Leverage the value of customer complaints for continuous improvements

How Customer Complaints Help Continuous Improvement

When it comes to customer retention, the secret lies in the customer experience. Some people often mistakenly consider the quality product as the only component for excellent customer experience. However, it’s just one of the components. The other components that heavily contribute to the customer experience are clear communication and customer complaints management.

Customer experience will continue to gain traction in 2020, and companies must emphasize on improving customer experiences with their brand. You cannot just rely on the price and product. According to a recent study – “86% of buyers are willing to pay more for great customer experience.”

Customers are willing to pay a higher price (up to 13 to 18% hiked) for their indulgences if they are having a great experience with your portal or eCommerce website.

We have discussed so much about customer experience, let’s look at its definition for more clarity:

Customer experience refers to your customer’s belief in your organization’s behavior with them. Their opinions often drive their loyalty to your company. To put simply, more and more they will like your behavior; more and more they are likely to continue doing business with your company. They will also recommend your company among their peers or groups.

The statistics will take you by surprise – 72% of customers will recommend you to more people (up to 6 people and more) for a positive experience. In contrast, 13% of customers will share a bad experience with 15 people and more.

You can improve their experience only when you will get to know what went wrong. And, finding out that is another challenge since only one person out of every 26 tends to make a complain. So, if you are among companies that think no negative feedback reflects customer satisfaction, you are making a massive mistake in evaluating your customer experience.

Even when you are receiving four positive feedbacks out of five, you cannot afford to miss than one customer. Why’s that?

According to a PwC survey on 15,000 consumers, “1 in 3 customers will not continue with your brand after just one bad experience even if they loved your products while 92% are likely to abandon a company after two or three poor experiences.

What adds to a bad experience is your response to their queries, feedback, and complaints. You can retain more customers with a timely and relevant response. Be sure you follow this trend more rigorously so that your customers feel heard and cared for. Soon you will be able to transform your customer response into continuous growth and improvement opportunities for your business.

All you need to do is take advantage of the moment when your customer contacts the support team after buying your product or service. It is none less than a golden opportunity to keep your customer satisfaction ratio high while gaining necessary insights.

How can you do that?

Here are four essential components that you can help you create a powerful strategy of turning every customer complaint into opportunities to drive continuous improvement and innovation.

  • Understand your customer and their requirements well

Understanding your customer is indeed the most fundamental yet powerful step in winning your customer’s confidence in your product and company. When your customer makes a complaint, you must gather all the relevant information so that you can redirect them to the right person.

Demographic details are essential to capture. You should also emphasize in knowing your customer by the time span they have been your customers, how often they buy your products and how often they reach out for help or support, what were the past issues they required your assistance for?

Having all these insights will help you have better and meaningful communication with your customers while following the right direction to find the solution.

  • Identify the problem and its root cause

Companies consider it quite a simple step to identify the problem and its root cause without rigorously collecting the necessary information “What exactly made the customer reach out for assistance or writing the complaint?” Understanding the core issue is vital to find an effective solution.

You will be able to give the most relevant response and assistance to your customers based on deeper-level understanding. Also, you will get better insights into product development processes that need significant improvements to maintain quality quotient. Always remember effective resolution is all about eliminating the root cause of the problem, so it doesn’t recur.

In the era of digital solutions, more you will focus on the granular level approach; better are the chances of improvements that drive customer satisfaction. Getting customer complaints management software will minimize your efforts and maximize the results.

  • Propose relevant resolutions to reduce customer effort

Relevancy of resolutions matter for the customer satisfaction whether they are happy with the solution or they are willing to reach you back for effective resolutions. To propose the most relevant answers, you should understand the efforts that customers made to contact the assistance.

If they made so many efforts to report their issues; you have already made their journey and experience a poor one. On top of all, if your resolution doesn’t satisfy them, they are likely to abandon your brand. Ensure more positive customer experiences by making their journey to resolution smoother and providing a practical solution.

Even the constant efforts to get their issues resolved put off the customer. You will not only end up receiving a negative review but will lose your customers too. Streamline and standardize the entire complaints process for more positive stories of customer experiences.

  • Keep brand loyalty in priority

If your customers are satisfied; they are likely to retain their loyalty with your brands. They will recommend to more and more people based on the positive experience. And how would you know whether they would like to recommend you? Some more work you need to do here.

You should have a proper system to capture your customer’s feedback for the solutions you and your team provided. It is more common these days for brands to ask their customers for ratings. It will play a key role in building your brand credibility and will reflect your commitment to customer satisfaction.

So, make sure you have a streamlined system to record the customer response for the problems they got the support for. More will be information you will gather about your customer and their experience; lower will be the level of frustration.

We all know that increasingly growing competition will result in more and more issues over time. You must have a support system that can help you to maintain a perfect balance of customer retention and satisfaction ratio by ensuring the timely and effective resolution to every customer complaint received.
One of the cost-savvy and robust cloud-driven solutions you can opt for is the Qualityze Customer Complaints Management Software System.

It helps you to standardize the customer complaints management process by aligning all the processes, including Review PHR, Product Evaluation, Investigation, Action Plan, Adhoc tasks, and Closure with the quality objectives to identify the effective resolution and ensure customer satisfaction.

Qualityze Complaints Management System helps you to remain customer-centric by offering improved visibility, traceability, and accessibility. It maintains confidentiality and drives appropriate solutions after adequately evaluating the complaint record since it is accountable to drive continuous improvements.

Qualityze comes with a variety of features along with configurable workflows and integration services. Some of the features include e-Signature, Audit Trail, Analytics, Reports, Dashboard, and much more that help manage quality and compliance efficiently.

For more information, get in touch with our customer success team at info@qualityze.com or call us on 1-877-207-8616. We will help you establish a compliant-friendly complaints management software system to handle the customer complaints more efficiently than ever.

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