Collecting feedback is critical to the success of your business. The reason most businesses do not collect feedback from their customers is the hassle involved in managing the process. Paper, telephone, and face-to-face surveys are both time consuming and inefficient to administer. These manual types of survey instruments do not easily lend themselves to reporting or collating the data.

Building a database of responses is expensive and error-prone. However, in the end, having a database of responses is the most important by-product of collecting feedback. Having the database allows you to analyze data over time and manage your data collection process efficiently.
Competition in any industry is increasing daily, and typically an organization does not have the ability or inclination to survey its customers to determine if its practices and level of service are on target. In some cases, providing a high level of service to keep existing customers coming back is just as important as obtaining new ones.
It is often said that it is seven times easier to keep an existing customer than it is to obtain a new one. However, if a customer has a bad experience, and they are not given a convenient tool to express their thoughts objectively, you are at risk of losing that customer. In reality, most customers who experience bad service don't complain. However, research shows that there is a 95% chance that you will retain a complaining customer simply by listening to and responding to their complaint - even if you don't resolve the issue in their favor!

Proper collection and analysis of customer feedback is critical to giving you the edge that it takes to beat the competition.