Mastering Customer Feedback System: The Ultimate Guide
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Mastering Customer Feedback System: The Ultimate Guide

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Mastering Customer Feedback System: The Ultimate Guide

Imagine a world where you create products, add new features, but there’s no one to tell you if they like them! You have no guidance on whether your creations are good or bad. You don’t know if you’re helping users or making things worse. Consequently, you can’t decide if your products or services need improvement!

 

Okay, snap!

Luckily for us, we have a saviour in the real world – Customer Feedback.

 

In this blog, we’ll master the art of customer feedback systems. Read along to learn all of its secrets or choose the modules that interest you.

Customer Feedback? What's That?

Customer feedback is literally the voice of your customers! It represents your customers’ thoughts and opinions on their experiences with your product, service, or brand.
So,

Why is customer feedback important for your business?

Well, it is a proven fact that returning customers are what grows a business. Furthermore, they can drive sales that even ad agencies charging crores of Rupees cannot!

 

But don’t just take our word for it. Look at these numbers:

  • Firstly, customers who have a remarkable 5-star experience are 2.6 times more inclined to make additional purchases.
  • Moreover, a staggering 94% of consumers are influenced by a positive customer service experience when making recommendations.
  • Additionally, even a mere 5% increase in customer retention can result in substantial profit growth, ranging from 25% to 95%.

 

Furthermore, let’s look at this classic use case:

How Coca-Cola Utilised the Customer Feedback System

What if Coca-Cola stuck to market research data and didn’t have a customer feedback system of its own? Would we live in a coke-less world today?
Maybe!

How Coca-Cola Utilised the Customer Feedback System

In fact, all business magnets follow it devotedly.

“Customer feedback is the lifeblood of every business, the voice of the customer is the most valuable asset a company can have.”

–Bill Price

Benefits of Customer Feedback:

 

  • For starters, it helps you understand what your customer wants and likes. Next, you can then focus on those aspects in your product or service and make sure you gain returning loyal customers.
  • Secondly, it helps you understand what your customers don’t like! Fix it and you will see fewer returns or refund requests.
  • Lastly, it helps in marketing. You can list down the problems your customers are facing and address them in your ads.

There are some tried and tested methods to collect customer feedback efficiently. Moreover, it’s like a guidebook that works for all businesses. So, let’s understand how!

Understanding Customer Feedback Loop

Imagine you’re at a restaurant and you try a new dish.Then, a waiter comes to your table and asks, “How is everything so far?”

 

You find it good. However, you also think it could use more seasoning. You share this feedback with the waiter, they pass it on to the chef. More waiters come back with similar feedback.

 

As a result, the chef adjusts the seasoning based on your suggestion. They go the extra mile by sending an SMS thanking you for your suggestion and offering a discount coupon.

 

The next time you visit the restaurant and order the same dish, it tastes even better because they listened to your feedback.

 

Additionally, you are so happy with this, you mention it to your friends and family. Voila! They have more customers lined up at their doorstep!

 

This whole scenario can be broken down into 4 steps:

  • – The waiter asked for feedback
  • – Chef categorised feedback from different waiters
  • – Chef acted on the feedback and made the suggested changes
  • – Restaurant followed-up with a discount coupon

Furthermore, the business profits because they have gained a loyal customer who keeps coming back for the improved dish.

 

That is a customer feedback loop!

Mastering the Art of Asking: How to Collect Valuable Customer Feedback

Asking and collecting customer feedback can be further broken down into 2 major parts:

  • – What questions to ask?
  • – How to ask them?

What Questions to Ask?

  • Define Your Objectives: 

Firstly, before asking questions, think about what you want to learn. Do you want to know if customers are satisfied? Are you looking for ideas to make improvements? Clarify your goals to focus your feedback collection.

  • Craft Targeted Questions:

Next, ask questions that are clear and to the point. For example:

  • – How would you rate your experience with our product/service? (On a scale of 1 to 10)
  • – What features do you like the most about our product/service?
  • – What suggestions do you have to make our product/service even better?

This way, you’ll get meaningful responses.

  • Focus on Key Aspects:

Next, find out what matters. Ask about the most important parts of your business. For instance:

  • – How satisfied are you with our customer service?
  • – What do you think about the quality of our products?
  • – How easy was it to navigate our website?

By focusing on key aspects, you’ll uncover valuable insights to improve those areas.

 

  • Consider the Customer Journey:

Get feedback at different stages. Think about the different touchpoints your customers have with your business. Then, ask questions related to each stage, such as:

 

  • – How was your first impression of our product/service?
    When they have just bought the product.
  • – Did our product/service meet your expectations?
    Few days into them using the product.
  • – Would you recommend our business to others?
    You can target this question to returning customers.

 

Follow this and you’ll gather feedback that covers the entire experience.

 

     We covered what questions to ask and when. Now, what’s next?

How To Ask: Key Components for Maximising Customer Feedback

 

  • Time it Well: Choose the right moment. Timing is crucial when asking for feedback. Consequently, it is important to ask for feedback when the customer’s experience is still fresh in their mind. Additionally, Feedspace can automatically optimise the timing of feedback prompts. It sends requests at the most appropriate moments, such as after a purchase or customer service interaction.
  • Use Effective Channels: Reach out where your customers are. Select the channels that your customers prefer and use them to ask for feedback. This could include email surveys, website feedback forms, or social media polls. Keep it simple and accessible.
  • Offer Incentives: Encourage participation. This could be a small discount, a chance to win a prize, or exclusive access to new features. Incentives show appreciation for their time and effort, increasing the likelihood of receiving more feedback. Furthermore, remember to be genuine and transparent when offering incentives.

 

Congratulations! You have mastered the art of asking for customer feedback. Now, the next important step – have an efficient system for categorising that feedback.

Thousands of customer feedback is now in your inbox. This might result in unmanageable, never-ending spreadsheets! Even the thought of it can make your head spin, huh?

Don’t worry, up next, we are going to learn customer feedback management.

 

Categorising Feedback: Which Ones To Act On And Which Ones To Ignore

Think of it as sorting your thoughts into different buckets.

We’ve got five main categories to help you make sense of it all:

Types of Customer Feedback

1. Customer Loyalty Metrix:

 

This helps you understand if your existing customers are loyal to you. Would they recommend or promote your brand to others? You can use surveys like Net Promoter Score (NPS) to collect this feedback.

 

2. Customer Satisfaction:

 

How satisfied are your customers with your product or service? Only they can tell you! You can use comment boxes, suggestion boxes, post-purchase forms, or pop-ups to collect this kind of feedback.

 

 

 

3.Sales Feedback:

 

Sales feedback tells you all about your sales reps, or the channel you are using to make sales. The best way to get this feedback? Follow up with customers who didn’t make a purchase! Reach out to your leads via email or call and ask them what went wrong or why they changed their mind.

 

4.Customer Service Feedback

 

How Customer service is everything! Remember? Returning/loyal customers are very important for business growth! Everytime you close a service or support ticket, make sure to collect the customer’s feedback immediately. A simple Thumbs Up – Thumbs Down or a 1-5 rating works for this kind of feedback.

 

4.Customer Preference Feedback: 

 

This is slightly different from the rest. It simply tells you what product or service your customer prefers. But customer preferences don’t have to stop with your brand. They might prefer something others are offering over yours. Best way to collect this kind of feedback is by monitoring their purchase trends and browsing online forums.

 

Remember, you can’t make everyone happy, and not all feedback will be a perfect fit for your business. But fear not! With a thoughtful and systematic customer feedback system, you can make informed decisions.

From Insights to Action: Making the Most of Customer Feedback

Now that you’ve collected and categorised customer feedback, it’s time to maximise its value!

  • Spot the trends: Look for common themes in their feedback and see what issues are being mentioned the most. These are the areas you should focus on improving.
  • Assess the impact: Think about how much of an impact it would have if we addressed those issues. You want to prioritise the ones that would make the biggest difference in customer satisfaction.
  • Consider the source: Remember to pay attention to feedback from reliable and experienced customers. Not all feedback may accurately represent what most customers think, so you need to differentiate between real feedback and cases that might not reflect the majority opinion.
  • Harness the data: Use website feedback tools like feedspace on our website to collect feedback and analyse the data. It’s important to look at both the qualitative feedback (what customers say) and the quantitative insights (the numbers) to really understand what’s going on.
  • Take action: Once we have a good understanding of the feedback, create a plan to address the issues. Assign responsibilities, set timelines, and make the necessary changes to improve those areas.
  • Watch and adapt: After you’ve made the changes, you need to keep an eye on how things are going and continue gathering feedback. This will help you see if your improvements are working and if there are any other areas that need attention.

Closing the Loop with a Bang: The Power of Follow-up in Customer Engagement

It’s unfortunate that many customers feel like their feedback goes unheard or ignored. In fact, 53% of shoppers believe that their feedback doesn’t reach anyone who can take action on it.

 

This is not good for businesses. Customers want to feel like their opinions count! That’s why it’s important for companies to let customers know that their feedback is valuable and will be taken seriously.

To close the loop, consider the following tips:

  • Timely Response: When a customer gives you feedback, it’s important to respond quickly. Let them know you got their message and that you’re taking action. This way, they’ll see that you value their time and what they have to say.
  • Personalisation: Make your response personal to each customer. Use their name and mention specific things they mentioned in their feedback. This shows that you really listened and understood their concerns.
  • Appreciation: Don’t forget to say thank you! Let them know that you appreciate their feedback and that it’s valuable for improving your products or services. A simple “thank you” can go a long way in building a positive relationship with your customers.
  • Transparency: If it’s applicable, be transparent about the actions you’re taking based on their feedback. Keep them updated on what you’re doing. Being open and honest builds trust and shows that you’re committed to addressing any issues or suggestions they have.
  • Continuous Engagement: Remember, closing the loop isn’t a one-time thing. Stay engaged with customers who give feedback. Keep them in the loop with updates and ask for more details if necessary. Make sure they feel involved in the process and know that their opinions matter.

Conclusion:

  • Remember, let’s make sure we always listen, respond, and learn from our customers’ valuable insights. Their feedback is a valuable asset that can shape our business for the better.

  •  

    That’s it! You’ve now truly mastered the art of customer feedback! Now, let’s put those insights into action and watch our business thrive!

FAQ

When you ask customers for feedback, you care about making their experience better. This helps you learn important things that can help your business grow. It also builds better relationships with customers.

Customer feedback, like video testimonials, is a powerful driver of brand reputation. Positive feedback, especially in video format, builds trust and credibility. With Feedspace, you can collect impactful video testimonials, boosting your brand's reputation.

By offering incentives such as discounts or rewards. Use surveys or feedback forms that are quick and easy to complete. Engage with customers on social media platforms or through personalised follow-up emails.

Common challenges include the overwhelming volume of feedback. Interpreting and analysing feedback and ensuring timely follow-up is also a task. Implementing a robust customer feedback system can help address these challenges.

Closing the loop involves taking action and communicating the outcomes to customers. For starters, acknowledge and thank customers for their feedback. Provide updates on actions taken, and seek further input to ensure their satisfaction.