Is your customer experience (CX) strategy finally paying off? Does your organization have the right CX plan and tools in place to measure customer experience success?
These thoughts pop up in your head over and over again, whenever you outline customer experience (CX) initiatives for your organization. Agreed?
Planning metrics are extremely helpful in gaining insights about how well your implemented strategy is working, Interestingly, you always have a plan to measure that but how you are measuring it makes all the difference. It’s become more tricky today as customer wants and needs are constantly changing.
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How do you effectively measure customer experience?
CX is all about delivering the right resolutions at the right time. Whether you plan your CX initiative at large scale or small, measuring the success of a strategy is non-negotiable.
Broadly there are two most popular category to measure CX:
- Net promoter score (NPS)
- Customer Satisfaction (CSAT)
Others include: Customer effort score, Customer lifetime value, Customer loyalty, Brand advocacy, Reputation.
Customer effort score is the third most popular metric businesses use. The goal here is to make the customer answers as simple as possible which helps them to interact with your brand better. Follow-up surveys that are brief and cut to cut, can provide valuable actionable data so that operations can be quickly changed if needed. Prioritize and measure the things your customers are looking for and care about the most. It’s easy to take care of things when you are clear about customer service and customer experience is similar.
CX should not be mapped with CS metrics such as average handling time(AHT). Despite that, while measuring CX, focus on metrics like first call resolution, on-time appointments, and average speed to answer that better reflect the customer’s engagement and interaction.
Customer lifetime value (CLV) is another aspect that measures the total lifetime worth of a customer. Retaining a customer saves six to seven times the cost as compared to attracting new customers. If you want to drive growth, be sure that CLV makes you better prepared to develop revenue-linked strategies that are distinct from customer loyalty and customer service.
All of these metrics and steps can help you better measure CX success in order to gain insights and implement further CX improvements.
Now that we already know, CX leaders will want to see how initiatives and investments will impact business performance and ROI; Let’s think about what outcome it will give to different stakeholders and business overall. Here are some examples:
- Cost savings
- Recurring revenue
- Increased Retention (employees and customers)
- Enhanced Profitability
- High Customer lifetime value
- Share of wallet
- First call resolution
- Net promoter score
- Customer satisfaction
- Customer effort score
- Ease of doing business
- Accuracy of transaction
- First call resolution
- Speed of resolution
- Quality of resolution
Customer Service Agent
- Agent engagement and empowerment
- Agent Satisfaction
- Internal growth
- Learning and development metrics
To achieve customer experience, good knowledge management solutions deliver the data you need to understand which CX strategies are working and which need improvements. Implementation, measurement, and improvement is the surest way to improve loyalty and satisfaction among agents and customers.