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Dr Philip Kotler Refines the Theory of Marketing

What Is Customer Satisfaction?

❶Therefore every organization must continually monitor if their customers are satisfied.

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First of all, regardless the service is used or not at all, or just waiting for the first experience, often a person has formed an opinion about the service. Then doubtless even after the customer experience it is formed, developed some emotions, feelings, reaction to what is got and depending on the situation — positive or negative. Finally, the scheme and analysis was based on literature but, on the other hand, it helped to form a clear view about what leads to customer satisfaction, what are the key factors of that.

In the list what form the satisfaction there are shown mostly discussed aspects, determinants. However, it is possible to continue the list and add more features because the satisfaction is a subjective thing. After all some people like one aspect, others need opposite things so everyone has different view, need and expectations. After discussing the concepts of both customer satisfaction and the most important determinants to keep consumers satisfied it is left to find out the importance of customers satisfaction on services.

As one of the most frequently mentioned reasons why customer satisfaction is so important for companies on services is a consumer loyalty. Singh considers that each organization becomes more flexible to the needs of its customers by offering alternatives to exclusive offers. After all, the longer company is able to keep the consumer at the same time, it also receives and higher profits.

Expressing similar views Vavra considers that some content to the service customers is not only long-term clients, but also to spread positive information and feedback their experiences to others, potential customers, perhaps encouraging them to try the service.

In other words, according to Singh , when satisfied customers share their experiences with around five to six people, while disappointed with the ten ones.

By the way, today communication spread faster and further than ever before, because most companies operate online, target online communities, etc. So therefore the importance of customer satisfaction is particularly important for service organizations Vavra, Authors Hill et al. It could be said that the relations between customers and staff or organization have a direct connection this is called the mirror effect.

Thus, the organization is interested in moral and increase staff satisfaction and developing loyalty. Firstly, it is noted that customer satisfaction can reliable realistic market information. In this case, the organization has an excellent opportunity to assess the current situation and develop plans for the future.

Summarizing all these factors, it might be said that customer satisfaction has a significant importance and value of each company providing the service. So Vavra argues that before almost two decades ago usually one of the most important factors for companies would become a trademark of reputation, profits and so on.

And no one paid so attention if their customers where happy, satisfied or disappointed. So the authors revealed which factors are essential in determining whether the customer is satisfied or not, also helped better understand how is important to evaluate the satisfaction. After all, satisfied customer is tend to be more loyal, more often share satisfied feelings with other people, potential customers and so on.

In addition, it is believed that satisfied customers pay less attention to competitors, for example, they do not look at prices, special offers and so on. Simply, it is caused of the reason that they feel happy and satisfied with their permanent service organization.

As already mentioned, customer satisfaction is one of the most important factors shaping both business services and other organizations. As a result of customer satisfaction in any case should be assessed, monitored and analyzed. As stated majority of the authors, the definitive ratings reveal the most effective, accurate, significant and, of course, objective information.

Nowadays customer satisfaction is one of the most important issues for almost all organizations, especially for service organizations. For this reason customer satisfaction should be analyzed, evaluated and translated into the main parameters. As many authors indicate customer satisfaction is often known in two ways: It should be mentioned that those parameters are subjective so for this reason the number of customer satisfaction factors can be continue because of our practice, feelings during or after the given service.

In this way, also very important for all organizations to know what makes their customers the most satisfied, fascinated. Firstly, evaluation of customer satisfaction is the best way to attract potential customers and make them loyal to organization. Introduction Nowadays customer satisfaction is one of the key goals in both smaller and larger organizations. Similarly, the description of customer satisfaction is given by authors Giese and Cote arguing that customer satisfaction: Vavra tells that it is difficult to provide a specific definition suitable for all without exception, services, so gave two main features which can characterize the concept: Definitions of customer satisfaction Grigoroudis and Siskos, However, the authors consider that customer satisfaction is in no way be confused with quality of service.

The importance of customer satisfaction on services After discussing the concepts of both customer satisfaction and the most important determinants to keep consumers satisfied it is left to find out the importance of customers satisfaction on services. Conclusions Nowadays customer satisfaction is one of the most important issues for almost all organizations, especially for service organizations. Tools, Techniques, and Formulas for Success. Methods for Measuring and Implementing Service Quality.

The importance of customer satisfaction in relation to customer loyalty and retention. How to find out what people really think. Customer satisfaction in 7 steps. Customer Satisfaction Measurement Simplified.

Find us on Facebook: You provide short customer service survey cards at each table and have a well-placed suggestion box. You diligently review the surveys and suggestions and make changes that make sense. Lesson Summary Customer satisfaction is an abstract concept that basically measures the degree to which the products or services of a business meet consumers' expectations.

Learning Outcomes Work through the lesson on customer satisfaction with the following goals in mind: Describe the concept of customer satisfaction Point out the areas addressed by customer satisfaction surveys Cite customer satisfaction examples.

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The most comprehensive definition of satisfaction has been offered by Kotler and Keller who define satisfaction as “person’s feeling of pleasure or disappointment which resulted from comparing a product’s perceived performance or outcome against his/ her expectations” (Kotler and Keller, , p).

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CDV is the difference between Total Customer Value and Total Customer Cost. Total Customer Value is the bundle of benefit customers expect from a product/ service. Total Customer Cost is the bundle of cost customer expect to incur in evaluating/ obtaining of using product or services.

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Chapter 5 Kotler Customer value, Satisfaction and Loyalty 1. Chapter 5Customer Value, Satisfaction and Loyalty Mark Angelo Reyes MARKMA. Brand loyalty. Loyalty is a direct measure of how willing customers are to stick to a brand. Therefore Aaker argues the price premium as the basic indicator for brand loyalty and the single best measurement of brand equity. Loyal customers prevent entry of potential competitors and lower the treat of substitutes.

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Philip Kotler defined customer satisfaction as benefits – costs + competitive advantage = customer satisfaction. Customer satisfaction directly ties into a customer retention definition. Decisively, our customer loyalty definition is a customer’s brand dedication because of the consistent and repeated satisfaction the brand delivers. Dr Philip Kotler Refines the Theory of Marketing. Posted on April 4, by Rajiv In his earlier definition he mentioned that “Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.” He also defined Customer.