Customer Satisfaction Score (CSAT)

KPI Name

Customer Satisfaction Score (CSAT)

Alternative Names

Customer Happiness Score

KPI Description

Measures customer satisfaction based on survey responses.

Category

Customer Support

KPI Type

Quantitative, Lagging

Target Audience

Customer Support Managers, Business Owners

Formula

CSAT = (Number of Satisfied Customers ÷ Total Survey Responses) × 100

Calculation Example

If 800 out of 1,000 respondents rate satisfaction as positive, CSAT = (800 ÷ 1,000) × 100 = 80%

Data Source

Customer surveys, feedback forms

Tracking Frequency

Monthly, Quarterly

Optimal Value

A score above 80% is generally considered good.

Minimum Acceptable Value

A low CSAT suggests customer dissatisfaction and potential churn.

Benchmark

Industry benchmarks: SaaS ~75-85%, Retail ~80-90%, Hospitality ~85-95%

Recommended Chart Type

Bar chart (to compare departments), Line chart (to track trends)

How It Appears in Reports

Displayed in customer service reports to evaluate satisfaction trends.

Why Is This KPI Important?

Indicates how well a company meets customer expectations.

Typical Problems and Limitations

Can be biased if only highly satisfied or dissatisfied customers respond.

Actions for Poor Results

Improve customer service training, enhance product quality, offer proactive support.

Related KPIs

Net Promoter Score (NPS), Churn Rate, First Response Time

Real-Life Examples

An airline improved CSAT from 75% to 88% by reducing average wait times for support calls.

Most Common Mistakes

Focusing only on CSAT without addressing deeper customer concerns.