Customer Loss Review Surveys
WHY ARE CUSTOMERS ABANDONING YOUR BUSINESS?
Customer loss is damaging to financial performance, employee morale, and the reputation of your business. If your organization is losing customers, and you do not fully understand what is causing this customer loss, you should look to a customer loss survey.
How might you change the tide and ensure customers will continue to stick around? A customer loss review is a good place to start. Customer loss reviews are surveys that are designed specifically to enable your organization to identify why customers take their business elsewhere, what types of customers may be likely to discontinue doing business with you, and what issues you should focus on to prevent additional losses.
Making Customer Loss Surveys Work for Your Business
A customer loss survey collects and analyzes data from those individuals who no longer patronize your business to identify common characteristics and sentiments of this population. It will also give you a good understanding of what types of changes you must enact in the organization to win back these customers. Below are some key issues and considerations in the development of a customer loss survey:
- Factors damaging your brand. Many different factors can have a damaging impact on your brand. An inefficient customer service department, pushy or aggressive salespeople, poor design of a retail facility, or company culture may have a powerful impact on the way your brand is perceived. These days, customers do not tend to keep negative experiences to themselves; less-than-ideal interactions with a company are frequently shared with friends and other customers online or in public forums. Ultimately, the negative experiences of others can further diminish your brand’s reputation—even among previously loyal client groups. If a client is feeling disillusioned with recent services and goes online to look at customer reviews of your business to see whether the sentiment is shared, they may receive recommendations to try a different product or service. While assuming responsibility for negative experiences is important to maintaining the reputation of your brand, it is equally important to understand what is creating these negative experiences. NBRI’s customer loss review surveys can definitively identify the main sources of customer discontent and what issues are most likely to cause you to lose a customer.
- Elements your customers want and need. Sometimes customer loss isn’t about doing something wrong, it’s about a competitor doing something right. Customer loss surveys can help you understand whether customers are leaving your business due to appealing offers from competitors, and what features of the competition are particularly attractive. Is it pricing? Additional services? A more responsive customer team? A customer loss survey will help you understand how you can improve the quality of your services and understand your competitive landscape. By gathering information about what makes your competition appealing, you can adjust your business strategies accordingly. For example if you cannot beat the lower rates offered by the competition, you may decide to emphasize the quality of your product, service, or customer service more heavily. This type of information may help you understand how you can carve out a niche in your industry.
- Factors damaging your customer loyalty. Sometimes NBRI’s clients are surprised by the data gathered in a customer loss survey, but frequently the data gathered confirms preexisting suspicions. Although a hunch or suspicion may be proved correct, organizational strategies are not modified or adapted on the basis of a hunch, nor should they be. A grounded, scientific, research study gives you the evidence you need to spur organizational change. By collecting firm evidence, you have an argument that cannot be disputed. In this way, you can leverage the data to force your organization to confront some difficult truths and address problems that have festered for too long. A customer loss survey can be seen as a call to action that highlights those factors that can damage customer loyalty.
- Reasons customers leave. Although you may value all your customers, not all your customers will add value to your business. Some clients demand so many resources and time that it detracts from your ability to serve your other customers. Knowing when to let a customer go is vital to the health and well-being of your business. Data from customer loss surveys are a way to understand the characteristics of clients that tend to erode value and demand too many resources. This type of data helps you make wiser decisions about the types of clients your organization should do business with. This type of information also helps your organization make wiser short-term decisions that are beneficial to your long-term strategy.
NBRI helps you ask the right questions to get at the root causes of customer loss and the factors that should be addressed to stem the tide of future losses. In this way, NBRI empowers your organization to make a change for the better. You can also use a Customer Loss survey in conjunction with NBRI’s Service Recovery Monitor, which monitors high-risk or high-value customers to ensure their needs are being met. If satisfaction levels drop below a pre-determined threshold, your organization will automatically be contacted to ensure you can swiftly address any customer failings or problems.
When you hire NBRI, you’re hiring more than a company to conduct survey research. You’re hiring a business partner with a sincere interest in the health and success of your company.
Give us a call. We’re confident that you’ll find us a valuable partner capable of fulfilling your survey research needs, and exceeding your expectations.
Customer Loss Review Survey Case Study
NBRI was retained by a national chain of entertainment properties to understand the psychological constructs of its customer base. Revenues for the properties had been steadily declining over the previous year and a half, although the business was steadily attracting new clients.
NBRI recommended the use of a customer loss review survey because of its ability to provide greater insight into the specific weaknesses of the organization. The data would likely reveal some key flaws that have gone unnoticed. The survey was deployed by telephone to a small stratified random sample of former customers. NBRI was able to obtain a 99% confidence level, which meant the data gathered truly represented the thinking of the entertainment property’s former customers.
NBRI’s ClearPath Analytics provided targeted insights into the thinking of the target population. The root cause driving down customer’s intent to return, customer loyalty, and customer satisfaction was “wait time.” Following NBRI recommendations, swift interventions to the root cause were put into place. Within only three months following the analysis of the customer loss survey results, the scores of all items driven by the root cause were performing as Strengths, at or above the 75th percentile of the NBRI Benchmarking Database. By taking swift action on this data, the client was able to secure the satisfaction of its current client base while curtailing the losses incurred in the previous months.
The Standard NBRI Customer Loss Review Survey includes 25 questions covering 12 topics, requiring less than 5 minutes to complete, and is customized to achieve each organization’s specific goals for their study.
Standard Customer Loss Review Survey Topics
Customer Loss Review Survey Related White Papers
Research is in our blood. It’s who we are. It’s what we do. Our white papers highlight our philosophy on areas of business impacted by survey research.
See for yourself:
Using Applied Science to Prevent Loss of Customers and Profits – Each customer is an investment and represents hours of marketing efforts and expenditures. Each customer lost represents an investment that is no longer reaping dividends. Having customers, not merely acquiring customers, is crucial for business success.
Keeping Your Customers – Too many businesses depend upon their ability to generate new customers. They fail to realize the dramatic impact on their bottom line if they could just stop losing the ones they already have! What can you do to minimize your organization’s customer losses?
View all Customer Survey White Papers by NBRI.
Here’s what some of our customers are saying about us:
What do you like most about NBRI? They’re easy to do business with.James Seay IV
The project manager and research consultant are wonderful to work with on my surveys. They are always willing to answer my questions, assist our executive team with reports and respond in a timely manner. I took this project over from another individual and they have helped to make the transition easy for me.Gina Carr
What do you like most about NBRI? Exceptional support.Jim Lafferty
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