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Where does CSAT fit into the customer experience?

Customer satisfaction (CSAT) is a key performance indicator (KPI) that measures how satisfied customers are with a company’s products or services. This measurement was developed using a number of research methods between 1972 and 1977. It asks a simple but important question: “How would you rate your overall satisfaction with the [goods/services] you received?”   

Respondents use a Likert scale to reply: 

1. Very unsatisfied
2. Unsatisfied
3. Neutral
4. Satisfied
5. Very satisfied   

A brand’s score is determined by dividing the percentage of satisfied customers (those who rate 4 or 5 on the scale) by the total number of responses. 

• CSAT provides insights into how well your brand meets customer expectations at various touchpoints in the customer journey. We suggest collecting targeted feedback at key stages, such as after a purchase, customer service interaction, or delivery. 

• Implement follow-up CSAT surveys after product launches to identify potential issues early. 

• Measure employee satisfaction for greater insights into internal processes and morale. 

• Flexibility: CSAT surveys can be customized to focus on specific aspects of the customer experience, using various indicators like numeric scales or emojis. 

• Immediate insights: CSAT captures the “here and now” sentiment, allowing businesses to address issues promptly. 

While CSAT is a powerful tool, it has its limitations—namely, reflecting short-term opinions that may not fully capture a customer’s loyalty profile. Additionally, “satisfied” can mean different things to different people, making it essential to supplement CSAT with qualitative feedback for a comprehensive view.

By leveraging CSAT alongside other metrics like NPS, businesses can gain a deeper understanding of their customers and drive meaningful improvements. Explore our educational resources to learn more about optimizing customer satisfaction.