The Changing Nature of Feedback

Social media tools present both opportunities and risks for insurers. One of the most prominent risks is that platforms such as Twitter and Facebook afford disgruntled customers a giant soapbox on which to air their grievances.

A new report from the Temkin Group, “How Consumers Give Feedback” surveyed 6,000 U.S. consumers and examines how social media tools have altered the concept of “word of mouth” advertising.

Despite the surge in popularity of social networking, the survey found that customers were still more likely to air grievances privately than publicly. “It turns out that the most common communication about good and bad experiences occurs between friends via e-mail, phone, or in person,” the report, authored by Customer Experience Transformist & Managing Partner Bruce Temkin, states.  “While few consumers share their experiences directly with the companies that pleased or displeased them, far fewer shared those experiences via social media channels such as Facebook, Twitter, and 3rd party ratings sites.”

The report also finds that the propensity to share opinions publicly varies according to demographics, with sharing experiences declining with age. “When it comes to very good or very bad experiences, consumers that are 34 or younger are significantly more likely than older consumers to share their experiences via Facebook or Twitter. But even with the youngest consumers only 37% share their bad experiences via Facebook and only 9% use Twitter.”

Thus, the report counsels businesses not to obsess about every utterance made about them on social media platforms. Instead, Temkin recommends businesses encourage more direct feedback from customers. “Only a small percentage of consumers give their feedback directly to companies. This is an area that companies should look to boost. How? By making it easier for customers to give feedback and by letting them know that you are listening to what they tell you.”

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