New Research Offers Some Lessons For Entrepreneurs
Companies are now trying harder to keep the customers they do have and they don't want to lose them in a difficult economic situation. That means that customer service and customer satisfaction is going up which probably will have some positive impact on consumer spending and economic growth. Small business owners have an advantage over many large competitors, because often they have a personal relationship with customers. But these relationships cannot be neglected; especially in slow economic times.
Four times a year, The University of Michigan releases its quarterly American Customer Satisfaction Index, or ACSI research, to shed light on which companies are doing a good job satisfying customers, and which ones are not. Most of the companies cited are large enterprises, but some of the trends and economic factors hold true for small and mid-sized enterprises.
After a year of stalling and falling, Customer Satisfaction Index registered its first gain in a year. The Index jumped 0.4% to 75.2 on ACSI's 100-point scale, according to the most recent report.
The fast food restaurant industry improves 1% to 78, its highest score ever in the ACSI research, while the full-service restaurants drop 1% to 80. In an economy where discretionary spending is shrinking, the restaurants need to have a larger lead vis-à-vis fast food.
The new ACSI report indicates more turbulence ahead for the nation's airlines. Customer satisfaction in the latest index reflects passenger frustration. This latest airline ranking drops to its lowest point since 2001, falling for a third year in a row. Faced with the soaring cost of jet fuel, airlines are raising ticket prices, overbooking flights, and charging extra fees for checking more than one bag and for "premium" seats.
For more details of the new report, including ratings on health care, hotels, cable TV, phone service, and more visit http://www.acsi.org/.