Customer Satisfaction: Why It’s Still Important in 2022

What if you came to work one day only to find out that half your customer base left you for your competition ? If you ’ ve barely felt cold sweats thinking about tax income drops, learning costs, and all this year ‘s KPIs going to hell… Good. Because that ’ s what you ’ rhenium risk when you ignore customer satisfaction.
To say that customer satisfaction is significant is an understatement. In 2022, it ’ s a necessity. According to Gartner, 81 % of marketers view customer satisfaction as the main competition area in their diligence.
But the competitive edge is not all. According to PwC, 59 % of customers will leave a company after several regretful experiences, and 17 % after one bad customer feel. Yes, this besides concerns your previously firm customers. And yes, they won ’ thymine be back.

‍ ‍ As you see, you can ’ metric ton underestimate the importance of customer gratification. It ’ s the best way to secure firm customers who ’ ll finally turn into stigmatize ambassadors. Every company should treat customer atonement as an essential occupation factor and work on improving it. In this article, you ’ ll find the answers to the following questions :

  • What is customer satisfaction and why is it important?
  • Why is customer satisfaction important?
  • How to improve customer satisfaction?

Let ’ s roll ! ‍ Free-to-Use Customer Satisfaction Survey Template

What Is Customer Satisfaction? Customer Satisfaction Definition

In bare words, customer satisfaction is a measurement that determines how well a company’s products or services meet customer expectations. It ’ s one of the most important indicators of leverage intentions and customer loyalty. As such, it helps predict business growth and gross.
While the definition above looks reasonably straightforward, in reality, it ’ s not that easy to define what “ satisfied customers ” actually mean for your company.
If you ’ rhenium tempted to say, I ’ ve got a bunch of purchases and a regular total of recurring customers, so I think I ’ thousand good, ” think twice. possibly some of your clients simply forgot to cancel their subscriptions. possibly they procrastinate switching to your competitors. Or possibly they ’ re excessively diffident to complain and seek reimbursement. none of these reasons means they ’ rhenium satisfied.
This is where particular customer satisfaction metrics, like CSAT ( Customer Satisfaction Score ), come into meet. They let you determine what precisely influences the satisfaction—or miss of it—among your customers.
And it pays off to keep your customers felicitous. A high customer atonement flat guarantees long-run clients and makes you stand out from the competition. It besides lets you avoid the awful consequences of bad customer feel : churn customers and minus word of mouth.
The equation here is elementary. If you don ’ thyroxine wish about your customers, don ’ thymine expect them to care about you .

How to Measure Customer Satisfaction?

To track customer satisfaction, you need to set up a CSAT ( Customer Satisfaction Score ) survey that asks the clients to rate their experiences with your company, normally on a 1-to-5 scale. ‍ ‍
You can measure your node ’ s general atonement with your services or monitor specific touchpoints—like making a purchase, contacting customer hold, using a particular product feature, etc.
It ’ south besides a good theme to include open-ended customer satisfaction review questions after your clients rate you. It allows them to explain their choice and gives you concrete feedback.
But CSAT is not the only customer experience metric unit out there. There are others that will help gauge your customers ’ loyalty and happiness with your company.
One of them is the democratic NPS ( net income Promoter Score ) that monitors how likely your customers are to recommend you to their friends and colleagues. ‍

You can besides use CES ( Customer Effort Score ) to gauge how easy it is for your customers to interact with your ship’s company. ‍ ‍
If you don ’ thymine know how to choose the proper one for you, check out our template to the five most democratic customer satisfaction metrics.
Measuring and analyzing customer satisfaction should become a permanent addition to your business—not barely something you do from time to time or to deal with a reputation crisis. As McKinsey & Company put it, the three C’s of customer satisfaction are consistency, consistency, and consistency.
Customer survey software can help you set up recurring surveys, collect your answers, and analyze them in one stead. This will let you create a sustainable customer satisfaction measurement process .

Why Is Customer Satisfaction Important?

What is the purpose of customer satisfaction ? here ’ s a short answer : if you want to run a customer-centric business, you need to care about customer achiever.
But there are more palpable benefits of customer satisfaction. Let ’ s go through a few of them. And for a promptly ocular compendious, check out our infographic on the importance of customer satisfaction. Just click the preview below :

1. Satisfied & loyal customers are a major growth lever

research shows again and again that it ’ sulfur five to 25 times more valuable to keep your customers than acquire fresh ones. According to Bain & Co, the creators of NPS, “ 5 % addition in customer retention produces more than a 25 % increase in net income. ”
And you can ’ t have loyal customers if they ’ ra not meet !
Have you ever wondered why banks or mobile providers are constantly quick to go the extra sea mile just to keep you around ? It ’ second because they know the actual cost of doing differently.
Always try to keep your clients satisfied to prevent them from churning. Meet their needs, solve their problems, and nurture them. This doesn ’ t entirely concern your customer service : your clients need incontrovertible interactions with your product, web site, store, and anything else you provide.
One of the brands that heavily invest in keeping their customers extra happy is Tesla. They pride themselves on effortless car services. indeed casual, in fact, that they ’ re fix to come to your house to fix your car. ‍
‍ Tesla is a luxury, and they ’ ra constantly ready to do something extra for their customers to keep up their image. An outside-of-workshop servicing can not be cheap—but it must pay off in the long scat !

2. Dissatisfied customers churn in a heartbeat

unhappy customers won ’ thyroxine hesitate to leave you for your contest.
There are many reasons for mark switch. The independent perpetrator is normally the prize—but poor customer experience is climbing up the rankings. In 2018, Microsoft reported 61 % of their respondents have switched brands due to poor customer service, and the swerve continues. ‍
Results of Microsoft survey: 61% of respondents have switched brands due to poor customer service. ‍ It takes up to 12 positive experiences to make up for a negative one, and some clients will not stick around for that long.
Customers value ease above everything else. This is why avoiding frictions is more important than going out of your way to delight your consultation.
And when mistakes ( inescapably ) happen, you have to make up for them.
Take a look at an e-mail from a local vintage shop that didn ’ t take down a sold-out product from their store on time. even a little business with limited capacity understands it ’ s better to smooth things out with a customer than lose them. ‍email with coupon code as an apology for missing item ‍ This is besides why you receive these “ regretful to see you go, tell us why ” emails from brands that know they can ’ deoxythymidine monophosphate keep you from leaving. possibly at least you ‘ll tell them how they can improve for their other customers !
Free-to-Use Lost Customer Survey Template

3. Customer satisfaction drives business and product decisions

If you prioritize customer success, you ’ ll have an easier clock time sorting out your tasks and goals.
Whether it ’ south product development, market campaigns, customer serve improvements, or any early sphere of business—before you chase market trends or introduce novelties, you should make surely your actions resonate with your customers.
For model, if your customers keep complaining about a certain flaw in your product, it ’ randomness better to fix it before you start expanding your put up to catch new customers. Chances are, your old clients will get annoy and leave, and the new ones will find the very same feature annoying.
Plus, through feedback, patriotic customers can help you come up with fresh ideas for products and services.
At Survicate, every time we run customer surveys, we pepper in an open-ended question that asks customers for their future adult idea. ‍
open-ended survey question ‍ If we find particularly commodity or repeating requests, we bring them to life !
Of course, being customer-friendly is not an end-all, be-all of business success. You still need to offer a solid product or servicing and have a good market fit. But as Don Peppers put it,

Customers are the link between the profit you make today and the profit you are likely to make tomorrow. The customer relationship directly connects today’s profits and costs to your company’s overall shareholder value.

4. It helps you stand out of the crowd

Let ’ s face it : it ’ s improbable your product is one of a kind. And even if it is right now, you ’ re bound to have a few imitators soon.
The only thing you can do to differentiate yourself is delivering exceptional customer overhaul and satisfying your clients.
According to PwC, “ 73 % of all people point to customer experience as an important factor in their buying decisions. ” And this number will grow.
Consider the case of a polish on-line memory with specialization chocolate, CoffeeDesk. It ’ s locally celebrated for its especial customer feel. One of their key signature moves is sticking funny drawings to their packages, normally a identical characteristic caterpillar. Unless you ask for something else—they will draw whatever you want ! ‍ ‍ This dim-witted yet effective move differentiated CoffeeDesk from a pour of competitors. Combined with flying delivery times and excellent customer service, the store enjoys a finely reputation. It maintains a solid position in the polish coffee bean market—despite many purveyors with similar product choices ( and even lower prices ).
And that ’ s not all. As Kate Zabriskie once said :

Although your customers won’t love you if you give bad service, your competitors will.

early companies in your niche are waiting for you to make the incorrect be active. It ’ second common to look at competitors ’ negative reviews and solve their customers ’ problems for them.
Be it customer service or the merchandise itself, every crack in customer gratification is a luck for your rival to strike. Keep the happiness levels high to eliminate any uncertainty about your services !

5. Satisfied customers attract new customers

patriotic customers don ’ thymine only contribute to high CLV ( Customer Lifetime Value ). They are besides your company ’ second biggest promoters that draw new customers in with recommendations.

And to recommend a company, you foremost have to be satisfied with its services.
Any cocksure follow-up or social media comment is beneficial for your business. According to a Nielsen study, 92 % of consumers believe suggestions from friends and kin more than any market activities. 70 % put their trust in opinions they find on-line.
And every follow-up can be turned into a case study, success floor, or a social validation section on your web site. just like we did at Survicate : ‍
Survicate homepage testimonial section

How to Improve Customer Satisfaction?

Every brand should keep working to improve its customer satisfaction levels. But it ’ s not constantly that easily. It requires sweetheart processes, defined party goals, and, most importantly, a continuous attempt from every team member.
So: how do you achieve customer satisfaction? 
Let ’ s go through a few surefire ways to direct your customer experience platform in the mighty direction and score some agile wins. And if you want to dig deeper on the topic, make sure to check out our guide on how to improve customer gratification in eight steps .

1. Collect customer feedback & always be available

Your customers need a place to voice their opinions—both convinced and negative.
positivist customer feedback will ensure that your intersection roadmap and customer defend efforts are heading in the right direction. happy clients might besides contribution their ideas on improving your product and services, which will help you build a sincerely customer-centric clientele.
And an wall socket for customers ’ minus opinions lets them voice their frustration before turning to online communities.
Your customers should constantly be able to find a rate where they can talk to you. To achieve it, combine the power of easily accessible customer service with the power of surveys. 
indisputable, not every ship’s company can afford 24/7 telephone support—but solutions like chatbots and live chats made it easy to be available for your clients at all times.
They ’ ll let you catch your customers ’ ad hoc requests, suggestions, and complaints. Just make sure there ’ sulfur always a human out there quick to address problems a chatbot can ’ deoxythymidine monophosphate fasten. ‍chat box on Survicate website ‍ On the other handwriting, surveys will help you gather general opinions about your post and monitor the overall state of your customer experience program.
With prove customer gratification surveys like CSAT ( Customer Satisfaction Score ) or NPS ( net Promoter Score ), you ’ ll gather numerical customer atonement data to monitor and benchmark. You can besides give your customers room to voice their opinions by including open-ended questions ( for example, “ Is there anything we could improve in our product to make it better for you ? ” )
barely take a spirit at the interactional NPS survey below. After the respondent assigns you a score, they can explain why they evaluated you the way they did and leave their suggestions. satisfied customers besides receive a request to leave an on-line review. ‍ Free-to-Use NPS Survey Template
After collecting customer feedback, calculate your general NPS score ( to turn it into a benchmark and improve in the future ) and check out the answer dislocation ! If you use Survicate, your NPS report will generate automatically. ‍
NPS overview and score breakdown in Surivcate panel ‍ And don ’ triiodothyronine forget to look for valuable suggestions among the open-ended responses !
All in all, surveys are the best way to improve customer atonement and remove the guess from business decisions.
As one of our clients, Katja Lindqvist of Via Esca, told us,

Survicate surveys have given us a pretty good idea about why people decide to use our service, and why they stop using it. We are able to validate our ideas and theories against the actual reasons that people tell us about.

2. Stay proactive and react in real-time

Okay, so you brought suggestion number one to life, and your customers can constantly reach you.
now, you have to make sure their feedback doesn ’ triiodothyronine vanish in a black hole—especially when it ’ second veto.
Ignoring customer complaints might have some dangerous side effects :

  • You create an army of dissatisfied clients who are likely to churn, and that’s not the kind of audience you want.
  • Dissatisfied customers are much more likely to share their opinions than happy ones, and a bunch of negative online reviews can seriously stain your reputation.
  • Modern customers expect effortless interactions, so you don’t want to be recognized as a company that keeps inconveniencing its clients.

Whenever possible, address negative customer feedback in real-time—or at least angstrom soon as possible. Try to make things up for your infelicitous customers, either by compensating them or bringing their suggestions to life. You might avoid negative viva-voce and get valuable ideas on how to improve your business.
Reacting in real-time doesn ’ thymine alone concern live chats or call calls but besides surveys. With survey tools like Survicate, you can set up e-mail or Slack notifications and get heads up whenever person shares their feedback. ‍
Slack notification for Survicate surveys ‍ sometimes it ’ s possible to predict a electric potential complaint and address it before it happens. Do you already know your web app will be under alimony, and your users won ’ triiodothyronine be able to access it ? Or possibly your storehouse is swamped with orders, and you ’ rhenium expecting ship delays ?
Stay guileless and let your customers know advance. here ’ s an example of an electronic mail from the H & M on-line store : ‍
‍ While customer complaints are often more time-sensitive than positive feedback, don ’ t ignore your satisfy clients, either. Always remember that they ’ re one of your most valuable assets. Try to :

  • Keep track of your biggest fans;
  • Turn their ideas into reality;
  • Ask them for reviews or recommendations;
  • Offer special deals;
  • Turn them into brand ambassadors (with the help of referral programs or incentives).

The flip ’ s the limit.

3. Keep things personal

Personalization became the norm. so much that 61 % of consumers expect brands to tailor experiences to their needs.
business results confirm these claims. According to Google ’ s inquiry, “ 90 % of leading marketers say personalization significantly contributes to commercial enterprise profitableness. ”
It ’ second hardly storm that personalization works so well since it makes the customers feel important and “ at home. ” After all, we ’ re all glad when we receive that free Starbucks coffee on our birthday, aren ’ deoxythymidine monophosphate we ?
From the company ’ s indicate of view, personalized targeting allows to tailor subject, services, and offers to the customers expectations. And a customer who gets precisely what they want is much more likely to feel satisfied—as opposed to a customer who gets spammed with irrelevant emails and still hasn ’ t understand how your product can help them.
A arrant exemplar of effective personalization is the meditation app, Headspace. During signup, it asks the users a few dim-witted questions about their preferences, such as experience level, the independent reason for using the app, or their prefer meditation time.

‍ Based on the customer ’ second choices, they can tailor the merchandise and communication to users ’ needs. The night owl will receive notifications late in the day when they ’ re the most lease. inactive users who want to sleep better will get message about improving their quiescence schedules. The people who installed the app to relieve anxiety won ’ thymine see sport-focused features—et cetera.
Hard to be dissatisfied when the product is precisely what you need it to be ! Make sure you apply personalization to all communication that comes from your brand, including surveys. For case, don ’ thymine just blindly show general user satisfaction surveys to everyone that visits your page—they might not even be your customers even. rather, try triggering your survey based on an consequence, like completing a purchase or visiting a specific page. You can easily do it when setting up web site surveys with Survicate. ‍
trigger setup for survicate website surveys

4. Measure customer satisfaction regularly

You can ’ thyroxine improve customer gratification if you don ’ thymine know what you ’ ra better.
Measuring customer atonement with surveys will let you obtain concrete numeral scores and turn them into KPIs. You ’ ll besides be able to look for patterns in open-ended questions and fix the most pressing problems. ‍ Free-to-Use Customer Satisfaction Survey Template

here ’ s an example. Let ’ s say you recently ran a CSAT survey that revealed you have a distribute of disgruntled users. Their answers suggest they ’ re infelicitous with the answer time of your customer service.
You should try fixing the problem and then re-run the survey to see if your Customer Satisfaction Score improves. If it does—keep up the good work. If it doesn ’ t—investigate further. possibly your audience didn ’ thyroxine reveal the actual source of their frustration, and you have to work on building a healthy communication menstruation ?
measure, tweak, and then measure again ! You will :

  • test your assumptions,
  • motivate yourself to take action,
  • and have interesting customer satisfaction data to show to the rest of your company. 

If you run surveys with Survicate, you can always access a report card segment that will show you your scores and answer dislocation : ‍
survicate report ‍ There are many customer satisfaction metrics methods to distribute your surveys to choose from. Pick the ones that fit your clientele goals and your clients ’ favored channels !

5. Communicate across departments

Imagine you ’ re a seller who ’ sulfur just run a customer satisfaction survey.
You got a pretty decent Customer Satisfaction Score, but you ’ ve received a few complaints from your least happy customers. You notice that most of them concern a finical bug in your app.
How do you think this situation should play out ?

  1. The feedback stays in the marketing team and continues to create friction until the dev team notices the bug and fixes it one day;
  2. The feedback is shared with the dev team, who takes it seriously and fixes it at the earliest opportunity.

obviously, the correct answer is b ). Customer gratification requires input and attempt from the solid company. Every department should take customer feedback badly and realize the outcomes of ignoring it.
If you use Survicate, contract advantage of the tool ’ mho unlimited seats and receive at least one person from each team to collaborate. They ’ ll have access to all the surveys and reports.
And if you integrate Survicate with Slack, you can set up notifications and plainly tag the right people whenever feedback comes. Whatever fits the communication model in your company ! ‍
Survicate notification in Slack

Final Thoughts

Customer centricity is an indispensable element of every successful business. This is why all companies should focus on endlessly improving customer satisfaction.
high customer satisfaction levels help with :

  • Keeping existing customers around;
  • Attracting new ones;
  • Increasing customer loyalty;
  • Standing out from the crowd of competitions;
  • Making smart product decisions.

Measuring customer satisfaction is essential for monitoring the state of your customer success and customer experience programs. It ’ mho best to do it with the serve of customer gratification surveys, like CSAT ( Customer Satisfaction Score ), NPS ( final Promoter Score ), or CES ( Customer Effort Score ) surveys.
With customer satisfaction software like Survicate, you ’ ll have your customer atonement surveys up and running in just a few clicks ( with zero coding ). Just choose one of our free customer atonement survey templates, customize it if you ’ d like, and watch the responses flow. You can monitor the customer satisfaction data in real-time.
Set up a free Survicate account and put customer voices at the heart of your business right now!

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