5 Quick Ways To Improve Customer Satisfaction

customer-satisfaction

Your business’ success depends on customer satisfaction.

If you have unhappy customers, you will lose sales and clients, and end up with a bad reputation, all of which will negatively impact your business. Businesses understand the repercussions of this, which is why they do their utmost to prevent this from happening and take all measures to ensure happy customers. The possibilities for increasing customer satisfaction are numerous, and the digitalization of processes is actually simplifying them. Continue reading if this is something you’re interested in. Our goal in this blog post is to provide you with five quick ways to improve customer satisfaction.

Let’s get right to it.

What is customer satisfaction?

The concept of customer satisfaction refers to the degree of satisfaction customers have with the products, services, and capabilities of your company.

Why is customer satisfaction important?

customer-satisfaction

Customer satisfaction is one of the most important aspects of any business, regardless of its size.

A satisfied customer can bring many benefits to your business. The following are some of the most relevant ones.

1. Increase in sales

One of the main advantages of satisfied customers is the increase in sales. A happy customer, for instance, who receives exceptional support will be more likely to make a purchase from your business. Profits will therefore rise significantly.

2. Loyal clients

Clients who are happy are more likely to return again and again, thus becoming loyal clients. Having loyal clients means you will experience consistent sales periodically, allowing your business to grow. 

3. Better brand reputation

The clients who are satisfied with the products and services you provide and the services your business has provided are likely to leave positive reviews. Positive customer reviews are a powerful tool for influencing future purchases from other clients and improving the reputation of your business.

4. Free advertising

Customers who are highly likely to become loyal customers will serve as brand ambassadors. They will more likely spread positive words about your business, product, and services to their friends, relatives, and so on, or also on social media. This means you will get free advertising, which means more clients and sales.

How to measure customer satisfaction

There are multiple ways through which you can measure the satisfaction of your customers. Listed below are a few of the most reliable methods.

  • Conduct surveys

Conducting surveys is a good way to determine if there is anything wrong with your business or if you can improve your service or product in any way. These tools will allow you to ask questions to clients and potential customers and receive insightful answers. By analyzing these, you can identify the pain points in your business and take steps to improve the experience for your customers.

There is now a wide variety of survey templates available on the web. You can learn more about how to use survey templates if you’re interested.

  • Read reviews and comments on social media

Examining all reviews and comments under your social media posts is another effective way to measure customer satisfaction. Critical reviews and negative comments are all red flags that indicate that something is wrong with your product, service, or business.

Even so, you can also use negative reviews as a tool for improvement. Indeed, many bad or neutral reviews contain suggestions for improvement. If you respond to bad signals about features of your product, aspects of your service, or aspects of your business, you’ll improve customer satisfaction.

  • Analyze information from live chat and support service

In websites and apps, live chats and tickets can be a rich source of information. As part of the conversation, you can either analyze the most common requests, issues, and doubts of the client, or you can provide the client with a quick survey or review.

By taking these actions, you will be able to gain insight into how your support service is working and the level of satisfaction your customers are experiencing. 

  • Calculate and analyze KPIs for customer satisfaction

By calculating and analyzing some specific and useful KPIs, you can be more specific about the satisfaction level of your customers. The following are some of the most relevant and representative KPIs.

  • Churn rate

Churn rate refers to the percentage of clients you lose over time. A high percentage indicates poor customer retention. Although this percentage may not exactly tell you what’s going on in your business, it can be a great indication that something is amiss.

Dividing the number of customers you lost last quarter by the number you started with last quarter gives you the customer loss percentage.

  • Return customer rate

The return customer rate indicates the percentage of customers who make a second purchase from you. The higher this rate is, the better it is and indicates a higher level of customer satisfaction.

Return customers / total customers x 100

  • Net Promoter Score (NPS)

NPS measures how loyal your customers are. The Net Promoter Score measures a customer’s willingness to tell their family, friends, and colleagues about your brand’s products or services. The score is determined by analyzing the answers to all surveys you conducted.

  • Customer satisfaction score (CSAT)

The CSAT score indicates the percentage of customers who are satisfied with the company’s products or services. The CSAT score is expressed as a percentage. 100 percent would be great; 0 percent would be lousy.

This score can easily be calculated by providing clients and other people who interact with your business with a one-question survey that specifically asks them to rate their satisfaction with your products or services.

5 quick ways to improve customer satisfaction

customer-satisfaction

There are a number of ways through which you can increase customer satisfaction. Listed below are a few of the most effective ones.

  • Provide an omnichannel experience

The social media revolution has made it possible for businesses to promote their products and services across multiple social media channels and other platforms, and they should be able to provide the same level of support and experience to their clientele across these platforms as well. In addition, by exhibiting professionalism and competence on every channel, you will improve the satisfaction of your customers.

  • Offer money-back guarantee and free returns

Money-back guarantees and free returns will certainly increase sales and improve customer satisfaction. For instance, in the case of selling clothes, not offering returns or making people pay a price will discourage sales, since most people will not be sure if the clothes they choose will fit them.

Rather, clients who are able to order and change products and request a refund if the products do not meet expectations will be more likely to make purchases.

  • Pay attention to all reviews

As mentioned previously, reviews are opinions and tell about the experience your customers had using your product or service. When these are negative or neither exceptional, potential customers will be discouraged from buying from you, and they’ll most likely buy from someone else. On the other hand, positive reviews will make new customers want to buy from you. This explains why it is important to read all the reviews and pay attention to them. In many cases, they include suggestions for improvements or describe bad experiences with the product or service you offer.

Identifying all the bad aspects of your business and addressing them will keep you from losing customers, and you can improve your product and offer a better customer experience.

  • Provide exceptional customer support

Customer support refers to the service you provide when a client or potential customer contacts you about a problem with a purchase, product choice, or with their experience with your service or product.

In today’s world, customers are highly discerning when it comes to customer support services; they expect them to be fast and provide effective solutions. If your business fails to provide this service efficiently, it may result in bad reviews and unhappy customers. 

Therefore, you should invest in providing efficient support in any way you can. In order to achieve this goal, it is recommended that you create extensive FAQ pages, incorporate Live chats and chatbots, and make sure that it is available 24/7.

  • Offer loyal programs 

At some point in their journey, returning clients feel the need to be recognized as such and to be rewarded for their loyalty and their efforts. This explains why more and more organizations are adopting and implementing loyalty programs. With these programs, loyalty customers can receive specific rewards depending on how much they spend or how many times they order.

The presence of loyalty programs makes loyal clients feel appreciated and special, which strengthens the relationship between your brand and them, building brand loyalty

Conclusions on Customer Satisfaction 

customer-satisfaction

The key to business success is customer satisfaction. Increased sales, loyalty, improved brand reputation, and a good reputation go hand in hand with happy customers. Today, there are many ways through which a business can improve customer satisfaction, including excellent support service and loyalty programs. Putting into practice some of the strategies listed in this article will ensure that your business has higher levels of customer satisfaction. I appreciate you taking the time to read this article. Hope it was helpful and informative for you. If you’d like to know more about this topic, check out this blog post on five easy steps to create a killer customer success plan.

Author:

Flavia Silipo is a skilled SEO copywriter and digital marketing specialist with over two years of experience. You can find her on LinkedIn.

Why Measuring Results In 2022 in Your Businesses Is Crucial

Measuring Results

Why Measuring Results In Your Businesses Is Crucial

Measuring results is crucial! As a self-employed person, you know how business can be unpredictable. Since everything keeps changing and you need to keep adapting to every change, it is important to constantly measure your business results.

All businesses have ups and downs. And when you’re in a down cycle, there is nothing better to help you get up again than looking at the results and evaluating them. Conversely, when you are in an upcycle you want to measure what is working right so that you can repeat your success.

The Importance of Tracking Lead Indicators and Lag Indicators

There are two types of Key Performance Indicators: Lead indicators and Lag indicators. Lead indicators are measures of what happened today and this week. Examples include the number of today’s and this week’s prospects, the number of prospects you have converted into customers, recent customer reviews, etc. Lag indicators measure what happened in the past. Examples of Lag Indicators include income statements, balance sheets, and cash flow statements.

When you are looking to measure the results of your small business, there are many different methods or approaches that you can use. My preference is to use lead indicators and lag indicators. But in both cases, you want to track your results as quickly as possible. If you are using Quickbooks it is possible to have your income statement in real-time. That requires you or your accountant to enter all of your sales and expenses daily.

Here are some Key Performance Indicators to consider for your business:

#1: Determine Your Customer Satisfaction:

Measuring results is crucial with customer satisfaction. As a self-employed person, you know that the ultimate goal is to have good customer satisfaction. In fact, there are some business owners that only use customer satisfaction when they are measuring results. However, I’m not that extremist even though I believe this is a very important method.

The reality is that if a customer isn’t happy with the product or service they bought from you, they won’t buy from you again. So, how can you start measuring results?

Getting Online Reviews

One easy way is to have your customers to give you online reviews with Google, Yelp or other Social Media platforms. The rating scale is 1 to 5, with 5 being excellent and 1 being poor. You have to be pretty confident of your service or product because your rating will be posted for the world to see. The upside to doing this is if you have great reviews everyone will know it! One downside is that you may not be able to track certain aspects of your service that you may want to improve.

If you want more specifics you can use a survey with specific questions and ask for a review or feedback, or you can simply ask your customers directly. Doing this allows you to understand how certain departments in your business may be working such as reception, reservations, operations, billing, etc.

What if You Get a Bad Review?

One thing that you need to have in mind is that you won’t be able to make everyone happy. There will always be a couple of customers that won’t be happy no matter what you do. However, don’t let this affect you. Take note of their opinion and try to improve the services or products that you are selling. If the negative review is online always respond to the review with an online review and apology and an offer to remedy the situation. Finally, bury that negative review under a lot of positive reviews! Be proactive about asking for reviews; the more the better.

#2: Measuring Results With Your Financial Statements:

Measuring results with your financial statements is crucial; they tell a story. The story of your recent performance of how much you sold, how much you spent, and how much was left after doing your selling and spending.

While you may not be an accountant and don’t understand financial statements very well, you want to learn how to read them. After all, you need to make sure that you know how much money your business is making and how much it is spending.

Measuring Results Using a Cash Flow Statement, a Balance Sheet, and an Income Statement

The main documents that you really need to understand are the cash flow statement, the balance sheet, and the income statement. The cash flow statement will allow you to know how much liquid cash you have. The balance sheet is a great tool to see how much you own and how much you owe. Last but not least, the income statement will show your profits and losses in a specific period of time.

When you look at them all together, you’ll get a great perspective on how your business is.

#3: Determine The Number of Prospects That You Are Getting:

Measuring results with your prospects is crucial. You should know how many prospects you need in order to win a customer. Your marketing activities should bring you the number of prospects that you need in order to meet your sales goals. Begin to track every inquiry that you receive through phone, through email, and through social media. Find out how these prospects found out about your business so that you can measure the results that your marketing activities are bringing to you.

#4: Determine The Number Of New Customers That You Are Getting:

One of the best ways of measuring results in a small business is to look at the number of new customers that you have on average. While it is important to keep your current customers happy, it is also important to get new ones. After all, when you don’t have new customers or you have one or two new customers a month, you can say that your business is stagnant (in some industries, and depending on the products or services that you provide).

In case you have no idea about how to start measuring results in this field, you can start right now. Simply create a list with your current clients and their email addresses, for example. As you have a new client, add him to the list with the date. This way, it will be easier to know if you are increasing your average of new customers, reducing it, or if you are stagnant.

#5: Measuring Results With Your Employees:

While keeping monitoring your financials as well as your customers’ overall satisfaction, your employees’ input is also crucial. So when you’re measuring results, you can’t forget about them. After all, they are the ones work hard so that your business can reach the goals you defined.

One of the things you can do is to conduct performance reviews once or twice a year. These will allow you to see if employees are happy with their current job position, with their responsibilities, and with their payrolls as well as they allow you to determine if they are completing their tasks in an efficient way.

I also recommend reviewing all your Key Performance Indicators with your employees and getting ideas from them on how to improve your performance.

As you can see, there are a lot of alternatives to measure results. And the best thing is that you don’t have to choose one over the other. You can (and should) use as many methods as you can so that you can truly start improving your business results.

Conclusion

What measures do you use? Have you tried any that have not been helpful to you? Tell us in the comments below.