51% of customers will never do business again with a company that offers a poor Customer Service Experience.
What is CSAT?
Customer Satisfaction (CSAT) is a distinguished indicator of customer happiness or satisfaction with the service or the product provided.
A good CSAT score means that the customer is completely satisfied with your service and is more likely to promote the business to others.
The more satisfied the customers are with your service or the product provided, the more likely they are going to use, and be consistent in purchasing from your brand.
Customers are inclined to spend 17% more on a brand or a company that provides excellent customer service.
How do you measure Customer Satisfaction – CSAT?
Typically, the companies incorporate a simple survey method to ask for customer feedback on whether an agent has adequately solved an issue.
The responses are classified in to sentiments such as:
- Very Unsatisfied
- Not Satisfied
- Very Satisfied
Post which, the formula provided below is applied to determine the CSAT percentage.
(Number of very satisfied or satisfied customers (4 and 5) / Number of survey responses) x 100 = % of satisfied customers
With the help of this data, CSAT is determined and analyzed. But this method and formula are not accurate and are outdated, and not every customer has the patience and time to answer the survey.
However, there isn’t any well-defined accurate formula to calculate CSAT. But it can be analyzed using CRM automation and determined by various other related matrices like First Call Resolution (FCR), Average Handle Time (AHT), Net Promoter Score (NPS), and others.
What is a good CSAT score and the importance of Customer Satisfaction measurements?
According to the American Customer Satisfaction Index (ACSI), the overall United States’ CSAT percentage was 75.3%, which however varies for different industries.
But a good CSAT percentage is anything above 80%, which is hence maintained by Top Global Brands with industrial benchmarking at 81%.
CSAT of Global Brands
Measuring and managing customer satisfaction for a brand or business is extremely important. When you understand how customer satisfaction relates to the revenue of the company, you can start to make a good promotional and marketing impact on your company through the customers themselves.
Maintaining a good and consistent CSAT percentage will help your business to grow better. Having high customer satisfaction will make the customer more likely to promote the company or the service to others and use it more frequently by themselves.
Thus, helping to contribute to a good Customer Retention Rate (CRR) and Net Promoter Score (NPS) as well.
How can customer service satisfaction be improved?
The customer satisfaction (CSAT) score can be improved in the following ways:
- By providing multi-channel (or omnichannel) support
- Encouraging agents to take ownership of problems
- Turning customer survey data into action
- Staying updated on customer reviews and offering proactive customer service
- Cutting out hold time on calls and embracing First Call Resolution
- By using Customer Relationship Management (CRM) software to efficiently manage your customer service
To understand the importance of CSAT, we can look through a case study on MediBuddy, as per reports, they had improved their CSAT by 90% last year. Leading to which they had experienced a gigantic hike in their revenue and customer retention.
Importance and Role of Automation for CSAT measurements
Customer service metrics form the crux of every well-run business. It is an important factor that enables the process of improvement.
Methods used for measuring customer satisfaction might be different across industries and the kind of service provided. However, the above-mentioned points of improvement are some of the most successful parameters that can be used to guide a customer support team.
We cannot improve something we don’t know. Thus, measuring customer satisfaction must be a frequent practice at businesses of all sizes, irrespective of industry.
Consequently, customer satisfaction (CSAT) can be measured using customer relationship software (CRM). A tool to manage your customer service efficiently and helps your business to step forward in terms of customer relationships. This software is specially built for contact center management.
By utilizing the right automation platform, the customer relationship and retention for the brand and business can be improved incredibly.
Now provide stellar customer experiences in minimal turnaround time with Kapture, by having an instant statistical analysis of both – the service performance and customer satisfaction rate, always available at your fingertips!
About the Author
|Shreeja C S|
|A professional blogger and a business writer, who specializes in various real-time industries and their research. A social worker and an aspiring engineer & business student from Manchester, United Kingdom, with the idea of making the world an easier place to live in.|