Why is it important to measure to be able to improve customer loyalty?

It goes without saying really. Without information on what needs you need to improve to retain customers, it is difficult to know where to focus your efforts. The result is that many companies miss the mark and try to improve everything they feel that customers want. You should not underestimate gut instinct. It is often based on years of experience. However, by measuring customer loyalty, you can support or fefute gut instinct and give an indication of the areas that should be given immediate priority.

Customer loyalty surveys are a straightforward investment in your customers. On average, loyal customers are worth up to 10 times more than their first purchase and it costs 6-7 times more to land a new customer than it does to retain an existing customer. Measuring customer loyalty and customer satisfaction is by far the most efficient way to know what is needed to keep your customers satisfied. And yet often companies give it a low priority, with lack of time as the excuse. So what is the solution to the problem? Essentially to set up a process in which as much as possible takes place automatically.

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Minimise the time and maximise the result

If you want to spend as little time as possible, yet get the best results possible, you need to minimise the manual work involved by automating as much as possible. In slightly simple terms, it involves three stages, and a fresh approach to conducting customer surveys.

Shorter surveys more frequently

More frequent, shorter surveys are a rising trend, led by the popular NPS (Net Promoter Score) method. Short surveys result in lower dropout rates and higher response rates and intercept feedback faster.

Connection to a system for automation

However, sending out surveys more frequently requires more time, unless you automate the process. This means that the survey is connected to a system, often a customer management system, so that the surveys are sent out automatically to the customer and the response goes straight back to the system automatically.

Presentation of results

If you send out the surveys automatically and collect the results automatically, you can also present the results automatically. This can be via event-controlled emails or on dashboards on which the figures can be followed in real time.