How to Measure Customer Experience

It is important for companies to understand what their customers want and how they react to certain situations. It also helps them to establish a relationship with their customers and maintain the customer’s loyalty.

There are many ways in which companies can measure customer experience. The three main ways are Net Promoter Score (NPS), Customer Satisfaction Surveys (CSAT) and Customer Effort Score (CES).

Net Promotor Score (NPS)

NPS, or Net Promoter Score, is a customer experience measurement tool that has risen to prominence over the last decade. It measures customer loyalty by asking a single question: “On a scale of zero to ten, how likely are you to recommend our company/product/service?”

The NPS score is typically used as an indicator of how well your company or product is performing in comparison with your competitors. In general, if you have an NPS score higher than 50, then you are doing well and should continue with your current strategy. If your score falls below 50 then it may be time to make some changes in order to improve customer satisfaction.

Companies should always be aware of the customer feedback, it helps them to improve their services and products so that they can better satisfy the needs of their customers.

Customer Satisfaction Score (CSAT)

The acronym CSAT stands for Customer Satisfaction and refers to a measurement of customer satisfaction. The CSAT is a measurement tool that helps companies to identify the reasons for customer dissatisfaction and improve their services. It was developed by the American Marketing Association and is used by many different kinds of businesses, from software developers to banks.

The CSAT score is calculated by asking customers to rate their level of agreement with statements on a scale from 1 (strongly disagree) to 5 (strongly agree).

Customer Effort Score (CES)

Customer Effort Score is another great way to measure customer experience. The question asked is usually along the lines of, how easy did you find…

Customer Effort Score is a great metric to use where ease of use is a value driver for customers. So this would be less appropriate when gauging satisfaction with a meal or service but very applicable to situation such as…

a) Booking this flight

b) Resolving your issue with our contact center

c) Finding what you needed in our store

Usually this is scored using 7 options as per the image below.

Remember!

A common mistake businesses make is only measuring one point in the customer journey and taking that as their businesses score. But this could be skewing results if your asking at the wrong time. For example an insurance company may receive a great score when customers sign up, but not so good when responding to claims. Therefore, it is critical to measure customer experience at all ‘moments of truth’ to get an accurate score.