How to Create & Use Customer Feedback Loops

How to Create & Use Customer Feedback Loops
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  • 0:05 What Is a Customer…
  • 0:51 Importance of Customer…
  • 1:19 Creating Customer…
  • 4:13 Using Customer Feedback Loops
  • 5:16 Lesson Summary
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Lesson Transcript
Instructor: Savannah Samoszuk

Savannah has over eight years of hotel management experience and has a master's degree in leadership.

Looking into customer feedback is essential for any business. This lesson will explain customer feedback loops, provide an example of how to create customer feedback loops, and demonstrate how to use them in order to improve the service provided.

What Is a Customer Feedback Loop?

Businesses have realized the importance of analyzing and using customer feedback in order to improve their services. Customers provide feedback in many different ways, but it's up to the business to use that feedback. A customer feedback loop is a system used to gather feedback, learn from it, and use the feedback to improve products and customer service. For example, Sally's Salon sends each customer an email asking for feedback. Sally, the owner, occasionally shares the responses she receives with her team. This is where a customer feedback loop would be beneficial in helping Sally use her feedback. We will now take a look at the importance of customer feedback loops, as well as how to create and use them.

Importance of Customer Feedback Loops

Businesses understand that customer feedback is important. They know that they need to hear from the customer about how their business is doing. However, they may not know where to start when it comes to gaining feedback from customers. Customer feedback loops offer a systematic approach to helping businesses understand their customers. They can help a business improve customer loyalty and satisfaction. Customer feedback loops allow businesses to listen and then learn from their customers.

Creating Customer Feedback Loops

There are many different ways to obtain input from customers. The goal of a customer feedback loop is to gather feedback, learn from that feedback, and then use it to improve your product or service. Different types of customer feedback loops can be used in order to achieve this. The three common types of customer feedback loops are survey feedback loops, self-service feedback loops, and personal feedback loops.

Survey Feedback Loops

The first type of customer feedback loop that can be used involves surveys. Businesses can send different types of surveys to their customers to determine their level of satisfaction. This is an easy way to obtain customer feedback and then use it to learn and make improvements. Businesses can send transactional surveys, which are sent after a customer purchases a product or service. For example, after staying at a hotel you receive a survey asking about your stay; this is an example of a transactional survey.

Another type of survey that businesses can use is a periodic survey. This type of survey can be sent periodically, such as once a month or each quarter, to check in with the customer. For example, a pest control company might send a periodic survey each quarter to determine if their customers are happy with their monthly service. Lastly, businesses can use net promoter surveys. These focus specifically on whether or not the customer would recommend the business to another person.

Self-Service Feedback Loops

Another type of customer feedback loop that can be used is self-service. This type of feedback loop allows customers to leave feedback on their own. The business is not directly asking for the feedback but instead provides areas where customers can go on their own and provide feedback. Customers can leave reviews on third-party websites or on the company's actual website. Most businesses have a section on their website where customers can post a review.

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