Customer satisfaction (CSAT) measures a client’s fulfillment with a product, service or experience.
Detailed Explanation
CSAT is often associated with a “CSAT score” and is a great way to determine customer satisfaction at various engagement points, including the onboarding process, the user experience, the point of purchase and more.
CSAT scores are measured in percentages: 100% represents complete customer satisfaction, while 0% represents complete dissatisfaction. Anything in the 75%–85% range is considered a good CSAT score.
Companies love using CSATs as a quantitative key performance indicator (KPI), giving them all the data they need to measure customer satisfaction.
While companies use many ways to measure customer satisfaction, a customer feedback form is one of our favorite methods. It includes a few questions about the product, service or experience with a scale. For example, “How would you rate your experience with [product name]?”
1. Very unhappy 2. Unhappy 3. Neutral 4. Happy 5. Very happy
In fact, calculating CSAT scores is easy – divide the sum of all positive responses by the total number of responses. Multiply this by 100, and you have the average satisfaction rate.
Number of positive responses / Total responses 100 = CSAT score
Let’s take a look at an example. Say you receive 40 positive responses from a total of 50 responses. Your score would be:
40 / 50 x 100 = 0.8 x 100 = 80%