Why Customer Satisfaction Is Overrated: Focus on Enthusiasm Instead
1. Satisfaction vs. Enthusiasm:
Customer satisfaction is the measure of how well a company's products, services, or experiences meet or exceed customer expectations. It is how customers feel after interacting with a brand, often determining their likelihood to return, recommend, or remain loyal to the business. In short, it is about meeting basic expectations which is more than likely being achieved by competition also.
Customer enthusiasm involves exceeding expectations, creating memorable experiences, and fostering a sense of loyalty and advocacy.
Enthusiastic customers are much more highly engaged, more forgiving of mistakes, and often become passionate promoters of the brand.
2. Emotional Connection:
Customer enthusiasm reflects a deep emotional connection and excitement that customers feel toward a brand - a higher level of customer satisfaction - understood, valued, and aligned with the brand's values or identity.
This connection evokes positive emotions such as trust, joy, nostalgia, or pride, making the brand resonate on a personal level and fostering lasting loyalty and engagement.
3. Impact on Customer Retention:
This emotional connection can lead to increased loyalty and repeat business, as they see the brand as a trusted partner that understands and values them, making them more likely to choose it consistently over competitors.
According to Dr. Zimmerman, "40% of your 'satisfied' customers will move to the competition if they get better service".
4. Word-of-Mouth Marketing:
Enthusiastic customers are more likely to become brand advocates, actively promoting the company to others. This can lead to more effective and authentic word-of-mouth marketing, inspired by memorable moments of delight and surprise, as they want others to enjoy the same exceptional experiences.
In contrast, satisfied customers, who feel that their basic needs are met, lack the same emotional drive to share their experiences, making their word-of-mouth efforts less frequent and less passionate.
5. Competitive Advantage:
In saturated markets, customer satisfaction alone may not be enough to differentiate a brand. Customer enthusiasm can provide a unique selling point and help a company stand out from competitors, by creating loyal advocates, fostering brand resilience, and providing valuable feedback for continuous innovation and improvement.
6. Higher Lifetime Value:
Enthusiastic customers are more likely to make repeat purchases, explore new products and spend more over time because their loyalty is anchored in positive feelings rather than just transactional satisfaction.
There is no better formula to increasing a customer’s lifetime value to a company!
7. Resilience to Negative Experiences:
Enthusiastic customers may be more forgiving of occasional mistakes or negative experiences, as they have a stronger overall positive association with the brand.
They view setbacks as temporary, valuing the overall positive relationship, which outweighs occasional mistakes, making them more likely to remain committed despite occasional disappointments.
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8. Feedback and Improvement:
Enthusiastic customers are often more engaged and willing to provide detailed feedback, which can be invaluable for continuous improvement and innovation.
They are motivated to share insights and suggestions, seeing their input as valuable in shaping the brand's future, engaging proactively, believing their feedback can enhance their overall experience and for others.?
9. Measuring Customer Enthusiasm:
Net Promoter Score (NPS), which gauges the likelihood of customers recommending the brand, is the simplest and straightforward way to measure enthusiasm.
Social media sentiment analysis, customer reviews, and engagement metrics (likes, shares, comments) provide more nuanced and detailed insights.
Research surveys focusing on emotional responses, loyalty intentions, and memorable experiences help with depth understanding and direction on which strategies will work best with specific audiences.
10. Tactics to grow Customer Enthusiasm (over mere satisfaction):
Examples:
Starbucks - created customer enthusiasm by:
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Apple - cultivated a passionate fan base through:
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Disney - creates enthusiasm across multiple touchpoints:
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By shifting focus from satisfaction to enthusiasm, companies can create stronger, more resilient customer relationships that drive long-term business success.
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