How is the Zone of Defection defined?

A. Customers who completed a survey and only gave the lowest score of 1 on their overall satisfaction.
B. Any customer who had a problem.
C. Customers who have completed the survey and rated their experience a 1 or a 2 on their overall satisfaction.
D. Any survey where the customer had a problem.

Zone of Defection in business refers to customers likely to leave for competitors. Identifying and addressing this segment is vital for reducing customer churn and improving loyalty.

Explanation:

Zone of Defection refers to a segment of customers who exhibit behavior indicating a high likelihood of leaving for a competitor or giving negative feedback. It is crucial for businesses to identify and address this group to prevent customer churn.

For example, in the context of customer satisfaction surveys, customers who rate their experience low (e.g., 1 or 2 out of 10) are often classified as Zone of Defection as they are not fully satisfied and may be at risk of leaving.

By focusing on improving the experience of customers in the Zone of Defection, businesses can enhance retention rates and overall customer loyalty.

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