Customer Advisory Boards: A Win-Win for Companies and Customers

This content was provided by Chris Detzel. This originally appeared at Chris’ website.

A product customer advisory board (CAB) is a group of customers who have been selected by a company to provide feedback, insights, and recommendations about a particular product or service. The purpose of the CAB is to provide the company with valuable insights into the needs and preferences of its customers, as well as to gather feedback on the company’s products and services.

Customer Advisory boards are a crucial component for companies seeking to gain valuable insights, guidance, and direction from a diverse group of individuals. The Reltio Executive Council, the advisory board I built from the ground up, It exemplifies the value that companies like Reltio and customers can gain from advisory boards.

Executives from both Reltio and our customer executives come together at the Reltio Executive Council to provide guidance and feedback to the Reltio team. The council meets regularly, with a mix of onsite and virtual sessions, to validate product ideas, guide the product roadmap, and provide insights into the customer experience with the product.

The value of having a diverse group of individuals on an advisory board cannot be overstated. Diverse perspectives, ideas, and experiences bring a comprehensive and well-rounded approach to the discussions, helping companies better understand their customers’ needs and pain points.

For a successful and impactful advisory board, it is important to have a clear agenda and structure in place. Open and transparent communication is also crucial to building trust and ensuring that everyone feels heard and valued. By investing time and resources, companies can reap the long-term benefits of a strong and effective advisory board.

Advisory boards can also positively impact customer satisfaction, as companies gain a deeper understanding of their customers’ needs. This can lead to improved customer satisfaction and loyalty. Moreover, advisory boards can drive innovation, as customers have a platform to share their experiences and ideas, leading to new innovations and improvements in the product.

Customers also benefit from advisory boards by networking and sharing best practices with their peers, leading to professional growth and relationship building. In addition, advisory boards can help to strengthen the company-customer relationship by involving customers in the decision-making process.

It’s important to keep advisory boards fresh and relevant by regularly reviewing and updating their composition. This helps to ensure that the advisory board remains relevant and continues to provide valuable insights and guidance.

Here are 9 points to consider on why you should build an Customer Advisory Board: 

1. Companies that actively involve their customers in product development and decision-making through advisory boards can gain a competitive edge over those that do not.
2. Having a diverse and representative advisory board, with members from different backgrounds, industries, and perspectives, can help companies gain a broader and more comprehensive understanding of the market and their customers.
3. Regular and open communication between the company and its advisory board members is crucial for building trust, fostering collaboration, and ensuring that everyone feels heard and valued.
4. Employee engagement can be positively impacted by involving employees in the advisory board process, as they gain a better understanding of their customers’ needs and a sense of purpose in their work. Even better if you can get your CEO, CMO, Product Leader and others to attend and participate.
5. Customer Advisory boards can provide valuable insights and guidance to companies, helping to shape their future direction and ensuring that they remain relevant and competitive in the market.
6. Customer Advisory boards can help to increase customer retention by keeping customers engaged and satisfied with the company and its products.
7. By involving customers in the product development process through advisory boards, companies can gain valuable insights and feedback, leading to better-designed and more successful products.
8. Customer Advisory boards can help to build brand advocacy by creating a sense of loyalty and community among customers and encouraging them to become brand ambassadors.
9. Regular and structured feedback from advisory boards can help companies stay on track, avoid costly mistakes, and improve their products and services.

Customer advisory boards are a valuable tool for companies looking to gain a deeper understanding of their customers and improve their products. They provide a platform for regular and open communication, allowing companies to gather feedback and insights from their customers, and to involve their customers in the product development process. Through the creation of a community of customers, product advisory boards can also help build brand advocacy and increase customer loyalty. By fostering collaboration and community, product advisory boards can help companies stay on track, avoid costly mistakes, and improve their products and services. Whether you’re a company looking to enhance your product offerings or a customer looking to have a say in the products you use, product advisory boards are a valuable resource to consider.