Last week I considered how difficult it has become to build a brand by creating a unique product or a differentiated positioning. The holy grail of product superiority has been made even more elusive by globalised manufacturing processes that bring products to market more swiftly; and the heyday of advertisers telling customers how they should view their brands has been swept away by the inexorable rise of social media.More
Few customers expect their feedback to be listened to, let alone acted on. Closing the feedback loop is a powerful means of transforming customers’ perceptions of your brand and triggering positive ‘word of mouth’ endorsement. It will also result in measurable business benefit:
- A UK building society re-engaged with a dissatisfied customer and secured an investment that more than paid for their IVR survey programme for a whole year
- A leading life company was prompted by a single survey response to trigger a customer recovery process that resulted in the consolidation of all that customer’s investments with the brand
- Data from a number of clients shows that an effective customer recovery process can generate up to three-fold increase in levels of brand advocacy as customers take delight in being listened to and seeing their feedback acted upon
- Re-engaging with customers will reduce the volume and cost of complaints received by an organisation.
ServiceTick’s customer recovery solution generates an automatic ‘red flag’ alert when a customer expresses dissatisfaction. Alerts can be triggered by negative scores or by pre-determined words. By responding in real-time to expressions of dissatisfaction levels of brand loyalty and advocacy can be improved dramatically.
Niggles are resolved before they turn into full-blown complaints and within the call centre itself resolution failure rates can be traced back to individual call agents, identifying training and coaching requirements within each team.
Building the business case for customer recovery is probably the easiest way to show a return on investment for any customer feedback programme. The cost of acquiring customers can be a significant drain on a company’s resources, and investing in a way of keeping existing customers from leaving will almost always prove cheaper than finding new ones.