How feedback surveys can boost spending by over 130%
Have you ever asked someone what they think about your products and they hit you with the "It's good" line? Well, my friend, we're diving deep into the world of feedback and why it's the secret sauce to boosting customer spending. So, strap in and let's do this!
Want to see your customer spending soar? Start by asking them for feedback, but here's the catch: Kick it off with an open-ended question about what they loved about their experience.
Something like: “What did you enjoy about our lake building kit?” (I know that's not a real, product, but it should be!)
Asking your customers for feedback significantly increases the chance of repurchases to make your pockets jingle.
Let's look at the numbers (because who doesn't love data, right?)
On average, customers who were asked for feedback spent more. The impact was even higher in cases where the customers responded to feedback.
This also works in both B2C and B2B context:
- B2C: 131% higher spending overall.
- B2B: 33% higher spending overall.
There were three different components where this can be applied:
- Solicitation: Just asking the question without getting an answer increased average sales in B2B contexts.
- In both B2C and B2B, customers who completed a satisfaction survey spent more on average. Here the effect was ~5X higher than the solicitation case above.
- When an additional question asking what customers liked about the experience, the above effect was increased by another 40%.
As you can see, customer spend increasingly more 1) when they're asked for feedback, 2) when they complete the survey and 3) when an open-ended question framed in a positive way is asked.
Wait...but why? 🤔
So, why does this work? When you ask customers for their two cents, a couple of things happen:
- They like you more. Kind of like when your friend actually listens to your ramblings about that new taco place 🌮
- They get to stroll down memory lane, cherry-picking all the warm and fuzzies about your product, which means they now have this rosy recollection of your brand 😍
So ask get into the habit of regularly asking your customers for feedback. Not only does it boost sales, but you'll also get ideas on how to improve your offerings.
Things to watch out for ⚠️
But don't get too carried away, cowboy! There are a few things to watch out for:
- Positive feedback works best as an open ended question, so don't ask it in a yes-or-no format.
- How long does this feel-good feedback effect last? Jury's still out, so follow up sooner rather than later if you want to take advantage of the good vibes.
- Pissed-off customers? This magic trick might not turn them into raving fans -- I guess even magic has its limits!
Keep those things in mind to get the best results.
Here's how to do it
Ready to try this out yourself? Here's what to do:
- Set up a feedback system, like an email survey, and make it snazzy.
- Start with a positively-framed, open-ended question. This isn't a must, but it's better if you do.
- Flip the script on improvement questions. Make them positive. Instead of "What sucked?", try "How can we rock even harder?"
- Thank those wonderful peeps for their feedback. A little gratitude goes a long way.
- Lastly, encourage them to spread the good word with positive reviews!
That's all, folks! So, keep those customers chatting and watch your brand shine brighter than a disco ball at a '70s party!
Want to learn more? 🤓
If you want to learn more about this topic, you can dig into the nerdy details in the original marketing study here.
Quote of the week 💬
"Feedback is the breakfast of champions."
- Ken Blanchard