Currently, it seems that the majority of businesses are focusing on customer satisfaction to determine their customer service measurements. This measurement is flawed and often falls short of actionable expectations.
Satisfaction surveys are unable to predict customer behaviors because they are built on faulty foundations. Many organizations assume that high levels of satisfaction translate into customer loyalty when, in fact, customer satisfaction ratings are more closely linked to your customers’ perceptions of your products or service attributes rather than to the value gained by those products or services or your product or service compared to competition.
Satisfaction is a measurement of, “I expected it and I got it; therefore, I’m satisfied.” If this were translated into a grading system, satisfaction could easily translate into a grade of “C” on any report card. The desired score is obviously an “A” and A’s always equate to loyal customers. A’s imply that customers got more than they expected and their expectations were exceeded in some way. Based on what is truly important to customers, they received more value from you than from your competitors.
Perceived value as defined by customers (as opposed to being satisfied) creates loyal customer relationships, and customer loyalty is the best predictor of your future strength and growth potential. The value you provide to your customers is always compared to the value your competitors provide; therefore, value is your customers’ perception relative to similar products or services in the marketplace—your competitors!
The best way to create perceived value in the eyes of your customer is to always exceed their expectations. Don’t make promises you can’t keep and under promise and over deliver. Do you have a way to measure the voice of your customer and how do you use that information to improve your product or service?
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