What is CSAT & How to Measure It?

CSAT stands for Customer Satisfaction Score, and it's a metric that measures how satisfied your customers are with your product or service. A high & good CSAT score indicates that your customers are happy with what you're offering, while a low CSAT score means that they're not.

There are a number of ways to improve your CSAT score, such as making it easy for customers to give feedback, addressing customer concerns promptly, and offering excellent customer support to meet customer expectations.

Why is CSAT important?

CSAT is important because it allows companies to assess and measure customer satisfaction levels and identify areas where improvements are needed. This information can then be used to make changes that will improve the overall customer experience. Also, CSAT scores can be used as a benchmark to compare against other companies in the same industry.

CSAT survey provides a quantitative metric of customer satisfaction levels, and it can also be paired with an open-ended question to get qualitative feedback. CSAT surveys helps boost customer retention, reduce customer churn and improve customer satisfaction.

3 key takeaways of what CSAT can help you achieve.

• Drive a better customer experience
• Capture customer sentiment & identify unhappy customers
• Discover new pain-points with CSAT metrics

How is CSAT different from NPS?

CSAT (Customer Satisfaction Score) and NPS (Net Promoter Score) are two different customer satisfaction metrics used to measure customer loyalty. CSAT is a short-term metric that focuses on a customer's immediate satisfaction with a product or service, while NPS is more of a long-term metric designed to measure customer journey and loyalty over time.

CSAT is measured by asking customers to rate their level of satisfaction with an experience on a scale from 0 - 10. NPS measures the likelihood of customers recommending your product or service to someone else, using a scale from 0 - 10.  

CSAT is used as an immediate indicator of how satisfied customers are with the current experience, whereas NPS looks at the overall sentiment and brand loyalty of customers in relation to future purchases and recommendations.

How is CSAT different from CES?

Customer Effort Score is yet another customer satisfaction survey which is used to gauge customer satisfaction.

CSAT is usually expressed as a percentage score based on customer survey responses and can range from 0-100%. On the other hand, CES measures how much effort customers have to make in order to complete a task or achieve their desired outcome.

CSAT primarily focuses on the overall customer satisfaction while CES is focused on how frictionless the cx was for each individual part of the process. CES questions typically focus on topics such as ease of use, clarity of instructions, and helpfulness of customer service representatives.

How to measure CSAT?

CSAT is one of the most popular surveys to measure customer satisfaction. They’re very easy to set up and they capture essential customer feedback.

CSAT surveys mostly contain closed ended questions (e.g., "How satisfied are you with the product?"),

and respondents use the following scale:

1. Very unsatisfied

2. Unsatisfied

3. Neutral

4. Satisfied

5. Very satisfied

Customer satisfaction score (CSAT) is a formula that gives you an idea of how loyal a customer is to your brand. It measures their level of satisfaction on a scale from 0-100.

Calculate your CSAT score like this: