How do customers determine satisfaction with an organisation? Essay
There is basically one point that shows as the determinant of customers’ satisfaction with a given organisation. This is what we can call value. This value is what the customers see as the worth of their money. In any given business engagement, be it B2B or B2C scheme, the buyer or the customer almost always have a predetermined expectation of what he/she would get from the exchange. This is the standard that set the value he/she wants to get from the transaction. One thing that greatly affects the satisfaction of the customers or of the value they have set for their money is the quality of the goods.
Experts in marketing totally support this idea. Yet, there are two main considerations that influence the satisfaction of the customers towards a given organization. This is the what and the how that happened during the exchange. What is the basically the product that was sold to the customer. This is where the quality of the product and its physical appearance enters. But the satisfaction of the customer does not just end there. There is still the factor of how. How did the salesperson handled the sales towards the customer.
Was the employee responsive to
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If we are going to define what the term customer centric approach means, we can basically say that it is an approach where the core objective of the organisation is geared towards customer satisfaction and at the same time the satisfaction of the establishment itself. If a firm is oriented on giving importance to the needs of the customers, then there are two things that the company is set to prioritize. First is having a set of effective recovery strategies when things stray from the interest of the customer and second is the reduction of episodes where dissatisfaction from the customer happens.
These things could only mean an array of benefits that can come along the way of the organization. The blessings that can come towards the firm are almost the same as if the company increased their organisational satisfaction. First, there is an assured increased in loyalty and patronage of customers with the organisation. When customers are satisfied with the way the company handle their needs and dissatisfaction the first time, customers can feel their importance to the company. This in return will make them react positively towards the firm.
Thus, their relationship with the company will be smooth and easy. Because of these factors, they are more enticed to go back and seek the products or services of the organisation. If the company was able to give satisfaction to its customers, the customers could not feel any better than speaking about how good the product and service of the organisation is. This situation gives the firm a good image as a product and service provider thus earning some point in reputation. This will eventually spread among the local community and will result to a greater number of customers coming their way.
These new customers at the same time can be loyal patron in the end. Since satisfied customers is already taking the role as evangelists in the name of the company’s products and services, the cost and expenditure now for advertising will be lower. This means only one thing, a lot of money is being saved. Given that the organisation has already earned a good reputation and image from its valued and loyal customers, new and old alike buyer and user of the company’s products and services will learn how to be tolerant towards the sales people of the organisation.
Knowing that their needs and interests are at the forefront of among the objectives of the organisation, customers will gain confidence that everything will run smoothly when engaging in business with the company. This eventually will lower or reduce the failure costs for the company. If there are constant customers patronizing their products and services, the percentage of failure in their operational expenditure is lower. In the arena of the industry where the organisation belongs, this customer centric approach or philosophy in their organisational orientation will also give them competitive edge from its rivals.
The loyalty and patronage and almost evangelist’s attitude of its valued customers is a factor that is difficult to be challenged upon by the company’s competitors in the industry. This way of organisational orientation ensures the insulation of its loyal patrons from being poached by rival companies. Understanding that the firm’s customers are satisfied with its products and services, there is no way that they will change loyalty.
Given all the benefits derived from embracing a customer centric approach in the organisation’s business approach, the last and probably the most beneficial blessing that the company could receive is an increase in its profits. 3. Discuss the steps that you as a manager would take to determine your present performance in meeting your customers’ expectations. Understanding that every retailer who would engage with my organisation has an expectation on the products that we would sell to them, the priority on my list of what to do is to maintain their expectation that we would always delivery the products in high quality.
As much as possible, my company will also strive to reach the most ideal terms and conditions that can be given to all our customers. The gist of the plan is not to disappoint them when it comes to the quality of our products and terms of our deals. How can we do this? First, a team of quality control people will supervise all the products that the manufacturers will deliver to us. Every delivery made to us by our suppliers will undergo rigid examinations. More than that, we would also make an agreement with all the suppliers and manufacturers that we can send a team on their warehouses and assembly plants.
The reason behind this is to ensure that these manufacturers on their very own turf are already setting the standard of high quality on the products that they deliver to us. Going back to the expectations of our customers, we in our organisation will always see to it that every product that is sold to them is of the highest quality; that our company is open to hear any dissatisfaction that they may experience with our products. Any dissatisfaction coming from them will be heard and addressed as prompt as possible. 4.
How would you, as a manager, monitor progress over a period of time to ensure your company is continuously improving? In terms of monitoring if our organisation is continuously improving, the best way to do this is by regularly making an assessment on the satisfaction rate that our customers are receiving. This can be done by a simple questionnaire or scorecard wherein our valued customers will grade our service. This survey, if one could call it that way, will give our patrons the free hand to give mark on our service on the range of 0 to 10 – ten being the highest mark.
From this survey alone we can see whether our company is progressing or not. The survey too, in a way, will serve as a sign if we, as an organisation oriented to give satisfaction to our valued customers, are doing well on our responsibilities. If the survey would give us an answer that range from 0 to 6, then this only means that we are not doing well in our jobs. This kind of grade in all likelihood is a failure on our part as an organisation to earn the loyalty of our valued customers. This range only mean one thing: our customers have the tendency to defect to our rivals in the industry.
And also one more thing, this means that our customers will not refer our organisation to other retailers out there in the market. Our customers may even be badmouthing us. On the other hand, a range of 7 to 8 means that basically we are doing just like what our customers are expected from us. We are not doing bad or not doing any better, also. These basically signify that our clients are merely passive customers. If on the other hand, the grade range from 9 to 10, then this means that we as an organisation are doing well on our job as a company operating to give satisfaction to our clients.
This also means that we are earning the loyalty of these retailers. . 5. List and briefly discuss the key success factors required to build strong relationships in this marketplace. Since the kind of business that my organisation is involved with deals a lot about B2B interaction, including intrapersonal engagement, the key success factors that I deem necessary for my company, as well as with our clients, to imbibe are: ? Trust ? Bonding ? Communication ? Shared values ? Empathy ? Reciprocity There ought to be trust in the way that our organisation deals with retailers.
This constitutes reliance and confidence and integrity to any promise that we would make to them. Second is bonding. The industry that our organisation and our client retailers are basically small in nature and it would be good if there is a united goal in our business interactions. Since we are talking about building a strong relationship in the marketplace, there could be no better answer to that question but by having a good communication lines between us and our customers. Here, we can agree on reaching each other’s expectations and at the same time give resolutions to disputes that may arise during our partnership.
It is also important that there are shared values that exist between this business partnership. Through this important aspect, we can formulate norms of what is appropriate or inappropriate behaviour. Though this is a business, there should also be a room for empathy towards each other wherein there is the willingness to accommodate each other’s point of view. And lastly, there ought to be reciprocity. Fairness in transaction with each other should be paid and led to a long-term profitability with each other’s business.