Measuring Customer Satisfaction

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Measuring Customer Satisfaction

How do you measure customer satisfaction?

While there’s not one definitive way to measure precisely how your customers feel about your business, there are several valuable customer satisfaction metrics that you can gather in a variety of ways.

How can you collect these customer satisfaction metrics?

  • Customer satisfaction surveys: Surveys are the most traditional feedback collection method. When creating a customer survey, here are 3 important customer satisfaction metrics to keep in mind:

  • Expectation vs. experience: Did your products or services live up to your customers’ expectations?

    Likelihood to recommend: How likely is the customer to recommend your business to a friend?

    Overall satisfaction: How satisfied are they with your company overall?

    To quantify responses, have your customers answer these questions on a rating scale of 1-5. Track these metrics alongside KPI’s like sales and renewal rates to build a holistic understanding of how happy your customers are.

  • Ratings from online reviews: Star ratings summarize a customer’s overall opinion of their experience with your brand. Customers leave feedback on hundreds of review sites. Your average rating across all these sites indicates general perception of your brand.

  • Feedback insights: Even more important than star ratings are the root causes driving them. You can identify these with a customer feedback platform that runs text analytics on all your customers’ conversations from across the web and surfaces trending positive and negative topics. The BirdEye platform’s Natural Language Processing (NLP) engine, Athena, reveals such sentiment insights from the following sources:

  • Online reviews: Customers describe their experiences in rich detail, and these details are vital to understanding what you’re doing well and what needs fixing. Do reviews with low ratings have anything in common? Have customers started mentioning something more frequently lately? When and where?

    Social media: The engagement level (likes, comments, shares) of your own content indicates customers’ enthusiasm around your brand, but that’s only part of the story. Customers are turning increasingly to social platforms to seek customer service or simply vent their frustrations. Word-of-mouth spreads rapidly on social media, so it’s imperative to listen closely to all brand mentions from customers and non-customers alike.

    News, blogs, discussion forums: Twitter and Facebook aren’t the only places people are talking about your brand. Customers are also sharing experiences on blogs and discussion forums. In addition to monitoring customer conversations, it’s crucial to keep track of news and media sources influencing the opinions of large audiences.

Measuring customer satisfaction is an ongoing process.

For accurate metrics, you must continuously collect feedback from all sources mentioned above, then interpret trends in context. A 4-star average rating is good, but not if you had a 5-star average rating three months ago. BirdEye lets you benchmark insights over time to measure how satisfaction has risen or declined from one period to the next--on an industry, company, and location level.

These three metrics give you a comprehensive view of customer satisfaction, empowering you to make improvements, track progress, and repeat. BirdEye gives you the tools to measure, analyze and improve customer satisfaction, because happy customers are the key to growth: higher customer satisfaction means higher retention, acquisition, and revenue.