Customer Experience

How Businesses Can Close the Customer Feedback Loop

June 16, 2016

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How Businesses Can Close the Customer Feedback Loop

When NASCAR was founded by William “Bill” France Sr., his goal was to organize racing – to establish consistent rules and manage the sport.

What France did not know was that NASCAR would become as popular as it is today. And he probably wasn’t thinking NASCAR would create an Official NASCAR Fan Council, or cultivate a center for social media.

Brian France, son of Bill France Jr. and CEO and chairman of NASCAR, created the idea for a Fan and Media Engagement Center.

“…The capabilities being created today are going to allow our industry to interact with fans in ways we could have never dreamed of before – in real time in almost every medium, all over the country,” he said.

Steve Phelps, NASCAR’s chief marketing officer, added, “It’s one thing to get the data — it’s another thing to respond quickly to it.”

The Customer Feedback Loop

Customer feedback gives companies the ability to constantly innovate. Large enterprise companies have multiple sources of customer feedback to monitor, so make sure you’re looking at all sources of feedback.

According to the Cambridge Business Dictionary, the feedback loop is “a system for improving a product, process, etc. by collecting and reacting to users’ comments.”

What do you need in customer feedback systems? Feedback systems that work, make an impact. As opposed to an open feedback loop, closing the feedback loop allows the conversation with the customer to continue, not end.

The customer feedback loop addresses multiple touch points within the customer lifecycle. It’s constant. It doesn’t stop.

Here are some ways to close the feedback loop:

Use the feedback you receive

Use Voice-of-the-Customer data from all channels to improve the customer experience. Do not just look at your social media pages or surveys. Create community forums within social media channels, extract data from online reviews, and listen to what customers are saying to your staff in your business locations.

Talk about it

Today, companies will not succeed by keeping their processes or knowledge a secret; they need to put their information out there. Companies should tell the public they receive feedback and take action.

For example, Chrysler released their 2017 Pacifica and distributed a release with the headline, “All-new 2017 Chrysler Pacifica Rooted in Customer-first Approach to Quality.”

Scott Garberding, head of quality at FCA-Global, talked about how Chrysler uses customer feedback to create vehicles.

“Producing high-quality vehicles is essential to our goal of earning and maintaining the trust and loyalty of customers,” said Garberding. “At the earliest stages of vehicle creation, before designers’ sketches have evolved into a clay model, research is conducted to collect, analyze and integrate the voice of the customer into a new vehicle concept.”

Read MORE:Customer Experience is Key to Success in the Automotive Industry

Respond with a personal message, if possible

When responding to customer feedback, try not to use an automated message. Customers will appreciate if you take the time to respond to their concerns, and even to their positive feedback.

If you only read one sentence from this article:

Have a system in place to close the customer feedback loop. Pay close attention to all the customer feedback out there, listen, respond and address urgent matters, such as churn.

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