The importance of feedback
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The Importance of Feedback. Why get customer feedback. Feedback is crucial for company improvement…positive feedback is great but it is usually the negative feedback that helps us the most

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The Importance of Feedback

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The importance of feedback

The Importance of Feedback


Why get customer feedback

Why get customer feedback

  • Feedback is crucial for company improvement…positive feedback is great but it is usually the negative feedback that helps us the most

  • Feedback improves a company’s performance which makes organizations better at what they are learning to do


The dangers of not getting feedback

The dangers of not getting feedback

  • Statistics reveal

    • One in four (25%) customers are dissatisfied with some aspect of a typical transaction

    • Only 5 percent of dissatisfied customers complain to the company.

      • The vast majority are silent and would rather go to another company then fight with the current company

    • A dissatisfied customer will on average tell 12 other people about a company that provided poor service

  • The ripple effects of a dissatisfied customer can have a very negative impact on the success of an organization.


What should a company do about dissatisfied customers

What should a company do about dissatisfied customers

  • There is a need to GET THE DISSATISFIED CUSTOMER TO SPEAK UP, this can only happen through OPEN COMMUNICATION

    • Open Communication only occurs when people feel that their opinions will be valued and their complaints heard

  • Companies need to make it easy for people to voice their complaints, suggestions and questions

  • Companies need to act on customer feedback quickly and efficiently


The benefits of quickly addressing customer complaints

The benefits of quickly addressing customer complaints

  • Customers that have their complaints quickly and efficiently addressed by the company are likely to do business with the company again.

  • If a customers complaints are addressed…not necessarily solved, but at least there was an attempt made by the company to try and resolve the complaint… the willingness for that customer to do business with the company again jumps from 10% to 80%.


Addressing customer complaints

Addressing customer complaints

  • Organizations should respond to feedback quickly and in constructive ways, timing is critical, early response is important

    • Don’t be defensive or put the customer on the defensive

    • Accept the fact that the complaint is real to the customer

    • Listen to the whole story

  • There are THREE STEPS that should be taken when trying to resolve a customer complaint

    • Feel empathy for the situation and person

    • Resolve the problem

    • Offer something more, to exceed what the customer anticipates


Methods of soliciting customer feedback

Methods of soliciting customer feedback

  • Feedback card—cards that customers fill out, specific questions are asked about the company or company processes.

  • Focus groups—group of people, usually company customers that are asked to meet to discuss a number of issues relating to the company. Participants are usually paid for their input.

  • Explorer groups—these groups consist of an employee or employees from one company that will go to other company's to see how other company’s do things. These groups participate in observational research

  • Customer Surveys—forms given to customers asking questions to determine what the respondents think about various issues relating to the company

  • Companies may use one or a combination of several methods to gather customers opinions and ideas about the company. Various survey methods may be:

    • Face-to-face interviews

    • Telephone surveys, calling customers at home/work

    • Mailing questionnaires customers complete and send back to you

    • Email surveys

    • Written surveys handed to customers in a mail back envelope

    • Internet based surveys that invite customers to go to a web site to complete a brief form and/or questions


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