Customer support metrics allow firms to trace their help efforts in an on-demand, multi-platform world. Plus, okayeeping tabs in your customer support metrics is a crucial option to measure the general well being of your model. Completely happy prospects make repeat purchases, scale back the load in your customer support group, and improve the attain of your model via optimistic phrase of mouth. 

Preserve studying to learn how to effectively monitor buyer success and satisfaction, and assist your group keep on prime of all issues customer support. 

What are customer service metrics?

Customer service metrics are a set of key performance indicators used to measure the performance, quality, and efficiency of a business’s customer support efforts.

Tracking common metrics for customer service allows a business to allocate necessary resources, understand which channels customers use, and identify recurring issues or bottlenecks in the support process.

Customer service metrics are also used to measure client satisfaction. This includes direct feedback from customer surveys or polls, and also reports that calculate how long it takes for tickets to be resolved.

18 customer service metrics to track in 2023

Here’s a breakdown of the top customer service metrics that matter.

1. Net promoter score (NPS)

Your Net Promoter Score measures how possible your prospects are to suggest your organization to others. It’s one of the crucial necessary buyer engagement success metrics. Solely these prospects who’re on good phrases along with your model are prone to suggest you to others.

To measure NPS, ship a brief survey to prospects after a purchase order or customer support interplay. Ask them one easy query: How possible are you to suggest the model? NPS is often measured on a scale of 1-10, however some use a five-point scale as an alternative.

Shaw Mobile customer satisfaction survey

Supply: Shaw Cellular textual content survey

To measure NPS, subtract your share of detractors (those that wouldn’t suggest your model) out of your promoters (those that would). Pass over those that fall in “possibly” territory—these persons are thought-about “passives” and don’t impression your rating. 

NPS = Proportion of promoters – Proportion of detractors 

2. Buyer satisfaction rating (CSAT)

Like NPS, CSAT entails asking your prospects a easy survey query. Nonetheless, on this case, you simply ask them to charge their expertise.

So, as an alternative of asking whether or not they’d suggest you, you’re simply asking how happy they’re with you. This is without doubt one of the Most worthy customer support success metrics. It encapsulates the whole customer support expertise in a single response.

You may ship an NPS survey both after a purchase order OR after a customer support interplay. For CSAT, it’s commonest to ship the survey after a customer support interplay solely. You should utilize a numeric scale, or get inventive, like did on this CSAT survey: customer satisfaction survey

Supply: e-mail survey

To calculate CSAT, divide the variety of optimistic scores in your survey by the overall variety of replies. Multiply by 100 to get the proportion. 

CSAT = (Variety of optimistic scores/Variety of replies) x 100 

By the way in which, Hootsuite Inbox can robotically ship CSAT surveys after every customer support interplay and robotically pull the outcomes into Hootsuite Analytics for straightforward evaluation and reporting. 

3. Buyer effort rating (CES)

That is one other metric decided by a easy survey. At first, the survey query seems to be similar to that for CSAT. However on this case, relatively than asking how happy the client is with the service, you as an alternative ask how straightforward it was to get the service they wanted. 

Turbo Tax email survey

Supply: TurboTax e-mail survey

This offers you a great sense of how nicely your customer support program is ready up. The place CSAT measures the success of a selected interplay, CES measures the convenience of accessing help within the first place. 

Trace: Providing prospects help on all the channels the place they anticipate it’s a key manner to enhance CES. Hootsuite Inbox is a superb software to handle buyer help throughout all social channels, retaining prospects comfortable and boosting your CES.

The components for calculating CES is similar as for CSAT—it’s simply that the survey query addresses a distinct facet of buyer success. So to calculate CES, divide the variety of optimistic scores in your CES survey by the overall variety of replies. Multiply by 100 to get the proportion. 

CES = (Variety of optimistic scores/Variety of replies) x 100 

4. Help ticket classes

For firms that arrange their help tickets by sort of problem, it’s necessary to maintain tabs on which issues come up most frequently. In case your CES is excessive, analyzing which classes obtain probably the most quantity may help you determine the place prospects exert probably the most effort.

Help ticket classes could embrace:

  • Gross sales query
  • Technical points
  • Cancellations
  • Returns
  • Transport
  • Product availability

Visitors, web page views, Continuously Requested Questions pages, and assist articles provide one other option to measure the place prospects require probably the most help.

5. Ticket quantity

Along with monitoring which points come up most frequently, it’s simply as necessary to keep watch over the amount of tickets you obtain over time.

Suppose the variety of tickets you obtain is on the rise—particularly in a selected space. In that case, it could be essential to revisit communications methods, assist articles, and even insurance policies and operations. It’s additionally essential for managers to pay attention to how a lot stress their help groups are underneath, to allow them to present vital help before burnout becomes a problem.

How do you calculate ticket quantity? Report what number of tickets you obtain at common intervals: daily, week by week, or month by month. For visible evaluation, plot these outcomes on a line graph (like we do in our customer support report template, which you’ll be able to download here).

customer service metrics: ticket volume tracking chart

In case you discover spikes, attempt to pinpoint what could have prompted them, akin to product releases, world occasions, and even a social media crisis. That manner you’ll be able to devise plans and higher allocate assets sooner or later.

6. Buyer retention charge (CRR)

customer retention rate

A buyer retention charge measures the variety of shoppers an organization retains over a choose interval.

This metric is important for firms that present a daily or subscription-based service. Relying on the trade, firms could file retention charges weekly, month-to-month, quarterly, and yearly.

To calculate buyer retention charge, you’ll have to file:

S = Variety of prospects firstly of the interval

E = Variety of prospects on the finish of the interval

N = Variety of prospects added through the interval

With that data, calculate buyer retention charge with the next components:

[(E-N)/S] *100 = CRR

For instance, say you may have 100 prospects firstly of your timeframe (S), 90 prospects on the finish of the interval (E), and also you added 15 prospects (N). Your buyer retention charge could be 75%.

7. Churn charge

Keep in mind: Good customer support is about constructing long-term relationships with prospects. Churn charge measures the proportion of your prospects that depart your model versus people who stick round.

Buyer churn charge is measured for a selected period of time. The commonest timeframes are month-to-month, quarterly, and annual. 

To measure churn charge, take the variety of prospects you lose over the interval and divide it by the overall variety of prospects you had firstly of the interval. Don’t embrace new prospects acquired over the interval in your equation, since that can skew your outcomes.

Churn charge = (Clients misplaced over a interval/Clients firstly of the interval) x 100

You can too evaluate churn charges for various segments of your buyer base to see if some merchandise or product bundling methods are creating higher buyer success than others.

Churn rate graph picturing how bundling affects churn

Supply: J.P. Morgan Global High Yield & Leveraged Finance Conference presentation by Jean-François Guardian, Vice President and Treasurer, Quebecor Inc., QMI and Videotron

8. Buyer acquisition value (CAC)

customer service metrics: customer acquisition cost

Buyer acquisition value tracks the typical amount of cash spent on gross sales and advertising to acquire every new buyer.

This metric gives a partial option to monitor the ROI of social media, advertising, and gross sales groups. In an excellent state of affairs, as groups scale their efforts, CAC ought to go down, and ROI ought to go up.

The components for CAC is easy: The quantity spent on gross sales and advertising over a given interval divided by the variety of prospects acquired in the identical timeframe:

CAC = Gross sales and advertising spend / prospects acquired

For instance, should you spent $10,000 on gross sales and advertising and bought 20,000 prospects, your value per acquisition is 50 cents.

A decrease quantity is a greater outcome—but it surely may additionally imply you may have a low gross sales and advertising price range. That’s why it’s important to view this determine in tandem with customer support satisfaction metrics and development and efficiency outcomes.

9. Buyer lifetime worth (CLV)

Buyer lifetime worth is a measure of how a lot you’ll be able to anticipate to earn from a single buyer over the whole lifetime of their relationship along with your model.

CLV that’s greater than the typical preliminary buy signifies that prospects make a number of purchases out of your firm over time. That signifies a wholesome model relationship and nice model loyalty.

With a view to measure CLV, you’ll have to have a number of knowledge factors about buyer conduct.

CLV = Common buy worth x Common buy frequency x Common buyer lifespan

For instance, one research analyst estimated Amazon’s buyer lifetime worth as $2,283 from Prime members and $916 for non-Prime members. 

That is additionally an necessary metric for understanding how a lot you’ll be able to afford to spend on social media advertising to amass a brand new buyer. 

10. Recurring income

Recurring income is one other option to measure what number of of your prospects are sticking round. It will possibly additionally offer you a way of whether or not persons are upgrading or downgrading their recurring stage of spend. 

You may measure recurring income on any time interval that aligns with the renewal/discover interval on your subscription services or products. The commonest choices are month-to-month recurring income (MRR) and annualized recurring income (ARR). 

To measure MRR, multiply your variety of energetic customers by the typical month-to-month income per consumer. 

MRR = Variety of energetic customers x Common month-to-month income per consumer

11. Enlargement income

The recurring income metric above measures how a lot you’re bringing in on a recurring foundation. Enlargement income measures how a lot income comes from upgrades, premium merchandise, and so forth. This can be a nice measure of buyer success as a result of it signifies prospects are prepared to spend greater than the essential quantity required to entry your service.

To calculate growth income, tally all of the income introduced in from add-ons, upgrades, and so forth. 

To calculate growth income per consumer, divide the overall by the variety of customers. 

Enlargement income per consumer = Whole income from adds-ons and upgrades/Variety of customers

12. Income contraction

Income contraction is the alternative of growth income. On this case, you’re measuring how a lot income is misplaced from downgrades. That is much like churn in that it signifies persons are not seeing success with their premium plans. 

Churn measures what number of prospects you lose solely. Income contraction measures how a lot revenue you lose from prospects who stick round however downgrade their plan. 

One attention-grabbing instance of income contraction comes from streaming companies, lots of which have just lately launched ad-supported lower-cost plans. Research from evaluation firm Antenna reveals that downgrades from an ad-free plan represented 29% of recent additions to the ad-plan providing over the primary 13 months. 

Supply: Antenna

Remember that whereas HBO MAx loses subscription cash from these downgrades, they achieve advert income. So it’s not a straight revenue loss. However it’s nonetheless a great measure of the worth prospects place on premium versus fundamental plans. 

To calculate income contraction, tally all of the income misplaced from downgrades. To calculate contraction per consumer, divide the overall by the variety of customers. 

Income contraction per consumer = Whole income misplaced from downgrades/Variety of customers

13. Common income per consumer (ARPU)

In case you don’t have a subscription mannequin, you don’t essentially have recurring income. Nevertheless it’s nonetheless necessary to keep watch over how your common buyer spend is altering over time. Clients who’re experiencing success along with your model will typically spend extra, whereas those that are much less happy will spend much less. 

To measure ARPU, divide your whole income over a interval by your common variety of energetic customers over that interval. 

ARPU = Whole income/Variety of energetic customers

Since ARPU is such an necessary measure of name well being, it typically seems in earnings and investor reviews. 

Facebook Average Revenue per User graph

Supply: Meta Earnings Presentation Q1 2023

14. Common response time

average response time

Common response time tracks how lengthy it takes for patrons to first hear from a help agent — it basically measures the wait instances concerned in talking along with your group.

A brief reply time is a mark of excellent customer support, particularly on-line, the place prospects just about anticipate service on-demand. Because of this, many companies rely on bots to handle initial queries.

There are many automation instruments, akin to Hootsuite Inbox, that present common ticket dealing with time reviews.

In case you’d prefer to calculate it manually, use the next components:

Common response time = Whole time taken for first response to buyer queries / Variety of queries

15. Common decision time

customer service metrics: average resolution time

Common decision time measures how lengthy it takes for buyer tickets to be resolved. For a buyer and a corporation, the earlier buyer points may be resolved, the higher.

In case you obtain a excessive quantity of buyer queries, the extra vital it’s to make use of instruments to calculate decision instances precisely. Right here’s learn how to calculate it manually:

Common decision time = Whole time spent on resolved circumstances / variety of resolved circumstances

16. First contact decision charge

Customer service metrics: first contact resolution rate

One other key customer support efficiency metric is first contact decision charge. Clients don’t prefer to be handed from one agent to a different. Not solely does this replicate poorly on the group, it additionally typically results in longer decision instances.

When you have a low first contact decision charge, likelihood is you’ll even have a excessive buyer effort rating (CES). Particularly if the client is requested to elucidate their problem greater than as soon as.

Like common response charge and determination time, many platforms robotically calculate this for you. Right here’s the handbook components, simply in case:

First contact decision charge = Variety of circumstances resolved with one agent / variety of resolved circumstances

17. General decision charge

Customer service metrics: overall resolution rate

Not all circumstances finish with a contented decision. That’s regular. However a great decision charge ought to at all times be the aim.

Right here’s learn how to calculate your general decision charge:

​​General decision charge = Variety of resolved circumstances / variety of unresolved circumstances

In case your decision charge is low, it’s essential to do some extra digging—particularly in case your buyer retention charge (CRR) is low as nicely. Get extra granular by trying to see if there’s a selected ticket class that’s bringing your general decision charge down and develop related options.

18. Most well-liked communication channels

With a view to ship top-rate customer support, it’s essential to know the place prospects anticipate to obtain help.

Preserve monitor of the strategies and platforms prospects use to contact your companies so you’ll be able to allocate assets accordingly. For instance, should you obtain a excessive quantity of help requests on Twitter, it could be time to open a customer service Twitter account.

Free customer support report template

We designed a easy customer support report template in Google Sheets that will help you hold monitor of your customer support efforts month by month. To make use of or customise this template, go to “File” and “Make a replica” first.

The primary tab has a tracker for all of your major and secondary customer support metrics.

customer service report template free first tab screenshot

The second tab comprises a ticket quantity tracker, visualized in a line graph the place you’ll be able to simply see which sort of tickets you get probably the most of and determine any rising downside classes or spikes. You can too use this chart to speak with the product group if, for instance, you see spikes in returns, technical points, or product availability.

customer service report template free: ticket volume tracker tab

The third tab comprises all of the formulation and definitions you’ll need to fill out your report, virtually like a customer support metrics calculator. Beneath is a screenshot of the NPS calculator.

customer service metrics calculator screenshot

Save time on social messaging and enhance your customer support metrics with automated responses, smarter workflows, helpful surveys, and pleasant chatbots — all within the Hootsuite Inbox.

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Save time on social messaging with automated responses, smarter workflows, and pleasant chatbots — all within the Hootsuite Inbox.

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