thursday, march 07, 2019
Understanding customer satisfaction indicators
At a time when the consumer is at the heart of a company's strategy, knowing how satisfied he or she is has become essential data for measuring performance. But how is customer satisfaction measured? SatisFactory takes a look at 3 of the main customer satisfaction indicators to use in your customer satisfaction surveys.
Indicator no. 1: Customer Satisfaction Score
The Customer Satisfaction Score (CSAT for short) is the classic indicator for measuring customer satisfaction, and is often the main KPI (Key Performance Indicator) for marketing teams. But what is it? Quite simply, it's about measuring customer and/or user satisfaction in response to the question "How satisfied are you with...?". Possible answers are often presented in the form of a 5-level scale, from "Not at all satisfied" to "Completely satisfied". Finally, to obtain the actual result, simply add up the positive results and divide by the total number of responses. This gives you a satisfaction percentage.
Indicator #2: Net Promoter Score
Like the CSAT, the Net Promoter Score also has its own shortened version: the NPS. The NPS does not measure customer satisfaction directly, as CSAT does, but in a more roundabout way. The Net Promoter Score asks customers whether they would recommend your company to others. This propensity to recommend or not the company is measured by the answers given on a scale of 0 (Don't recommend at all) to 10 (Recommend completely) to the question "Would you recommend this company or this service to your friends or colleagues? The final NPS calculation is then performed as follows: % promoters (people who answered favorably) - % detractors (people who answered unfavorably).
Indicator no. 3: Customer Effort Score
The last of the customer satisfaction indicators presented by SatisFactory in this article is the Customer Effort Score or CES. Unlike the other two indicators presented above, this one is relatively recent. The CES consists in asking customers how much effort they had to make to get their request satisfied. Once again, answers are given on a 5-point scale, with 1 being the lowest and 5 the highest level of effort.
