What is customer satisfaction
Satisfaction is the best indicator of how likely it is that the company customers will make further and recurrence purchases.
Individuals who rate their satisfaction level as high are likely to become return customers and might even evangelize for the company.
When a customer is satisfied with a product, he or she might recommend it to friends, partners and colleagues. This can be a powerful marketing advantage.
In the other hand individuals who rate their satisfaction level as low, are unlikely to return. Further, they can hurt the company by making negative comments about it to prospective customers.
Customer satisfaction provides a leading indicator of consumer purchase intentions and loyalty.
Marketing Metrics: The Definitive Guide to Measuring Marketing Performance
Customer satisfaction data are among the most frequently collected indicators of market perceptions. Their principal use is twofold
Marketing Metrics: The Definitive Guide to Measuring Marketing Performance’
How create a customer satisfaction survey
Online customer satisfaction surveys give you the feedback you need to keep customers happy and turn them into advocates.
- Make it accessible by posting it directly to their Inbox. Give your customers access by creating a feedback survey, which can be submitted via app as well as email.
- Tonnes of questions complicate your analysis and boring your users.
- Keeping answering options simple. A rating scale is better because it’s quick and easy.
- No one likes completing surveys. Make it as painless as possible.
Methods for measure customer satisfaction
Companies who measure customer satisfaction are 33% more likely to describe themselves as successful than those who don’t.
- Customer Satisfaction Score (CSAT)
The scale typically ranges between 1 – 3, 1 – 5, or 1 – 10. A larger range is not better, due to cultural differences in how each person rate their satisfaction.
The CSAT is really directness. The downside, however, is that satisfaction is hard to estimate, even for the customer. It’s directed at a sentiment, which is fleeting and mood dependent.
- Net Promoter Score (NPS)
The Net Promoter Score (NPS) it’s probably the most simple and popular way of measuring customer loyalty.
Customer are asked how likely they are to recommend you on a scale from 1 to 10.
The amazing thing about this metric is that its question isn’t about an emotion, but about an intention, which is easier to answer. It cuts down to the question of whether the product is good enough to refer it and put your own reputation on the line.
In this single metric you are able to cover the complete customer experience: physical(arrive on time etc) and emotional(customer experience)
An additional benefit of NPS is that it directs your customers attention towards referring.
- Customer Effort Score (CES)
This method is focused in the service perspective, customers aren’t asked for their satisfaction, but for the effort it took them to have their issue solved.
This idea for a customer satisfaction metric was introduced in the HBR article Stop Trying to Delight Your Customers.
Using NPS for measure satisfaction
- Measure customer NPS
Is recommended breaking it into groups and asking to a part of your customers each month. You can then analyze the responses quarterly. Usually monthly is too noisy to be worth looking at, satisfaction changes over long time periods so obsessing over short term numbers can be frustrating. Don’t forget to analyze the text responses. I think that it can be the most valuable part of NPS.
- Measure employee NPS
With NPS you can regularly ask employees “How likely are you to recommend working here to a friend?”. It provides a lot of learning from the overall score, scores by position, scores by department, and especially the text comments. Usually the responses correlated with employees’ performance ratings. Don’t forget that it’s really important maintain confidentiality about the response.
- Measure transactional NPS
Based on the interaction with the company teams as support, sales or training there is a chance to ask customers about their satisfaction with a specific service of your company. This also can be use to measure the quality of content like ebooks and webinars.
NPS Example in Google Docs
Here you can create a survey using the Customer Satisfaction Score template.
You also can use loyalnow to create a customer satisfaction survey. Loyalnow is a free NPS platform system.