Customer Satisfaction and Loyalty Research

Customer satisfaction is at the core of human experience, reflecting our liking of a company's business activities. The best customer satisfaction surveys measure how products and services supplied by a company meet, exceed or fall short of customers' expectations.

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Some of the most commonly used satisfaction measurement survey types include:

  • Net Promoter Score (NPS) The Bain Certified Net Promoter Score system measures customer loyalty by asking how likely your customers are to recommend your company to someone else.
  • Customer Effort Scoring (CES) CES measures how much effort it takes for a customer to have a request filled or a complaint resolved.
  • CSAT Customer satisfaction survey questions, sometimes referred to as CSAT questions, measure how satisfied your customers are with a particular product, service, or the overall customer experience. Unlike NPS questions or Customer Effort Scoring, CSAT questions can take various formats and phrasings.
Customer Sat Survey

Why conduct customer satisfaction research

Customer satisfaction surveys help you confirm what your customers like, dislike or what they would like to see improved. The fastest way to improve is by listening and then acting on what your customers really want. High levels of customer satisfaction are strong predictors of customer retention, customer loyalty, and product repurchase. Effective businesses focus on creating and reinforcing positive experiences in order to retain existing customers and add new customers.

How to build an effective customer satisfaction program

Proper timing of customer satisfaction surveys depends on the type of product or service provided, the type and number of customers served, the longevity and frequency of customer/supplier interactions, and the intended use of the results. Here are three very different approaches for measuring customer satisfaction:
  • Post-purchase evaluations
  • Periodic satisfaction surveys
  • Continuous satisfaction tracking
Each customer satisfaction survey can produce meaningful and useful results and is appropriate for different situations, uses and needs.

Characteristics of the best customer satisfaction programs

Effective customer satisfaction programs remove data silos and deliver actionable insight to the right stakeholders in real time. This allows for executives, managers or frontline employees to make accurate decisions and take corrective action. Many organisations elevate their customer satisfaction research by integrating a Voice of the Customer (VoC) program and/or Net Promoter Score (NPS) analysis with other operational measurements to provide holistic customer insight across the entire organisation.