Footasylum Turns Customer Feedback Into Competitive Advantage, and Boosts Revenue by 7% Year-on-Year
Company
Footasylum is a UK-based retailer specializing in branded footwear, clothing, and accessories.
Headquarters
Manchester, UK
Industry
Retail
Use Case
Competitive Analysis
Key features used
Challenge
The fashion market has undergone significant changes in recent years - the growth of e-commerce and social media has intensified global competition, making it essential for brands to stand out with unique products and outstanding customer experiences.
When James McGhee took on the role of Director of Customer Experience at Footasylum, the company was experiencing rapid growth and expansion, while still working to ground its position in the highly competitive fashion industry.
"The challenge was clear - if we didn't create an experience that matches or exceeds our competitors, we risked losing our customers. We couldn't afford to let our customers down as there was no second chance for those customers to come back. It was imperative for us to monitor the market, innovate and improve continuously. That's why I pushed to analyze customer feedback along with a detailed competitor analysis," he adds.
However, with thousands of comments every month, uncovering actionable insights and making strategic decisions was not an easy task.
"We’re currently receiving around 2,500 NPS responses per week, and we're approaching 200,000 responses in just over 18 months," says James.
The team was looking for an AI-powered platform capable of analyzing customer feedback at scale from multiple data sources, providing actionable insights to guide strategic business decisions.
Solution
Footasylum chose Chattermill for its capability to centralize customer feedback, analyze large volumes of data efficiently, and help them make strategic business decisions driven by precise insights.
“Chattermill allowed us to unify all our feedback data from NPS surveys, CSAT responses, and Trustpilot reviews, and then quickly spot a theme and identify a problem across thousands of comments,” says James.
James collaborated with the Chattermill team to develop advanced reports and dashboards that highlight key trends and issues, which are now shared across the entire company.
"Every Monday, key insights from stores are sent to the senior team, and daily updates are shared with Area Management, Marketing, CRM, Digital, and CX Team. These dashboards allow everyone to drill down into the insights they need, track responses, AI-generated summaries, and verbatim feedback from their teams each morning. As more people within the company recognize the value of understanding customer needs and pain points, we've seen an increase in requests for insights from Chattermill, with weekly and monthly reports becoming a crucial tool in improving customer experience, Trustpilot scores, and our NPS metrics."
In addition to analyzing NPS surveys, CSAT, and Trustpilot reviews, James leverages Chattermill to assess publicly available reviews about their competitors.
"Our goal was to differentiate ourselves from competitors, so we began monitoring publicly available customer comments about our biggest rivals. Using Chattermill, we were able to create detailed reports and dashboards that highlighted their shortcomings and significant gaps."
"As a result, we’ve updated our returns policy to include a free returns option within the UK and are committed to issuing refunds for any lost items. Unlike other retailers who may refuse refunds in similar situations—leading to negative feedback and customer dissatisfaction—we believe that customers shouldn’t be penalized for issues beyond their control, such as lost parcels by carriers."
By analyzing negative feedback from competitors, Footasylum could avoid similar pitfalls and ensure a better customer experience that truly differentiates them from other brands.
"By offering a seamless and customer-friendly return process, we aim to distinguish ourselves and build lasting customer loyalty. While absorbing these potential costs, the benefits of enhanced customer satisfaction and retention far outweigh the expenses. This commitment is what truly sets us apart from our competitors."
Results
After years of dedication and hard work, Footasylum has emerged as a leading force in the fashion industry.
"When reflecting on our journey and the competition, it's clear how much has changed. Years of hard work and dedication have paid off. When I joined, we were maybe fourth or fifth on the list. But now, we're definitely in the top three. Our focus on creating a superior customer experience and our commitment to innovation have positioned us strongly against our competitors, and the positive feedback from our customers is a testament to our success."
With a strong emphasis on customer experience, bold expansion strategies, and successful partnerships, the company has achieved outstanding business results. In 2023, total revenue grew by 7% year-on-year, reaching £320 million, marking yet another record-breaking year. Online sales also saw growth, rising to 42% of total revenue from 40% the previous year. Customer experience metrics remain strong, with an NPS above 80 and a Trustpilot rating of 4.4.
"Our enhanced customer metrics and increased loyalty are a direct result of our improved approach to trading, partner relations, and product presentation. Although it’s challenging to directly attribute every outcome, we’ve seen a significant rise in repeat customer purchases due to our focus on loyalty, retention, and post-purchase experience improvements,” says James.
James emphasizes that maintaining a customer-centric approach has been crucial to Footasylum's success.
"The return on investment with Chattermill is exceptional. It’s incredibly cost-effective compared to the resources and effort required to achieve the same results manually. You could potentially achieve similar output with a larger team, but it would involve significant costs and may still lack the precision and objectivity that AI provides. With Chattermill, we receive insights and results that are both more consistent and cost-effective than traditional methods."
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