Customer Satisfaction Metrics that all businesses should measure


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Every business growth is dependent on its customers. Several times companies think that their customers are happy and satisfied with their products and services. But how can you be certain without even measuring the satisfaction levels? The first step should be to identify the right metrics to measure Customer Satisfaction and how you’re going to track them.

Importance of Customer Satisfaction

If you can’t measure it, you can’t manage it – Peter Drucker, Management Consultant and Educator.

This concept is appropriate for customer satisfaction. If you can’t measure the satisfaction levels, then you won’t be able to understand what makes you consumers satisfied or dissatisfied.

“One bad customer experience is sufficient for 58% of customers to switch to another company.”

Understanding Customer Satisfaction Metrics

It’s a metric used to identify how satisfied your customers are with your products and services. Customer Satisfaction is directly related to the Customer Experience.

Different Types of Customer Satisfaction Metrics

What is the right method to measure Customer Satisfaction? The answer is straightforward – ask directly from your consumers. The best way to capture customer insights is by surveying them. Customer satisfaction is a complex concept consisting of numerous metrics that will help businesses evaluate how happy or unhappy the consumers are with your products and services and also what went wrong in the customer experience. Let’s explore different types of customer satisfaction metrics for businesses to gauge satisfaction levels:


It’s also known as Customer Satisfaction Score. It plays a vital role in measuring how happy consumers are with your products, services, or brand. It’s recommended to use the metrics immediately after the customer interaction, as the experience would be fresh in their mind.

How to Measure CSAT?

Customer Satisfaction Score can be measured with the help of CSAT surveys. It would be consisting of the questionnaire by asking clients to measure their satisfaction levels on a scale of 1-5, where 1 denotes “very unsatisfied” and 5 denotes “very satisfied”. It can also be expressed on a scale of 0 to 100 percent. The higher the number, the higher would be the satisfaction score.

Standard CSAT Question:

“How would you rate your overall satisfaction level with the services provided?”

Formula to Calculate CSAT:

CSAT (average) = sum of all scores/ number of all scores
CSAT (percentage) = number of all positive scores/ number of all scores *100

2. NPS

It’s also known as Net Promoter Score. The metric was invented by Fred Reichheld in the year 2003, a partner consulting company of Bain and Company. It helps businesses in reducing the churn rate, measure loyalty, and satisfaction at touchpoints.

How to Measure NPS or Net Promoter Score?

NPS is measured with the help of NPS Surveys. The score reflects how likely the consumers are going to recommend your company to their friends and family. The answer is given on a scale from 1-10. 0 stands for “unlikely” and 10 stands for “highly likely”. Customers are categorized into 3 categories based on given scores:

  • Promoters: Score 9-10, they are the ones on which you should focus more. They are your loyal consumers who will keep purchasing from your company and refer your services to others.
  • Passives: Score 7-8, they are those satisfied consumers who are satisfied with your product, but not loyal to your brand. They are likely to switch your competitor in case if they offer better products and services.
  • Detractors: Score 0-6, they are unhappy consumers that are likely to spread negative word of mouth and can damage your company’s reputation.
  • Standard NPS Question

    How likely are you going to recommend our services?

    Formula to Calculate NPS

    Net Promoter Score = % Promoters — % Detractors

    3. CES

    It stands for Customer Effort Score. It’s used to measure the effort is put by the customers to interact with your brand. High effort indicates poor customer satisfaction levels because of bad customer experience. It helps in identifying the pain points of the customers.

    How to measure CES or Customer Effort Score?

    It can be measured with the help of CSAT surveys. Initially, it was measured on a scale of 1-5. But in a revised version, the scale would be 1-7, where 1 representing extremely easy to 7 representing extremely difficult.

    Standard CES Question

    Did the company made it easy for you to handle the issue?

    Formula to Calculate CES

    Customer Effort Score = Sum of all Customer Effort Scores/ Total number of respondents


    Collecting Customer Feedback data with the help of a CSAT survey is the first step for knowing how your consumers perceive your products and services. These insights can be useful to enhance your products and services, but the process should not end here. Implementing the right CSAT metrics for your business will be able to assess the current state of your customers and help you measure their satisfaction levels.

Sonika Mehta
Sonika is a co-founder at Zonka Feedback - a multi-channel Customer Experience and Feedback Platform. She is passionate about Customer Experience and how Technology can aid and improve it. She helps businesses devise and implement CX programs. She is an avid reader, loves to write poetry and enjoys sharing about her experience in marketing and sales.


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