Have the past 18 months been difficult for you as you not only try to manage what business is like with COVID-19 in general but also the new challenges it has brought forth with hiring? We all know that thousands of businesses across America, and other countries, are hiring and that with less staff, customer satisfaction is often compromised. This leaves many businesses in a difficult position as patrons still expect the same level of service, if not better, as they become more particular about what companies they’re spending with.
As a result of this, companies are not only looking to keep their current employees happy, so they stay fully staffed and don’t lose good employees to competitors, they are also looking for ways to improve their customer experience across the entire organization. We could go down a rabbit hole about how to attract and keep good employees, but for today, we’re going to focus on improving customer satisfaction.
Have you ever heard the saying “what gets measured gets done”? Many organizations understand that if they aren’t measuring strategies and activities in their organization, the bottom line will be greatly affected because there aren’t any established goals. While many executives embrace this notion, they oftentimes don’t understand just how much it does impact the organization’s bottom line. Bad service is detrimental to an organization and there are many costs associated with poor service. [You can read more about this in our recent whitepaper] In order to measure customer satisfaction, it’s important to identify what exactly you’re measuring, and to ensure those metrics are the RIGHT metrics.
The 5 most important KPI’s for measuring customer satisfaction
When it comes to customer satisfaction, there are 5 important key performance indicators (KPI’s) that ALL organizations should be using no matter what industry they’re in.
- First contact resolution (FCR) – FCR measures an organization’s ability for its team members to resolve a customer’s inquiry or problem on the first call or contact
- Customer Effort Score (CES) – CES measures just how much effort a customer has to put forth in order to get their questions answered or issue resolved. [Essentially, how easy (or difficult) are you to do business with?)
- Net Promoter Score (NPS) – NPS measures the level of customer loyalty based on several factors, but mostly your customer’s ‘willingness to recommend’
- Customer Satisfaction Score (CSAT) – CSAT is a quantitative measure that shows how satisfied a customer is with a product or service that also allows for qualitative feedback that explains why
- Service Recovery Effectiveness (SRE) – SRE looks at how effective an organization is in correcting the problem and decreasing the magnitude of the problem in order to keep, or establish, brand loyalty
It’s important to look at each of these and determine how exactly they fit into your customer experience. Stay tuned for future blogs where we’ll dive into these KPI’s one-by-one. Subscribe to our blog so you don’t miss out!