What is the Difference Between Customer Expectation and Customer Perception?

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The difference between customer expectation and customer perception lies in the customer's experience and beliefs before and after purchasing a product or service. Here are the key distinctions between the two concepts:

  • Customer Expectation: This refers to the beliefs and assumptions of what a company's products, services, and overall customer service will be like before purchasing or experiencing them. These ideas can come from various sources, such as the company's marketing materials, online review sites, public perception of an industry, or previous experiences with similar providers. Customer expectations are influenced by factors like cultural background, demographic factors, advertising, family lifestyle, personality, beliefs, and reviews.
  • Customer Perception: This is the actual experience customers derive after using a product or service first-hand. It depends on factors like the value derived from the product against the money paid, brand image, features, communication, accessibility, responsiveness, and more. Customer perception is a subjective evaluation and can differ from person to person.

It is crucial for businesses to analyze the customer perception gaps to leverage them and improve their offerings. A higher gap between customer expectation and perception can negatively affect customer experience and lead to lower satisfaction levels. Market research and surveys are essential tools for measuring customer perception and expectation, allowing organizations to bridge the gap between the two and enhance their products or services.

Comparative Table: Customer Expectation vs Customer Perception

The difference between customer expectation and customer perception lies in the customer's aspirations and mindset. Here is a table comparing the two concepts:

Customer Expectation Customer Perception
Refers to the assumptions or beliefs a customer has before a purchase or service. Refers to the customers' evaluation or interpretation of the actual product or service after purchasing or using it.
Can be measured via surveys and market research among potential customers. Can be measured via surveys and market research among consumers who tried the product or service.
Organizations should strive to keep the gap between customer expectation and customer perception minimal to ensure customer satisfaction and success in their trade. If the product performance exceeds the customer expectation, the customer is satisfied and can be easily retained.

The gap between customer expectation and customer perception is known as the Customer Gap. This gap determines whether the customer is satisfied or disappointed, and businesses should focus on minimizing this gap to ensure customer satisfaction and loyalty.