Which customer service metrics do you track? And are you able to act on your metrics to improve outcomes? Although service reports deliver tons of data about your strengths and weaknesses, it's vital to generate insights from raw numbers.
Learn how to evaluate customer service effectiveness by using critical measurements that give you the big picture while highlighting individual performance.
8 customer service metrics you should track to improve customer relations:
- Operational time metrics
- Customer reviews and ratings
- Operational rates
- Up-sell and cross-sell ratios
- Customer satisfaction scores
- Voice of the consumer
- Retention and repurchase rates
- Case-level statistics
1. Measure operational time metrics
In an instant-everything world, speed in customer communication is crucial, with a survey finding 20% of consumers expect an immediate response from companies on social media. In comparison, 24% want an answer within the hour.
The time it takes to answer messages and resolve issues affects the customer experience. Look at industry benchmarks for different service channels and ensure your teams reach customer service goals.
Measure your customer service performance by looking at metrics such as:
- Average resolution time: Learn how long it takes from the first communication until resolution, across all channels. This metric gives you a broad overview of your customer service performance.
- Average handle time: Find out how much time your teams spend on calls. This metric looks at the average length of calls, including time spent on hold, pulling up information, or talking with the customer.
- First response time: Also called first reply time, this metric shows you how long customers wait for service after asking for help. Since clients use various touchpoints, look at your overall rate then break it down by platform.
2. Assess customer reviews and ratings
Delivering exceptional customer care results in satisfied clients and favorable reviews. Although you should look at response times for review platforms, it's also important to analyze reviews to find a pattern of problems or gaps in your training.
Dive into your customer service reports to find out:
- Which products get the highest and lowest ratings on your website.
- How many customers leave reviews.
- Average customer sentiment from reviews or comments.
- How many site visits stem from review platforms.
Evaluate customer service strengths and determine brand health by digging into customer reviews, ratings, and comments on social media. Invest in tools that provide customer sentiment insights such as Hootsuite or .
3. Examine operational rates
Understand your call volume and customer service interactions' effectiveness by measuring call, retention, and resolution rates. Doing so gives you data about how well your teams understand problems and offer the right solutions.
Use these metrics to assess service:
- Rate of answered calls: Compare the number of calls answered with the number of calls received to find out if you're missing clients' connections.
- Number of interactions per case: Find out how many conversations and touchpoints it takes to resolve an issue, such as callbacks, call transfers, or multi-channel use.
- First contact resolution rate (FCR): How many problems do you fix on the first call? Assess your FCR across live chat, phone, email, and messaging platforms.
- Ticket volume: Ensure your clients get adequate attention by recognizing call volume patterns and how volume during specific time frames affects other customer satisfaction scores and rates.
4. Interpret up-sell and cross-sell ratios
Increasingly, customer service involves all teams, giving you more opportunities to add value to your client experiences. While customer support isn't meant for a hard sale, it's an ideal place to suggest a product that may fit their needs better or complement an existing product.
Upsells are when a client picks a more expensive product after talking to customer service versus when your agents cross-sell an item supporting or complementing the product they're calling about. Higher ratios mean you're delivering more value to your customers.
For example, when a customer calls because they can't figure out how to use a feature, give them the answer and recommend a corresponding item that automates or simplifies the action. Get both ratios, then break the data down by department, team, or product.
5. Review key customer satisfaction scores
Happy customers interact with your brand and spread the good word to friends. Use net promoter scores (NPS) or customer satisfaction scores (CSAT) to gauge their experiences. According to , 64.5% of companies use NPS, while 43.6% use CSAT. However, you may come up with your own key performance indicators (KPIs).
Your customer service software provides reporting options such as:
- Net promoter score: Determine the likelihood of scoring word of mouth referrals using the NPS. A net promoter report categorizes respondents by detractors, passives, and promoters.
- Customer satisfaction score: CSAT measures customer satisfaction. It combines data from surveys and feedback ratings supplied to users visiting your website after purchase or following a customer service call.
6. Investigate the voice of the customer
Consistently anticipating your customer needs results in better experiences, higher sales, and brand loyalty. The voice of the customer (VOC) includes customer satisfaction scores from above while also looking closely at your client's actions and habits.
Improve customer service goals by examining:
- Preferred communications channels: Figure out which platforms your clients prefer by looking at inbound communication rates by channel.
- Self-service usage: Determine if your self-help tools, like a knowledge base or video tutorials, support objectives by reducing incoming calls.
7. Look at customer retention and repurchase rates
Customer retention and repurchase rates provide key insights into your customer service return on investment (ROI) and satisfaction rates. Your clients have access to service or product solutions with a tap on the screen. But, businesses that generate repeat sales save money while increasing revenue.
Assess your overall customer retention rate, then break clients down into categories. For example, identify new, occasional, and power users. Each type of customer requires a different approach, and your customer support teams can help increase your retention rates by addressing individual needs.
Use the repurchase rate alongside other KPIs to determine how many customers buy your product or services within a set time frame. After a great customer service experience, many customers come back for seconds.
8. Evaluate case-level metrics
Look at individual cases to give context to your customer service metrics. For instance, if your first contact resolution rate increases, then pull up issues by topic. You may find your customer care agents don't have enough information about a new product or service to answer questions on the first call effectively.
Case-level customer success metrics include:
- Cases by topic: If you use call center or customer service software, you can tag your subject conversations. Use this information to identify pain points with specific product elements or where your self-service options are lacking.
- Cases by location: Adjust your customer service hours according to the frequency of calls coming in from various regional or global areas.
- Cases by time created: Use data from this report to determine when your customers are actively seeking help. Share this information with your marketing teams to improve the customer experience across departments.
Take steps to improve customer service metrics
Measure your communications to get more quality customers. Service response and satisfaction rates provide insights across departments.
Now that you know what you should track, it's time to act. Use your customer service metrics to identify new ways to build relationships with your clients while exceeding your customer service goals.