The great poet Rumi once said,
“Maybe you are searching among the branches for what only appears at the roots.”
Set in a different time, in a different context, this saying was meant to teach us to fleeting nature of existence. This train of thought was triggered when I studied how companies deal with customer satisfaction scores. They are so hung up on the score part of it that they ignore the factors leading up to it.
Customer satisfaction scores are by definition, a measurement of customer happiness with a brand or company. Companies calculate customer satisfaction scores with the help of feedback surveys and forms. Easy accessibility of scored survey software has made it pretty simple to create a scored survey these days. But how exactly do these customer satisfaction scores impact your business and help it grow?
Factors That Determine Customer Satisfaction
Before we get to understand how you can use customer satisfaction scores to grow your business, let's first take a look at the factors that determine the scores:
- Your agents’ level of knowledge
- Their understanding of the issue
- Effective communication
- Time taken to provide a resolution
- Effectiveness of the resolution provided
These factors collectively form the foundation on which your customer satisfaction scores are awarded. Humans are highly analytical and demanding species. While your customers may not state their observations at the moment, they do keep track of your actions, and as a customer myself, I can tell you this, we may forgive, but we don’t forget!
Calculating Customer Satisfaction
There is no definite benchmark method to measure customer satisfaction scores. Different companies measure their scores through different methods. The most popular of these methods are:
Customer Satisfaction Score (CSAT)
The most commonly used method for collating CSAT scores; in this, the customers are asked to rate their satisfaction on a linear scale. Your scale can range from 1-3, 1-5, 1-7, or 1-10. There is no agreed range to use.
Net Promoter Score (NPS)
More a measure of loyalty than satisfaction, NPS involves asking customers to rate how likely they are to recommend you to a friend or colleague on a scale of 0-10.
Customer Effort Score (CES)
Similar to CSAT, CES involves asking customers to rate their ease of experience. In this, you’re not only measuring satisfaction but also gauging the effort that had to be put in by them.
These are the primary methods used to measure CSAT scores. Organizations measure these individually or use a combination of these depending on their requirements.
How to Use CSAT Score to Boost Business Growth
Set and Meet Customer Expectations
Measuring and evaluating the responses from CSAT surveys provide you with a clear view of what your customers expect from you. The kind of service they expect, the products they expect and much more; use this information to set goals for yourself. Instead of working just to meet these goals, plan instead to exceed those expectations.
Improve Customer Experience
Something many marketing experts reiterate is that when your customers buy from you, they’re not buying a product, they’re buying an experience. Use the information you collect from your CSAT scores to improve the experience you provide to your buyers. Listen to their thoughts and insights on what could be better and let them buy into your experience along with your products.
Reduce Customer Churn
Customer churn refers to the instance when a customer chooses to move away from your products and buy from your competitor instead. Customers who are satisfied with your services are repeat customers. Their loyalty or churn is not dependent only on the price; it is also dependent on the experience you provide. Use the results of your CSAT surveys to identify key points where you can improve your service and reduce customer churn.
Create a Customer-Centric Culture
CSAT, CES, NPS and other surveys not only help you measure customer satisfaction, but they also provide you with customer feedback. This gives you the perfect platform to turn your business into an organization centered on customer delight and feedback. This transformation helps not only in cultivating brand loyalty among customers, but also in building meaningful business relationships with all your customers.
Companies have long since understood the importance of CSAT metrics. Customer satisfaction isn’t only about being nice to your customers; the relationship is also important. Companies often focus only on the sales process and acquiring the customer; once the sale is completed, they forget about the customer. Good businesses focus on converting one-time customers into repeat customers. Don’t make your competition your focus; rather your main focus should be to make your customers happy. That way, you won’t have to bother about your competition.
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