Businesses should pursue the mission, not the average rating

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In "Satisfaction vs. Performance" we explored this problem from a consumer perspective. Now, let’s consider it from a business standpoint: while being customer-centric is crucial, focusing solely on optimizing average ratings (or other satisfaction metrics like Net Promoter Score) at the expense of addressing long-term issues can be detrimental.

Consider an example outside of business: in today’s educational systems, school often prioritize their grades over transmitting actual knowledge. Although good grades typically indicate understanding, the primary goal should be knowledge acquisition. Both students and teachers must remember that grades are not always an accurate measure of learning.

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Similarly, companies that obsess over maximizing their KPIs, including satisfaction rates, may lose sight of their core mission. Metrics are partial representations of a mission, not the full picture. Additionally, the specific question asked often targets a particular aspect of the service (see “The question asked matters”).

For example, a café’s true mission might be to welcome customers into a warm atmosphere, build connections while respecting their privacy, and serve quality coffee and dishes. However, this experience is subjective and cannot please everyone. Attaching a KPI to the café’s performance might not be helpful and could even be harmful. The café could lose its authenticity by trying to cater to a few demanding customers who don’t align with the owners' vision. As a result, early customers who valued the original atmosphere might stop coming, leading to a loss for the café—not just financially, but also in terms of the human connection that motivated them. People work for more than just money; they work for passion and purpose.

While maintaining a good average rating is important for attracting customers, it should not overshadow the business's core mission.

Don’t focus too closely on the metric; remember the purpose.

➡️ Next up: Negative reviews: Customers may blackmail companies, and companies may corrupt customers