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The COVID-19 pandemic has forced companies around the world to abruptly shift focus and respond to a rapidly changing environment. Customers, suppliers, employees and consumers have all had to suddenly recalibrate their priorities to align with this new reality.
Qualtrics Text IQ uses sentiment analysis to offer some insight into those shifting priorities. Sentiment analysis software can analyze social media posts and customer reviews to determine whether the writer has positive, neutral or negative feelings about a product or service.
For example, a positive review might praise a product's overall quality while also complaining about less-than-satisfactory customer service. If sentiment analysis indicates a widespread dissatisfaction with customer service, business leaders will know they need to focus their efforts on improvements in that area. The company can use sentiment analysis to identify broader trends by processing high volumes of unstructured data in this way.
In the context of the COVID-19 pandemic, business managers may wish to understand whether or not customers are planning to postpone nonessential purchases, such as toys, holiday decorations or entertainment items. Shifts in sentiment may also indicate whether there is increased price sensitivity for the company's products or if consumer demands are increasing in a particular area. For example, a company that produces cleaning products may see a decreased demand for furniture polish and an increased demand for antibacterial wipes.
Although some typical use cases of Qualtrics Text IQ involve tracking consumers' feelings about a company's own brand, the tool's sentiment analysis has broader-reaching applications. It can help companies understand their competition's strengths and weaknesses, which can help them identify opportunities and threats in the competitive landscape.
Demand planning managers can use Text IQ to inform their forecasts, marketers can use it to inform their campaigns and PR professionals can use it to craft communication. This has implications beyond the COVID-19 pandemic. For example, if a celebrity endorser is caught in a scandal or expresses a problematic viewpoint, the company can assess the impact on sales and respond accordingly.