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Understanding Customer Satisfaction Score (CSAT): An Overview

Published 12 January 2023
Last updated 14 December 2023
Understanding Customer Satisfaction Score (CSAT): An Overview

Customer satisfaction is essential for any business, as it indicates how well a company meets its customers’ expectations.

One way to measure customer satisfaction is by using a customer satisfaction score (CSAT).

Understanding CSAT can be crucial for businesses, as it can help identify areas of success and improvement.

In this article, we will find out more about what CSAT is and how it can be used to benefit your business.


What is Customer Satisfaction Score (CSAT)?

Customer satisfaction score (CSAT) is a measure of how satisfied customers are with a business, products, services, or overall experience.

It is typically calculated by asking the level of customer satisfaction on a scale, such as 1 to 5 or 1 to 10.

A high CSAT indicates that most customers are satisfied with their experience. In contrast, a low CSAT must address some issues.

Businesses frequently use CSAT to identify improvement areas and track customer satisfaction changes.

CSAT is frequently used to gauge the effectiveness of customer service and the overall customer experience.


What is a Good CSAT Score?

A decent CSAT score will change contingent upon the business and explicit business, as well as the assumptions and requirements of the clients.

A good CSAT score is typically one with a score of 70% or higher. This indicates that at least 70% of clients are pleased with their interactions with the business.

But it’s important to remember that a high CSAT score sometimes means a company is doing everything perfectly.

Even if the CSAT score is high overall, collecting and analyzing customer feedback to identify areas for improvement is still crucial.


Why Should You Measure CSAT?

There are several reasons why it’s important to measure customer satisfaction (CSAT):

  • Improved customer retention: Satisfied Customers are more likely to buy from the business again.
  • Increased customer loyalty: Satisfied Consumers are more likely to stay with a company and recommend it to others, which results in increased customer loyalty.
  • Enhanced customer experience: A business can identify areas of customer experience improvement and take steps to address them by measuring and analyzing CSAT frequently.
  • Increased sales and revenue: Customers who are content with a business are more likely to continue doing business with it and to recommend it to others. The result can increase revenue and sales.
  • Improved reputation: A business with high CSAT scores probably has a good reputation. It means the company can get new customers and keep existing ones.
  • Improved customer support: A business can identify areas in which customer support can be improved and take steps to address them by measuring and analyzing CSAT regularly.

How to Calculate Customer Satisfaction Score?

Businesses can measure CSAT through customer feedback surveys that ask customers to rate their overall satisfaction with a product or service on a scale.

It usually ranges from “Very unsatisfied” to “Very satisfied,” with options like “Unsatisfied,” “Neutral,” and “Satisfied” in between.

By analyzing the responses to this question, businesses can understand the satisfaction of their customers with their products or services.

A business conducted a customer satisfaction survey and received 50 responses. Out of those responses, 35 were positive.

To calculate the CSAT score, sum up the number of positive responses and divide that number by the total number of responses.

And to express the result as a percentage, the business would multiply the result by 100.

35:50 = 0.7×100 = 70%

Most people are satisfied with the business’s offerings. However, there is still room for improvement.


Customer Satisfaction Score Example

Here is an example of a CSAT survey question:

How would you rate your overall satisfaction with the product or service you received?

Very Unsatisfied Unsatisfied Neutral Satisfied Very Satisfied
1 2 3 4

5

Note: You can adjust to fit the company’s specific product or service.

It is essential to clearly define the scale and provide a brief explanation of each rating option to ensure that respondents understand how to rate their satisfaction.


Easily Track Your Customer Satisfaction Score with Mekari Qontak!

Mekari Qontak provides Omnichannel and CRM software that helps businesses easily track customer satisfaction scores (CSAT).

With Mekari Qontak, you can capture real-time customer feedback and use it to improve your products, services, and overall customer experience.

Sign up for a free trial today and see how Mekari Qontak can help you track your customer satisfaction score over time and identify areas for improvement.

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