KPIs for customer service has to be considered carefully since the approach to the customer’s needs is one of the most delicate and visible elements of a brand. If it doesn’t work well, it risks destroying a brand’s reputation and decreasing sales.
Like other marketing metrics, brands need to measure it because it will give them the state of the situation. But how? Is it possible to measure something so intangible?
The answer is yes – KPIs come to the rescue because, like Peter Drucker said, “you can’t manage what you don’t measure.”
KPIs are a valuable element for any moment of your digital strategy to understand how effectively you are achieving key business objectives. You can take advantage of them even for customer service.
Measuring your efficiency in customer service will make you understand how your procedures are going, and if there is something you can do to improve it.
We will explain why this is so important and which KPIs you should keep an eye on. Stay with us to discover more about customer service and KPIs!
What is customer service, and why it is important
Customer service is the set of interactions between a customer and a brand. It is a delicate moment to build trust or make you lose the client forever, so hand it carefully!
Keeping an honest and robust relationship with customers helps the brand in several ways, from awareness to sales. We selected three of the most important ones.
- It helps to create value
- It improves retention
- It makes the team stronger and enthusiast, reducing turnover
What KPIs are and why are essential for customer service
KPIs are measurable values and parameters that allow marketing managers and companies to understand better how to grow. They also have another name, less known than the first, “key success indicators” – or KSIs. It is a massive hint of how and why those data are so important for a brand.
Their importance lies in the vision they can give of the customer-brand relationship. It will tell you if the customers are satisfied, how and how much. They will provide you a way to improve your service, and they will tell you if there is something wrong.
For instance, let’s imagine that you believe your customer service is the best in the entire world – you are not the only one, by the way, because almost every brand thinks so.
However, how can you be sure of it? Maybe you are just hoping that your service works fine while your customers hate it.
The only way to know it is through data analysis.
Thanks to them, you can track if the actions are going right, according to your goals and values.
Also, KPIs are personal for every brand.
Choose them wisely because they will lead you and show you how to proceed towards a goal.
7 KPIs you can use to measure customer service
Which KPIs are the most important to measure customer service satisfaction?
KPIs are personal, and every brand picks the ones it found the most valuable, so it is impossible to write a full list.
However, we selected seven of the most useful ones, so you can start to build your set.
- First Contact Resolution
- Customer satisfaction score
- First Contact Resolution
- Abandon Rate of Calls & Chats
- Customer Callbacks
- Average resolution time
- Number of acquired reviews
First response time
The quicker you answer to your customers, the better. You should keep the time under 1 minute for live chat, from 4 to 24 hours for email support, and from 1 to 6 hours for social media. In any case, never let customers wait for more than 24 hours.
Answer politely, briefly, and quickly. How can you see if you are going well? Take a look at the pile of unread messages – if you have more than 100, maybe there is still room for improvement!
You can also take advantage of AI for self-response messages, but be sure they work well and they don’t create friction with customers.
A bit of human touch is always a good idea!
Customer satisfaction score
There is nothing better than a satisfied customer, except the moment in which KPIs prove you right, and you are sure about their happiness.
This KPI is incredibly difficult to measure because it has to do with emotions and feelings, which are not easy to evaluate on a numerical scale.
However, you can measure your Customer Satisfaction Score (or CSAT) by asking your customers to vote your customer service on a scale, for example, from 1 (for extreme delusion) to 5 (full happiness).
It will help you better understand what they think and even improve their satisfaction with the next measurement.
First Contact Resolution
The first contact is precious. Ascent Group even proved that 60% of companies that measure it for a year report a 1 to 30% improvement in their performance.
In this case, the higher the rate, the more satisfied your customers are. It indicates how efficient your employees are, by resolving customers’ problems in one shot at the first call, without multiple interactions.
This metric indicates how good your team is in resolving customers’ problems on the first try. If the score is high, you can be sure that your customers’ loyalty will grow.
Abandon Rate of Calls & Chats
This KPI is pretty self-explanatory – if a client is satisfied, he will not abandon the call or the chat with a brand’s member team.
It is useful to implement better and more efficient strategies to improve customers’ experience and make the team as proactive as possible.
The most common cause for abandoned calls and chats is too long queue time that makes customers impatient and unsatisfied. So be careful!
Customer callbacks KPI is the “number of repeated calls or support tickets from a customer within seven days from their first contact.”
It is a KPI that encourages the customer service team to solve the customer’s problem at the moment and anticipate any further issues that they could face. In this case, not only do they optimize the time, but they also build loyalty.
Average resolution time
Timing is the best friend of any customer service team!
The faster and more precisely your team answers the people’s questions, the happier they will be. They will also trust you more and become loyal.
It will be easier to make them satisfied, and you will have to deal with many fewer issues.
Number of acquired reviews
Last but not least, we suggest you measure the number of acquired reviews.
Statistically speaking, negative reviews are more common than positive ones because people tend to leave a bad review.
On the other hand, happy customers rarely express themselves in this way.
What can you do?
You could train your team to ask for positive reviews while the customers had a fulfilling experience, even offering a small discount or upgrade in return.
It will make customers more eager to share their opinion, you will build a bit more loyalty, and your brand will have positive reviews.
Conclusions: why caring about customer service KPIs
KPIs are one of the most crucial and efficient ways to measure a brand’s performance. It is the same for customer service, too: you need to measure your performance and efficiency to improve it or fix it.
It will make you understand how your procedures are going and something you can do to improve it.
Selecting KPIs is personal, and every brand picks the ones it believes to be more relevant. However, this does not mean that there are no general guidelines to follow, from customer callbacks to acquired reviews.