Are satisfaction surveys and feedback forms the most effective means of performance analysis?
Surveys and feedback forms are not among the most effective means of performance analysis in business. In market research, there is little value in what a person says when asked a direct question about a product or service. Such responses usually do not correspond to the person's actual experience with the product or service. Any data-collection process in which respondents are aware that they are providing feedback is highly unreliable. Better rubrics of performance rely on the external data of behavior, not data concerning what people say or think. Some good measures of performance are: average lifetime value of each customer or client, average number of people to which clients recommend the product or service, and how often the average customer returns or re-purchases the product or service. Data about what people actually do is much more useful than data about what they say, think, or feel.