The different customer satisfaction measures
As the saying goes, ‘you need to measure to manage’ and that’s particularly the case when it comes to customer satisfaction.
Asking and collating how your customers feel about your business’ services and products allows you to quickly recognise paint points and remedy them, remove barriers to purchasing, and tweak systems and procedures behind the scenes.
But when it comes to satisfaction measurement, there’s more than one way. So, let’s take a look at the various customer satisfactions measures that are used to understand how a customer feels about a brand, its products and its services.
CSAT – Customer Satisfaction Score
Customer satisfaction scores are one of the most widely used and simple ways of determining how a customer feels about something specific.
The customer is asked a question and they answer using a five-point, seven or even 10-point scale scale that goes a little like this:
How happy were you today with your experience at the checkout?
1. Very unhappy 2. Somewhat unhappy 3. Neutral 4. Somewhat happy 5. Very happy
These answers are then measured as a percentage of total customers taking part in the survey.
I.e: Very happy ÷ total responses X 100
The great thing about CSAT is it is a quick and simple measure that a business can use to understand any moment in the customer’s purchasing journey, by simply asking specifically about it.
NPS – Net Promoter Score
While a Customer Satisfaction Score is about measuring a customer’s sentiment about specific products or services, a Net Promoter Score measures a customer’s overall loyalty to a brand.
In other words, NPS is more like an overarching insight into the experience a customer has enjoyed with a business and whether they are therefore likely or unlikely to recommend that business to their peers.
To begin to understand a business’ net promoter score, the first question is:
‘On a scale of 0-10, how likely is it you would recommend our company/product/service to a friend?’
- Those who respond 9 and 10 are considered Promoters, in that they are likely to be true advocates for your brand and exhibit value-adding behaviours like purchasing further products, or making positive referrals to other potential customers.
- Those returning a score of 7 or 8 are considered Passives.
- Those returning 0 to 6 are Detractors, meaning they are less likely to exhibit value-adding behaviour, and may actually work against your business.
The Net Promoter Score is then measured as a percentage based on the following calculation:
(Number of Promoters — Number of Detractors) ÷ (Number of Respondents) x 100.
(Passives are not utilised in the equation as they are considered neutral)
The initial NPS question is also then supported by further questions that seek to determine why the customer feels the way they do.
Consistently measuring the Net Promoter Score provides an insight into whether your business is providing the customer experience you hope it does.
Meanwhile, drilling into the why behind the score enables businesses to take action when products or services fail to hit the mark.
Importantly Net Promoter Scores capture consumer sentiment before it becomes negative word of mouth or a complete image crisis.
CES – Customer Effort Score
Customer Effort Scores focus on how easy or hard it was for a customer to access a business’ products or services.
Customer Effort Scores can also be measured on three-point, five-point or seven-point scales and the question might go something like this:
‘How easy was it to find the product you were looking for in-store?’
1. Very easy 2. Somewhat easy 3. Neutral 4. Somewhat hard 5. Very hard
The score is then calculated by dividing the number of specific responses by the total number of responses:
i.e: very hard ÷ total responses x 100
The value in this measurement is that it helps determine how easy or hard it is for customers to interact with your business or make purchases. In other words, it identifies pain points in the knowledge the easier it is for a customer to access what they’re looking for, the more likely they are to return.
While many of the above metrics are measured on point scales, that doesn’t necessarily mean the answer has to be text or numerically based.
In fact, customer satisfaction faces (aka smiley faces) are becoming increasingly popular as a fast, efficient and appealing way to gauge feedback because they require little explanation.
So for example, going back to the CES question How happy were you today with your experience at the checkout?
Instead of the answers being text based and requiring the customer to tick a number, they would instead be given the option of a smiley face to select, based on their sentiment.
More than one way
While there are different terms used and different customer satisfaction measures, the reality is most businesses use a combination of some or even all of the above to effectively measure it.
The key is to then collate that data and use it for improvement.
If you’re looking for an affordable feedback system that can gather instant information on what your customers are thinking using the measures included above, Moodly can assist.
Our easy to install ExpressPODS can be positioned wherever you choose in your business to gauge the customer experience.
This feedback is then quickly distilled into usable reports including Net Promoter Scores, with actionable tips on what needs to be addressed.
You can learn more about Moodly ExpressPODs and how they can simplify and improve the feedback process here.