How to Measure Customer Service Satisfaction [and Metrics to use]
If you work in the Customer Service industry, you are surely no stranger to the term Customer Service Satisfaction. But how does measuring customer satisfaction help your business thrive? In this article we’d like to go over why and how we should measure it, while also taking a look at a few KPI examples.
1. Why you should measure customer satisfaction
Customer satisfaction (or CSAT) is a KPI that often goes unappreciated for its true value. While looking at the raw stats, it’s often difficult to associate a high CSAT with direct sales or profits. However, many studies have shown that a significant percentage of customers stop using a product or service after having a negative customer service experience. Therefore, if we measure customer service satisfaction and we notice unhappy customers, we get the chance to mend that relationship and keep the customers rather than losing them straight off the bat.
Also read: 5 Ways To Deliver Great Customer Service
2. The difference between operational (O-data) and experience (X-data) metrics
So, we have two types of data before us, but what do they mean and how can they help us grow our business? Let’s break them down and find out!
Operational metrics (O-data) relates to the numbers reflecting the company’s performance. This can be anything from sales, profits and conversions to number of new clients and so on. While this data is valuable and it shows us how the company is doing, we still need its counterpart in order to have the full picture.
Experience metrics (X-data) are the window into the customer experience. They inform us about the feedback our customers have for our products and services, but also about the experience that led to that feedback. X-data shows us the most major friction points in the customer experience and, very often, how your clients would like to get rid of them.
It is clear that both types of metrics have their value and the best strategy any business can employ is to keep a close eye on both of them and try to act on them in harmony.
Also read: Should A Small Business Invest In Customer Support?
3. How to measure customer service satisfaction?
In order to consistently achieve it, we first have to measure it, so let’s take a look at how that process should be laid out.
Understand your strategy
Whether you are trying to expand your business into new territories or advertise a new line of products, you must ensure your strategy is clear and that the stats you are measuring will help you achieve it.
Craft your survey
Your survey should encompass all the questions you’d like your clients to answer, while also being easy to understand and fill in.
Analyze your results
Once the feedback starts pouring in, you should organize and analyze it, so that you can extract a few main takeaways that should motivate your next moves.
Adapt and iterate
As you start implementing changes, your customers’ needs will also change, so maintain a constant feedback and iteration loop to make sure you stay on top of the situation at all times.
Also read: Customer Obsession: Examples, Definition, and Implementation Strategy
4. 12 Customer satisfaction metrics to measure
There’s a plethora of metrics that you can measure, but that doesn’t necessarily mean you should be using all of them. We’ve created a list of the 12 metrics we consider to be most useful.
Customer Satisfaction Score (CSAT)
CSAT measures how the interactions between your customer service agents and your clients have made the latter feel.
Customer Effort Score (CES)
CES measures how much effort your customers need to put in before they can solve their issues.
Net Promoter Score (NPS)
NPS measures your client’s satisfaction and, in relation to it, how likely they are to recommend your products and services to others.
Social Media Metrics
Social Media Metrics can give you a great idea of how your brand is performing online, by measuring stats such as brand mentions and the like.
Customer Churn Rate
Customer Churn Rate measures how many customers have left your company without leaving any feedback. This is achieved by comparing your number of unique survey responses and the number of customers that have left.
First Response Time
The First Response Time is the amount of time it takes your support department to answer a customer request.
Average Resolution Time
The Average Resolution Time is the amount of time it takes your support department to fully solve a client’s issue.
Customer Service Abandonment Rate
Customer Service Abandonment Rate measures the amount of customers who give up on waiting for assistance due to long waiting times.
Customer Retention Rate
Customer Retention Rate measures the likelihood of your customers sticking around.
Resolution Rate
The Resolution Rate measures how efficiently your support department is solving customer requests.
Customer ticket request volume
This is the amount of tickets you are receiving from your customers. A high number usually indicates that a specific issue needs to be addressed.
Sentiment Analysis
Sentiment Analysis analyzes the speech patterns of your clients in order to figure out whether their impression is a positive or negative one.
Also read: 4 Examples Of What Can Go Wrong In Zendesk Without Good Reporting
5. Conclusion
Regardless of your strategy, measuring customer service satisfaction is one of the main steps any company should take towards improvement and client retention. Clients will always appreciate being listened to and their feedback often provides valuable insight about what a business can do better, so start gathering that feedback today!
Would you like to implement some of these tactics with your business, but you don’t know where to start? Book a free call with us and let us make the process easier and faster!