Customer satisfaction measures the satisfaction level of the customers, whether to meet or exceed your buyers’ expectations. Customer satisfaction (often abbreviated as CSAT) is a common term in marketing. The assumption being that the more satisfied a customer is the more likely that is to stay as a customer. For example adding the customer survey scores for responsiveness, cleanliness, product quality and price then dividing by four. This gives an index with the same range as each of the attribute scores.
The results from the survey classify customers into 3 segments:
Satisfied: Such consumers are glad about the product as they are very satisfied in using your products. They always rate between 4-5.
Neutral: They are consumers, who neither are satisfied or dissatisfied using your product. They rate 3 out of 5.
Dissatisfied: Such consumers are not glad about the product as they are very dissatisfied using your products. They rate between 1-2.
Customers assess their experience by answering the following question: “How would you rate your experience with your … (e.g., recent support requirement)?”. Let customers know upfront what your standards and practices are and let them know that a company is committed to their satisfaction and loyalty. Customer Satisfaction (CSAT) is a measure of customer happiness based on a short. This survey can take many different forms, but at its core asks the customer to rate their experience on a scale ranging from good/great too bad. As an example, you might ask “How would you rate your experience with us?” followed by a couple of choices such as good, okay, bad. Of course, the question and choices chosen for the survey to make it comfortable for customers to accurately express their sentiment after interacting with your support team.
Such research can provide insight to make informed decisions related to the growth of your customer base. This is the most popular transanctional metric which shows how satisfied your customers were with the product and services throughout their journey. It also helps identify any loopholes in order to see which aspects of your support could be improved for the retention and expansion of your customer base.
How customer satisfaction is actually measured. Some question is asked at the end of a customer feedback survey and then respondents rate their satisfaction on a scale of 1 to 5 as follows: Very unsatisfied, Unsatisfied, Neutral, Satisfied, Very satisfied.
This is done by plugging the number of satisfied customers into the following formula for finding the CSAT score.
Customer satisfaction metrics are useful in making changes and keeping track of the results by digging into the qualitative feedback you receive to understand which attributes of satisfaction are most important and areas that require improvement. So what drives satisfaction? People are satisfied when their expectations are met. Like many things, expectations are fluid and change based on situational context and lifecycle. For example, if you spring for a first-class ticket on a flight, you are going to expect more personal and proactive service from flight attendants. When you purchase a basic economy seat, you expect attendants to simply ask what you need during their food and drink service. In Economy airline travel, there’s no expectation for a glass of champagne before take-off.
Circumstances change expectations. When measuring CSAT, it’s important to understand the different circumstances of your individual customers to glean actionable insights.