Let’s take a closer look at the impact of product quality to customer satisfaction.
What Is Product Quality?
Product quality is the extent to which a product possesses features and performs as per customer expectations. It is also the degree of excellence of a product’s performance in relation to its price.
If the customer does not get what he or she expects out of the product, the product will not be considered of good quality.
What Is Customer Satisfaction?
Customer satisfaction is the opposite of dissatisfaction. It is the measure of how well an organization delivers its products and services in terms of customer expectations.
Customer expectations are the set of criteria. A customer uses them to evaluate how well an organization is performing with respect to their needs.
Customer satisfaction is also determined by how well customer expectations are met by an organization’s products and services.
For example, if a customer expects a product to perform at a certain speed and it fails to do so, then this will lead to a dissatisfied customer experience.
Customer satisfaction is a critical metric. For one, it serves as a basis for product-market strategy and decision-making.
It, therefore, plays a vital role in business growth and performance.
Reasons Why Product Quality Is Vital to Customer Satisfaction
Essential in achieving customer loyalty
It is common for customers to pay attention to product quality when they are deciding which product to buy.
If a customer does not get what he or she expects, then there is little chance of the customer returning.
This will lead to a loss in revenue and market share.
It may even lead to the loss of the customer altogether. This will be disastrous for any business that depends on customer satisfaction for stability in the market.
Product quality is vital in achieving customer loyalty. It is the key ingredient in turning a loyal customer into a brand advocate.
Provides competitive advantage
Product quality is vital in keeping up with the competition. Competition is stiffer than ever before.
This calls for an edge that makes the difference between a company and its competitors. This is usually achieved by excelling in areas such as product quality.
Product quality alone is not enough. It must be coupled with an effective customer experience. This will serve as a competitive advantage that promotes sustainable business growth.
Organizations that focus on product quality as a means to achieve customer satisfaction as well as to gain higher profits tend to perform better than those that do not.
In fact, these organizations are able to achieve higher profitability over the long term.
This happens because a satisfied customer is more willing to recommend a product or service to others. This leads to increased sales volume and market share which eventually translates into higher revenue and profits for the company.
Gives a positive effect on business growth
Product quality is one of the factors that will determine the fate of a business.
A product with poor quality will fail to meet customer expectations. This will lead to a loss in revenue and market share which in turn will impact the growth of a business.
Product quality is a key factor in determining a business’s financial performance.
It is important to note that there is a strong correlation between product quality and customer satisfaction.
The importance of meeting customer expectations through product quality is vital for the survival of any business.
In order to achieve this, it is essential that organizations focus on developing a product quality management system.