eCommerce Tip #129: Use customer feedback for user retention, not for user acquisition

Almost all the user feedback we get, it’s from users who purchased from us. It’s crucial for customer retention but worthless for customer acquisition. Usually, we don’t receive feedback from users who never visited us or left without buying.

eCommerce: Use customer feedback for user retention, not for user acquisition
Tip #129 – © Franco Folini

Don’t get me wrong, customer feedback is very important and we should always listen to feedback. Customers that provide feedback are likely to come back and have a higher CLV (Customer Lifetime Value). But we should be aware of the two major limitations that comes with feedback:

  • Feedback is generated only by a specific category of our visitors/users: the one that are more proactive, extrovert, and positive (or very negative). There’s another category of users that simply don’t care or are too shy for sharing their feedback. We should be aware that feedback is representative only of the first category.
  • A second intrinsic limitation is that usually we are unable to request and collect feedback from visitors that never visited our store or left our website for a competitor. We don’t know much about those users, but they are the users where we should focus our attention and we would love to learn more about.
eCommerce customers who provide feedback havea 1.4x higher  CLV (Customer Lifetime Value)
eCommerce customers who provide feedback havea 1.4x higher CLV (Customer Lifetime Value)
eCommerce: Good feedback vs. bad feedback.
eCommerce: Good feedback vs. bad feedback.

Franco Folini lives and works in the eCommerce territory, a wild area between the Kingdom of Technology and the Kingdom of Marketing. He speaks fluently the language of both realms. For many years, Franco has been helping people bridge the divide and successfully collaborate.

If you want to find out more about Franco, visit his LinkedIn profile or send him an email folini[at]gmail.com

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