Group Members

M.NAUMAN CHATTHA ROLL# 74

SAMI ULLAH WARICH ROLL# 62

MAZHAR ABBAS ROLL# 84

Approaches to Measure the Customer Satisfaction Attributes

FIRST APPROACH QUADRANT ANALYSIS

– Which plots satisfaction levels against importance levels for satisfaction attributes.

ANOTHER APPROACH  Is to develop indexes that combine importance and satisfaction levels.

HOW IMPORTANCE IS MEASURED?

In these studies we measure importance in two ways.

1) Deriving ratings statistically

2) Administrating a comprehensive survey at that measures importance on every attribute called “self explicated”.

One important finding is that statistically derived measures and stated importance measures don’t appear to be much different in predicting satisfaction.

Inclusion of importance information doesn’t always improve the ability to explain satisfaction.

More sophisticated, non-linear approach to combining satisfaction measures and importance can result in a model with a greater ability to explain satisfaction.

TWO STEPS OF DEVELOPING A LOYALTY

1) The first step to developing a loyalty program is to research the customer database and target key customers for the program.

2) Another helpful research technique is to examine customers’ expectation for the program compared to what the program actually offered them.

Make the loyalty program Part of your long-term business strategy.

Clearly communicate the benefits and features of the program.

Company opportunity to build a relationship with customers. – Values your customers

• It is important for companies to listen to their customers concerns and resolve problems promptly so that they can further enhance the relationship.

Be selective when considering with other companies to partner with for a loyalty program. – Company should analyze their image in the

market, as well as the prospective partner company’s image.

The analysis suggested a new hypothesis about customer retention

– Several factors, beyond satisfaction, that derives retention. These includes: 1. Past Behavior

2. Attitudes about purchasing, such as openness to new service

3. Perceptions about the loss or gain of the switching brands

4. Demographics

Customers can be classified by where they fall on each of the two characteristics – The satisfaction and mobility scales have a great

deal of independence, meaning that a person who is “highly satisfied” can be “highly mobile” or “static”.

How segmentation research can be

used:

Understand behavior – Many companies experience a low rate of customer

retention. In order to identify ways of keeping customers, one marketer asked why his customers were switching to the competition.

Determine service needs – Not all consumers want the same level and type of

service when they purchase a product or service. This became evident when a lending company hypothesized that different groups of its customers required distinct levels of service.

How segmentation research can be used: (Cont…)

Assess emerging markets – Something an emerging market enables a marketer to define

appropriate potential target markets within the broader market and to identify how best to approach these consumers.

Develop marketing strategies – The segmentation allowed the organization to

construct appropriate marketing strategies for similar areas of the U.S, and the representatives of the similar markets were able to share their strategies and ideas for increasing donations.

How segmentation research can be used: (Cont…)

The craft of segmentation – Segmentation is a craft that requires experience and

sound judgment to result in a meaningful solution. A variety of statistical tools are employed, including factors analysis, cluster analysis, and discriminant analysis.