The document discusses how organizations have become overly reliant on quantitative customer data and metrics like NPS, rather than qualitative customer feedback. It recommends using saturation and grounded theory to analyze qualitative customer comments, which involves reading verbatim feedback statements until themes emerge. This smaller sample is sufficient to understand customer needs and pain points, rather than ignoring what a large number of customers say. Qualitative listening provides a richer understanding of customers than quantitative data alone.

1. WWW.ICUSTOMER.CO.UK
iCustomer Limited
Registered office: 32, Byron Hill Road Harrow on
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Why Have We Stopped Listening to Our Customers?
Although we have spent a long time working with clients in the customer experience sector, we think it's vital to
continually challenge the way we listen to and understand our customers.
Over the last few decades, as the power of the computer has increased and we can gather more and more data
about customers, often without their knowing, we have become more seduced by numbers rather than words.
Of course, there are those that say the data tells the truth of customer behaviour and that what customers say
to you can't be relied upon to predict their spending or interactions. Maybe not, but if we do not listen to our
customers and take the time to understand them, can we say we know what they need and want!
So why have we stopped listening? Well as stated above, many organisations find it easier to run the data
through a process and come up with a score, such as NPS. To be clear, we are not saying NPS is bad, but the
question is are we becoming over-reliant on it?
So what's the alternative? For the last few years, we have been thinking deeply about how we can return to a
simpler time, when most organisations spoke with (and listened to) their customers on a regular basis and in
doing so got to understand what they wanted and what they did not want. The problem is, of course, how can
you speak to enough customers to understand, especially if you are a large organisation with millions interacting
with you. That's where Saturation & Grounded Theory can help. Never heard of it? Well this is what Wikipedia
has to say about it:
“The concept of saturation was first defined in the context of grounded theory as theoretical saturation. In
qualitative research, the word saturation is extensively used almost interchangeably with data saturation,
thematic saturation, theoretical saturation and conceptual saturation. Saturation can be simply defined as data
satisfaction. It is when the researcher reaches a point where no new information is obtained from further data.”

2. WWW.ICUSTOMER.CO.UK
iCustomer Limited
Registered office: 32, Byron Hill Road Harrow on
The Hill Harrow, Middlesex
Registered in England & Wales No. 10139607
As crystalised in the last sentence, when you stop finding anything new you have reached saturation. We have
used this approach for many years now with a number of clients to look at what customer are saying, usually
within verbatim feedback from surveys.
Of course, you may have thousands of verbatim feedback statements from your customers. However, if you use
Saturation Theory, you will be amazed at how few statements you need to read before themes and issues start
to appear.
It also avoids another common issue with a traditional analysis approach. The concept of statistical sampling is
very useful, especially when undertaking analysis in many areas, such as medical trials. However, for something
to be statistically valid on a sample of 1000 you would need 278 results that say the same thing. If we apply that
to customers, would you ignore 270 customers out 1000 who were saying there was a problem with your product
or service? Indeed, would you ignore 100, 50 or even just 10 people in a focus group?
It takes some experience to be able to only 'listen' to the customer rather than imposing your thinking into what
the customer is saying. However, in doing so the results can be very enlightening. Rather than just have a score
you end up with a rich picture of your customer's thoughts and perceptions.
There are many ways to collect verbatim feedback from our customers, each one potentially gold dust. Social
media provides an excellent opportunity to gather unprompted customer voices through products like Social
Signals from Dam Digital, while audible feedback tools such as ‘Customer Radio’, developed by Big Ears, allow
you to not only analyse the verbatim statement but hear the emotion of the customer as they speak.
It is true that this kind of customer understanding takes a bit more time and requires some experience and skill,
but the quality and depth of understanding of your customers’ needs and wants is surely worth the effort.
Stephen Hewett Jonathan Mindell
Director Director
iCustomer Ltd iCustomer Ltd
07966911707 07789030432
@srhewett @JSMindell
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