Customer satisfaction

Theoretical Ground and Models of Customer Satisfaction

  • Customer satisfaction is studied from different perspectives.
  • Expectations prior to purchase and customer perception of product performance are important factors.
  • Customers have various types of expectations about a product.
  • Customer satisfaction has both emotional and cognitive components.
  • Satisfaction can evolve over time as customers repeatedly use a product.
  • The Disconfirmation Model compares expectations and perceived performance.
  • Satisfaction is the outcome of the comparison between expected rewards and incurred costs.
  • There are four constructs in the disconfirmation paradigm: expectations, performance, disconfirmation, and satisfaction.
  • Satisfaction can be evaluated as the sum of satisfactions with different product features.
  • Cognitive and affective models of satisfaction are considered as alternatives.

Methodologies and Metrics for Measuring Customer Satisfaction

  • American Customer Satisfaction Index (ACSI) predicts GDP and PCE growth.
  • ACSI data is related to financial performance and consumer spending.
  • Kano model classifies customer preferences into five categories.
  • SERVQUAL or RATER framework indicates the gap between expectations and experience.
  • J.D. Power and Associates provides industry rankings and product awards.
  • Net Promoter Score (NPS) measures willingness to recommend a company.
  • Response rates for e-surveys range from 5% to 15%.
  • Likert scale and single-item percentage measure are used in customer satisfaction surveys.
  • Affective measures capture consumers' attitudes towards a product.
  • Cognitive element involves appraisals and conclusions based on performance.
  • Regression to the mean effect is observed in customer satisfaction responses.

Importance and Impact of Customer Satisfaction

  • Customer satisfaction is a key performance indicator in business.
  • It is a major differentiator in a competitive marketplace.
  • It is part of a Balanced Scorecard in business strategy.
  • A customer satisfaction metric is found to be very useful by marketing managers.
  • It provides a leading indicator of consumer purchase intentions and loyalty.
  • Customer satisfaction is crucial for business success.
  • It leads to customer loyalty and repeat purchases.
  • Satisfied customers are more likely to recommend a business to others.
  • It helps in building a positive brand image.
  • Customer satisfaction is linked to higher revenue and profitability.
  • Increased customer loyalty and retention.
  • Positive word-of-mouth recommendations.
  • Higher customer lifetime value.
  • Competitive advantage in the market.
  • Improved brand reputation and customer trust.

Factors Affecting Customer Satisfaction

  • Quality of products or services.
  • Timeliness of delivery or service.
  • Customer service and support.
  • Price and value for money.
  • Overall customer experience.

Strategies for Improving Customer Satisfaction

  • Training and empowering employees to provide excellent customer service.
  • Personalizing customer interactions and addressing individual needs.
  • Continuous improvement of products and services based on customer feedback.
  • Resolving customer complaints and issues promptly and effectively.
  • Building strong relationships with customers through loyalty programs and personalized offers.

Customer satisfaction Mentions

Customer satisfaction Data Sources

Reference URL
Knowledge Graph