If I asked you what is the most important metric in all marketing , what would your answer be? Perhaps the first thing you think about is indicators such as the conversion rate or the amount of income obtained. But while linking marketing to financial results is very important, there is an indicator that goes beyond immediate results and tells us about the long-term health of the entire brand: customer satisfaction . Let’s see what it is, why it is so important and how we can measure it. Discover the most important digital marketing metrics . The 130 that you should not lose sight of! Click here and download the most complete ebook. What is customer satisfaction and 10 ways to measure it well What is customer satisfaction and why is it important? Customer satisfaction is the measurement of customer response to a brand’s product or service or to the overall purchase and use experience.
This indicator is used to better understand the needs of customers and to improve the brand’s products, services and support. Customer satisfaction is a fundamental indicator in marketing, since satisfied customers are a guarantee of the future for the brand. These are some of the reasons for its importance: Satisfied customers generate word of mouth recommendations . According to Temkin, 77% of consumers would recommend a business to a friend after having a positive experience. And this generates a source of future clients for the brand with a zero acquisition cost. Satisfied customers leave positive reviews . It is very common for users to research online the products and services they are considering buying and seek opinions from other people who have used them. If you have a good customer satisfaction rating, chances are these potential customers will find positive reviews that will encourage them to convert. Customer satisfaction is closely linked to loyalty . Satisfied customers buy your products over and over again and are also more open to upselling or cross-selling. Ultimately, this increases the customer’s lifetime value and generates a constant source of income, and this is great news for the future of your business.
Leaving your customers satisfied makes you stand out from the competition . Today there are multiple products and services to meet almost any consumer need, and advertising subjects them to constant bombardment. Therefore, it is normal for customers to look for brands that offer them something extra in the form of special treatment and do not make them feel like just another number. 10 ways to measure Romania B2B Contact List satisfaction You already know that in marketing it is essential to be able to measure results to evaluate what we are doing and change plans if necessary. And as we have just explained, one of the most important indicators to measure the success of our strategies is customer satisfaction. But at the same time, “customer satisfaction” is a somewhat abstract concept and one that is not so easy to reduce to a number. Therefore, we are going to see a dozen ways to quantify customer satisfaction, so that you can choose the ones that best suit your brand.
1) Net Promoter Score or NPS The Net Promoter Score is a metric that measures the loyalty of a company’s customers based on the probability that they recommend its products or services . To calculate it, we directly ask customers what is the probability that they recommend the brand to a family member or friend. The answer is indicated on a scale of 0 (very unlikely) to 10 (I would definitely recommend it). Based on the indicated score, clients are classified into detractors (0 to 6), passives (7-8) and promoters (9-10). Finally, to calculate the NPS, we convert the number of promoters and detractors into percentages and subtract the number of detractors from the number of promoters. What is the Net Promoter Score
2) Customer Effort Score or CES The Customer Effort Score or customer effort scale measures how easy it is to solve problems around a product or service . To calculate it, customers are asked to rate the assistance received from the brand with a number between 1 and 10. This indicator is considered important because good customer service is key to generating loyalty and recommendations. According to a study published in Harvard Business Review, 94% of customers who put little effort into solving their problems were more interested in buying from the same company again.
3) Conversion rate The conversion rate allows us to indirectly measure Romania Business Email List satisfaction, as it tells us if our website is working properly and if it meets customer expectations. Should this number drop, we should investigate potential design or customer experience issues.
4) Complaints / claims index To improve customer satisfaction, it is essential to know what mistakes you are making and to be able to remedy them . That is why the complaints and claims rate is very important. In order to measure what is happening more precisely, we can distinguish between a complaint (a specific dissatisfaction that the customer sends to the brand) and a claim (a customer who believes that damage or prejudice has been caused to him and wants to obtain a compensation from the brand). To calculate this index, we will take the number of complaints and claims during a given period and divide it by the number of total clients. The ideal is to establish a periodic control (for example, monthly or quarterly) to see how it evolves and if the claims are being resolved.
5) Customer satisfaction rating (CSAT) This metric is one of the most direct and easy ways to measure customer satisfaction , as we simply ask you to rate your level of satisfaction on a scale of 1 to 5 or 1 to 10. It is a very easy question to implement in different phases of the customer process and it gives us a global idea of what is happening. We can also combine it with other questions to obtain several metrics with a single survey, for example, the Net Promoter Score.
6) Social media indicators Social networks are a place where users share their experiences around brands, so they are very useful for evaluating customer satisfaction. Of course, you must take into account all the comments that users leave on the brand’s channels, both positive and negative. But it is also advisable to go one step further and use social listening strategies to monitor the conversation on other sites , for example, searching for keywords related to your brand on Twitter.
7) Customer retention rate Satisfied customers are loyal customers. Therefore, measuring the number of customers who remain loyal to the brand gives us a good indication of customer satisfaction. As with other metrics, it is best to periodically measure the number of new customers and customers who have left to compare this number over time and detect potential problems.
8) New clients obtained by recommendation One of the best signs that customers are satisfied with your brand is that they recommend it to their acquaintances. The Net Promoter Score, which we have seen previously, allows us to measure the intention of users to recommend us. But to translate this metric into reality, it is best to directly measure the effect of recommendations in the form of new customers . The monitoring of this metric can be done by asking new customers how they have learned about your brand or through strategies such as “invite a friend and get XX euros off”, which encourage recommendations and allow you to know which users have been invited by others.
9) Survey after chatCustomer support chats are a typical place to easure how effective we have been in solving a problem. Most commonly, after the conversation with the customer service agent or chatbot , we say goodbye by asking the user to rate the interaction from 1 to 10. If the score is low, it is time to review our strategy to improve the customer satisfaction.
10) Exit interview Exit interviews are a great opportunity to detect what causes customers to unsubscribe and thus be able to prevent them to improve retention. Ideally, to avoid creating more friction, the exit interview should be limited to one or a few questions, for example, what is the main reason why the user has decided to unsubscribe and if we could have done something to avoid it. And of course, we must periodically review the most common answers and try to solve the problems detected.