What is a customer feedback loop?

A customer feedback loop is the process of receiving feedback from customers and then responding to that feedback.

The customer feedback loop starts with a brand creating an opportunity for the customer to provide feedback, followed by the customer sharing their inputs, and is closed when the brand shows that the feedback has been addressed (or that there is a plan to address it).

What are the common steps in the customer feedback loop?

As the name suggests, the customer feedback loop is a cycle that follows a specific set of steps. These include the following:

• Feedback is received from the customer, either in response to a specific request or spontaneously.
• The brand gathers as much additional information about the feedback as possible. This can be done with follow up questions in direct contact with the customer, or by further investigating the situation internally.
• The brand analyzes the feedback to determine whether this is a one-time incident or if it reflects a pattern of positive or negative activity.
• The brand determines how they will respond, both in terms of the action items that need to take place to remedy the situation (if needed) and communicating with the customer.
• The brand uses the customer feedback to improve the customer experience.
• The brand then notifies the customer of any planned or executed actions that result from the feedback. This response can range anywhere from correcting a typo to implementing new features in a product.

These steps don’t only apply to customers experiencing issues. Even when a customer provides positive feedback, it’s an opportunity to engage and continue to build a trusting relationship with them.

What is the difference between positive and negative feedback loops?

As most customer service representatives will know, customers are more likely to provide feedback when they’re very satisfied or very unsatisfied. That leaves us with two typical customer feedback loops.

• Negative customer feedback loops are focused on elements that a customer feels needs improvement – whether that’s in the customer experience, the product, or the level of service provided.
• Positive customer feedback loops identify the things that are going well. These can be particularly useful as they enable teams to recreate positive customer experiences for other customers or members.

Why is it important to close the customer feedback loop?

Having a structured customer feedback loop is a surefire way to ensure that customers can provide the feedback a brand needs to refine their products, services, and support.

Brands that take their customer feedback and put it into action – and then communicate those actions back to the customer – are also far more likely to build trust. People like to feel heard, and that they’re helping to make things better, so closing the customer feedback loop with the right type of messaging can go a long way.