ACSI Methodology
The
American Customer Satisfaction Index uses customer interviews as input
to a multi-equation econometric model developed at the University of
Michigan's Ross School of Business. The ACSI model is a
cause-and-effect model with indices for drivers of satisfaction on the
left side (customer expectations, perceived quality, and perceived
value), satisfaction (ACSI) in the center, and outcomes of satisfaction
on the right side (customer complaints and customer loyalty, including
customer retention and price tolerance).
The indexes (shown in
the diagram below) are multivariable components measured by several
questions that are weighted within the model. The questions
assess customer evaluations of the determinants of each index.
Indexes are reported on a 0 to 100 scale. The survey and
modeling methodology quantifies the strength of the effect of the index
on the left to the one to which the arrow points on the right.
These arrows represent "impacts." The ACSI model is
self-weighting to maximize the explanation of customer satisfaction
(ACSI) on customer loyalty. Looking at the indexes and
impacts, users can determine which drivers of satisfaction, if
improved, would have the most effect on customer
loyalty.
Customer Expectations
Customer
expectations is a measure of the customer's anticipation of the quality
of a company's products or services. Expectations represent
both prior consumption experience, which includes some nonexperiential
information like advertising and word-of-mouth, and a forecast of
the company's ability to deliver quality in the future.
Perceived Quality
Perceived
quality is a measure of the customer's evaluation via recent
consumption experience of the quality of a company's products
or services. Quality is measured in terms of both customization, which
is the degree to which a product or service meets the customer's
individual needs, and reliability, which is the frequency with which
things go wrong with the product or service.
Perceived Value
Perceived
value is a measure of quality relative to price paid. Although price
(value for money) is often very important to the customer's first
purchase, it usually has a somewhat smaller impact on satisfaction
for repeat purchases.
Customer Complaints
Customer
complaints are measured as a percentage of respondents who
indicate they have complained to a company directly about a
product or service within a specified time frame. Satisfaction has
a negative relationship with customer complaints, as the
more satisfied the customers, the less likely they are to complain.
Customer Loyalty
Customer
loyalty is a combination of the customer's professed likelihood to
repurchase from the same supplier in the future, and the likelihood to
purchase a company’s products or services at various price points
(price tolerance). Customer loyalty is the critical
component of the model as it stands as a proxy for profitability.
The American Customer Satisfaction Index uses customer interviews as input to a multi-equation econometric model developed at the University of Michigan's Ross School of Business. The ACSI model is a cause-and-effect model with indices for drivers of satisfaction on the left side (customer expectations, perceived quality, and perceived value), satisfaction (ACSI) in the center, and outcomes of satisfaction on the right side (customer complaints and customer loyalty, including customer retention and price tolerance).
The indexes (shown in
the diagram below) are multivariable components measured by several
questions that are weighted within the model. The questions
assess customer evaluations of the determinants of each index.
Indexes are reported on a 0 to 100 scale. The survey and
modeling methodology quantifies the strength of the effect of the index
on the left to the one to which the arrow points on the right.
These arrows represent "impacts." The ACSI model is
self-weighting to maximize the explanation of customer satisfaction
(ACSI) on customer loyalty. Looking at the indexes and
impacts, users can determine which drivers of satisfaction, if
improved, would have the most effect on customer
loyalty.
Customer Expectations
Customer
expectations is a measure of the customer's anticipation of the quality
of a company's products or services. Expectations represent
both prior consumption experience, which includes some nonexperiential
information like advertising and word-of-mouth, and a forecast of
the company's ability to deliver quality in the future.
Perceived Quality
Perceived
quality is a measure of the customer's evaluation via recent
consumption experience of the quality of a company's products
or services. Quality is measured in terms of both customization, which
is the degree to which a product or service meets the customer's
individual needs, and reliability, which is the frequency with which
things go wrong with the product or service.
Perceived Value
Perceived
value is a measure of quality relative to price paid. Although price
(value for money) is often very important to the customer's first
purchase, it usually has a somewhat smaller impact on satisfaction
for repeat purchases.
Customer Complaints
Customer
complaints are measured as a percentage of respondents who
indicate they have complained to a company directly about a
product or service within a specified time frame. Satisfaction has
a negative relationship with customer complaints, as the
more satisfied the customers, the less likely they are to complain.
Customer Loyalty
Customer
loyalty is a combination of the customer's professed likelihood to
repurchase from the same supplier in the future, and the likelihood to
purchase a company’s products or services at various price points
(price tolerance). Customer loyalty is the critical
component of the model as it stands as a proxy for profitability.