How customer feedback helped Dreams grow sales by 50%

ONE MINUTE BRIEFING: Dreams CEO Mike Logue explains how customer surveys revealed a surprising opportunity to close sales.

by Stephen Jones
Last Updated: 21 Jan 2019

The customer may always be right, but unfortunately they’re often also silent. A lot of companies know they’re doing something wrong - they see their sales sliding - but they don’t know what it is or what they can do about it.  

That’s the situation Mike Logue found himself in when he was appointed CEO of struggling bed retailer Dreams in 2013. His subsequent turnaround strategy focused on getting the basics right, and that began with finding a way to listen to what customers were actually saying.

"When I came to the company we had no way of measuring customer feedback, so in 2014 I introduced an online customer survey called Pillow Talk. It's very data rich. There's a 14 minute survey and we now we receive an average of 3,000 customer reviews a week.

"It's run by a company called SMG, which came to me two years into the programme, after we'd had feedback from about 200,000 customers. They'd gathered the data, run their own algorithms and deduced that if we did three things really well, we could increase our average basket by up to 40 per cent.

"These three things were introduced as a policy called GDP: Greet, Drink and Pillow.

"The data showed that if customers came into our store, were greeted warmly, offered a drink at the right time (and there is a right time) and presented with the correct pillow that matched their mattress, they were spending longer in our stores and were more likely to spend more.

"We now monitor our stores on how they are performing on GDP. It has made a significant impact to our business - we've seen our sales grow by 50% during the two year period since it was introduced and it is certainly an element of that.


To find out how Mike Logue took Dreams from administration to significant profit over the course of five years, read this article. Read here to find out why businesses need to stop apologising for everything.


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