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Measuring Customer Satisfaction

Introduction

Measuring customer satisfaction means trying to gauge how much a particular product or service has been able to fulfill the requirements of the customers. Customer satisfaction can be defined as the percentage of total customers of a particular firm who are reportedly satisfied with the products or services being provided by the firm. It is seen as an important pointer towards the overall performance of a company. Nowadays, companies are putting a lot of emphasis on enhancing customer satisfaction and applying various techniques to satisfy their customers.

Develop a complete plan for measuring customer satisfaction

In order to get a proper measure of customer satisfaction, it is necessary to develop a complete plan which takes into account various aspects related to customer satisfaction. Just knowing what good customer satisfaction is important but it is not enough. It only tells the company about how much value customers give to its product or services. However, it does not provide an account of the customer’s purpose and also does not help in measuring the customer’s actions. Therefore, it is important that the plan devised for measuring customer satisfaction uses customer data collected from different resources and considers the different facets that have an impact on customer relationships.

What are net promoter scores?

Net promoter score is a measure of the loyalty of the customer towards a particular brand. Net promoter score methods are considered as the simplest way to obtain information related to customer satisfaction. The most important method used for determining net promoter scores is through online surveys. In these surveys, questions that ask the customer the probability of them recommending the company or brand to their friends, family and work colleagues are the ones that decide the net promoter score. The customers for whom the probability levels are high are deemed as promoters while those with low probability levels are known as detractors.

Drawbacks to net promoter scores

The biggest drawback of the net promoter scores method is that the most important question asked in this method, which is the probability of customers recommending the company further, does not provide enough practical evidence of being an important factor in determining the performance of the company. The other major drawback is that despite the use of an 11-point scale in this method, the result that comes out of it is just one score. The customers who take the surveys are sub-divided into promoters, detractors and passives based on their answers. The passives may include a large percentage of customers; however, they are not considered at all.

Conclusion

Customer satisfaction is one of the key objectives of every organization, big or small. Therefore, it is important not only to measure customer satisfaction but also to try and improve it.

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