Five reasons not to put off your customer satisfaction surveys
How do you measure customer satisfaction?
Customer Satisfaction is commonly defined as “the extent to which a brand’s goods or services meet or exceed customer expectations.” The most common method of measuring customer satisfaction is the CSat survey, which usually takes the form of a series of questions about the aspects of the customer experience, including the ordering process, the demeanor of the sales or service representative, the helpfulness of follow-up communications and the customer’s overall satisfaction. These questions might be delivered over the phone with a live agent, using an IVR, through email or online.
While organizations are aware of the importance of measuring customer satisfaction, it can often be a low priority because it’s not perceived as delivering immediate cost value. However, I would beg to differ, since we recently did an analysis of the research comparing the cost of acquiring a new customer in comparison to the cost of retaining an existing one.
Additionally, while we may agree on what a positive customer experience looks like, it’s worth taking the time to define what comprises a bad customer experience.
Five reasons not to put off your CSat surveys
If the thought of having to spend three to 10 times more to acquire a new customer doesn’t send you rushing to dust off your customer satisfaction surveys, here are a few more motivators for you:
- Increase customer loyalty A recent survey shows that 71% of customers who ended a business relationship did so because of a poor customer service experience. By taking the time to listen to your customers, you communicate to them that their business is important to you. Customers are likely to remain loyal when they see a business taking the time and effort to keep them happy and satisfied.
- Increase referrals Referral customers are the cheapest and easiest sales around. A customer who is well taken care of by a business is very likely to refer friends and family to your business or service when there is a need.
- Leverage your competitive advantage One of the reason Amazon became the most popular online retailer is its legendary approach to providing hassle-free, wowing customer service. With speedy response time and a liberal refund policy, Amazon has become synonymous with a smooth customer experience–and their market position reflects that.
- Broaden your sales reach While the saying is that an unhappy customer will tell 10 people while a happy one will only tell one, that one brand promoter can extend your sales reach into hitherto untouched markets.
- Continued improvement Perhaps one of the greatest benefits of conducting customer satisfaction surveys is the opportunity they provide the customer service team to make changes that will improve how they do their jobs. Knowing what you do well is great; however, gaining insight into what you can do better will only serve to solidify the above-mentioned benefits. Plus, a team focused on improvement is a highly engaged team that is less likely to turn over.
In house or outsourced?
So we’re all convinced of the value of conducting CSat surveys now, yes? So the next question is: do we conduct them in house, or do we farm the work out so we can ensure the results are unbiased? Granted, I have a bit of bias, since Spoken and HyperQuality conduct CSat surveys on behalf of clients, but there is a method to my madness.
- Objectivity A third party will take an unbiased view of your customer service needs and develop a clear, concise survey that will not only be cost-effective, but customer-effective as well.
- Expertise By contracting out to a third party, you will benefit from their expertise. There are numerous companies that are solely focused on improving customer satisfaction and administering CSAT surveys. This expertise will likely save you time and money by following their proven processes.
- Cost-effective A third party will know exactly how to design and streamline a survey based on your needs. You will be able to focus on just what you need and eliminate what you don’t. Not only does this save money initially, but by having a very streamlined and focus survey, you will be in a better position to implement the necessary changes to improve your customer service.
Still hungry for more? We’ve got you covered. The case study below details how emailed CSat surveys improved one brand’s customer service in the following ways:
- 19% increase in CSat scores
- 29% increase in First Call Resolution
- 18% increase in Total Problem Resolution
- 52% increase in Net Promoter Score/Likely to Recommend