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The Zonka Feedback Blog

Feedback Management, Feedback Trends, Feedback Technology, Data & Analysis, amazing Survey Tips & New Features at Zonka

Customer Satisfaction v/s Customer Delight

Customer Satisfaction v/s Customer Delight

The business of dealing with and serving customers is tricky and unpredictable. What works for one segment of customers may not be the most suitable option for any other customer segment. To complicate matters even more, customer experience is often manifested over several “layers”, depending on how much the service delivery matches their service expectations. In an age where businesses are competing tooth and nail for every incoming customer, merely satisfying customer may no longer suffice for retaining old customers, much less acquiring new ones. Sample the following scenario: Imagine you walk into a hotel upon entering a new town, with the expectation of a clean lodging and food, and a decent ambience. Any hotel or inn meeting these expectations will provide you with satisfaction. Delight will result when a hotel exceeds your expectations of these basic necessities and possibly even surprising you – for example, arranging for your transfer when you leave, or replacing the linen in your room without your asking for it. Meeting customer expectations of service are crucial to customer satisfaction and running a business successfully, but true customer loyalty can be gained only when the service exceeds customer expectations. "Customer delight is that phase of customer experience when the service offered exceeds the service expected." While satisfied customers may leave the business feeling happy, they may not return. They may well be swayed by swanky advertisements or deep discounts offered by competitors the next time around. On the other hand, a customer who is delighted by a service exceeding his…read more
Customer Service – The New Differentiator

Customer Service – The New Differentiator

The creation of a new business in any industry is followed by closely analyzing what the competitors are doing and then doing it better – typically by cost-cutting, or building superior products. This is what has now come to be known as the “Red Ocean Strategy”. Market share can be captured only at the expense of another business, as the size of the industry is limited and known. As the industry matures however, businesses need to move beyond traditional competition strategies, because the industry becomes far too crowded to sustain existing competition. Once existing growth opportunities have been exhausted, new ones must be created by exploring “blue oceans”, or hitherto unknown market spaces. A “Blue Ocean Strategy” involves shifting the focus from competitors to customers. It entails unlocking value by expanding the current boundaries of the industry, achieved through innovation of product (or service) offerings. The strategy inherently assumes that industry size and scope is not known and value can actually be created, rather than simply be distributed as in a “Red Ocean”. This essentially renders the competition irrelevant with respect to capturing the market. A classic example from the restaurant industry would be that of Starbucks. For too long successful restaurants were synonymous with low prices and a wide variety of menu items. But this particular company started on the idea of providing the best possible experience to customers, even if this meant charging a premium above the market prices. The brand Starbucks is a promise of exceptional service and experience to the customers.…read more
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