Are you looking for ways to continuously improve your product and keep your customers happy? One valuable method is through the use of a customer feedback loop. In this article, we will explore the various steps of a customer feedback loop, including collecting customer feedback, analyzing the feedback, following up, and implementing findings.
Did you know that 73% of customers abandon a brand after three or fewer bad customer experiences? This is why customer feedback is so important for customer loyalty and reducing customer churn. With my experience working for eBay and the Guardian Soulmates dating site, I have seen firsthand the benefits of implementing a customer feedback loop. Join me as we dive deeper into this win-win initiative.
What Is A Customer Feedback Loop
A customer feedback loop is a process that involves collecting customer feedback, analyzing it, and then following up with customers based on the findings. This process is crucial for product development and customer satisfaction.
1. Collecting Customer Feedback
Collecting customer feedback can be done in various ways. One of the most common ways is through surveys. There are two types of surveys, proactive and reactive. Reactive surveys are pushed to users and get a higher volume of feedback while proactive surveys are only taken when the customer actively seeks it out.
Some examples of feedback surveys include NPS survey (Net Promoter Score), CSAT survey, exit survey, persistent feedback button, rating survey, and email surveys. It is important to be mindful of the user experience when deploying surveys as customers trying to complete a task in your product can easily be put off by pop-ups that get in the way.
In a B2C business, surveys should be used sparingly and only for important touchpoints in the customer journey, while in a B2B business, especially with a Saas product, surveys can be used more often as there is a closer customer relationship. Social media monitoring is also a valuable tool as customers may mention your product on social media platforms.
Product use monitoring is another way to collect customer feedback by watching a customer interact with your product in real-time. This can help spot frustration points, favored features, and follow the user flow from entry point to exit.
2. Analyze The Feedback
After collecting customer feedback, it is important to analyze it to get on top of the data and keep it up to date. Categorizing the feedback into a few buckets can be helpful. These buckets include quant metrics, bugs, and UX issues. Quant metrics like NPS or CSAT are easy and important to track but sometimes don’t directly give actionable insight into product issues. Bugs may be the top priority to act on depending on the number of reports and severity. UX issues are issues where a user struggled because they did not understand something or the product was not intuitive.
3. Follow Up
Following up with customers based on the findings is the final step in the customer feedback loop. This can be done by addressing bugs and UX issues, improving product features, and communicating with customers about the changes made based on their feedback. It is important to show customers that their feedback is valued and that their input is helping to shape the product.
In conclusion, a customer feedback loop is a vital process for any business that wants to improve their product and customer satisfaction. Collecting customer feedback, analyzing it, and following up with customers based on the findings can lead to a better product and a more loyal customer base.
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Implement Findings
One of the most effective ways to constantly improve your product is by implementing a customer feedback loop. By incorporating changes based on customer feedback, you can complement your new feature product roadmap.
In previous roles, it was common practice to filter collated feedback by product area and incorporate improvements based on customer feedback during an overhaul of a particular area. Improvements to help content and customer service scripts can be made continuously and don’t necessarily need to wait for product development.
To learn more about product roadmaps and their importance, check out our related read: “Product Roadmap Guide: Why It’s Important And Types You Should Know.”
Customer Feedback Loop — A Win-Win Initiative
Incorporating a customer feedback loop can lead to continuous improvement of your product and increase customer retention and loyalty. By starting small and incorporating surveys at critical conversion points, you can gain valuable insights into customer behavior. Tools like Pendo can serve up surveys based on previous behavior, allowing you to gather surprising feedback.
To take it a step further, set aside half an hour weekly to talk to a customer who has given you feedback. This personal touch can make a big difference in building customer relationships and improving your product.
Implementing a customer feedback loop not only benefits your customers, but also your business. By making use of user tracking software and other related tools, you can gain even more valuable insights into customer behavior and preferences.
By taking the initiative to integrate customer feedback into your role as a product manager, you can drive continuous improvement and create a win-win situation for both your customers and your business.