Customer Service KPIs
Customer service Key Performance Indicators are specific measures businesses can assess in order to get a good understanding of their overall customer satisfaction. Customer service is the most important aspect of ensuring a business continues to be profitable and ultimately stays in business. It’s important to identify what KPIs you plan to measure and track to get a handle on the direction of customer satisfaction.
Overall, it’s important to keep track of all customer complaints and issues pertaining to customer satisfaction. This can be done by the implementation of a ticketing system, in which customer service representatives are trained to create tickets to record customer complaints or issues. These tickets should be tracked daily for a quick snapshot of customer satisfaction.
Customer Satisfaction Score (CSAT) KPI
CSAT is an excellent tool used to get a score of how satisfied the customer is with your services and or products. CSAT can also be applied to rate the customer experience with the customer service departments interaction regarding products or services. From the CSAT, you can take the average score to get an overall indication of customer satisfaction.
Net Promoter Score (NPS) KPI
The Net Promoter Score KPI is a measure of the likelihood of a customer recommending your products and or services to friends, family or co-workers. The NPS is also a good way get a measurement on your customer service. With good customer service, you increase the likelihood of current customers promoting your products or services to others.
Customer Retention Rate
Customer Retention Rate is a measure to indicate businesses ability to retain current customers over a defined period of time. It is good business practices to retain, due to the resources needed to attract new customers.
Customer Retention Rate Formula
Customer Retention Rate = (CE – CN) / CS X 100
Where CE = Number of customers at an end date, CN = Number of new customers acquired during a given time from, and CS = Number of customers at a start date.
SERVQUAL is the measure of customer satisfaction compared to what kind of experience they expected to have. The SERVQUAL KPI consists of five areas that compromise of the quality of customer service.
- Reliability, how reliable are your goods and services according to the satisfaction of your customers or clients.
- Assurance measures the professionalism of your customer services reps, this instills confidence and trust with customers.
- Tangibles, the cosmetically appealing appearance of your business facilities, website, or other marketing and promotional materials.
- Empathy is the measure of the perception the customer service reps portray in understanding the customer’s point of view.
- Responsiveness, the time it takes for customer service reps to respond to customer complaints.
Satisfaction Improvement KPI
Satisfaction improvement is the measure of customer service satisfaction over a given time period. By tracking this KPI businesses can understand how customer service is improving and make the necessary adjustments.
Customer Service Rep Performance and Productivity KPI
The ability to measure a business’s customer service reps job performance is very important. This measure can directly indicate response time to customer issues.
First Call Resolution (FCR) KPI
FCR is the measure of a customer service reps ability to resolve customer issues on the first call. Customer satisfaction is optimized if the issues with your product or service are resolved on the first call. The FCR KPI optimization can be achieved by having clearly defined and detailed customer satisfaction systems in place, and by supplying the customer service reps with tools to resolve issues efficiently.
Customer Service Wait Times
Being able to measure the average wait times for customer service is critical. Customers want issues to be addressed as fast as possible, and by tracking customer service wait times business owners can identify ways to implement solutions.