Customers demand high-quality service from customer service representatives—and that is not surprising at all. Although when COVID-19 happened, the demand for high-quality support could not be more evident. In fact, 80% of customers expect better service during the pandemic.
How high and better could they want. Depends on the customer’s preferences, maybe?
Even call center companies experience difficulties in measuring their service because we are not talking about figures alone. In customer service, we measure the quality of service we deliver to our customers.
There are already call center metrics industry standards to track customer success and satisfaction. But how do you know what to measure?
Customer Success
Before we proceed with the call center metrics, we have to answer an important question—what is the goal?
As with all call center companies or call center offshoring businesses, the goal has always been about customer welfare and success. Hence, the term “Customer Success” has been a buzzword for call centers to give emphasis on the matter.
Basically, Customer Success is the term to describe any business’s effort to help customers be ‘successful’ in interacting with their services, products, or the company in general. It ensures that customers attain their desired results to increase the likelihood of retaining them.
Call Center Metrics to Ensure Customers Achieve Success
To help your customers achieve success, here are some call center metrics to guide you:
1. Customer Satisfaction Score
This metric is simply asking your customers to rate their experience with your company. Customer Satisfaction (CSAT) Score is a basic metric to determine your customer’s level of satisfaction immediately after they interact with your call center representative.
HOW TO MEASURE:
Divide the number of positive scores by the total number of scores captured. Then, multiply the result by 100 to get the percentage of your customers with a satisfying experience.
CSAT = [(#) Positive Responses / (#) Total Responses] x 100
2. Customer Health Score
You may confuse this with CSAT, but Customer Health Score (CHS) is about going beyond the interaction alone. CHS is about monitoring your customers’ satisfaction by building a relationship with them. Hence, it can be in the form of additional customer support, offering product upgrades, or simply asking about their product usage.
HOW TO MEASURE:
There is no fixed formula for CHS. Instead, you formulate your own health score depending on your goals and on what makes your customers successful with your product.
3. Customer Feedback Result
Maybe one of the simplest ways to measure customer success is to get feedback from your customers. Customer feedback is helpful because you can use it to align your strategies and plans to the experiences that matter to your customers.
HOW TO MEASURE:
The simplest yet best way to get feedback from your customers is to let them answer a survey from your company. It should include questions pertaining to your customer service representatives, products, or your company as a whole.
4. Net Promoter Score
One way of determining how content your customers are about your service or product is by knowing if they will suggest or endorse your company to others. Thus, the Net Promoter Score (NPS) lets you see how likely your customers will recommend you to somebody else.
HOW TO MEASURE:
Commonly, call center companies measure NPS by using a scale of 1-10, answering the question like, “On a scale of 1-10, how likely are you going to recommend our company to your family and friends?”
NPS = [(#) of Promoters / (#) of Customers] – [(#) of Detractors / (#) of Customers]
5. First Response Time
This measures the average time it takes for your call center representative to respond to a customer. Of course, keeping the First Response Time (FRT) to a minimum is ideal as customers are not a huge fan of waiting. Also, it is essential to note that this is the first step in solving your customer’s concern.
HOW TO MEASURE:
Divide the total wait time for all calls by the total number of calls.
FRT = Total Wait Time for All Calls / (#) of Calls
6. First Call Resolution Rate
If your representative can completely address your customer’s concern in a single interaction, that is First Call Resolution (FCR). It means solving your customer’s issue without having to do a series of follow-ups or a lot of transfers.
HOW TO MEASURE:
Divide the number of issues closed after the first call by the total number of calls received.
FCR = (#) of Reported Issues After First Call / (#) of Calls Received
7. Customer Effort Score
This rates the ease of your customer’s experience involving your service or product. The Customer Effort Score (CES) measures how much effort your customer exerted into the interaction required in solving an issue or fulfilling a request.
HOW TO MEASURE:
Measuring your CES does not also come with a standard system or process. You may use the Scale System (On a scale of 1-5…) or Agree and Disagree Method (Strongly Agree to Strongly Disagree…)
8. Customer Retention Rate
This measures the percentage of customers that your company can keep within a timeframe. Customer Retention Rate is also a metric for customer success as it determines customer service efficiency.
HOW TO MEASURE:
Calculate the total number of existing customers against the number of customers lost and acquired within a timeframe. Then, multiply by 100.
Retention Rate = [(End Customers – New Customers) / Start Customers] x 100
9. Customer Churn Rate
Churn rate is the percentage of your customers that cancel or leave your service in a given period. For instance, it could be your customers opting out of a subscription, closing an account, or using another company service or product.
HOW TO MEASURE:
Divide the number of customers that churned during a specific timeframe by the total number of existing customers in the same timeframe. Then, multiply by 100.
Churn Rate = [(#) of Customers Terminating Per Period / (#) of Customers at the Beginning of the Period] x 100
10. Channel Mix
This metric pertains to the service channels that your customer prefers. It can be through phone/voice, mobile, messaging, and others.
HOW TO MEASURE:
Get the total number of call center service sessions per channel.
Qualities of Customer Service Metrics
There are currently many methods in measuring your representative’s or company’s performance, but tracking everything is not ideal. You may use these criteria from Help Scout to know which call center metrics is valuable for your customer success.
- Meaningful. Measure things significant to your company’s goals. Is it knowing if your customers will recommend your company to others? Is it solving customer’s concern within the first interaction?
- Moveable. Measure things on which your team can have an impact. Is absenteeism something that matters to you the most? If not, then maybe you can focus on things that are more important for you.
- Authentic. Your metric’s results should be honest. Knowing the accurate figures can help you measure and plan strategies accurately.
- Contextualized. Figures do not have value without proper context. Make sure to provide subject, background, or reference.
- Consistent. Tracking results over time, from previous activities up to the present, can help you gain more insights. So, consistency in measuring performance is a must.
Customer Success Importance
If your customers do not achieve their expectations from your company, it is most likely that you will lose them—a fact that is unsurprising as well.
Being that, ensuring customer success is a significant factor that must include your customer services. If you help your customers be successful, they will stick with your company, stay loyal, and eventually drive revenue.
Customers are always the priority of any business, so satisfying their needs is a core goal. In ensuring your company’s success, you must first make certain your customer’s success.
Frequently Asked Questions (FAQs)
Q1: How does a call center measure the efficiency of its customer service?
There are several metrics used to measure the efficiency of customer service in a call center. This includes First Response Time (FRT), which measures the average time it takes for a representative to respond to a customer; First Call Resolution (FCR), which tracks if customer’s issues are resolved in a single interaction; and Customer Retention Rate, which measures the percentage of customers that a company can retain over a certain period of time.
Q2: What is Customer Health Score (CHS) in a call center, and how does it contribute to customer success?
Customer Health Score (CHS) goes beyond immediate interactions, focusing on building relationships and ensuring customer satisfaction. It involves monitoring customer success through additional support, product upgrades, and understanding their product usage. By implementing CHS, call centers can proactively enhance customer experience, ultimately contributing to long-term customer retention and success.
Q3: Why is it important for call centers to track the Channel Mix, and how can it enhance customer service?
Channel Mix refers to the preferred service channels of customers, such as phone/voice, mobile, or messaging. Understanding this mix is crucial for tailoring communication strategies. By optimizing channels based on customer preferences, call centers can enhance customer service, improve engagement, and increase overall customer success. Regularly monitoring and adapting to the Channel Mix ensures a customer-centric approach.
Q4: What is the difference between Customer Satisfaction Score (CSAT) and Customer Health Score (CHS)?
While both CSAT and CHS measure customer satisfaction, they focus on different aspects. CSAT measures immediate customer satisfaction after interaction with a call center representative. On the other hand, CHS goes beyond the interaction alone and monitors customer satisfaction by building a relationship with them.
Q5: What is meant by “Customer Success” in the context of call center services?
Customer Success refers to the efforts made by a business to ensure customers achieve their desired results when interacting with their services, products, or the company in general. It’s about helping customers be ‘successful’ in their interaction which increases the likelihood of retaining them.
In One CoreDev IT (CORE), we believe that customers should experience excellent service. Hence, we provide employer of record and call center solutions that can help companies achieve their goals while keeping a customer-focused approach.
If you are committed to meeting your customer’s needs, then we can be the partner you are looking for. We have a wide-range call center solutions paired with our highly-trained specialists to deliver the best service your customers deserve. Experience with us, and achieve success with one of the reliable call centers in the Philippines.
