3 KPIs To Measure Your Customer Experience Levels
How do you know your business is offering the best customer experience in your industry? By the number of fan mails you get? By the reducing number of customer complaints? Yes, they are good indicators but are not necessarily KPIs that you can measure success by. So what are some scientific ways to ensure your customer is getting the best experience at your store? Here are three KPIs you could monitor customer experience with.
1. Net Promoter Score : Do you get those emails or calls from companies you do business with that ask you about how likely you are to recommend the company on a scale of 1 to 10? This is not a template customer feedback request. Instead, the information collected here is aggregated into what is called the 'Net Promoter Score'. The objective of this score is to segregate your customers into three groups called the 'Promoters', 'Passives' and 'Detractors' based on the rating they offer your customer service. NPS is calculated by simply subtracting the percentage of detractors from the percentage of promoters. You can now measure the customer satisfaction levels every month or quarter by benchmarking it against the average score.
How to do it : If you are a small business owner with not a lot of budget for an exhaustive NPS tool, you can create a simple survey page using an online website maker. Set up your helpdesk to include this link at the bottom as a signature so that it reaches out to your customers soon after you answer a support ticket.
2. Post Sale Survey : A lot of businesses falsely equate customer support with experience. Customer experience is much beyond just support and includes everything from the first interaction till the customer completes their purchase and also beyond it. A lot of ecommerce companies are known to include surveys in the delivery confirmation emails. The objective of this survey is to gather information from the customers about how easy it was to do business. By benchmarking the aggregated 'ease of doing business' score against previous months, the business owner can see if the new features have improved or deteriorated the customer experience levels.
How to do it : Use simple website maker applications to create a survey page and include a link to this at the bottom of your transactional emails. The typical click through rates vary from 3-5% of all emails.
3. Repeat Visits : One of the key metrics to measure customer experience is repeat patronage. If a customer keeps coming back to you to buy stuff, it is either because you are a monopoly in the industry, or because you offer the best experience. So if you are not an industry monopoly, the percentage of customers who come back to you every month is an important KPI to measure customer experience.
How to do it : Use sales data from every month to calculate the percentage of sales that are not from new customers. A business with good customer experience should see this percentage progressively increase every month. If you are running promotions incentivizing new sign ups, please be sure to tie up the customer to other ancillary data like billing address or delivery address (since in such cases, customers are likely to sign up with new accounts to avail the new sign up benefits).
Measuring customer experience is extremely critical to monitor the health of your business. With the right KPIs, you will be able to know the direction your business is headed and whether or not your customers are happy about your service.