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Importance of Customer Satisfaction Measurement

By: Press'nXPress Team
January 12, 2021|5 min read
Importance of Customer Satisfaction Measurement

Customer satisfaction sits at the core of every experience with an organization and reflects how customers perceive the product and service they received. To improve it, you first have to measure it — organizations need a clear read on how satisfied customers are with their products, services, and experiences. Measurement gauges the gap between what customers expect and what they actually get, and that gap is where retention is won or lost. High levels of customer satisfaction are strong predictors of retention, loyalty, and repeat purchase, while a silent dip is often the earliest warning of churn. The insights guide the company to recreate what's working and fix what isn't.

The alternative — not measuring — is more expensive than it looks. Research consistently shows the vast majority of dissatisfied customers never complain; they simply leave, and tell others why. Without a deliberate way to capture satisfaction in the moment, those customers walk out the door as invisible losses.

Customer Satisfaction (CSAT)

CSAT measures satisfaction to gauge customer needs and surface problems with a product or service, using a question like "How satisfied are you with the service you received today?" The highest ratings are used to calculate a percentage score: 100% being total satisfaction and 0% total dissatisfaction. CSAT is easy to understand, simple to use, and can be rich in insight — especially when paired with the other core CX metrics like NPS and CES.

Besides rating score, it is important to ask for details from the customers using categorized factors or open text feedback. These responses will help to get detail about your customer’s experiences to uncover insights that could help to improve the service, product, or experience.

When to Measure Satisfaction

To get the best response rate and insight, it is important to ask the question right after the service when it is fresh in the respondent’s mind. Customer satisfaction should be asked at every touchpoint of the customer journey. Request feedback across physical touchpoints and digital touchpoints like website, app, email, or phone.

From Insights to Action

More important than measuring customer satisfaction is what to do with the data and insights. When customers give feedback, they want to see a response and/or improvement from the company.

Close the loop – Act on feedback from customers. This is your chance to mitigate dissatisfaction and repair a service gap before it costs you the relationship. A platform like Action Hub routes a low score to the right person in real time, so recovery happens while the customer is still engaged rather than after they've gone.

Analyze the feedback – Look across the data to identify trends and patterns in customer expectations and service gaps. PXP AI text analytics reads open-text comments at scale — tagging sentiment and topics — so you can spot the why behind a moving score, then prioritize and act.

Feedback insights access- Ensure every person and team in the organization is aligned on the customer experience strategy and has access to feedback data and reports through a shared dashboard.

Our mission at Press'nXPress is to help our clients improve the customer experience at every interaction point. Book a demo to see how in-the-moment measurement turns satisfaction data into action.

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Press'nXPress TeamPress'nXPress Team
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