A happy customer is worth a diamond. How can we gauge customer happiness and how we can improve it using AI
Customer Satisfaction is defined as estimating how content a customer is after using a product or service. Customer satisfaction is the essential index measured by all kinds of companies irrespective of the services or products they offer.
Customer satisfaction can increase your loyal customers significantly and increase their expectation of your company. In the era of technology, digital media and advertisements play a crucial role in making decisions for the potential customer due to various options. If the company does not scrutinize customer satisfaction, it could be a massive loss because it doesn’t take customers long enough to turn their back.
Not convinced yet?
Another reason is, a satisfied customer will help prevent possible loss in revenue.
If a customer is satisfied with the product or services offered, there is less chance that he/she will churn. They wouldn’t even look towards the competitors. They will interact with the firm again and again and happily purchase the product. If all the requirements and needs are fulfilled, the customer will recommend the product or service further. Isn’t that great?
Loyal customers can take your brand to the next level
As said previously, the impact of digital media has increased to such an extent that it can easily influence customers’ decision. If the customer is satisfied, they will share the firm’s advertisement and posts across social media, which might increase the new customers’ interaction. A customer can take the brand to the next level through word of mouth, which is the most potent form of growth. If a customer is satisfied with your product or service, they will recommend it to their friends. Accordingly, this might increase or decrease total revenue. As per McKinsey, 9–15 customers tell over 20 people about their experience. if positive.
So, you definitely wouldn’t want your brand’s lousy review to go places, would you?
Acquiring customers is expensive than retaining them
If you’ve read our blog on customer churn, it is mentioned that acquisition needs 5X more resources than keeping a customer.
Acquiring customer needs energy, workforce and all resources require funds for marketing and sales. Whereas maintaining a loyal customer is far easier and they will remain with you for a good time. Even if they are churning, some reasonable offer will make them stick with you. On average, a satisfied customer is 10x more valuable as compared to a somewhat happy customer. So, please keep a look at them, nurture them and take care of them.
Helps in increasing Customer Lifetime Value (CLV).
You will get a clear idea if you’ve read our blog on customer lifetime value. A successful business will always pay attention to its CLV score. If a company’s CLV score increases, its return of investments (ROI) is also increasing. CLV is highly beneficial for customer satisfaction and customer retention.
Now that you know about the significance of customer satisfaction, Let’s move on to how do you analyze, calculate and come to a conclusion.
Collect data through a survey
Any big business will tell you the importance of having a substantial amount of data. More the data, accurate the results. So, to get your work done and get responses from your clients, you need to create a survey.
In the website surveys, the response could be asked after a purchase. Questions could be like, “Did you like our product? Rate us.”, “Rate your experience was with us.”, “Is there anything you would like to suggest to us for changes?” and so on? Secondly, you can keep a check on them by the number of times they’ve visited your website and ask them about their satisfaction.
Emails are another way to keep track of the customer’s satisfaction. After a consumer purchased or visited the website, many companies send the newsletter, alerts about offers and discounts to their customer using emails. So, to get feedback, a very simple way would be to send google forms can be sent to them as a survey; this might not look professional, but this may give a good number of responses.
Define goal and metrics
Now you’ve got the data in your hands, the vital thing-determine what results do you want to achieve from those data. Differentiate the data into closed-end questions (limited options provided) and open-end questions (customer opinions and suggestions) for deeper insights.
Both types of data are essential for the survey because the number of times a website is visited and the repeated purchases is a good indicator. Closed-end questions get more responses.
Qualitative responses help you gain insights into the suggestion and opinions expected from a consumer, which will help you make a strong foothold in the market.
Analyzing results have become a critical part of concluding. For example, if you analyze the services provided by a cinema. So, you will study questions like, “How was the environment when you entered the cinema hall? Rate us!” or “How was the service at the food centre? Rate!” or “Is there any suggestions you would like to give us?”. Everything will be analyzed based on the customers’ overall satisfaction. The analysis is done after a lot of data cleaning and then using various machine learning algorithms. If you find the whole process complex, our no code, one-click platform, protonAutoML, will be very suitable for you. This software lets you examine all the corners of the dataset and present you with an optimized result suitable and customized according to your project requirements. Our product also explains the factors behind lower customer satisfaction and how to increase it.
Once the issue is solved, the survey once again checks whether there is an improvement in customer satisfaction.
Now the analysis is done, and you have taken action, please listen to your customer’s problem and stay in touch with them.
Give them personalized experiences (sometimes by offering them discounts and offers)
Send emails for special promotions
Improve customer purchase experience
Satisfying your customers and taking care of them makes them happy and helps the company achieve its target. Good service, products and rememberable experience are all that they want. So just an effort to enhance their experience should not be a burden because someone rightly said, “Customers can make or break a company”. Remember, you need to increase your consumer satisfaction, not compete with your competitor. Work for your customers; they will indeed be with you for the long run.