14 Customer Service Metrics You Should Track and Measure

We will be able to run businesses as science in 2021. We are interested in data, analytics, metrics, and how they can be used to grow our business. It's all about relying on hard, cold data to take the guesswork out. You can track your customer service metrics and monitor your performance to gain valuable insights. You can track a variety of metrics in the digital age. There is no longer a problem with not having enough data as in the past. Now we have a lot of data. The problem now is choosing which metrics to track. How do you choose the right metrics for your business from so many? We're here to help. We will show you 14 metrics to track customer service. Let's take an in-depth look.

Customer Satisfaction Scores (CSAT)

Customer satisfaction scores are a measure of how satisfied customers are with your product/service. The customer fills out a brief survey to rate their experience. They can choose from a range of scales, such as 1-3, 1-5, or 1-10. Customer satisfaction surveys are as easy as it gets in terms of customer surveys. It is important to find out how satisfied customers are. You want to get a clear picture of your customers' satisfaction by making the survey simple to fill out. These surveys will only provide a clear picture of the customer's feelings if there are many people taking part.

Simply ask:

"How satisfied are you with your experience today?" Please rate your experience on a scale of 1-10, with 1 being the worst and ten being the best.

Customer satisfaction surveys can be used at the most important points of the customer journey. You can use the survey to get feedback after a customer has purchased a product, after a customer calls customer service, or before they renew their subscription.

Customer Effort Score (CES)

Customer effort scores measure customer willingness to put in the effort required to use your product. The customer is asked to rate their experience on a scale of 1-7. This is how a CES is calculated. Let's say you sell photo-editing software called PhotoFuelLabs. This is not a product or company.

"Rate how strongly you agree with this statement: PhotoFuelLabs enables me to complete all my photo editing tasks for work or pleasure. Then, you would provide a 1-to-7 scale where 1 represents "Strongly disagree" while 7 represents "Strongly agree."

CESs can give you a good indication if your product is suitable for its purpose and if the customer is likely to continue to use the product.

Customer Retention Rate (CRR)

The customer retention rate, or the percentage of customers retained by a company over a period of time, is what it sounds like. Your CRR is important because it determines how likely you are to sell to existing customers. The probability of selling is 60-70% to an existing customer, while the probability of selling is 5-20% to a new client. Your future profits will be 80% due to 20% of your customers. This is why you need to understand your CRR and work towards increasing it.

This simple formula will calculate your CRR.

Customer retention rate=((E-N/S) *100

E: The number of customers at the end of a given period.

N: The number of customers that were added during the period.

S: The number at the beginning of the period.

Net Promoter Score (NPS)

The NPS measures customer loyalty and the likelihood of customers promoting your business. One question is asked to customers:

'How likely is it that you would recommend [Organization/Product/Service] to a friend or colleague?"

Customers are asked to rate their experience from 0 (not at all likely) up to 10 (very likely). The customer's answer will determine if they fall under one of these categories:

1. Promoters: Respondents who gave an average rating of 9-10. These customers are loyal to your company and will likely promote your brand.
2. Passives: Respondents who gave an average rating of 7 to 8. These customers are usually satisfied with your service, but they don't feel motivated to promote your business.
3. Respondents who gave ratings ranging from 0 to 6. These customers are usually considered to be unhappy customers and are unlikely to buy from you again.

Customer Churn

Customer churn can be described as the opposite of customer retention. Instead of focusing on how many customers were retained, you should be looking at how many you lost. Customer churn can also be called customer attrition. 

For many reasons, customer churn can cause significant problems in the long-term for business growth. It is difficult to get customers back after they move on to a competitor. This customer could even tell others about your company.

Companies used to treat customer retention and customer churn reactively in the past. This means they would only attempt to persuade customers to stay if they had stated their desire to leave. Companies can now be proactive about customer churn and CRR thanks to the digital age's advanced analytics tools.

This calculation will allow you to calculate your customer churn rates.

Customer Churn Rate = Customers beginning the month - Customers ending the month

First Response Time

This refers to the time taken by a customer to receive their first reply from a customer service representative. Customers hate being kept waiting, and First Response Time is one of the most important metrics in customer service. The more time a customer waits, the more frustrated they'll become.

First Call Resolution Rate (FCR)

The First Call Resolution rate measures the contact center’s success in solving customers' problems the first time they call. FCR can measure how satisfied customers are and how efficient customer service agents are in solving customer problems without requiring follow-ups. A study showed that up to 30% of companies who had measured their FCR over a year experienced a performance improvement.

Average Customer Support Ticket Resolution Time

It is easy to see how customer support tickets are resolved on average. It is easy to calculate the average time it takes to resolve customer support tickets. For example, if 1,380 minutes were spent on customer support tickets and 276 were solved during this time, the average customer support ticket resolution would be 5 minutes.

Total Number of Customer Support Tickets

This one is important, although it is easy to forget. You can track other metrics related to customer support tickets by measuring and tracking their total. You should also keep track of the number of tickets received by customer support. This will allow you to determine how stressed they are and whether or not you need more staff, more tools, or a better way to work. An unexpected spike in this number could also indicate a problem with your product, website, app, or service.

The Number of Unresolved Customer Service Tickets

The number of customer service tickets still unresolved is the volume. This number should be tracked to see if your customer service department functions efficiently and what additional work needs to be done. You should be able to filter these tickets by type so that you can spot areas of weakness and prioritize your next steps.

Preferred Communication Channel

This is a good metric to track in 2021, even though it's not strictly measured. Customers like options and to feel heard. It doesn't matter what a customer prefers for communication if they don't want to hear it. Your company should provide a variety of communication options so that customers can choose the best option for them.

Cross-sells and Upsells

Sales and customer service are more closely linked than ever before. Today's businesses trust their customer service representatives to cross-sell and upsell while solving their customers' problems. Cross-selling allows you to convince customers to purchase a second product to complement the first. Upselling refers to convincing customers to buy a higher-priced product. To measure the effectiveness of your customer service team in convincing customers to buy, you can track how many upsells and crosses they have done successfully.

The Usefulness of Knowledge-Base Articles

Companies know that customer service should not be left to the customers. They create articles to solve common problems. These articles are not enough. To determine if they are useful, you need to measure their utility continuously. This is very easy. Simply include a single-question survey at the bottom of the article. It should read, "I found what you needed: Yes/No" and "Was it helpful?"

Types of Customer Support Tickets

Depending on your business, the exact categories of customer service tickets you receive will vary. No matter which category you choose, it is important to ensure that all customer support tickets are sorted into the appropriate categories. It is possible to categorize tickets and identify key problems or frequent problems. Then, assign the appropriate team member to the ticket.

These are a few examples of categories:

• Sales question
• Technical issue
• Refund
• Cancellation
• Return
• Shipping
• Product availability
• By product
• How to

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Here you are! Now you have 14 key customer service metrics that will help you take your business to the next level. These metrics will allow you to unlock the power of your data and ensure that you are always providing high-quality customer service.