Feedback Analysis: How to Analyze Customer Feedback
According to Microsoft, 52% of people around the globe believe that companies need to take action on the feedback provided by customers. So as a company or business owner, you must give great importance to feedback analysis.
Getting customer feedback from your consumers is one thing, and analyzing it is another. Most companies collect enormous amounts of feedback from their customers, but many don’t use it to improve their products and services.
Because of poor customer service experiences, 56% of people around the world have stopped doing business with a company. And poor customer service experience is one of the significant outcomes when customer feedback isn’t correctly analyzed.
Feedback analysis is one of the most critical steps once you have collected your customers’ suggestions. And doing it the right way is also essential for your company’s growth.
In today’s piece, we’ll discover seven tips about customer feedback analysis.
Let’s get started.
Feedback Analysis: How to Analyze Customer Feedback
1. Collect All Data in One Place
Now, this may first sound really obvious to you. But it’s essential for you to collect all customer feedback in one place before you start your feedback analysis. Even if you have come across some incomplete feedback, put everything in one repository.
At first, you might avoid merging incomplete feedback with other feedback; they can unveil remarkable details. If you are using a software or tool, export all the data in a spreadsheet or somewhere that’s visual-friendly.
Don’t dump or discard any data from the feedback you have collected as it can be a breakthrough for your company. According to Gartner, 89% of businesses are expected to compete mainly on customer experience. And as customer experience depends on the collected feedback, you might want to think twice before discarding any customer data.
2. Categorize and Sub-Categorize Feedback
Now your customer feedback data is all-set and sitting tight in one place; it’s time to categorize it. According to your company’s nature or the feedback you have collected, organize, and sub-categorize it.
Firstly, start noticing if your data is highlighting any pattern. Then, choose a digestible theme, topic, segment, sentiment, etc. that anyone in your organization can understand to categorize the feedback.
Sorting feedback into categories will help you to see the bigger picture of what’s going on. Of course, you’ll find it hard to categorize the incomplete feedback, but it will give you a sense of what’s happening.
Lastly, break down the customer feedback data and sub-categorize it to make the picture clearer.
3. Divide Feedback into Positive, Negative, Neutral and Junk
After you are done, categorizing and sub-categorizing your customer feedback data, divide it into positive, negative, neutral, and junk. Slimming down your organized feedback into these four properties will help everyone on your team to easily analyze what went right, okay, or wrong, and what to discard altogether.
By splitting your categorized feedback into positive, negative, neutral, and junk, your team will be able to focus on all aspects equally and uniformly. Negative feedback will help them to highlight the loopholes, and positive feedback will keep them motivated. The neutral category will work as a place of room for improvement. And lastly, junk feedback will allow your team to save time and concentrate on other categories.
Quick fact: Did you know that, according to Zendesk, 52% of consumers make an additional purchase after a positive customer service experience?
4. Going One Step Ahead: Searching for Root Causes
Now you have positive, neutral, and negative feedback in one place; it’s time to find the root causes behind them.
Naturally, you won’t have to break a sweat in finding causes behind positive feedback as you are already performing well in that particular section. But you need to appreciate and acknowledge the people in your team behind those positive reviews so they can keep up the excellent work.
For the neutral and negative reviews, you’ll have to find the root causes behind unsatisfied customers. For instance, you noticed that out of 1,000 negative and neutral reviews, 600 are pointing out about the delivery service. Then, your next step should be analyzing what exactly the customers are complaining about the delivery service and act accordingly.
5. Planning Actions
Once you have captured the root causes, it’s time to sketch a plan on how you would tackle the situation. For instance, it could be hiring new couriers or just planning a meeting with them and alerting them about their problems.
While planning actions, you must draw a feasible and effective plan that’s capable of at least neutralizing the negative stream you have captured in customer feedback. It would be great if you are able to generate a plan that would turn negative feedback into positive feedback as 90% of customers are influenced by positive reviews when buying something.
6. Alerting and Informing Teams
Now you have the plan; it’s about time to inform and alert your teams with the new procedures and guidelines. Call a meeting with all the groups that require new policies and brief them with thorough and clear instructions.
Share the root causes with your teams that have made you sketch new plans and guidelines for them. Motivate your teams to do their best to stick to the new goals. Furthermore, stay open to questions and queries from your teams to support their development.
Lastly, don’t go all hard on your teams and let them take their time to adjust.
7. Invest in Automated Tools
Analyzing thousands of customer feedback manually isn’t an efficient way to do the job. The best tip we can come up with on how to analyze customer feedback is investing in automated tools.
Automated tools will not just make your feedback analysis easy, but they will come up with great insights about it. In minutes, you’ll see detailed reports and insights about the customer feedback data you have collected.
Data analysis automated tools will help you to analyze customer feedback in less time and provide great insights.
Listening to your customers and implementing their wishes will help your business to reach new heights of success. Use these seven tips to analyze your customer feedback in the best possible way.