Satisfy Customers to Increase Business
About 1 min read
A central idea of Total Quality Management is that the customer, not the company, defines quality. Satisfying customers is therefore not just good service — it is the engine of business growth, because satisfied customers come back and recommend you to others.
Questions you may have include:
- Why is customer satisfaction central to TQM?
- How do you understand what customers want?
- How does satisfaction grow a business?
The customer defines quality
A product or service is only as good as the customer judges it to be. Two companies can meet the same technical specification, yet the one that better fits what customers actually need will be seen as higher quality. That is why TQM starts by understanding the customer.
Understanding customer needs
You learn what customers want by asking and observing — through feedback, surveys, reviews, support conversations, and watching how the product is used. The goal is to meet stated needs and, where possible, anticipate unstated ones.
Meeting and exceeding expectations
Meeting expectations keeps customers; exceeding them creates loyalty. A customer who is delighted by reliability, helpfulness, or a small unexpected courtesy is far more likely to return and to tell others.
How satisfaction grows business
Satisfied customers are repeat customers, and they refer friends and colleagues, bringing in new business at little cost. Dissatisfied customers do the opposite: they leave and may warn others away. Because keeping a customer is generally cheaper than winning a new one, satisfaction directly improves profitability.
Summary
In TQM the customer defines quality, so understanding and satisfying customers drives the business. Meeting expectations retains customers, exceeding them builds loyalty, and loyal customers grow a company through repeat business and referrals.