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KPI image.pngA frequent topic of discussions for many customer service organizations is what KPIs (key performance indicators) should be used to gauge performance. In order to determine what KPIs to use, we need to start with the objectives of the organization. And I would argue that the objective of any customer service organization, whether you are selling goods and services to consumers, to businesses, or even providing services to citizens, is to drive loyalty and advocacy by solving consumers’ problems.  With that as a goal, here’s my recommendation for the top three customer service KPIs:

  1. Net promoter score (NPS) – This is a well-known measurement of customers’ loyalty to your organization.  Customer service performance will make a big impact on how customers feel about the organization.  In fact, I would argue that it has a longer lasting effect than the product itself.
  2. First Contact Resolution (FCR) or First Time Fix Rate (FTFR) – This is a more tactical one compared to NPS, but nonetheless critical in giving you feedback in how well you are meeting your customers’ expectations.  And in today’s hypercompetitive environment, customers are expecting a lot.
  3. Revenue Achieved or Influenced – This measurement will be new for some and even sound strange for others.  If driving revenue is still not part of your customer service goal yet, it will be soon.

 

Human behaviors and habits are primarily driven by incentives. If the appropriate KPIs are set your customer service organization, it will drive the proper behavior which, in the long run, can define your organization’s image, culture, and ultimately how you are perceived by your customers.

Considering elevating your customer service to a social-level?  Learn more about potential use cases in Hypatia Research’s report on Customer Centricity.  Read more here!

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Hansen Lieu is a director of product marketing at SAP. Follow Hansen on Twitter.

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