What is Customer Satisfaction Score (CSAT)
What is Customer Satisfaction Score (CSAT)
When Should You Measure Customer Satisfaction?
Marketers should have a basic understanding of CSAT strategies and concepts before exploring deeper ways to measure customer satisfaction and ultimately tailor marketing campaigns around it. The question becomes: When do I deploy customer satisfaction questions? Of course, there are many interaction points with your customers. Key moments to measure their satisfaction with simple questions include after customer lifecycle moments, prior to renewals or after customer support or education interactions, according to HubSpot’s Alex Birkett.
Customer Lifecycle Moments
Denis Pombriant of The Bullpen Group, through a post on Zuora, discussed key moments of the customer lifecycle.
Marketers should consider these parts of the customer journey, he said, as opportunities to implement a customer satisfaction survey:
Measuring Professionalism, Resolution Rates
Client satisfaction score is the most important metric to benchmark success as it directly reflects clients’ perception of services received, according to Brian Slepko, senior vice president, global service delivery for Rimini Street. “Rimini Street surveys its clients on every closed issue they raise with the support team to understand their experience with that case, how the support team performed, and ensure that they receive the necessary support desired,” said Slepko. “… Consider the granularity that this provides, Rimini Street’s support team [they] can ‘drill down’ to see how a team of engineers performed for a specific client, geography or technology and how the client rated the interaction.”
Its satisfaction surveys are based on the following.
- Level of knowledge
- Understanding of the issue
- Professionalism
- Responsiveness
- Effective communication
- Timely resolution
- Effectiveness of the resolution
What is done with the data? Customer satisfaction data is then transferred to the senior level staff to understand the issues and improve upon for future cases. For every survey where the team doesn’t achieve excellent scores, Rimini Street reaches out to the client that provided the survey to understand what the issues were and where the team could have done better. This data is then gathered and reviewed to ensure that the team corrects any systematic problems for other clients as well.
Calculating the Responses for Customer Satisfaction Scores
team uses three measures to track customer satisfaction.
- Customer Turnover Rate – This measures customer loyalty through the rate at which acquired customers are leaving or not renewing. Customer turnover is calculated by dividing the lost customers over period by the total number of customers at the end of period.
- Net Promoter Score – The NPS is a measure of customer satisfaction and customer loyalty. It is based on a single question, How likely is it that you would recommend [Company X or product Y or service Z] to a friend or colleague? This question is then scored against a 10-point scale (0=Not at all likely, 10=Extremely likely). Responses between 0-7 are classified as detractors and responses between 9 and 10 as promoters. Net Promoter Score = percentage of promoters minus the percent of detractors.
- SERVQUAL – This is a measure of the service quality a company provides to its customers. Based on a multi-item survey that takes into account both service expectations and service perceptions it provides an insight into the gap between the service level customers expect and their actual view of the service.
What Is a Good Customer Satisfaction Score?
So now you’ll want to know what your CSAT numbers tell you. CSAT respondents can rate a satisfaction with their brand based on the following answer choices, according to Emolytics.
- Very unsatisfied
- Unsatisfied
- Neutral
- Satisfied
- Very satisfied
Marketers can then take the average for a composite customer satisfaction score. Also, as Emolytics officials cited, CSAT scores can be delivered via scales of 0 to 100, 100 being total customer satisfaction.
This formula then can be implemented:
