Definition, Calculation Method, and How to Use It

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mouakter14
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Joined: Tue Dec 24, 2024 3:57 am

Definition, Calculation Method, and How to Use It

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Customer acquisition costs (CAC) are rising, competition is becoming fiercer, and product innovations that once made companies unique are becoming standardized. In this context, how can companies differentiate themselves to increase revenue and retain current potential customers ?

The answer lies in the shopping experience and customer satisfaction. The CSAT (customer satisfaction) metric helps companies measure, analyze, and improve customer satisfaction. So, what exactly is the CSAT scale? How is this data measured? What are its advantages and limitations? Find out in this article!

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CSAT Scale : Definition
CSAT is the abbreviation for Customer Satisfaction Score. It's a score used by companies to measure and analyze customer satisfaction with a product, service, or shopping experience.

The customer satisfaction index can be implemented at physician database the end of a customer's interaction with the company, after a purchase, but also after a positive or negative in-store experience.

The company asks customers how satisfied they are with their experience. Typically, the standard customer satisfaction scale is formulated as a question, for example:

Are you satisfied with the products/services provided by our company?


Next, you can choose a YES/NO response format. The other option is a customer rating scale : very satisfied, satisfied, neutral, dissatisfied, or very dissatisfied. Other presentations include a numerical scale of 1 to 10 (used for the Net Promoter Score ), stars, or emojis.

For example, you've probably had to rate a highway restroom using green, yellow, or red emojis. These smiley faces are used to show how satisfied you are with the cleanliness and condition of the restrooms. This is an example of how customer satisfaction (CSAT) is measured.
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