Customer Retention Rates Increase By 5% For Every 1% Increase In Customer Satisfaction.

Do you find it hard to know what your customers think about your service or product? Don’t look any further. This article will explain why customer feedback is important and give you useful tips on how to track and analyze it properly. Don’t miss out on the chance to improve your business—read on!

Why is Customer Feedback Important?

You can’t say enough good things about customer feedback, which tells you a lot about their likes and dislikes, problems, and happiness levels. By looking at an online review, a business can find ways to improve, improve products, and change how they treat customers. This not only keeps customers coming back, but it also helps the business grow and succeed.

One well-known example is how Netflix’s customers’ reviews helped them switch from renting DVDs to watching movies online, leading to a huge rise in subscribers and sales.

What Are the Various Forms of Customer Feedback?

Businesses can get different kinds of information from their customers to get feedback. Each type gives businesses different details on how customers feel, which can help them improve their goods and services. Companies can get customer feedback in many ways, such as through surveys, online reviews, social media comments, exchanges with customer service, and focus groups. By learning about the different types of customer feedback, companies can get a full picture of their customers’ wants and needs.

1. Surveys

• To get specific feedback through polls, ensure your questions are clear and to the point.
• Choose the right ways to send out the poll.
• Set a time frame for gathering and reviewing data.
• Look at and make sense of the survey data in an objective way.
• Use survey results to help you make smart business choices and make changes for the better.

2. Online Reviews

• Check online forums and communities regularly to see how people feel about your goods and services.
• Quickly respond to both positive and negative reviews, letting people know you appreciate them or handling any issues they bring up.
• Find themes that come up repeatedly in reviews to learn more about common customer problems and issues.
• Use feedback to improve your products, services, and overall experience, showing that you care about your customers.
• When dealing with online reviews, it’s important to remember that being honest and caring can help build customer trust and loyalty.

3. Social Media Feedback

• Check social media review sites often to see what people say about your business or products.
• Respond right away to customers’ comments and worries to keep them interested.
• Look at the tone and mood of the comments to determine how satisfied customers are and where you can improve.
• Comments on social media are a useful source of information that can help you make choices based on data that will improve the customer experience overall.

4. Customer Support

• Listening: When in customer service, actively listen to what people say and how they feel.
• Empathy: When you talk to people, show that you understand and care about their problems and issues.
• Resolution: To ensure customers are happy solve problems quickly and correctly during encounters.
• Feedback Collection: Every time you talk to a customer, use the chance to find out what they think about the service you’re giving them.

Tip: Did you know that 73% of people fall in love with a brand because the people who work there are nice?

How to Collect and Track Customer Feedback?

A business needs to hear what its customers have to say in order to improve and grow. But how can they really get this useful feedback? As with any tool, there are pros and cons to each method. 

1. Getting Feedback Automatically

• Add automated tools for getting feedback to your website, like chatbots, polls, or feedback forms.
• You can change the automated method to focus on certain points in the customer journey.
• Use email or text messages to get feedback after a sale or exchange.
• Integrating feedback systems with CRM systems will make it easier to collect data.
• Automated feedback collection cuts response time by 75% compared to human methods.

2. Reaching Out to Individuals

• Figure out which group of customers you want to reach out to more personally.
• Pick the best way to reach them, like direct texts or personalized emails.
• Make personalized content that speaks to the wants and interests of each customer.
• Use knowledge about the customer to make the outreach more personal.
• Monitor the effectiveness of personalized outreach and make any necessary changes based on the reaction and engagement.

3. Getting Feedback In Person

• Pick a good place and time to meet people in person for feedback.
• Ask open-ended questions to get customers to give you thorough answers.
• Actively listen to what the customer says without talking over them, and ensure you write down their answers correctly.
• If the customer agrees, this can be done with written notes or an audio tape.
• Thank them for their consumer reviews and let them know that it is very important to you.
• 86% of buyers would pay more for a better experience.

How To Analyze Customer Feedback?

Businesses that want to improve their goods and services can learn a lot from customer feedback. But it can be hard to figure out what this feedback means. Here, we’ll discuss the most important steps to properly analyze customer comments.

1. Gather and Centralize

• Review feedback: Get feedback from customers in several places and review it.
• Categories: Create clear categories, such as quality of the goods, customer service, and overall experience.
• Give feedback: Put each input into the right category to be analyzed in a structured way.
• Use tools: Keep track and organize data, and use feedback management tools or spreadsheets.
• Look for trends: Look for problems or trends that keep coming up in the “Categorize Feedback” category.

2. Mood Meter

• Pick the Right Tool: Choose an honest tool for analyzing mood, like Lexalytics or MonkeyLearn.
• Collect Feedback: You can collect feedback from customers in various ways, such as through polls, reviews, and comments on social media review sites.
• Look at textual data: Use the sentiment analysis tool to sort comments into three groups based on whether they are positive, negative, or neutral.
• Figure out trends: Look for themes and feelings that come up repeatedly to understand how customers feel and what they like.
• Use the insights: Sentiment analysis results can help you make decisions, improve goods or services, and improve the whole customer experience.

3. Trendspotting

• Set up feedback: Sort feedback into groups like “quality of the product,” “customer service,” and “experience with delivery.”
• Find Themes That Keep Coming Up: Look for problems or topics that appear frequently in many different feedback sources, such as patterns or trends.
• Look at Time Trends: Consider whether certain problems or compliments are more common at certain times.
• Compare the Sources of Feedback: Check to see how consistent the different sources are.

Note: Once, a business saw that customers were consistently unhappy with their packing. After reviewing the internet reviews, they changed the look of their packaging, making customers happier and more loyal.

4. Insight to Action

• Patterns: After getting information and feedback, you must look it over to find patterns, trends, correlations, gaps, problems, and chances. 
• Tools: Excel, Tableau, and Power BI are tools you can use to filter, sort, and manage your data. 
• Analysis: You can also use SWOT analysis, PEST analysis, Porter’s five forces, or customer journey mapping to determine what your data and feedback mean regarding your internal and external world. 
• Feedback Loops: Also, it would help if you looked for feedback loops. These systems let you change what you do based on past events.

5. Loop the Loop

• Implementation: After reviewing reviews and data, you need to use what you’ve learned to improve your business. It would help if you made a plan that spells out the exact steps, tools, roles, and due dates for putting the changes or improvements you found in your analysis into action. 
• Testing: Also, you should test your actions before putting them into full effect. This will help you determine how well they work and make any needed changes. You can test your actions controlled and measured with A/B testing, pilot testing, or prototyping.

Conclusion

Yes, many things need to be taken into account when you are looking at customer reviews. It depends on the types of data you receive, the metrics you use for customer feedback, and your organization’s goals. There are many ways to do customer feedback analysis that will help you reach your objectives. The great thing about a customer feedback program is that-YOU pick what and how to look at it!