Understanding XM: How Customers Talk About Their Experiences

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Understanding XM: How Customers Talk About Their Experiences

 

When it comes to online reviews, it’s easy to get lost between the extremes of glowing 5-star ratings and scathing 1-star critiques. It makes you wonder, where are the people in the middle? And who is responding to what, and where? Well, now we have more insight into that thanks to a recent Qualtrics study, “Global Study: Consumer Feedback Channels, 2024.”  Conducted by Qualtrics XM Institute, the study surveyed over 28,000 consumers across the globe to understand their feedback behaviors and preferences.

The study revealed insights into how consumers provide feedback and interact with businesses. In other words, who is telling who, and what are they telling them?

What They Found

By comparing the study’s 2024 results with the survey they did in 2021, they found a recent shift in consumer feedback patterns, indicating that consumers are possibly evolving how they share their experiences with companies.  The study showed that consumers are becoming less likely to provide direct feedback after both good and bad experiences. 

They were less likely to send feedback directly to the company, but also less likely to give feedback to friends and family, post on social media, and post on a 3rd party site. They were only more likely to tell no one about their experiences, good or bad.*

    • Consumers were less likely to give feedback directly. Consumers shared feedback directly with a company after a good experience 33% of the time, which is a 5.1 percentage-point drop from 2021. The percentage of consumers who shared direct feedback following a poor experience dropped even more, falling 7.2 percentage points.

    • People most frequently share feedback with friends and family. Consumers were most likely to tell friends and family about both a very good (45%) and a very bad (50%) experience, while they are least likely not to tell anyone about the interaction after a good experience (17%).

    • Survey responses decrease with negative experiences. Consumers are 12 percentage points less likely to submit a survey response after having a very bad experience than they are after a very good one. 

    • Consumers share negative feedback through websites and email. Of the consumers who shared feedback directly with a company after a bad experience, they were most likely to do so by sending an email to the company (45%) followed by submitting feedback on the company’s website (43%).

*Qualtrics “Global Study: Consumer Feedback Channels, 2024” 

https://www.xminstitute.com/research/global-consumer-feedback-channels-2024/

 

What This Means:

    1. No news is NOT good news. If you are not hearing from customers, that does not necessarily mean all is well. This is a big mistake I have seen often in my career where if management doesn’t hear from a big client, they think things are just fine! Wrong. Recognize that and be more proactive with your customers and clients.

    1. Utilize Multiple Feedback Channels: You will have to do more to engage you’re your customers if you want to hear what they are thinking. Make sure you are using various platforms such as social media, online reviews, and direct interactions to capture feedback from diverse sources.

    1. Analyze Unstructured Data: Incorporate unstructured data like product reviews, chat logs, and call transcripts alongside operational data to gain deeper insights into customer sentiments and behaviors.

    1. Act on Feedback: Implement actionable strategies based on the customer feedback you do obtain to address issues promptly and enhance the overall customer experience.

    1. Adopt diverse listening tools: Capture both solicited and unsolicited feedback, as well as incorporate unstructured data into your process. This approach allows companies to gain a comprehensive understanding of customer perceptions and preferences.

Why this is important to CX Strategy:

    1. Monitoring indirect feedback channels can help businesses detect issues or pain points that customers may not be voicing directly. This allows companies to address problems proactively before they escalate.

    1. The way customers express themselves in reviews, social media posts, or call transcripts can reveal deeper insights into their emotional state and level of satisfaction. This contextual information is crucial for crafting appropriate responses.

    1. Analyzing how customers discuss their experiences across multiple channels can uncover broader trends and patterns that direct feedback may miss. This can inform strategic decision-making and product/service enhancements.

    1. By demonstrating a genuine interest in understanding customer perspectives, even when they are expressed indirectly, businesses can foster deeper, more meaningful relationships with their clientele.

    1. Competitors may be closely monitoring customer conversations to identify opportunities for differentiation. Staying ahead of these trends can help businesses maintain a competitive edge.

The Wrap Up

The Qualtrics study underscores the importance of adopting a holistic approach to customer feedback that goes beyond just collecting direct input.  Ultimately, the key to success lies in the ability to transform customer feedback into actionable strategies. By promptly addressing issues and continuously refining the customer journey, businesses can build lasting relationships, foster brand loyalty, and stay ahead of the competition. As you embark on your customer experience journey, remember that proactive engagement, data-driven insights, and a commitment to continuous improvement are the cornerstones of delivering exceptional experiences that keep customers coming back.