Amongst the vast ocean of business terms, a lot of them are ambiguous and rarely are they precise. Customer satisfaction too is one such term.
Customer satisfaction is an important marketing term used to measure the level by which a company’s products or services surpass a customer’s expectation. Customer satisfaction (CSAT or CSat) is a vital marketing metric for businesses to evaluate and improve their products and services.
In the business world, there exist a wide list of tools and tactics implemented to measure CSAT. Particular survey and questionnaire templates may be distributed to the relevant audience with a view to accumulating relevant information and data that can be scrutinized and analyzed into insights for improvement and decision making. Most often, such data is collected and measured right after a transaction or at a fixed interval using the best survey scales such as Net Promoter Score(NPS), Customer Effort Score (CES) or a Likert scale survey to name a few.
The basic point is to measure how a customer feels after interacting with a business, brand, their service or products.
Customer satisfaction is an important factor to understand how content customers are with the organization. Poor customer experience leads to almost 90% of the customers discontinuing business with an organization.To know the level of contentment amongst customers, you can use various tools like Net Promoter Score, Customer Effort Score, Likert Scale.
Net Promoter Score (NPS) is a core tool used to understand customer experience by considering the brand shareability factor. It is calculated by asking this question and the respondents have to fill in their replies a 0-10 scale: Considering your complete experience with our company, how likely would you be to recommend us to a friend or colleague? Based on the responses, the customers are classified into Promoters (9-10), Passives (7-8) and Detractors (0-6).
Net Promoter Score = %Promoters - %Detractors * 100
While NPS is a business-driven tool, Customer Effort Score (CES) is more of a service-oriented tool. CES measures the effort that customers had to put in to get in touch with a particular member responsible for a service. In case it’s easy for the customer to avail services, Customer Effort Score will be better which is indicative of the fact that the organization is on the right path.
The traditional way of asking a CES question is - Overall, how easy was it to solve your problem with QuestionPro today?
- Very Easy
- Very Difficult
Another simple yet effective customer satisfaction tool is the Likert Scale. Likert Scale is one of the most widely used tools in a survey where respondents get to select from a range of options spread between agreeing and disagreeing with the question in the survey.
There are unipolar and bipolar Likert scale questions where unipolar are the kind of questions that have options that indicate the presence or absence of a particular entity while the bipolar kinds indicate a balance of two polar entities.
Customer Effort Score (CES) and Net Promoter Score (NPS) are correlative tools with their own set of advantages and disadvantages. While CES is more service driven, NPS is more business driven. They both ask different sets of questions that are more or less complementary to one another.
Online surveys are turning out to be exactly what’s needed for customer satisfaction evaluation. Higher response rates to these online surveys will give you access to larger numbers of customer responses. Ideally, these rates can be as high as 85% when the customer database is highly engaged and the survey is well executed.
QuestionPro customer satisfaction survey tool includes ready to use templates designed by industry experts and function on an elaborate and powerful survey platform. It is very easy to create online surveys, distribute them and obtain valuable feedback feedback from the set customers that is most relevant.