VoC programs have emerged as an important CX priority
Voice of the Customer or VoC programs consolidate customer feedback into a formal, integrated and actionable insights generation engine. In recent years, VoC programs have emerged as an important CX priority, primary due to their outsized impact on revenue generation and customer engagement.
According to Gartner, collecting customer feedback can increase your upselling/cross-selling success rates by up to 20%. You would also spend 25% less on customer retention than your non-customer feedback collecting counterparts. A different study also correlates VoC programs with greater retention, employee engagement, and customer service costs.
To unlock these benefits, you need to understand what is VoC and how to kickstart a VoC program at your organisation.
Voice of the Customer can be defined as the cumulative feedback you receive from customers at the different junctures of their journey, across various channels and modes of interaction, in order to capture their expectations, needs, aspirations, demographic context, and subjective opinion with maximum accuracy. By implementing a VoC program you can spot dominant trends across your intended customer base and bring about product/service improvements that are perfectly attuned for ROI.
Essentially, VoC helps to substantiate the findings of one-off feedback exercises and isolate recommendations so you can act on them (and invest in business decisions) with confidence.
For example, a customer of a mobile app might recommend a feature that seems viable to the product team. A VoC program would validate the recommendation through further feedback surveys, telling you whether you should or should not actually invest in this development.
Feedback collection and VoC must be spread across your customers preferred digital and analogue channels to obtain comprehensive results. This includes:
Essentially, any location where you would interact with a customer – whether that is a kiosk at a trade show or a social media page where customers post their experiences every day – is a good place to start a VoC program.
The core purpose of collecting customer feedback and conducting a VoC program is to ensure alignment between your product/service and the customer’s needs/expectations/desires so that there is a maximum chance of adoption. Typically, VoC programs are carried out when an organisation wants to introduce a new product, improve their services, reduce inefficiencies – or wants to bring about any major change to the product/service portfolio.
Apart from this, Voice of the Customer can help you keep an eye on the market sentiment so that you can anticipate any shift in demand dynamics, and prepare accordingly.
A VoC program will comprise the following five steps: