3 Reasons Why You Should Start Using a VoC Solution
In a society where consumers are more invested in the products and services that they use, it’s clear that giving your customers a voice is key for surviving in fast-paced markets and keeping a competitive advantage. In this blog post, we go over the three most important reasons why you should use VoC solutions within your organization to capture the Voice of your Customers.
Let’s first get a consensus of the purpose of Voice of Customer (VoC). Following the standards set by Lean Six Sigma, VoC has three main purposes, which should be achieved with a VoC Solution:
- To figure out what customers care about
- To set priorities and goals consistent with the needs of your customers
- To determine what customer needs you can profitably meet
So, Voice of Customer solutions serve the purpose of figuring out what customers care about and helping you set priorities & goals that align with the needs of your customers. Voice of Customer data can be collected through various means like interviews, focus groups, or surveys. However, in recent years online VoC tools have become more popular and found their place at large enterprises that acknowledge the importance of taking a customer-centric approach.
Getting the WHY to the WHAT
The number one reason for using a VoC solution is to get the WHY. You’re probably already familiar with analytics tools like Adobe Analytics and Google Analytics. While these analytics tools provide you with great insights of WHAT is happening, they do not give you the WHY. VoC Solutions, however, can offer this. This is especially true when you link, for example, your Customer Feedback to your Analytics data by means of integrations.
Getting the WHY provides you and your organization with the full context for making the best decisions that will benefit your business. Only when you have the full picture, will you be able to make decisions that accommodate for all external factors. Regular Customer Feedback is a great example of VoC data that can offer the WHY. However, VoC data is not limited to qualitative data and insights.
The single most effective KPI
The second reason why you should start using a VoC solution is that VoC solutions allow you to make use of the most effective KPIs. Several research outlets have shown that customer satisfaction is becoming the number one metric for measuring the success and performance of initiatives. In the latest ‘State of Agile Survey’ done by VersionOne, 57% of respondents noted that Customer Satisfaction is used to assess the performance of Agile projects.
In their 12th annual ‘State of Agile Report,’ VersionOne cited that one of the main reasons why VoC metrics like Customer Satisfaction or Mood Ratings are often used as KPIs is because they provide a quantifiable KPI that can be used across departments compared to more traditional KPIs. We all remember the days when budget and timing were used as the primary KPIs for measuring the success of an initiative or project. While it does often offer valuable insights, it also poses quite some challenges.
VoC metrics like the Customer Satisfaction or Mood Rating are very unique in the sense that they provide a scalable KPI for products and services that are applicable from small teams to larger ones. They are easily quantifiable whether you want to do it on on 2 points scale rating or 10. And even in situations when dealing with internal stakeholders (e.g. internal software projects) instead of external stakeholders (e.g. customers), it can be used for getting a good sense of employee feedback for example.
Another nice thing about VoC metrics is they are in virtually all cases platform-agnostic, so having a VoC solution that covers all platforms on which your customers are active whether it’s on your website, in your app, or via email, can help you see a comprehensive overview of how your business is performing.
Share Customer Insights and Break Down the Business Silos
The third and final reason for using a VoC solution is that it allows you to share insights from customers to stakeholders across various departments, and therefore, break down business silos. When you’re working in a large organization, it becomes increasingly more difficult to share knowledge and insights that you’ve gained. One of the main reasons for this is that it’s hard to assess what granularity should be applied when sharing knowledge, as well as determine with whom you share that knowledge.
VoC solutions that have easy access can provide you with a platform for sharing customer insights and learnings gained from VoC data to people across departments. You’ll be amazed by the number of times that your colleagues gain insights from feedback that, on the surface, may not be related to the project or product that they’re working on.
Keep in mind that people in your organization may want to follow-up with your customers on some occasions, or may want to discuss the Customer Feedback on certain webpages. So make sure you have Voice of Customer solution that allows for workflows or offers integrations with tools like Zendesk. Having a single place to do this will allow you to not only effectively gain insights but also to break down the business silos.
In this post, we discussed three reasons why you should start using a VoC solution. VoC solutions allow you to extend quantitative data analytics by getting the Why to the What. VoC solutions also allow you to collect highly effective metrics that are scalable and platform-agnostic. Finally, a VoC solution can act as an enabler for sharing Customer Insights within your organization that can contribute to breaking down the business silos.