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Nissan changes the gear on latest recall

Nissan has just announced that it is recalling close to a million vehicles in North America. The reason for the recall is that the front passenger side airbag might not deploy in a crash – due to the sensitivity of the software calibration.

Nissan are clearly erring on the side of caution with this recent recall. There are only three related incidents and no fatalities. Nissan also issued a recall in 2013, albeit on a much smaller scale, for airbag related issues.

The sheer size of this recall sends out a strong message to customers that safety is the company’s top priority. Every step in the process of this recall is being well documented with clear and transparent communication, which creates an opportunity for the company to strengthen the bond with its pool of customers. The company is also cooperating fully with US regulators for the recall – once again highlighting that it has nothing to hide.

The software systems in these vehicles will be replaced at local dealerships with no charge, giving the automaker yet another customer touchpoint in which it can provide top-level customer service. This will give Nissan the chance to talk to customers face-to-face and explain the reason behind the recall, which may strengthen the relationship in the process. By putting a face to the brand, and humanising it, a connection can be forged, bringing customers back to the brand.

This proactive demonstration of transparency and open communication highlights the benefits of a voluntary recall, rather than an enforced one. In the past, companies have talked at length about customer safety, but have come up short when an enforced recall is imposed. However, in an age where customer loyalty is continually decreasing, voluntary recalls are simply not associated with danger, risk or embarrassment in the way that enforced recalls are. They are now closer associated with customer satisfaction and brand loyalty. Companies can actually help guide the customer through the recall lifecycle and provide a positive touchpoint that minimises the disruption caused to the consumer.

While a voluntary recall can be a positive experience, more effort needs to be made to reduce the number of recalls in the first place. Globalisation has allowed supply chains to become longer, with a greater geographical spread, which means there is more scope for complication. A longer supply chain is more difficult to manage and communication can often break down. Consequently, quality assurance can be neglected, allowing a batch of less-than-perfect products to slip through the net.

For Nissan, as with the majority of automotive companies, there is a real need to use this opportunity to enhance the relationship with customer. Cars are high value items, and a lot of consumers usually have a strong relationship with an automotive brand – and continue to buy its products. This is why automotive recalls are always quickly handled and very well documented. More and more voluntary recalls are being announced every year – and all automotive companies need to be following Nissan’s example.

About ExpertSOLUTIONS ExpertSOLUTIONS, a strategic business unit of Stericycle, is a global leader in product recalls, retrievals, returns, audits and sustainability services. ExpertSOLUTIONS offers a suite of solutions for a wide range of industries that are designed to aid companies in protecting and enhancing their brands.

This was posted in Bdaily's Members' News section by Farzad Henareh .