What do you steer toward to make sure you can actually put down that great customer service?
Your customers deserve phenomenal customer service, of that there is no doubt. But what do you steer on to make sure you can actually deliver that great customer service?
From strategy to operations
Key performance indicators – also called critical or critical performance indicators and often colloquially referred to as KPIs – are variables that make it possible to analyze corporate performance. KPIs are always derivatives of an organization’s strategy and provide an operational tool to monitor daily, weekly, or monthly how your organization is performing, with the goal of being able to improve it. The most important KPIs to keep an eye on if you want to be loved for your great customer service are CSAT, CES, and NPS.
1 Customer satisfaction score (CSAT).
The Customer Satisfaction Score, abbreviated to CSAT, says something about customer satisfaction. Customer satisfaction is an emotion, and emotions are a lot harder to measure than, say, financial KPIs. After all, how do you determine what the value of an emotion is? This is done via a single, scaled CSAT survey with closed-ended questions. Answers can range from Yes/No, a rating on a scale of 1 to 10, 1 to 5 stars, or a scale with values from “strongly agree” to “disagree.
The main advantage of CSAT is that it is a value that is quick and easy to calculate. Because CSAT surveys usually consist of only a single question, the response rate is likely to be high. The simplicity with which the data can be collected makes it easy to track the score on a daily basis. Another advantage is that industry-specific CSAT benchmarks are always available, so you can quickly see how well your organization is doing relative to peers. One disadvantage is that dissatisfied customers may not respond to CSAT surveys, so the results may be biased.
2 Net Promoter Score (NPS)
With the Net Promoter Score, you measure how likely customers are to refer others to you. With this, you are not asking about an emotion, but an intention, and that is directly the major advantage of the NPS over the CSAT. As a result, the answer is less colored. You ask your customers how likely they are to recommend your company, product or service to others. Customers who rate you with a rating of 0 to 6 are the so-called detractors. They are not satisfied and that can damage your reputation. Those who rate you with a 7 or 8 are passive customers. They are not necessarily enthusiastic, but they are not dissatisfied either. The promoters are the customers who give your company, product or service a 9 or 10. They are the coveted loyal customers whose enthusiasm helps you grow. Subtract the percentage of promoters from detractors and that’s your NPS. If you want to put your score in perspective, check out the Net Promoter Network.
3 Customer Effort Score (CES).
This score says something about the ease of use of your products or services. The effort level is measured by asking a question or posing a statement: “Company x made it easy for me to solve my problem,” or “How easy was it to solve your problem? Again, different survey forms can be used. The Likert scale is a 5- or 7-point scale, with values ranging from “totally disagree” to “totally agree. A numeric scale, with values ranging from 1 to 10, can also be used. A third popular scale is a 3-point scale with emoticons: one happy, one neutral and one unhappy.
Because there is no single industry standard to compare against, it is difficult to perform a CES benchmark. Whether the CES value is good also depends on the question you ask and the metrics you use.
Curious?
That ideal customer journey, the optimal customer experience, is the primary factor by which you can differentiate yourself from the competition. It determines the future sustainability and success of an organization, both in the short and long term. Do you also want to stand out in the market? Then contact us without obligation. We will gladly work with you to find the ultimate solution for your customer contact center. Want to get acquainted first? Stay informed by signing up for our newsletter.
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