Profitable SaaS companies don’t sell software services — they sell the customer experience (CX).
True, you must offer exceptional digital products and services. But with today’s cutthroat competition in the SaaS market, that’s barely scratching the surface. The only surefire way to attract and retain loyal customers is by offering the best-in-class experience to every single one.
To achieve this, you must know and understand your customers’ expectations, needs, feedback, and pain points. And this is only possible when you listen to the voice of the customer — something VoC (voice of customer) programs help you do.
But before we discuss the benefits and roles of VoC in fostering and enhancing the customer experience, let’s define it first.
What is Voice of Customer?
Voice of customer refers to the qualitative and quantitative process of collecting, evaluating, and understanding customers’ feedback regarding their experience with your services or products.
VoC programs enable you to gather firsthand CX feedback. Using a VoC program, you establish the hits and misses of your software services as told by your customers. This way, you can incorporate customer feedback during product development to improve user experience.
Why You Must Pay Attention to VoC
Poor CX can bring down your company in a trice. A recent CX report states that 32% of consumers are ready to abandon a company they like after one bad experience.
Additionally, customers are four times more likely to use your competitors’ products if they experience a service-based challenge with your company. This tells you that you must zero in on VoC to elevate your CX quality and grow your company.
Here are more benefits of focusing on voice of customer.
VoC Strategies Help You Customize Products to Suit Your Customers’ Preference
You must listen to your customers’ voices to build a product that addresses their pain points. It’s why VoC focuses on understanding customers’ feedback data to solve all issues cited by customers. VoC embodies Sam Walton’s famous maxim: the customer is the only boss.
VoC Strategies Win You New Business and Reduce Customer Churn
Going all-in on a VoC program gives your company two unique advantages. For starters, it allows you to analyze negative feedback and apply fixes in real-time. Secondly, positive feedback helps you double down on your wins
By acting on critical feedback promptly, you minimize the churn rate and maintain a higher customer retention rate. Building on the good feedback helps you improve service quality. This attracts new business and also boosts upselling and cross-selling.
Solid VoC Programs Help You Win the SaaS Experience War
B2B SaaS companies are in an ever-escalating war to win and retain customers. While offering innovative digital products and solutions will give you a leg up over your competitors, the real battle is all about customer experience.
The truth is that your competitors have loads of data, just like you. They also have enough funds and talent to make headway. Therefore, it boils down to how well you listen to the voice of the customer and implement the insight gathered. In this case, a dependable VoC program will help deliver victory.
How Voice of Customer Influences Customer Success
Customer success is pivotal for your SaaS company because you succeed when your customers succeed. The term customer success refers to the process of ascertaining that your customers attain their expected outcomes when using your services and products.
To ensure customer success, you need to review and understand these factors:
- How your customers use your services and products.
- Why customers use your products and services.
- How you can leverage data to stimulate your customers’ success.
This is where a voice of customer program plays a significant role. Since VoC programs focus on analyzing and implementing consumer feedback, you get answers to the how and why. As a result, your customer success team is empowered to explore and devise ways to bolster your customers’ success.
Voice of the Customer Tips to Build and Use a Great VoC Program
Building an effective VoC program for your company takes coordinated efforts from all your departments. These tips will help you design a great VoC program.
Define the Objectives of the VoC Program
State clearly what you want to achieve from your VoC program. Answering these questions will help you set the right objectives:
- Why are you doing VoC and what do you want to learn?
- What will you do with the feedback data collected?
- How will you measure success after implementing feedback?
Identify Questions the VoC Program Should Answer
Framing the right VoC questions will get you the appropriate feedback data. Your questions may be guided by present and historical data or new changes in consumer trends and behavior.
Getting these questions right will help frontline teams know what to look for. These questions will also inform where and how to collect other VoC data, such as by mining customer interactions or asking customers for input directly.
Define How You Will Collect VoC Input
Your frontline teams — Customer Success, Sales, and Support — are some of the best sources of feedback data. You should leverage their customer interactions by empowering them to report and record first-hand data from the insights they gather from customers daily.
Customers provide loads of VoC input through the course of interacting with your business. Here are some of the interactions that can be further mined for insight:
- Email, SMS, and recorded calls
- Social media and social listening
- Live chat
- Website analytics
Finally, you can always ask customers for feedback. You can use either feedback tools tied to your customer experience, or more formal research studies:
- In-product feedback widgets
- In-person and online customer interviews
- Surveys and focus groups
- Net promoter score
Use the Right Tools to Make Sense of VoC Data
Undoubtedly, gathering and organizing VoC data is the backbone of any VoC program. That’s why you must select the feedback collection methods that suit your company’s operations best. Better yet, you can utilize a customer success platform that gets all relevant data in one place.
Define Who Will Review VoC Data
Reviewing feedback data should be a collaborative effort between product, customer success, sales, and support teams. To streamline teamwork and avoid role overlap, establish who ultimately owns the decision on what to do with the refined data.
Bring All Employees On Board
Cross-organizational collaboration is what makes a VoC program a hit or a miss. Strong leadership and well-organized role delegation are necessary to ensure every employee is meaningfully involved in the VoC program.
Seeing that frontline employees will take a more hands-on approach in the VoC program, you should spell out what you want them to do, what they are listening for, and how they capture insight on what they are learning. More so, you should have clear guidelines for your product and customer success teams directing them on what feedback they should prioritize during product innovation.
Quala Makes VoC Insights Actionable
Quala is designed to help customer success teams in B2B SaaS companies make the most of customer data. We combine VoC insights from frontline teams with product usage and other data to provide a complete view of the customer and uncover insights, all in one place.
This unique application of VoC data triggers business workflows so your team can take action, fast. That allows your team to not only better understand customers, but also quickly act on VoC data.
Request a demo today to learn more about Quala.