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Customer Insight: Types, Examples & Tools Guide

What is Consumer Insight?

Consumer insights (also known as Contextual research) is qualitative research that helps businesses understand what customers do, feel, and say about their products, brand, and experience. This information is used to understand better why customers buy and what else they want from products, brands, or services.

Importance of Consumer Insight

Consumer Insights are used to help companies develop a customer strategy in business. This customer strategy can then inform the design of new products and services and marketing and communications plans. It is also used to improve customer service and drive customer satisfaction.

Examples of Consumer Insights

E-Commerce

It helps understand what motivates customers to buy more of one brand over another. The insights reveal that people who speak highly of the same brand usually share positive experiences, while those who withhold their comments are critical. By understanding these key customer insights, a company can tailor its customer experience and marketing plans accordingly.

Technology

Consumer insights can improve the design of products and services and make data-driven decisions about pricing and marketing. By testing different feature sets, service levels, or marketing offers, a business can better understand if it is receiving the desired response from customers.

Rental Service

It can help understand how customers use and perceive a rental service and whether they make regular or one-off bookings. Understanding their experiences can make their service more compelling, attracting and retaining more customers.

Types of Consumer Insights

Sales Trends

Sales trends are one type of Consumer insight. These insights reveal how customers acted in the past and how they will act in the future. For example, this type of insight can help you learn what works to drive new sales and what doesn’t. In this manner, you can use these insights to develop and foster new marketing priorities to boost ongoing sales or generate more new customers.

Product or Process Data

By analyzing real-life examples of products or services, companies can better understand the consumer experience. This type of insight can help businesses understand their customers’ requirements and improve their products or service.

Feedback

Feedback insights are generated when customers share their opinions or experiences. For example, this can be in a survey or talking with a customer service representative. You can use this insight to improve your product or service and change how you communicate with your customers.

Socio-Demographics

This type of insight reveals a person’s background and behavior and choices. It helps a business better understand how people think, act and make purchase decisions. By learning more about their customers, businesses can gain insights into the customer experience that they can use to improve communication channels or products/services.

How to Gather Customer Insights

Observation

To gather this type of insight, you need to follow customers and record what they do, say and how they feel. It can be done in several ways, including using a camcorder or taking notes. To collect the most compelling insights, you should observe how customers interact with your products, services and staff.

Social Listening

Social Listening is a form of qualitative research that helps businesses better understand customers. It does this by analyzing customers’ information about themselves and their choices. By tracking what people say, you can learn whether they are happy or not with your product or service. Social listening is increasingly used to help companies respond to social media conversations about a brand, product, or service.

To get the most compelling insights from your customers, you need to understand how they think, feel, and behave. This knowledge can be used to develop marketing strategies to capture new customers and provide valuable feedback that will help improve existing customers’ experience of your brand or service.

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