Customer feedback is the process of gaining actionable insight from a purchasing customer, about a product, service or the general experience when dealing with a company. It allows the business managers to study their offerings and find elements that can be tweaked or improved to better fit the customers’ needs.
Whether you’re soliciting feedback from your customers through surveys, feedback forms, live chats, or social media sites, it is important to centralize all that received data so that you’re not utilizing all your time trying to locate the right form or information. This also allows you to focus entirely on the actual responses and understand where the customer feels you’re going wrong, and improve on it.
Once a feedback channel for the customers is setup, listen to their concerns and improve your products. Lather, rinse, repeat. This proactive, cyclical approach for customer feedback allows you to not only continuously better your offerings, but also increases your success ratio and customer satisfaction, which means that you lose fewer leads and in turn, fewer sales. This is especially effective for taking corrective measures in the initial stages of a business, which may otherwise lose out on significant revenue if you don’t know what the customer thinks about the product or service, or how they think it could be improved.
Integrating this feedback cycle with a Customer Relationship Management (CRM) software, customized specifically for your business, will give your business a tremendous and necessary boost.
The nature of feedback is that it cannot be sourced only from purchasing customers, but may also be derived from any prospective leads that can provide the organization with constructive criticism. This practice is beneficial for the organization in the longer run because it allows them to serve not only their existing customers but also their potential customers better.
Detailed Seller Ratings:
Instead of letting your customers rate your performance on a simple scale-based metric, a CRM software allows your customers to generate detailed rating reports that are based on the various parameters involved in the product, such as, say, how close the product was to their expectations, how well the organization addressed their concerns and queries, or how reasonable was the price tag for the product.
These reports are, therefore, an exceptional tool that can be used by an organization to pinpoint the exact location of the flaw. As compared to the conventional scale, this considerably reduces the issue search and analysis time and leads the organization directly to it for swift correction.
Daily Sales Reports:
Apart from the ratings, there are various other ways to obtain feedback from the customers. Throwing in CRM into this mix provides organization and automation tools that will help the company to collate their data into something discernible.
One application of a CRM database is that it allows a sales manager to generate a daily sales report, which provides a detailed status of all the critical metrics like the number of leads generated, the status of each lead, prospective customers met, and deals closed.
The insight gained from this data equips the manager for easier and smarter decision-making, and makes the company aware of where it stands on its lead-to-conversion ratio.
Lead Source Tracking:
There are multiple paths that a customer can walk to reach a company – it’s useful for that company to know which path is most taken in order to gauge customer behavior and preferences. For example, a company’s customers may be engaging with them predominantly through reading blogs on their website, or express their curiosity on their social media page.
No matter what the source is, it’s important for the company to track it. This can usually translate into re-aligning the company’s marketing efforts towards the more active sources, and eventually generate more leads.
An advantage of integrating customer feedback with a CRM marketing software is that it helps in identifying the customer profiles that are more inclined to purchase from the organization, and lets them focus their marketing efforts on these individuals. It also lends rationalization to the product mix as the target market becomes more defined.
Project Management Cycle:
A project management cycle is a proactive approach for designing or creating new initiatives, projects or products. The cycle initiates with the idea and is followed by planning, development, execution, and finally monitoring and improving. For this cycle to be successful, customer feedback becomes a valuable input, and it eventually drives the growth and progress for the business. Cutting off this resource brings the entire cycle to a halt and makes it prone to stagnation, which must be avoided at all costs.
To summarize the importance of customer feedback, it has become an essential commodity not only for the short-term product goals, but for the important long-term ones too, and is a driving force for progress within a company.