Understanding Customer Satisfaction

Posted by on Dec 21, 2010 in Customer Satisfaction | 0 comments

The customer is the purchaser of your goods and services, and they are the recipient of the outputs from your processes.  Why does the customer decide to buy these outputs from your processes?  What goes into a customer’s purchasing decision?
The answer to those questions lies in the value the customer receives when they buy your product and services versus the many options they have available.  The customer chooses you because it believes your option represents the best overall value for them.  And value is simply quality, however the customer defines it, offered at the right price.
I have a friend who recently opened a new restaurant in the area, a nice little restaurant, but nothing special.  When he first opened, there was never a problem getting a table.  Often there were only a half dozen people in the place on a Friday or Saturday night.  My wife and I wondered how long he could stay in business.  The food was always good, at a good price, and lots of it.  In the last several months something has changed.  The place is packed on Friday and Saturday nights to the point you need a reservation to get a table.
What my friend realized was that it took time for “word of mouth” to get around.  He had the right formula — good food, lots of it, and at a good price.
What is your formula for success?  How do you know if your customers are satisfied?  How many repeat customers do you have?  Are you providing the value and quality your customers expect?

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