether the parties have a contract.
Integrity is the quality of being honest and showing a consistent and uncompromising adherence to strong moral and ethical principles and values. In ethics, integrity is regarded as the honesty and truthfulness or earnestness of one's actions. Integrity can stand in opposition to hypocrisy. It regards internal consistency as a virtue, and suggests that people who hold apparently conflicting values should account for the discrepancy or alter those values.
Consumer privacy is information privacy as it relates to the consumers of products and services.
"An eye for an eye" is a commandment found in the Book of Exodus 21:23–27 expressing the principle of reciprocal justice measure for measure. The earliest known use of the principle appears in the Code of Hammurabi, which predates the writing of the Hebrew Bible but not necessarily oral traditions.
A department store is a retail establishment offering a wide range of consumer goods in different areas of the store, each area ("department") specializing in a product category. In modern major cities, the department store made a dramatic appearance in the middle of the 19th century, and permanently reshaped shopping habits, and the definition of service and luxury. Similar developments were under way in London, in Paris and in New York City (Stewart's).
Caveat emptor is Latin for "Let the buyer beware". It has become a proverb in English. Generally, caveat emptor is the contract law principle that controls the sale of real property after the date of closing, but may also apply to sales of other goods. The phrase caveat emptor and its use as a disclaimer of warranties arises from the fact that buyers typically have less information than the seller about the good or service they are purchasing. This quality of the situation is known as 'information asymmetry'. Defects in the good or service may be hidden from the buyer, and only known to the seller.
Selfridges, also known as Selfridges & Co., is a chain of upscale department stores in the United Kingdom that is operated by Selfridges Retail Limited, part of the Selfridges Group of department stores. It was founded by Harry Gordon Selfridge in 1908.
Harry Gordon Selfridge, Sr. was an American retail magnate who founded the London-based department store Selfridges. The early years of his leadership of Selfridges led to his becoming one of the most respected and wealthy retail magnates in the United Kingdom. He was known as the 'Earl of Oxford Street'.
Liberté, égalité, fraternité, French for 'liberty, equality, fraternity', is the national motto of France and the Republic of Haiti, and is an example of a tripartite motto. Although it finds its origins in the French Revolution, it was then only one motto among others and was not institutionalized until the Third Republic at the end of the 19th century. Debates concerning the compatibility and order of the three terms began at the same time as the Revolution. It is also the motto of the Grand Orient and the Grande Loge de France.
A mutual organization, also mutual society or simply mutual, is an organization based on the principle of mutuality and governed by private law. Unlike a cooperative, members usually do not directly contribute to the capital of the organization, but derive their right to profits and votes through their customer relationship.
In law, liable means "responsible or answerable in law; legally obligated". Legal liability concerns both civil law and criminal law and can arise from various areas of law, such as contracts, torts, taxes, or fines given by government agencies. The claimant is the one who seeks to establish, or prove, liability.
Hendiatris is a figure of speech used for emphasis, in which three words are used to express one idea. The phrases "sun, sea and sand", and "wine, women and song" are examples.
Misleading or deceptive conduct is a doctrine of Australian law.
Uberrima fides is a Latin phrase meaning "utmost good faith". It is the name of a legal doctrine which governs insurance contracts. This means that all parties to an insurance contract must deal in good faith, making a full declaration of all material facts in the insurance proposal. This contrasts with the legal doctrine caveat emptor.
"Serve the People" is a political slogan and the motto of the Chinese Communist Party (CCP). It originates from the title of a speech by Mao Zedong, delivered in September 1944.
Marshall Field was an American entrepreneur and the founder of Marshall Field and Company, the Chicago-based department stores. His business was renowned for its then-exceptional level of quality and customer service.
The following outline is provided as an overview of and introduction to tort law in common law jurisdictions:
Smith and Snipes Hall Farm Ltd v River Douglas Catchment Board [1949] 2 KB 500 is an English land law and English contract law appeal decision. The case, decided by Denning LJ, confirmed positive covenants can supplant privity of contract in contracts to improve land and secondly a covenant should be implied where the contract shows an intention that the obligation would attach to the land. The case thirdly held in that context, a somewhat uncertain description of lands which was capable of being rendered certain by extrinsic evidence was sufficient to enforce the covenant.
Majrowski v Guy's and St Thomas' NHS Trust [2006] UKHL 34 is a UK labour law case holding that an employer will be vicariously liable for the harassment of an employee by another.
Mr. Ritz who, in the 'eighties... this maxim was "Le client n'a jamais tort," no complaint, however frivolous, ill-grounded, or absurd..."'
Although today it seems a cliche, Ritz was the first to mandate that "the customer is always right."