Measuring customer satisfaction can be difficult simply because there are so many ways of going about it. Plus, the type of industry you are in will determine the best way for you to measure customer satisfaction.
For example, if you are an E-commerce business, one of the best ways to track customer satisfaction can be based on feedback and reviews. However, a service-based business is likely going to track customer satisfaction more on measuring customer retention.
That being said, online reviews have developed an invaluable weight during lockdown, with many businesses depending on positive feedback as the markets start to increase, competition rises once again, and customers are hesitant to try new companies.
There is also a focus on how you go about collecting the data, whether it is through in-house means or by bringing in a market research agency that can provide more accurate feedback.
Regardless of how you collate data to measure customer satisfaction, the most crucial aspect is that this is carried out. Around 80% of customers will change to another brand after one bad experience, so customer satisfaction should be at the heart of your business model.
What Customer Satisfaction Tools To Use
Customer feedback is an essential factor in building social proof for your business, especially with the impact of online reviews and testimonials on the likelihood of prospects’ purchasing from your business or engaging in your services.
Online reviews and market research surveys are just a few of the key ways to determine how effectively your services or products are meeting your customers’ needs.
Regarding how to collect the data, several valuable metrics can be used to create an accurate reading on how well you are reaching your customer satisfaction goals or if improvements need to be made.
Customer Satisfaction Score
A customer satisfaction score is one of the most straightforward ways to measure how customers feel about your business and overall experience.
This metric offers customers a scale upon which they can mark their satisfaction levels. These can be made bespoke to whatever suits the tone of your business; however, what’s important is that this scale is followed up with a short survey asking customers to elaborate on their experiences.
The best aspect about this metric is it is easy to track and accessible. Plus, because this is usually designed by in-house teams or using a third-party tool, these customer satisfaction scales can be bespoke to what matters most for your business. Whether that’s overall experiences or customer feedback regarding a particular service or product.
Net Promotoer Score
More often than not, this is a tool used by a market research agency for a client to provide a more in-depth look into the impact of your business on a customer and how to replicate positive experiences.
This metric of studying customer satisfaction is helpful, as previous customer satisfaction scores can be compared to more recent data. The Net Promoter Score places your customers onto a spectrum, identifying the overall impact and influence your business had on them and the repercussions.
For example, this can help determine whether your customers are likely to be a detractor or a promoter for your business. You can begin to understand how to improve the number of promoter customers and build detractors into promoters.
Customer Retention Rate
This metric is a must if you rely heavily on repeat customers, as knowing your customer retention rate will help you understand trends and what might be going wrong.
Although this can be done in-house, deeper insight into customer retention is available through a market research agency, as insights into satisfaction are often more accurate through a third-party company and are structured in a process-driven methodology that secures the most beneficial customer feedback.
Customer retention rate can be conducted on a cycle that best suits your business needs; it can be calculated weekly, monthly, seasonally or annually.
So if you have more of a seasonal business, you can focus it on just those specific months for a more accurate depiction than an annual review.
How A Market Research Agency Can Help
These are just a few ways you can determine customer satisfaction and understand your customers’ wants and needs in greater depth.
As a dedicated market research agency, we understand the importance of knowing what your customers are satisfied with and what needs improving. This is the heart of any business, and we have many years of experience building detailed and bespoke strategies to get valuable insights for our clients.
There is not a one size fits all form of measuring customer satisfaction, and if you want to find out the best way to gather, analyse and implement your customer feedback, then contact our team today to discuss how we can help.