Explain the Relationship Between Customers’ Needs and Expectations and Customer Satisfaction.

A business community’s two central pillars and benchmarks are expectations and future probabilities. When dealing with a client, a company’s vision and mission revolve around consumers’ and customers’ paramount satisfaction and approval. If these are not projected and promised as per the satisfaction protocols, then the company or a business is bound to moral bankruptcy and termination. Principally, many product enterprises and services operate to gather purchasers and amass customers globally, which can only be prosperous if 100% customer satisfaction is provided and dealt with ethically.

What is the Connection Between Customer Expectations and Satisfaction?

Customer expectations and satisfaction are closely connected. Customer expectations refer to what customers believe they should receive from a product or service. In contrast, customer satisfaction is the feeling of pleasure or disappointment resulting from comparing perceived performance or results to expectations.

When customers’ expectations are met or exceeded, they are likely to be satisfied with their experience. On the other hand, customers’ expectations are likely to be dissatisfied if they are not met.

For example, a customer visits a restaurant expecting high-quality food and excellent service. The customer will likely be satisfied if the restaurant meets or exceeds these expectations by providing delicious food and attentive service. As a result, they may leave positive reviews and return to the restaurant in the future.

However, if the restaurant fails to meet the customer’s expectations by serving poor-quality food and providing slow or inattentive service, the customer is likely to be dissatisfied. As a result, they may leave negative reviews and choose not to return to the restaurant.

Therefore, understanding and managing customer expectations is critical to achieving high levels of customer satisfaction. By identifying and exceeding customer expectations, businesses can create positive experiences that lead to customer loyalty, positive reviews, and increased revenue.

Customer satisfaction represents a customer’s feelings when a product or service meets the customer’s expectations. Customer satisfaction means the company or a product has exceeded the expectations a customer anticipated before purchase. Customer satisfaction and expectations are interlinked and dependent on each other as customers naturally presume a positive experience with the service. It means what and how a customer thinks of a particular service, positively or negatively. However, they are only satisfied if their expectations are fully met and requirements are accomplished by providing clients with what they have been expecting since the beginning of the interaction.

customer expectations and customer satisfaction


Customer satisfaction is a term widely used in marketing. It determines how products and services meet customers’ quality protocols and standards.

It is defined as the number of customers or the total percentage of consumers who reported their encounter with a business or a firm. Its products surpass specific satisfaction goals.

Explain the relationship between customers’ needs and expectations and customer satisfaction.

Customer needs and expectations play a crucial role in determining customer satisfaction.

Customer needs to refer to the basic requirements or desires of customers that must be fulfilled for them to achieve their goals. On the other hand, customer expectations refer to what customers assume or hope to receive in terms of product quality, service, and overall experience.

When a company meets or exceeds a customer’s needs and expectations, the customer is more likely to be satisfied. Conversely, if the company fails to meet the customer’s needs and expectations, the customer will likely be dissatisfied.

Meeting customer needs and expectations can result in higher customer satisfaction, leading to increased customer loyalty and positive word-of-mouth advertising. By understanding and addressing the needs and expectations of their customers, companies can improve customer satisfaction, retain customers, and increase profitability.

The exact meaning of expectations is the premeditated thinking and approach towards a particular idea, notion, or philosophy. Human beings naturally function to make decisions by pinning their aspirations and fulfilling their predetermined goals. Expectations contour businesses and establish a link for upcoming prospects and consumption regarding repurchasing. In business, customer expectations are actions or behavior an individual anticipates when interacting, acquiring, or availing of services or products. Historically and conventionally, companies were about fair or reasonable prices and high-quality products. Still, nowadays, the dynamics have improved, and customers strive for much more as they pay to attain outcomes. They evaluate a company that provides tailored and personalized connections, valuable services, and connected experiences other than inexpensive pricing and value.

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Practical examples of need, expectation, and satisfaction

Example 1: Quality

Let’s say a customer is in the market for a new laptop. In this case, they need a high-quality notebook that meets their computing requirements.

They would expect that the laptop they purchase is reliable, performs well, and is made of high-quality materials. They may also hope that the computer has the latest features and technology, such as a high-resolution display, fast processor, and long battery life.

They are likely to be satisfied if they purchase a laptop that meets or exceeds their expectations. For example, suppose they purchase a computer that has a fast processor, high-resolution display, and long battery life, and it performs well and is reliable over time. In that case, they are likely to be satisfied with their purchase.

On the other hand, they may be dissatisfied if the laptop does not meet their expectations. For example, if the computer is slow, has a poor display, or has a short battery life, and it does not perform well or is unreliable, they may be dissatisfied with their purchase. They may return the product or leave negative reviews.

Example 2: Cost-effectiveness

Let’s say a customer is looking for a new pair of shoes and needs a low-cost option that meets their basic requirements for style and comfort.

They expects they purchase are comfoto beble, stylish, and priced afaffordabley also expect the shoes to be durable enough to last a reasonable amount of time.

If they purchase shoes that meet or exceed their expectations, they are likely to be satisfied. For example, if they buy a pair of comfortable, stylish, and affordable shoes, and they hold up well over time, they are likely to be satisfied with their purchase.

On the other hand, they may be dissatisfied if the shoes do not meet their expectations. For example, if the shoes are uncomfortable, do not fit well, or are not durable, they may be dissatisfied with their purchase and may return the product or leave negative reviews.

Customer satisfaction is vital for any company’s development. Customers shop and deal with business owners with projected expectations. Whether they know their preconceived expectations or not, they are there whether you purchase in-store or online. This is natural and justified as customers save money for a product and are dissatisfied if their expectations are not rewarded, thus putting a damaging and off-putting impression on the company. This creates a negative image and influence on the company and may rescind customers relations. On the other hand, a satisfied customer given a fair price with a worthy quality product and dealt with basic morals and ethics is bound to return and develop a trustworthy relationship for future shopping projects. In return, this is an excellent return for a company as it helps them grow, sustain, and deal with future developments with the assistance of loyal customers.

Most companies plan their policies to deal with customers’ expectations and satisfaction. However, it is a demanding task as expectations are independent, and getting to know them would be challenging. Even then, the company’s policy is derived from customers’ expectations as they want the best to be delivered and gain loyal customers for their future growth. For many corporations, customer relations are separate departments that deal merely with criticism and customer feedback. As a result, many corporations boost customer satisfaction and keep their current customers intact rather than investing time and money to chase potential customers. Loyalty is essential when it comes to measuring customer satisfaction.

Customer expectations and satisfaction are based on price, quality, choice, and convenience. Consumers are looking for a reasonable charge, which is why sales are attractive. Low prices will appeal to people, although they eventually want value and worth for money. It is imperative to match the quality with the price. For example, in an exquisite diamond store, people naturally expect high prices because the high-quality diamond is just well equated with the price. If they find the cost of diamonds too low, they would expect it to be low quality.

Similarly, quality reflects the standard of a product or a service being delivered .customers always want a quality product regardless of the price. They want a long-lasting, durable item that does not perish with time. Additionally, variety and choice are also factors to determine customer satisfaction. Since it is a matter of subjectivity, it is essential to provide products or services that fit most people’s needs rather than catering to a single group. They might want styles, colors, and sizes when purchasing items.

Lastly, buyers want their shopping experience hassle-free, quick, and efficient. An example would be online shopping for food, apparel, or shoes rendering positive advertising and feedback. Competitors have understood that to prosper in a global economy, calculating customer satisfaction is fundamental. By doing so, they can retain their old customers and attract new ones. In addition, they understand that customer satisfaction is an indispensable tactical weapon for marketing to increase market share and revenues.

One challenge faced in marketing is knowing how exactly customer satisfaction is measured. They must understand how to quantify, track, and measure customer satisfaction and whether they fulfill their expectations. No company can survive in this competitive age without a clear sense of what needs to be assessed and how to collect, analyze, and use data as smart weapons to drive and thrive the business. Usually, sales capacity is observed, and opinions from sales representatives are noted down who describe customers’ needs directly and what specific product or service they are looking for.

Whenever feedback is asked, they search for regularity of complaints. In the current business world, marketing and sales employees work in compliance with customer input and are fundamentally responsible for designing customer satisfaction programs and opinion polls. As a result, customers are acquainted with the changes a company introduces and are heard directly. This is only possible when customers’ expectations are understood by developing services or products based on findings and research. Examining trends is also necessary overtime to take necessary actions on time. Qualified and reputable companies also establish standards and priorities to judge how well a company has met these goals.

It takes years of customer experience management to reach a company’s utmost customer satisfaction goal. There has been an increasing trend to predict customer satisfaction using valuable data and machine learning methods involving behavioral and demographic features to avoid criticism, negative reviews, and dissatisfaction.

Daniel Smith

Daniel Smith

Daniel Smith is an experienced economist and financial analyst from Utah. He has been in finance for nearly two decades, having worked as a senior analyst for Wells Fargo Bank for 19 years. After leaving Wells Fargo Bank in 2014, Daniel began a career as a finance consultant, advising companies and individuals on economic policy, labor relations, and financial management. At Nimblefreelancer.com, Daniel writes about personal finance topics, value estimation, budgeting strategies, retirement planning, and portfolio diversification. Read more on Daniel Smith's biography page. Contact Daniel: daniel@nimblefreelancer.com

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