Customer Feedback System and 5 Benefits of NPS

Customer Feedback System and 5 Benefits of NPS

Customer Feedback Systems are used by all types and sizes of businesses in Dubai, UAE to measure customer happiness and customer satisfaction. The customer happiness is a pretty vague terminology, there could be so many different factors that can effect customer satisfaction and happiness. The best way is to ask your customers that what makes them unhappy and what they don’t like. The NPS or Net Promoter Score is considered to be the direct measurement of a business’s progress and success. A business if only successful if the customers are happy and satisfied with the services and products of the business. When a customer will be happy with any brand and satisfied with the quality of product and services they are purchasing only then they will suggest those products and services to others. This is exactly what the NPS measures. It measures how likely a customer will suggest or recommend the product or service to others. That is why the NPS is very important as it encapsulate everything in it and provides a broader view of your overall progress.

Customer Feedback System and 5 Benefits of NPS

Businesses in Dubai and all around the UAE are conducting NPS surveys regularly. Earlier these surveys are done by sales representative through forms and or calls. But since past few years, the technology have changed the marketing and communication. Now a days most of the businesses are using customer feedback systems for collecting customer feedback, conducting customer surveys and NPS. The customer feedback system consists of a software and in some cases some hardware devices such as touch screens or interactive kiosks are also used to collect on-site feedback from customers and visitors. The customer feedback systems comes with many advantages, one of the biggest advantage is the control over the surveys and the in-built data analytical and statistical system, which compiles reports and collect business intelligence. Due to such advancements in data processing business can easily integrate the data to their central information center and can make more informed and accurate decisions.

Here are some benefits of NPS using customer feedback system:

NPS Benefit No. 1: Measures Customer Satisfaction and Customer Loyalty

Measures Customer Satisfaction and Customer Loyalty

The NPS measures customer satisfaction and customer loyalty with most precision and highest accuracy. In fact the NPS score is considered to be the direct measurement of customer loyalty. The net promoter score is basically the measurement of the number of customers who are willing to recommend your brand or products and services to their friends, family and/or colleagues. That only happens when a customer is completely satisfy with the brand and its practices. Actually the NPS is the measurement or assessment of the brand’s impression, good or bad in the minds of its customers. This information is very important as studies have shown that a promoter is most likely to recommend the brand or its products and services to at least 3 to 4 more people. The promoters are five times most likely to purchase from the brand again and they are 6 to 8 times more likely to forgive the brand due to a bad experience or any complaint, hence it is easier to satisfy them. This help businesses in increasing customer retention rate. Loyal customers and promoters are considered to be a great asset for a business. They are seven to nine times more likely to try new products and provide their feedback about them.

The customer satisfaction and customer loyalty is very important for a business and its growth. It is five to twenty five time less costly to sell to a loyal customer then acquiring new customers and leads. That is why the entire business growth depends on customer retention which is only possible if your customers are happy and satisfy with your brand and your business practices. If a business fails to retain a certain percentage of the customers, they will have to invest a lot in their marketing efforts to acquire new customers. Eventually the balance between acquiring new customers and cost to acquire them reached to a point where it is impossible for the business to sustain growth. That is why it is extremely important to retain existing customers. The loyal customers are also a good advocate for the brand and help improving brand reputation and positive brand image. A positive brand identity not only attract more customers but it also reduce the marketing cost. The conversions rates of a well reputed brand are much higher than an ordinary brand. It is extremely important that a brand closely monitors the customer retention, customer satisfaction and customer loyalty. Which is very easier with NPS Surveys and a customer feedback system.

NPS Benefit No. 2:Improve Customer Journey and Customer Experience

Improve Customer Journey and Customer Experience

The customer experience and customer journey is very important in customer satisfaction and customer retention. The customer interaction at all touch points throughout the customer journey is the customer experience. How convenient it is for the customer to go through the customer journey will later determine the level of their happiness. Business here in UAE often invest huge in customer satisfaction solutions to improve customer journey, however the NPS survey and other customer feedbacks such as difficulty score are a great way to assess and evaluate all these efforts. The NPS will help businesses determine the reasons of the unhappy experience. For example if a customer answers that they are most likely not to suggest your brand or products & services to others, the businesses can ask them another follow up question about why they are not willing to promote the brand? Or what makes them unhappy. This will give businesses an idea, for example, the customer says the employee or agent’s behavior was not satisfactory, or the queuing experience was not good, etc. This will help businesses identifying the cause of an unhappy experience.

Furthermore in order to narrow down to the actual cause the businesses can utilize the customer feedback system to conduct more surveys or to ask more questions to the customers to pin point the actual issues which is causing an unhappy experience. That is how the customer feedback system and the NPS surveys can be very helpful in evaluating the customer journey and its various touch points to identify the areas of improvements. Once the problem is diagnosed the business can take discrete actions to fix it. Even afterwards the customer feedback system and the NPS surveys help businesses to measure the effects of the changes they made. Through repeated processes the businesses can achieve ultimate customer experience and make the customer journey very pleasant for their customers.

NPS Benefit No. 3:Help Improving Products and Services

Help Improving Products and Services

NPS surveys and customer feedback is very important for evaluating and assessing the quality of your products and services. We usually noticed that businesses here in Dubai and all around the UAE generally don’t pay much attentions to the positive feedbacks, but focus more on negative feedbacks. In reality both positive and negative feedbacks are equally important. In case of a negative feedback related to the product quality and features the simplest approach is to try to improve your products and services. It is very common that after getting a negative NPS score the next question asked is about the product quality containing the most obvious reasons in the answers. Some business also prefer to provide a text box to let the customer express themselves. Which is also good. This gives a chance to better understand the feelings of the customer. Such feedbacks can precisely identify the areas of improvement and give business a chance to rectify the issue.

However, in case of a positive feedback usually there is no follow up question, just a thanks message and that is it. Studies have showed that the positive feedbacks are also equally important for quality improvement. The best approach is to have a follow up question always, even if it is a positive feedback. The businesses should ask questions to understand what features their customers are liking, what are the most liked and least liked features of your products and services. Business can also ask what features their customers would want to see in future. Such questions are very helpful in improving products, understanding trends and customers’ expectations. Business can either improve their existing products and services or they can introduce new products and services with having all those features which customers are expecting or would love to see. Then such new products and services can be offered to existing customers to generate more sales and revenue.

NPS Benefits No. 4: Help Improving Brand Reputation and Build Trust

Help Improving Brand Reputation and Build Trust

The customer experience and customer journey are not entirely based on the convenience infrastructure to facilitate your customers, in fact another very strong factor that contributes to the customer happiness and customer satisfaction is the impression and reputation of the brand. The brand reputation and brand identity have a very strong psychological impact on customers’ minds. If a customer thinks a brand is good, and they trust the brand, in case if they have minor complaint or minor problems, they might not mind much. Similarly if a brand had bad reputation and the customers don’t trust it much, even a minor trouble could ruin the complete customer journey. Several studies have shown that the loyal customers are less likely to switch due to minor or occasional problems. That is why the brand reputation and trust is very important.

There are so many things that contributes to building a good brand impression and building trust the customer feedback is one of them. If you provide your customers with a simple and easy-to-use customer feedback channel they are most likely to take it as a very good thing. Customers love to talk with their brands and would love to hear from them too. If you provide them a channel to express their feelings, they will build a very positive impression. When the customer thinks that if any problem occurs they will be heard, they feel trust and passion towards their brand. The business should not only provide a communication or feedback channel but it should also proactively respond to the feedbacks and then notify the customers about the actions taken to prevent any inconvenient in future. This helps building a strong relationship with the customers. The customers start trusting the brand more as they know that their favorite brand will always support them and help them.

See More: 7 Benefits of Customer Feedback System

NPS Benefit No. 5: Collect Vital Business Intelligence

Collect Vital Business Intelligence

One of the biggest advantage of the customer feedback system and the NPS survey is that it can provide crucial business intelligence data which can be channeled to other systems such as performance management system or any such tool which further improves the vision of the management. The NPS surveys are the very first step to collect customer feedback and business intelligence data. Although the NPS alone doesn’t provide a conclusive data, however, with the help of follow up questions, follow up surveys and further communication can help businesses identifying the areas of improvements. The NPS and customer feedback systems are the most accurate tools to highlight a businesses’ strengths and weaknesses. The business can utilize that data to improve their customer journey and customer experience. The customer retention is impossible without a good customer experience and a great customer journey. The businesses can easily understand the new trends, expectations of their customers and the demands for new innovation and new products/services. This provides a great competitive advantage and help ensuring steady growth.

The business intelligence data is also very vital for the HR department. Each and every employee is different from each other, everyone has their own weaknesses and strengths. The HR can utilize the customer feedbacks along with other KPIs to improve the efficiency and performance of the staff. Furthermore the HR department can reliably utilize the customer feedback as a scale to measure the employee performance and behavior. This helps the HR to manage employees, arrange training programs for them, make informed decisions about employee dismissal, transfer, promotion and demotion, etc. Overall the business intelligence is very helpful for the management it provide them data on various avenues to make decisions and policies which will improve the customer happiness as well as their operational capabilities. Which will improve their profitability and productivity.

See More: Customer Feedback – Best Practices in 2021


The NPS or Net Promoter Score surveys and Customer Feedback Systems are a great tools to accurately evaluate and assess a business’s strengths and weaknesses. The customer loyalty and customer retention is crucial for growth. The loyal customers are considered to be a great asset of a business as they tend to advocate the brand and the businesses can generate more business from them with a fractional cost to acquiring the new customers. The NPS and customer feedback system provides very accurate data about the products, services, customer journey and customer experience which help businesses in making smart decisions and building future strategies. The customers also like the businesses who want to listen to them and provide them a channel to express their feelings. This builds trust and leave a very positive impression on the customers. The s positive brand identity also helps improving the conversion rates of the marketing efforts. It is easier to satisfy your customers if they think positively about the brand. NPS and Customer Feedback Systems are must have tools to ensure a steady growth and higher profitability. RSI Concepts is a leading name in customer satisfaction solution providers, feel free to reach us out through our Contact Us page or leave a comment in the comment box below and we will get in touch with you soon.

Check out this blog: How to Calculate NPS (Net Promoter Score) in Customer Feedback System

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