Re: Loyalty and Customer Satisfaction

Posted by james watts on January 16, 2000 at 14:01:32:

In Reply to: Re: Loyalty and Customer Satisfaction posted by Kent on January 14, 2000 at 09:37:51:

I've had similar experiences. The proper analysis is not just satisfaction ratings run against intent to buy/use again.
i've run similar data for several banks and have found that making a new variable of the difference in
satisfaction ratings between the client bank and each of the comparable banks is more likely to show
significant, direct correlation, but not a strong one or a linear relation, as I recall. It's more curvilinear at the top end of each
rating, stair-step even. When the long-time customers are removed, the relation is somestimes more linear looking.
This works best for households that have multiple accounts with more than one bank. And it works best when the rating
anchor ends are stretched with absolutes like delighted and happy.
Banks, however, may be a good example of the power of service satisfaction to keep customers. I think it's clear that
operations managers are betting on service delivery logistics rather than performance.

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