Empathizing will diffuse an angry customer faster than any thing else you can do. Even if it wasn't your fault, but your co-worker's, you represent your organization to that customer, so apologize on behalf of the entire company. If your product or service really did fall short of the mark, then to retain the customer, of course you'd give them a refund or exchange. But that's not enough. On top of the exchange or refund, give them something for their inconvenience .
Every business has occasions where things go wrong and customers are disappointed.
When that happens, your customer base won't be preserved by money back guarantees or exchanges. Rather, your business will be saved by properly trained front line employees. All Rights Reserved.