Investing time and money in a customer feedback program pays dividends. Deploying a customer experience service like LoyaltyLoop can generate high, sustained returns on investment (ROI) as the service helps you develop stronger customer relationships and deliver better customer experiences. By driving great customer experiences, your actions will create more loyal customers. The outcome for your business is a combination of reduced expenses (loyal customers tend to be easier to support), and higher sales (loyal customers promote you to others and give you more business). It will also serve to strengthen your brand in your local or national markets. In doing so, the ROI quickly follows.
By using LoyaltyLoop to consistently measure and monitor how your customers feel about doing business with you, it puts you in position to take specific actions to improve the business. You can take actions based on the ongoing customer experience (CX) metrics it tracks, like Net Promoter ScoreSM (NPS®), Customer Satisfaction Score (CSAT) and Product Quality Score (PQUAL). You can also take actions based on issues your customers may be experiencing, dissatisfied customers who may be on the verge of leaving, and customer's desire to do more business with you. By consistently using these outputs to take action you will improve your operations and hence your bottom line.
Let's look at a few examples. Let's say you're the owner of a business, and you have a long-standing customer named Bill. You used to work closely with Bill, but now he's being supported by your customer team. Bill has been very easy to work with, and rarely has a support issue. His account almost runs on autopilot, and on average Bill has purchased over $2,000 from you in each of the last 3 years. He's on track to do that again this year. Bill is a highly valued customer.
However, from Bill's point of view, his recent experiences have been less than satisfying, and he feels that no one is listening to his needs, nor addressing his issues. Frustrated, Bill responds to your personal survey request, and answers the Net Promoter Score question ("How likely is it that you would recommend us to a friend or colleague?") with a Detractor response (i.e., "Not Sure", "Unlikely", or "Very Unlikely", or 0-6 on the numeric scale). Fortunately, your company has a process to immediately review all Detractor responses. You're surprised to read this response from your old customer, particularly since no one on the customer team has said a peep about Bill's frustration. You personally call Bill. He's delighted to hear from you, and during the call, you learn of his frustration, and how he has already engaged one of your competitors, and was about to leave you for good. He says, "It's a good thing you called."
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The action you took to contact Bill, not only saved the relationship, but helped you identify and fix a flaw in how your customer team is organized. Bill is back to being happy and loyal, and back to being easy to work with. You've also corrected your organization, improving the experiences of all customers, preventing future "Bill issues". Putting this example in terms of dollars and cents (or sense), your single action paid for the LoyaltyLoop service overnight. Now imagine how many issues like that you and your team can identify throughout the year. Each action, producing more returns on your investment in LoyaltyLoop and your customer's experience.
While the above example is powerful in relaying the ROI of implementing a customer experience service, it's even more powerful when you think about how it can help you generate incremental revenue. A CX service like LoyaltyLoop engages customers in multiple ways to drive incremental revenue. The very essence of creating better customers experiences, drives positive word of mouth referrals of your business in the marketplace, which, in turn can result in new business. It will also encourage customers to post reviews on 3rd party sites like Google, which, in turn will contribute to more prospects choosing to do business with you. And, as LoyaltyLoop helps you identify existing, and create additional, loyal customers, they will likely choose to buy more from you, and refer others to you. All it takes is just one of these methods to generate a few new customers, and the service is paid for outright.
The above examples, individually, demonstrate how a focus on improving the customer's experience can generate a clear ROI. However, you are not likely to experience just one of these of benefits, but rather all of these benefits, simultaneously! As our name states, you'll find your business in a Loyalty Loop, continually driving change through actions that help you reduce expenses, increase revenue, and strengthen your brand, paying for your CX service many times over.