This is a recording ... and a hang-up.

• Position: YOUR LIFE - Consumer feedback on automated telephone surveys - Brief article

Ninety-three percent of customers prefer receiving survey calls from live interviewers rather than recorded voices, according to Competitive Edge Research & Communication, San Diego, Calif.

That statistic should be cause for concern among organizations that are tempted to cut costs by moving to recorded systems to get customer feedback, but the study's core finding is even more sobering: live customer satisfaction survey calls create a net positive influence on customers of plus-42%, while recordings create a net negative influence of minus-11%, as those who receive the latter are significantly less likely to feel like valued customers. Individuals also are far more likely to recommend a company that calls them with a live interviewer.

"The allure of cutting costs by using automated phone surveys is understandable, but these findings demonstrate that companies will actually lose money by failing to...