Customer Experience: 02.02.2023
We all know that loyal customers buy more and bring in more money and help you build success in the long run. But do you really know if your service and offering will create loyalty?
Typically, trying to please everyone ends up pleasing no one, and the same goes for building customer experiences and loyalty. Offering customer experiences that are relevant and positive to your customer base, and ultimately turning them into loyal customers because you better understand their needs, can revolutionize your business. How is this made possible? By linking customer feedback to the demographics of your target audience
That’s where HappyOrNot Demographics comes in. Our Smiley Touch terminal with touch screen and AI technology has been upgraded to allow companies to unlock valuable demographic information about customers and combine it with actual feedback data for unprecedented insights. This additional layer of context to customer feedback means businesses can dig deeper into feedback insights and connect the WHERE with the what, when, where and why to make highly strategic marketing and operational changes.
With demographic data, you can understand whether your assortment and service really resonate with your target audience. For example, let’s say you are an apparel retailer and your target segment is young adult women. Wouldn’t it be good to be able to take customer feedback and look at the results of that group to see when, where and why specifically they are satisfied or not? Or why they buy or don’t buy?
One of Scandinavia’s largest sporting goods retailers, XXL, and long-term customer of HappyOrNot, explains the value of this innovation for retailers and businesses alike:
“By combining demographic data with customer satisfaction data, retailers can create a more detailed and nuanced picture of their customers and use this information to make informed business decisions,” says Kenneth G. Sørensen, Operations and Business Development Manager at XXL Sports & Outdoors. “For example, a retailer can use this data to identify specific customer segments that are particularly satisfied or dissatisfied with their products or services, and tailor their marketing and customer service strategies accordingly. This can help retailers improve customer loyalty and retention, and ultimately increase sales and revenue.”
In addition to being able to focus on feedback from your main target audience, you can also discover hidden opportunities. Returning to our previous example of the clothing store, suppose that in reviewing customer feedback data you discover another group of customers – women between 45 and 54 – who make up a larger than expected portion of your customer base and are very satisfied with your service. Ta da! You have just discovered a new opportunity to target your marketing efforts.
“This was a challenging but very rewarding project dealing with new AI-based technology as the executor of this function,” says Manu Karppelin, Head of Product Management at HappyOrNot. “I’m excited that we can now bring this unique innovation to market and help our customers with much deeper insights about their customers and visitors and what could drive loyalty.”
How it works?
When a person provides feedback on a Smiley Touch, the built-in camera detects a person present and the AI-driven facial analysis software estimates the age group and gender. It is important to note that there is never any identification of an actual person. The image data is captured as a 128-dimencion vector where the AI determines the demographic information. This means that no images are stored or seen by human eyes, and it is impossible to retrieve or recover an identifiable image from the vector.
The feedback data can be viewed in reports that can be screened to show feedback from target groups you want to analyze. You can select and deselect groups to get a different view.
The demand for privacy cannot be overemphasized in today’s world, so the ability to retrieve demographic data without identifying the person is critical. In keeping with strict requirements, the device is protected against theft and cyber threats, and all data traffic between the Smiley Touch and analytics is encrypted. In this article, Sanjay Mehta, Head of Industry and Commerce at Lucidworks says, “Enabling privacy regulations such as CCPA and GDPR will shift the focus of personalization from using explicit consumer data to more predictive approaches such as neural and vector-based approaches.”
Want to learn more about adding demographic data to your customer feedback? Contact us now.
Translated by: Feedbacksmiley.ae