Posted 14 Aug 2019, Editor's Desk
All this is Very Simple!
To know how to measure customer satisfaction, you need to first understand how to take feedback from the customer. Companies used to take customer feedback through feedback forms.
You need to bring a little change in your feedback form to evaluate whether your customers are also your potential unpaid business developers.
Are they your potential promoters?
Are they positive, neutral, or negative about you?
You can determine this by taking feedback from the customers on a scale of 0-10.
How Your Customers Rate You?
For any organization, it is important to calculate Net Promoter Score (NPS).
Suppose, if out of 100 people, 40 people give you a rating between 0-6, 10 people have given you 7 and 8 ratings, and 50 people have given you a rating between 9 to 10, then your Net Promoter Score calculation formula will be:
NPS = Promoters (P) – Detractors (D) [+/- Neutrals (N)]
= 50 – 40 (+/- 10)
As neutrals will have no effect on your NPS score, so:
NPS = 50 – 40 = 10%
So, your NPS is 10%, it means that out of 100, 10 people will promote you.
Your NPS should be higher and positive.
Net Promoter Score calculation formula will help you to figure out your current customer satisfaction level, brand loyalty level, and brand loyalty measurement index. This figure will help you to strategize your future plans.
Measure your detractors and make a note of the complaints.
According to the new management strategy, the complaint is a gift. So, catch it because it will help you to strategize in the near future.
Neutrals will always remain neutrals. Try to engage promoters strategically and use them for your Brand Promotion.
You should listen to your detractors and solve their complaints otherwise they will keep on speaking negatively about you.
With the help of strategies of how to measure customer satisfaction given as above, you can understand what your customers’ needs, and scale up your business.