If you’re looking for ways to improve customer satisfaction, you’ve come to the right place. In this article, you’ll discover five effective ways to boost customer satisfaction and ultimately, your business’ revenue. When done correctly, these ways can help your business increase sales, customer loyalty, and word-of-mouth.
1. Increased sales
A recent study by the Institute of Customer Service found a significant link between customer satisfaction and business performance. Companies with high customer satisfaction experienced the strongest sales growth (up to 20 percent). Meanwhile, those with lower customer satisfaction saw serious sales declines. The worst offender posted the biggest decline (-14%) and had the lowest customer satisfaction. Clearly, the best way to improve business sales and revenue is to focus on the factors that directly impact customers’ satisfaction.
2. Repeat Business
First, customer satisfaction is critical for repeat business. Unsatisfied customers will not buy from you again, which means your profits will suffer. On the other hand, satisfied customers will make repeat purchases and boost profits. In addition, improved customer satisfaction improves service metrics. It also helps in product development, marketing, and sales. But what can you do to increase customer satisfaction? Here are some ways to improve it. Read on to find out how!
3. Increased Loyalty
Increasing customer loyalty is essential to your business’ long-term survival. Studies show that customers who develop an emotional connection with a brand are more likely to stay loyal and spend more with you over time. According to one study, 68 percent of customers are willing to pay more for a product or service from a business that delivers excellent customer service. A loyal customer will not leave you because you raise the price, and your business can grow as long as the customer is loyal.
Increasing customer loyalty isn’t easy, but it’s worth it when it boosts your business. It’s important to keep in mind that repeat customers are the most valuable asset for any business. It’s also important to make them feel special and valued, which will keep them coming back again.
4. Improved Word-of-Mouth
Few companies actively manage word-of-mouth marketing. Yet, this type of marketing has the power to influence brand perception, purchase rates, and market share. As such, businesses should leverage customer satisfaction and brand experience to improve word-of-mouth marketing.
Creative and interactivity boost positive consequential word-of-mouth. These two elements are closely related. Creativity is especially important for low-innovation categories that struggle to grab consumer attention. Cadbury’s “Glass and a Half Full” advertising campaign, for example, harnessed both creativity and interactivity. A brand’s response to the comments and questions of consumers can increase word-of-mouth.
A company’s social media channels and engagement with the target audience can increase the amount of positive word-of-mouth publicity and encourage its customers to share their experiences with others. In addition to an overall positive brand experience, companies need to focus on customer satisfaction and recognize it as a direct pipeline to improved sales and a sustainable business.