Three Major Factors That Contribute to Customer Satisfaction (2023)

Three Major Factors That Contribute to Customer Satisfaction 2048 1365SprocketsSprockets–-1@2x.png

Customer satisfaction consists of numerous factors that are important to stay on top of. Customer satisfaction is important because it determines many factors that impact your business. The first impact is whether someone will be a repeat customer. In addition, customer satisfaction has increased importance in the digital age with concern to what customers post online. Another factor, that is commonly overlooked, is how much they may spend with your business in the future. The first step in improving your customer satisfaction is by understanding the factors that impact it, which is followed by learning how to act on those factors.

(Video) The Three C's of Customer Satisfaction

The three major factors that affect modern customer satisfaction can be categorized as customer perceived quality, value, and service. By harnessing these factors, you are able to provide positive, consistent customer experiences and create true customer loyalty. Let’s dive into the most common factors that contribute to customer satisfaction across industries.

Perceived Quality

If a customer gets a burger once per week and expects the same quality each time, they will notice when it is off. When their favorite burger isn’t cooked the same, has a soggy bun, or contains wilting lettuce, the perceived quality won’t be the same. When this incident occurs, customer satisfaction goes down. By being aware of instances of product/service inconsistencies, you can be proactive about reaching out to those customers and letting them know the steps you are taking to remedy the inconsistency they experienced.

Perceived Value

If someone gets a burger from a steakhouse vs. at McDonald’s, the perceived value is different. The McDonald’s $2 burger is good, because it’s only $2. But, if they got the same burger from the steakhouse, that perceived value won’t be great. By understanding when a product or service has not met a customer’s expectations, you can proactively provide a remedy. For this example, if someone wrote a poor review/completed a feedback survey writing that they expected a $20 burger but felt it lacked the value, offer them a voucher towards their next meal to make up for their poor experience.

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Perceived Service

The service a customer receives can be a big contention point for people. Were they greeted with a friendly smile? Did they receive receive their order quickly? Were they thanked for their business? Or did they sense a bad attitude? Did they have to wait 10 minutes before anyone helped them? While it may seem like one unsatisfactory action – like not understanding someone clearly at a drive-thru should be masked by getting their food quickly and thanking them for their order, that’s not always the case.

Understanding that one step of your business process being less than satisfactory is crucial to improving customer satisfaction. A good practice to understand where your business process may be falling short. The way to understand this is through a customer satisfaction survey. Reading through the responses of those with poor experiences can help you learn how to either improve your process, train employees better to create a consistent image, and/or learn you need to let go of certain employees who may be costing you business.

Take Proactive Customer Satisfaction Steps

Once you understand how the factors that contribute to customer satisfaction in your business, it’s important to be proactive. Being proactive can include having a “playbook” for scenarios for which customers are not satisfied with value, quality, or service. Below are a few of our suggestions to be proactive in the case of customer satisfaction.

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Offer Customer Feedback Surveys

Unhappy customers love to complain. Whether it’s in-person to their friends on Google Reviews, social media, or in customer feedback surveys. By offering customer feedback surveys (with an incentive to take them – like enter to win free product/services), you can redirect an unhappy customer’s negative feedback while gaining insight into improving your business.

Train Managers to Handle Dissatisfied Customers

If you know that a customer is unsatisfied on the spot, it’s important to allow them to speak with a manager regarding their frustrations. People like to be heard.

Incentivize Your Employees

In an ideal world, employees would give 100% to each person that they speak to. However, that isn’t typically the case. By incentivizing your employees to give great customer service, you increase the likelihood that they give great service to everyone. Popular incentives include cash bonuses based on a set number of positive customer feedback surveys for the business and individual level.

(Video) Marketing 1: Ch 1.1.2 - Customer Satisfaction

Arm Your Employees with Resources

When you are dealing with a dissatisfied customer, whether on the spot or online, it’s important to arm your employees with the resources they need to resolve the problem. Resources may include coupons, gift cards, email templates to respond to customers with.

Learning the basics of customer satisfaction factors and the strategies to improve it is important for all businesses. By being aware of where your business falls short in your customer’s eyes you can better utilize strategies to improve customer satisfaction. Using the strategies outlined above can assist you in improving your customer satisfaction rating and ultimately, your customer lifetime value.


What are the 3 C's of customer satisfaction? ›

The three Cs of customer satisfaction: Consistency, consistency, consistency. It may not seem sexy, but consistency is the secret ingredient to making customers happy. However, it's difficult to get right and requires top-leadership attention.

What are the factors leading to customer satisfaction? ›

The three big things that go into customer satisfaction are convenience, price, and service. If a customer feels like they are getting good value for their money, they feel satisfied with the service they received from you.

What are the 3 main drivers of the customer experience? ›

3 Factors Driving Customer Satisfaction the Most in Customer Service
  1. Ease of access and speed of support. How can you ensure that your customer service is swift and easily available? ...
  2. First contact resolution. ...
  3. Human contact.
Aug 18, 2015

What are three reasons why customer satisfaction is important? ›

Customer satisfaction is important because it illustrates whether your customer base likes what you're doing. Research shows that high satisfaction leads to greater customer retention, higher lifetime value, and a stronger brand reputation.

What are the 3 R's of customer loyalty? ›

Here we explore the “Three Rs”: Rewards, Relevance, and Recognition, a mnemonic coined by marketing executive Paulo Claussen, that can help brands understand key elements of strong and effective loyalty programs.

What are the three 3 major classifications of customers? ›

They are:
  • Your Current Customers. These are the most important because they've already made a commitment to you. ...
  • Brand New Customers. These are the people who are currently purchasing products and services from your competitors. ...
  • Lost Customers.
May 21, 2009

What are the three steps to improve customer satisfaction? ›

As a customer-centric company, here is what we suggest:
  1. Offer multi-channel support.
  2. Make collecting feedback a company process.
  3. Measure customer satisfaction regularly.
  4. Ask for feedback across all touchpoints.
  5. Actively ask customers for feedback.
  6. Share feedback across all your teams.
  7. Reply to all feedback.
Feb 3, 2023

What are the most 3 factors affecting employee satisfaction? ›

These 6 factors influence your job satisfaction!
  • The atmosphere in the team and at the office. ...
  • Work-life balance. ...
  • Salary and working conditions. ...
  • Varying work. ...
  • Development opportunities. ...
  • Flexible working and autonomy.

What are the 4 key factors in providing great customer service? ›

There are four key principles of good customer service: It's personalized, competent, convenient, and proactive. These factors have the biggest influence on the customer experience.

What are the 3 dimensions of customer service? ›

Effectiveness: Customers get value from you because they're able to complete the task they came to do. Ease: Customers want an easy experience – not too complicated, confusing or loaded with too many steps. Emotion: Customers come away with the positive feeling they expect.

What are the three 3 Characteristics of customer engagement? ›

What are the 4 key attributes of successful customer engagement?
  • Active customer engagement. ...
  • Emotional customer engagement. ...
  • Rational customer engagement. ...
  • 4.Ethical customer engagement.
Apr 8, 2014

What are the 3 C's of a customer driven service marketing strategy? ›

The 3 Cs are: Company, Customers and Competitors - the three semi-fixed environmental factors in your market. As the 4 Ps and 3 Cs all need to be considered in relation to each other, it doesn't really matter in what order you define them. Product: This is where you define your product or service.

What is the most important customer satisfaction standard? ›

1. Net Promoter Score® One of the most important customer experience metrics regarding measuring your efforts for customer service is the Net Promoter Score. NPS stands for an index that ranges from -100 to 100 reflecting the willingness of clients to recommend a particular service or product further.

What are the three aspects of customer value? ›

Customer Value is created along three different dimensions: Functionality (the job that the solution does and how well it does it), Reliability (how consistent the solution is at doing the job well) and Convenience (how accessible the solution is to customers and how easy it is to use).

What are the top 3 5 priorities in customer success? ›

Customer Success Empower and enable your CSMs. Product Create elegant product experiences. Customer Experience Identify trends across the customer journey. Revenue and Sales Drive a high performing renewals process.

What are the 3 key steps to maintain customer relationship management? ›

  • Provide great service. Your employees interact with customers on a regular basis. ...
  • Make it personal. ...
  • Stay in touch. ...
  • Offer rewards. ...
  • Celebrate your customers. ...
  • Give back to your community. ...
  • Don't forget the little things.
Sep 15, 2017

What are the 4 factors influencing customer satisfaction? ›

Factors that Influence Customer Satisfaction
  • Accessibility.
  • Empathy.
  • Language.
  • Response Time.
  • Convenience.
  • Choices.
  • Simplicity.
  • Quality.
Jul 26, 2021

What are the 3 most effective methods to reach your best customers? ›

5 Simple Ways to Reach Customers
  • Be consistent with the release of information. Consistency in delivery is something many customers seek from a company. ...
  • Sell differences in the product or service. ...
  • Use testimonials to bolster reputation. ...
  • Know your audience. ...
  • Make it searchable.
Jan 11, 2016

What are the 5 top factors which are important to your job satisfaction? ›

What Are the Factors Affecting Job Satisfaction?
  • Optimal Working Conditions. ...
  • Opportunity for Advancement. ...
  • Workload and Stress Level. ...
  • Respect from Co-Workers. ...
  • Relationship with Supervisors. ...
  • Financial Rewards.

What are 3 factors that influence employment? ›

Individuals will be influenced by various factors such as the wage levels, skills required and the likely satisfaction gained in the job. The supply of labour to particular occupations will depend on several factors. Non-wage factors.

What are the top 3 priorities for a customer service representative? ›

Customer Service Leader Priorities. Continuous learning and training. Providing personalized support to customers. Helping our support teams be more efficient, without added stress.

What are the 5 key elements of excellent customer service? ›

5 key elements of excellent customer service
  • Patience. Whether you are dealing with distressed customers or perhaps customers who are letting out their anger, it is important not to fold under the pressure. ...
  • Engage. Show an interest in your customers by engaging with them. ...
  • Knowledge. ...
  • Honesty. ...
  • Respect.

What are the 5 critical success factors for customer experience? ›

Five Critical Success Factors for Better Customer Journey Maps
  • Organizational buy-in. ...
  • Agree on the scope of the research effort. ...
  • Talk to your customers. ...
  • Consider Personas. ...
  • Prioritize.

What are the 3 Cs concept? ›

The 3 Cs are: Company, Customers and Competitors - the three semi-fixed environmental factors in your market. As the 4 Ps and 3 Cs all need to be considered in relation to each other, it doesn't really matter in what order you define them. Product: This is where you define your product or service.

What does 3 Cs stand for? ›

The 3 Cs of Brand Development: Customer, Company, and Competitors.

What do the 3 Cs represent? ›

Card, conversation, and confirmation — also known as The 3 C's of user stories — is a simple framework that helps to remove the jargon or fluff from user stories. The idea is to produce something that is clear enough that it can be understood by anyone, including developers, stakeholders, and customers.

What are the 3 Cs of customer magic and example? ›

These three C's include: (1) having a concept of what your business is all about; (2) identifying who your customer or client will be; and (3) figuring out how the cash flow in your business will actually work.


1. Customer Satisfaction
(Unconditional Learning)
2. How to Measure Customer Satisfaction like a Pro?
3. Customer Satisfaction: 5 reasons why it is important
(Gbenga Fele)
4. Customer Satisfaction - 14.3.21
(Petr Prokop)
5. Principles of Marketing – Chapter 5: Consumer Markets & Buyer Behaviour I Philip Kotler
(The Marketing Strategist)
6. What Level of Customer Service Does YOUR Organization Provide?
(Ron Kaufman)
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