Customer feedback: the views, feelings and experiences that customers volunteer to you. Customer feedback comes in many forms, from reviews and comments, to post-chat surveys and customer emails. And no matter the size, scope, age, type or target audience of your business, it’s an invaluable tool because the fact is, while you know how great your products and services are, your success is still determined by your customers.
But even though most people are aware that customer feedback is useful, the why’s and how’s of getting feedback aren’t so well known. So, here are three key reasons why collecting — and using — customer feedback is so important.
Improve your products and services
First, by collecting customer feedback, you gain a picture of what your customers like and dislike. You have access to the outside opinion of your business, services and products. This opinion can even highlight aspects of your service you hadn’t considered before.
In other words, you have a consistent insight into what makes your products and services great. (And where there’s room for improvement.)
With this insight, you focus your efforts on emphasising the features or service quality that your customers love. All while identifying and fixing any negatives holding you back. Plus, because you know what your customers consider your core features, you can avoid burying or removing them. This means that you are less at risk of losing the functions that make your products strong.
Boost your customer retention, satisfaction and loyalty
Collecting and using customer feedback can also help you improve your customer relationships. This means boosting retention, satisfaction and loyalty.
Inviting customers to provide feedback shows them that you value their opinions. It demonstrates that you care about their needs, thoughts and experiences with you. As a result, customers feel more appreciated and more involved with your company. After all, they’ve helped further the evolution of your small business. This sense of involvement leads customers to feel more invested in your success, and so closer to your business.
Remember that no matter how great your service is or how polished your products are, negative experiences still happen sometimes. Customer feedback can alert you to such instances. So, you’re provided with the opportunity to make amends with dissatisfied customers.
This is because upset customers can be appeased by having their feedback taken seriously and their problem solved. So, you can keep an upset customer on side, by turning a negative experience into a positive one. Plus, you can prevent the problem from affecting other customers, reducing churn.
Gain case study opportunities
Collecting customer feedback can also alert you to some great case study opportunities. This is because customer feedback will help you identify your ‘superfans’. These are the customers that have been loyal to your company and give glowing customer feedback. Why not share that with the world?
Customer feedback, then, can help you create extra resources to convert more potential customers. This can be your new case studies, or public reviews and positive comments.
With case studies and positive reviews enabled by using your customer feedback, you can build a stronger reputation. This, in turn, can increase your conversion rates. In fact, 72% of customers say that positive reviews make them trust a local business more. So, by collecting and acting on customer feedback, you’re generating trust-boosting reviews.
Don’t just collect customer feedback, use it
With customer feedback, you can do a lot of good for your business. However, it’s not enough to merely collect the thoughts, feelings and experiences of your customers. Rather, you need to use that data.
Customer feedback can help you map a successful future for your product. You can use it to create materials that encourage prospects to convert . And you can respond to negative instances to reduce customer churn. So, what are you waiting for? Start collecting — and using — customer feedback to better your small business.
The SmallBizRising Blog is designed to be an educational content hub pulling information, best practices and practical advice for the small business owner and features topics including accounting, marketing, technology and more. Be sure to subscribe to stay up to date with new content as it is posted. The blog was created by The Neat Company and receives contributed content from a group of contributing companies that provide technology, services and solutions to small businesses.