Is Customer Feedback Important for your Business?
Consumers are overwhelmed about number of brands and the amount of advertising they see on a daily basis. Rising above the noise is a major obstacle for most brands, but there are many examples out there of emerging brands growing quickly that leverage reviews and customer feedback to build businesses that people like, care and talk about.
What is customer feedback?
Customer feedback is the information given by clients, concerning their various experiences and opinions on the products or services that the said organizations dabble in. the information may be collected via various tools such as surveys in which questionnaires may be administered directly (prompted feedback) or online through various social engines by finding their respective reviews and opinions on their posts (unprompted feedback).
More companies now clearly understand the indispensable role that customer feedback plays in their respective business fields due to the following reasons;
1. It creates room for product and service improvement
When a company inducts a new product or service to market, they do it with the prior knowledge of the specific target market needs. This can only be achieved through market research. Customer feedback can only be obtained after consumption or access to the product or service provided. This feedback provides an in-depth analysis of the advantages and shortcomings of the products and services provided. This, in turn, leads to the implementation of the redesign process of the products or services to tailor the products or service to their specific needs and desires.
2. Improves customer retention.
It’s no secret that customers have a choice on whom or which business they spend on. It is thus wise for businesses to keep these customers happy to ensure their targeted marketing proves effective. Feedback provides an important starting point to address consistency in their client base in that, it reflects on factors that were not considered beforehand. These factors may include after-sales services such as free shipping, user-friendly websites, portable packaging. These practices boost the likelihood of there being repeat customers.
3. Helps acquire new customers
One of the primary steps of deciding to purchase a product in this era is looking up the company whose product you may want to purchase. Customer reviews most often than not create new traffic to these businesses websites and ultimately translates to a new customer base.
4. Customer feedback helps to improve the customer journey.
Current marketing trends are widely based on the firsthand experience that their clients get on interacting with the products and services offered. Research has shown most people buy products to show their affiliation to a specific brand rather than their quality. For instance, most people opt to purchase Nike products due to what they stand for. It is with that, that most businesses focus on providing the best customer experience to retain their clients. Naturally, this goes without saying the most effective way to provide this experience is to get their opinions on the products or services offered.
5. Provides reliable information to other consumers.
In this technological age, traditional marketing such as commercials or expert advice has been overtaken by new age media such as social media. Consumers trust the opinions and reviews of other consumers on social media to make informed choices. For instance, to make travel or vacation plans, consumers first turn to opinions and reviews on the various destination choices to decide. This has led to many corporations introducing review systems in their product and service lines. Companies such as Uber, Taxify, lyft have all adopted these systems to reduce the possibility of poor service which is usually identified and excluded from their business.
6. Customer feedback boosts the reputation of businesses
So far, acting on customer feedback has proven to be vital to business operations as we have seen above. The result of these extra steps produces a ripple effect of positive opportunities and possibilities. When there is improved customer loyalty and increased brand awareness, unexpected results occur. These may be in the form of new deals, opportunities to expand and as a result, improve the morale of the businesses operational team. All these contribute greatly to the reputation of the businesses acting on customer feedback.
In a nutshell, customer feedback can be a very instrumental asset that determines the future of a business if acted upon appropriately. For businesses old and new alike, to be on top they must put their customers first and prioritize the feedback they receive. This not only furthers their agenda but also cements the customer and business relationship.