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Why Customer Satisfaction is Key to a Startup’s Success

Why Customer Satisfaction is Key to a Startup’s Success

Friday June 21, 2019,

4 min Read

Customer Satisfaction is very important for any business to be successful over time. Being abstract in nature, customer satisfaction as a metric is not accurately measurable. So Consumer Satisfaction Survey is devised to gauge Customer Satisfaction. It is considered to be a good indicator of customer satisfaction.

customer satisfaction survey

Customer Satisfaction Surveys ask simple questions to the customers regarding the company, its products, services and how satisfied or dissatisfied they were.

Customer satisfaction surveys can benefit an enterprise in more ways than it may anticipate. It helps companies to know their customers better, improve customer service. Most importantly, it helps the company in evaluating and improving itself with all the feedback and suggestions given by users. Companies construct customer satisfaction questionnaires and conduct them from time to time. If they place their questions tactically in these surveys, then they can avail maximum benefit with the help of this single feedback mechanism.

Why target satisfied customer?

Satisfied customers are more loyal, buy more of your products and add significantly to the company’s revenue. It is therefore a very important domain in marketing and self assessment of a company. It tells the company how well its product or service fared in the consumer market. Studies suggest that satisfied customers are more likely to spread a good word about a company within their immediate circle. This increases their probability of buying the company’s products as they hold a good perception of the company. Satisfied customers are more likely to return to your company to buy the same as well as other products.

Why do start-ups need Customer Satisfaction?

The biggest challege faced by start-ups in their nascent stage is bringing in new customers. This can be very expensive and a tiring process. So once they come in, start-ups need to make sure that they don’t leave, else bringing them once again will be an even more expensive process. Being new in their game, customers might be more sceptical of them. Customer Satisfaction Survey can help start-ups assess if it was able to leave a good impact on its customers. If it didn’t, it could assess its strategy once again.

Based on its score, the start-up can device a new strategy or can train its employees, down from the operational level to the top executive level. After subsequent Customer Satisfaction Surveys, the start-up will find out how well it is faring with its customers or to what extent the new strategy or the new approach of the employees is working.

Based on this assessment the start-up can device its marketing strategy as well. As mentioned before, it is difficult to bring in new customers. From the Customer Satisfaction Survey the start-up can find out which marketing strategy worked out with the customers it was able to attract. It can repeat the strategy that worked out or make a new one on similar lines.

It is also important to note that not all customers will be happy with your company. There will always be customers who find faults here and there. Customer Satisfaction Survey can also help in identifying who these dissatisfied customers are. The concerned company can then try to mitigate the loss that dissatisfied customers are capable to produce by paying special attention to them. A few dissatisfied customers have the capacity of eroding all the good work the company has done, with their negative reviews. The start-up can also cater to them and their needs and find out what didn’t work in their strategy.

Start-ups need a dedicated customer base and satisfied customers are loyal customers. If a start-up works on its loyal customers, it can convert them into brand ambassadors. Brand ambassadors can turn out to be the golden goose for a start-up. This is because people do not tend to trust new businesses soon, but they do trust word of the mouth, and a good word of the mouth is all a start-up needs in the beginning to kick-start its sales. Brand ambassadors do just that and bring in more customers, more efficiently than expensive marketing could.

Start-ups often face many bottlenecks in its initial stages. Based on the feedback received from the Customer Satisfaction Survey, a start-up can discover where it was lacking in execution of its services. This assessment, if worked upon, can take any start-up a long way in its journey to success.

The start-up can also fine-tune the products or services it is dealing in, according to the needs of its customers, based on the feedback received from the Customer Satisfaction Survey.

Satisfied customers can help start-ups in augmenting its sales and revenue which will in turn help growth. It can also help in boosting its profits as unnecessary costs can be identified and then eliminated after conducting a series of Customer Satisfaction Surveys.