Never Underestimate the Power of Customer Feedback

Introduction

Over the course of my career as a technologist, innovator, and customer engagement enthusiast, one thing I’ve learned is to never underestimate the power of customer feedback. There are so many valuable nuggets of customer information to be mined from client perspectives that can help insurers create a world-class customer experience. But to best assess customer opinions and separate the proverbial wheat from the chaff, insurers need to regularly collect customer feedback, implement best practices and tools to assess it, and use important takeaways to create a more customer-centric and responsive organization.

Measuring What Matters

When it comes to collecting and analyzing customer feedback, the adage, “measure what matters,” really holds true. What’s critical for insurers is that customers provide feedback on workflows and customer journeys, which can then be assessed through a Net Promoter Score (NPS). NPS surveys enable a straightforward, customer satisfaction-centered measurement that easily identifies areas for improvement.

Although the NPS score is considered the gold standard of customer experience metrics, there are additional best practices that insurers can use to facilitate measurable feedback for continued review and ongoing improvement. These include:

• Customer feedback platforms. It’s essential that throughout the customer journey, customers share their experiences and concerns on an appropriate customer feedback platform. Insurers must also consistently monitor them and respond promptly, whether the feedback is positive or negative. A subset of this point is to integrate the customer support team when implementing these platforms, so that they can easily and promptly handle inquiries and feedback.
• Real-time feedback mechanisms. By investing in real-time feedback mechanisms such as live chat and two-way text, even on social media channels and review sites, insurers can receive quicker responses and issue faster resolutions.
• Data analysis tools. Customer data is only as good as the tools that can analyze and quantify it. For insurers, purchasing and implementing the right analytics tools, making sure that they’re best suited for the organization, and that they can really do the heavy lifting will help identify trends, ongoing issues, and areas for improvement
• A closed-loop feedback system. A closed-loop feedback system enables an immediate response to customers’ survey feedback to clarify concerns, resolve pain point (s), or to advise them that their insights are appreciated and will be used to make improvements as swiftly as possible. This responsiveness demonstrates to customers a commitment to continuous improvement.
• Using technology for automation. Leveraging technology to automate the collection analysis of closed-feedback loops can help streamline the process. It can also free up resources to focus on implementing process and/or product improvements.

Responding to Feedback

Invariably, some customer feedback will not be complimentary and difficult to hear. There may also be issues that insurers cannot fix immediately, sometimes to the chagrin of customers. But having established channels for customers to express their thoughts and opinions empowers them with the profound psychological impact of being heard. According to experts, the sense of being heard is often coupled with feelings of validation, which further reinforce customers’ sense of self-worth, identity, and most importantly, a connection and commitment to a brand and/or product.

It’s also important for insurers to be where their customers are; the mere presence of QR codes on online documents, live chat, text messaging, email, and a call center telegraphs to customers that their thoughts and perspectives matter. For insurers, the presence of feedback channels can also be considered an extension of the trust that they are selling, i.e. that they will be there for their customers, if and when something goes wrong. What’s more, confusing, inaccurate, or disjointed communication can very quickly break that trust, so reliable and consistent feedback channels are paramount.

The Final Word

Customer feedback can be inspiring, disheartening, and even somewhere in between. But it’s the power of customer feedback that can lead to real and effective change within an insurance carrier. And while insurers’ ecosystems typically involve so many different constituents, it’s important to remember them as just people whose opinions count. And hearing their voices is a great first step before making the changes in your organization. So insurers, make sure to never underestimate the power of customer feedback; embracing it really does make you a more receptive and customer-centric organization. So get out there and get ready to listen.

To listen to the related Sapiens Insurance 360 podcast, “The Power and Potential of Customer Feedback,” click here.

To learn more about the Sapiens/SPLICE Software partnership, click here.