Customer Satisfaction Essay

1279 WordsMar 24, 20146 Pages
INTRODUCTION Customer satisfaction, a term frequently used in marketing is a measure of how products and services supplied by a company meet or surpass customer expectation. Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals. In a survey of nearly 200 senior marketing managers, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses. It is seen as a key performance indicator within business and is often part of balanced scorecard. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers’ expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability; these metrics quantify an important dynamic. When a brand has loyal customers, it gains positive word-of-mouth marketing, which is both free and highly effective. However, customer engagement is an important outcome of a customer-focused culture and the organization’s listening, learning, and performance-excellence strategy. Characteristics of customer engagement include customer retention and loyalty, customers’ willingness to actively advocate for and recommend the brand and product offerings. Customer engagement is influenced by an organization’s integrity and the relationships it builds with its customers. BEST PRACTICES IN MEASURING CUSTOMER SATISFACTION Measuring and analyzing customer satisfaction can help a business not only keep its customers, but provide valuable

More about Customer Satisfaction Essay

Open Document