Listen up

When was the last time you woke up in the morning and had this thought: “I can’t wait to complain about something today!”? Well, that statement surely seems preposterous, because no one likes to complain or be thought of as a complainer. However, when you think about this in the context of a customer’s experience with your operation, it becomes a relevant issue. Your customers need to complain if there is a real reason to do so.

More than a financial loss

Here’s another question: “What is the true cost to you and your business of a lost customer?” Losing a customer is never any fun. It’s just like getting fired. Worse yet, losing a customer costs you more than just the associated revenues. So what can a business do to intervene and prevent defections and not get fired? You need to listen.

Listening to the customer is a business imperative today. With the competitive dynamic both vibrant and aggressive, it can be easy for a customer to be taken away by a competitor if something goes off the rails with your product or service delivery experience. So how do you know where you stand with customers? You have to be prepared to ask, listen and take action.

Most companies want to have a listening program in place, but choose not to do so. Why not? Because there is the general thought that a Customer Experience (CX) listening process is too expensive, too complicated, takes too much time or demands too much from staff. All of this can be true if you don’t have a planned, focused program. There are many ways to implement a formal listening process, and I’ll share some of those with you in a moment. For now, let’s circle back to the cost of the lost customer.

When a customer leaves you, it’s more than just lost money. Sure, it’s not pleasant to lose the revenue, but unhappy customers tell other people. They talk, they text and they use social media all to express their displeasure. What do you think this does for your brand? In addition to this “commentary cost,” add in the cost of finding a new, replacement customer. Think about it. Instead of bringing in incremental business, the sales department is working on generating a replacement. Obviously this is not a good picture, and here is the real problem.

The vast majority of customers who have gripes don’t know how to be heard. That’s right, they simply don’t know to whom or how to complain. Plus, customers need a safe and comfortable process meaning they need to feel it’s OK to complain. They are also worried that nothing will happen if a grievance is aired. How often has this happened to you? You work up the courage to register a complaint and nothing. No reply, no follow up, nothing. Your complaint disappears into some black hole. How would this make you feel?

The upside

The good news is this. Businesses that are serious about listening to their customer’s experience have many ways activate a great process; great for the customer, great for employees and great for the business. Some of the ideas you can implement today:

• A complaint button on the home page of your website. Make it obvious.
• An inbound phone line that a live person answers
• At random, outbound monthly “check-in” phone calls to a handful of customers
• Comment cards made available at check out, the front desk or included in mailings to customers
• An email complaint address which, again, is monitored for immediate response

Poll the crowd

All of these listening channels are great tools that you may deploy. However, the most popular means for engaging and hearing the customer is through surveys. Two of the more popular methodologies in use are mailed surveys and online surveys. Regardless of what method you may wish to use, here are some tips to keep in mind:

1. Surveys should be short and sweet. This makes them easy to fill out and encourages response.
2. The accompanying communication to the customer, such as a cover letter or email invitation, should be personalized and from the most senior level executive as possible in your organization.
3. Invite a candid “conversation” while making the customer feel comfortable and safe.

In terms of survey content, remember — you are just trying to listen and detect if there is an issue that needs to be addressed. You don’t need a lengthy or complicated survey. As a matter of fact, I feel it makes sense to use a questionnaire limited to five questions.

Touchpoints are characteristics of the relationship the customer has with you that are most important to the customer, for example, making deliveries on time, the product is fresh and well presented. The next three questions should ask about the overall customer experience with you, likelihood to come back again and likelihood to recommend to a colleague or friend. Finish with an open-ended question that asks for verbatim, off-the-top comments, usually something like, “Feel free to send us any comments you have, positive or negative, about your experience.”

Finally, if you do implement any of these listening channels, take them seriously and be prepared to follow up as quickly as possible with the customer if an issue comes to your attention. Remember how you felt when you complained and nothing happened? Be different. Show the customer you care by taking action and working to improve the relationship.

Jack has been involved in the research business for 33 years. He works with corporate clients and member-driven organizations interested in measuring and understanding the customer experience, and speaks on the subject through webinars and in-person seminars. www.readexresearch.com/cx