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measure customer experience

How to measure Customer Experience – Part 1

You have decided to outsource the CX but want to ensure it provides the necessary success and results. How to measure customer experience is a complex matter primarily because experiences include multiple touchpoints across multiple channels and different specific goals. So, how can you know what works and what doesn’t? We have prepared a series of guides to help you learn how to measure customer experience and which are the most important key performance indicators (KPIs) to understand and track.

Every work done gets measured. And when measured properly, it’s done even better.

Customer experience starts with customer satisfaction. And when customers are satisfied, they are willing to provide feedback. Customer feedback is measurable and one of the most important indicators to know if your company meets your customer’s expectations.

measure customer experience

Start by measuring your customer journey.

Customer journey is every single step your customers take or make when interacting with your products or service. So, to measure the success of the customer service, you need to measure the customer journey. But first, it would be helpful to have a customer journey map. This map will identify all the journey phases and touchpoints for a more straightforward measurement. Therefore, you’ll be able to measure the journey as a whole, measure the stages of the journey, or measure all individual touchpoints of the entire customer journey.

Measuring the customer journey means measuring customer success during all phases and via all journey touchpoints. The essential metrics for overall success are:

  • Net promoter score (NPS): measures customer loyalty and advocacy, or how many of your customers are likely to recommend your products/services to a friend. This is usually done on a scale of 1 to 10. It can help you understand how the overall experience works in the journey, including products, pricing, onboarding, retail experience, marketing, touchpoints, brand, and customer service.
  • Customer Satisfaction (CSAT): determines how satisfied your customers are with your products/services and the customer experience you provide. This measures how happy or unhappy they are with an overall product/service or specific features (for example, returning a product)
  • Customer effort score (CES): measures the effort customers require to achieve what they want, including placing an order, getting a question answered, resolving an issue, or returning a product. Usually, the higher the customer effort, the lower the customer loyalty.

Measuring customer journey phases means measuring each stage your customers will go into when becoming part of your journey. The most common customer journey phases (for both SaaS and B2B) are Awareness / Evaluation, Consideration / Onboarding, Purchase / Adoption, Retention / Renewal, and Advocacy. You can measure each stage individually with different sets of questions to be addressed and different sets of measures. Here are some examples for each phase:

1. Awareness or Evaluation: Are your customers familiar (aware) with your brand, products/services, and features?

  • Share of Voice (SOV) in the market: measures your brand’s market share compared to your competitors. SOV measures your brand’s visibility and how much you control the conversation within your industry.
  • Website visits/website users: measures the number of visits or users created on your website over time.

2. Consideration or Onboarding: Are customers looking for your brand when they know they want to buy the type of product/service you offer?

  • Organic keyword traffic: measures the volume of a keyword used in search engines to attract free website traffic over time.
  • Direct website traffic: measures the volume of visitors that arrive at your website directly, without first clicking on a link on another website.
  • Monthly Active Users (MAU): measures how many users actively engage with your product or service over a specific time. In this case, the number of active users in a month.
  • Store visits (if physical store available): provides the number of people who have visited your physical store over time.

3. Purchase or Adoption: Are customers completing their purchases once they begin the purchasing process?

  • Abandoned cart rate: determinates the total number of completed purchases divided by the number of carts created.
  • Store visits vs. Purchases (if physical store available): measures how many people have visited your store and purchased a product/service you sell.

4. Retention or Renewal: Do your customers return to your brand for a second purchase after making the first purchase?

  • Customer Lifetime Value (CLV): determinates ​​the total value of a customer to a company throughout their relationship
  • Customer Retention Rate: ​​measures the number of customers who return to your business or continue to pay for your services after a certain period.
  • Customer Churn Rate: measures how many customers have left your company over time or are no longer paying for your services.
  • Customer service ticket volume,
  • The number of return visitors: measures the number of customers that will return to your brand for a possible second or third purchase after their initial one or after they have visited your store within a determined time frame.

5. Loyalty or Advocacy: How likely will customers recommend your brand after shopping with you?

  • Customer referral rate measures how many people refer and recommend your brand to their friends or colleagues. It is the ratio between referred purchases and total purchases.
  • Net promoter score (NPS),
  • sentiment via social listening,

And finally, measuring specific touchpoints means defining all possible touchpoints (how customers act with your brand) and setting particular measures to see how each touchpoint performs. Here are some examples:

Example #1: Digital touchpoint metrics (in case of an Online-store or web-based service placement):

  • Chat/call/ ticket volume: measures the number of chats, calls, or tickets received over a certain period of time. This shows precisely how many of your customers need help.
  • First contact resolution: measures how many of your customers resolved their problem in a single interaction.
  • Average resolution time: measures how long it takes to resolve a customer’s problem, on average.
  • Average response time: measures how long it takes for the CXR to respond to a customer query.
  • The number of tickets reopened: measures the number of tickets reopened over a specific period because the customer was dissatisfied with the initial support and must return for the correct solution.
  • Average handle time (AHT): measures the total amount of time spent in conversation with each customer by each contact center agent – including hold time and time spent completing forms or other tasks as a result of the conversation and the length of the conversation itself.
  • Customer satisfaction survey: Determines how satisfied your customers are with your customer support, services, or products.
  • Frequency of up-sells & cross-sells: the number and frequency of up-sells / cross-sells made
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Example #2: Physical touchpoint metrics (in case of a Retail-store):

  • Store visits vs. number of purchases
  • Total order value / cart size
  • Overall sales in retail
  • The number of queries for the staff
  • Overall cross-sell & up-sell

Drawing a conclusion

Measuring your customer experience is more than necessary. It’s crucial. There are so many factors to consider and so many metrics to follow. Those metrics will tell you different aspects of your customer’s journey with your brand. You’ll know if you meet your customer’s expectations, how easy to use your services or products, and if your customers will refer you to other users. But also, you’ll be able to know how your CX team is performing, whether it’s providing the expected solutions and help and whether your customers are satisfied with them and your company overall. In the next guide, we’ll help you how to calculate the most important metrics so you can have visible results.


How to improve Customer Experience : a complete guide

You should already know the importance of an exceptional customer experience and its impact on business growth by now. But reaching the all–so-wanted Next-Gen in Customer Experience and Care is not an easy job! In this guide, you will get ahead of what to do to take your customer experience to the next level!

It’s all about the people.

No matter what the tech companies say, you have to have the right people! No software will help customers as talking to a real human will. So, to improve the customer experience, you undoubtedly need to have a dedicated team of our Customer Experience Representatives (CXRs) who will always be there to take proper care of your customers. A team of skillful, knowledgeable, resourceful, creative, educated and well trained, and helpful people will be open and accessible whenever your potential or existing customers need them. Team of CXRs that will know and listen to your customers, understand their questions and keep them happy. A team of CXRs will learn everything about your business, offers, strengths, and weaknesses and will know how to use them and provide solutions to help your business grow.

Read about [Business Process Outsourcing: examples ]

Get there on time

Customers hate being on hold and all those long waiting times (no matter how nice the music is). They just want their questions answered, or their issues resolved right now. It’s not about minutes; it’s about seconds! And however ridiculous this may sound, you ought to respect it. So, no matter the time zone, business hours, or communications channels – You. Have. To. Be. There.

The Omnichannel experience

Leverage, not one, not two, but all the channels you can think of or you have available. This way, your customers will be able to seamlessly connect and pick up where they left off on one channel and continue on another. That’s exactly what customers expect from brands—seamless communication and exceptional care. Delivering the omnichannel experience is challenging, but done right will level up your customer experience and business growth. Here are a few tips on how you can improve the omnichannel experience.

1.     Mobile-Friendly

-Apart from being informative, stable, and fast, you should make your website mobile-friendly and responsive. Note that most of your customers will access your site from their smartphones, and the first impression they receive is the most important one.

2.     Live chat support

Have a chat ready with quick and instant replies or for connecting with a CXR. Live chats are an excellent tool for immediate response and an appropriate bridge for linking with a CXR.

3.     Social support

If a customer tries to find your company, that most certainly will be via social media. Social channels are the most powerful review tools where customers refer to and recommend brands. If you have the proper communication and support on social, it will massively add to your CX equation.

4.     FAQ knowledge base

While most customers call for an immediate answer, some customers would instead read or watch a video. Therefore, having a self-service FAQ knowledge base is definitely not a bad idea.

5.     Email support

Have an email dedicated to your customer’s queries, and check it frequently. Reply to their emails immediately, and provide solutions right into their mailboxes. But also, use email as your marketing tool. It all adds up to the funnel.

6.     Phone & SMS support

Always have a dedicated support number available for your customers. A line dedicated only for them. A line which they’ll be able to reach at any time. And if they prefer to text instead of call, give them that as well. They will appreciate the effort.

7.     In-app support

Finally, have a prepared solution for all of your customers who don’t text or call and don’t prefer email or live chat. Find out the channel or the app they use and be there. Provide support via messenger, Whatsup, and any app your customers find fit and valuable. Adjust to their communication habits and show up in the right places. You will not believe the satisfaction you’ll get with such a simple step.

The Bottom line

Understandably, customers have all sorts of queries. And most often than not, it is so hard to anticipate their questions, whether simple or complex. Your biggest battle to win is always providing quality resolutions to any query your customers have. They need to feel appreciated and heard because served customers are satisfied customers! We at FrontLogix firmly believe in this cycle. Every situation has a solution, and we are here to provide one. Learn more about FrontLogix services here.

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business growth

How customer experience drives business growth

There are countless reasons to focus on improving the Customer Experience, but business growth is significant.

A company’s growth is dependent on a variety of factors, the majority of which are interdependent. This guide will introduce you to the most crucial reasons for improving the customer experience and how it will drive business growth.

1.    CX improves customer satisfaction.

Good customer experience and customer satisfaction go hand in hand. The better the customer experience, the higher the customer satisfaction. Therefore,  companies focused on providing seamless, outstanding, and consistent customer experience across all customer journey touchpoints are more likely to increase overall customer satisfaction. And what does it mean to have satisfied customers? It means they will buy more!

2.    CX enhances Customer Retention.

Getting new customers is hard. But keeping the customers and making them come back is even more challenging. Today, customer loyalty is almost the same as winning the gold medal in the Olympics. And losing people in your system is worse than losing the trophy. This challenge is called Customer retention. To retain a customer means that your company’s brand, product, or service is valuable enough to stay with you rather than go to the competitors. This is precisely why customer retention is a critical key performance indicator (KPI) to be tracked, observed, and improved over time. And it goes without saying that excellent Customer experience helps in retaining customers. If you want to learn more about how CX enhances customer retention, download our guide.

Workers in the office

3.    CX improves Customer Lifetime Value

​​Customer lifetime value (CLV) is one of the most important metrics for a company. Essentially, CLV measures the total income a company may expect from a typical customer as long as they remain on board. And how to keep them on board? By keeping them happy, valued, heard, and obtained. Or by providing an outstanding Customer Experience. Improved CLV also means improving customer retention and avoiding customer attrition (churn). It drives repeat sales and encourages high-value sales, increasing profitability and growth.

4.    CX reduces customer churn.

Customers churn a lot. At some point in time, they stop using certain products or services. And there can be many reasons for this, like price, product quality, and most recently, poor support and customer service. As a matter of fact, over 80% of customers are likely to churn if not handled properly or not given enough care and good CX. Therefore, the lower the churn, the higher the revenue and growth.

5.    CX improves CSAT score.

Like many of the KPIs mentioned earlier, the CSAT is one of the most important. Short for Customer Satisfaction Score, CSAT determines if a customer believes a company’s products or services have met their expectations. In fact, the company’s CSAT score shows how many of the customers are happy with the company. And how do you improve that percentage? By making more of your customers happy and satisfied. You can do this easily by improving the Customer Experience, care, and support.

6.    CX boosts sale

These dots are connected and create one cycle of good standing business. So ultimately, given a  proper, or better yet, a superior customer experience and care will result in more significant sales and higher revenue. The cycle is quite simple, really. You get your customers into your funnel, nourishing them so they stay there. Happy customers will always ask for more and, even better -will bring more customers.

7.    CX increases brand loyalty.

We would argue that brand loyalty is among the most important (and probably hardest to achieve) aspects of your business. Why? Well, because it’s everything! The entire image your customers have about your business. The reason they have chosen you in the first place and why they’ve stayed with you. The positive association they have towards your brand or company. Loyal customers are the ones who keep purchasing. Loyal customers are repeat customers even when the competition offers something cheaper or even better. So once again, gain loyalty by having an amazing CX. Personal communication, dedicated onboarding, assistance during purchase, post-purchase care, and attention. All those details will make your customers feel like part of your family. A family where they belong and should stay for a long time.

[Тhe definitive guide to outsourcing services]

8.    CX creates strong brand advocacy.

And once you have all those happy, loyal returning customers – you have your brand advocates! Satisfied customers stand behind their brand of choice, refer it to others and recommend it constantly. And surprisingly, most of the customers recommend a brand based on their Customer Experience. So, by having an exceptional CX, you’ll quickly get your promoters that will bring you the growth you want and need.

9.    CX creates a competitive advantage.

You can have an advantage in many business areas and stand out from your competitors. Providing a superior customer experience is one of the most critical competitive advantages. To care about your customers more than the competitors do is something every company is now fighting for.

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The big conclusion

Business growth comes from various areas of what and how you do your business. But somehow, Customer Experience is always at the core of it. Outstanding Customer experience will help you get your customers, introduce them to your brand, hook them and keep them in your eco-system. Satisfied customers will become your advocates, make you stand taller than the competition, and help your business grow. So it’s not really a question if Customer Experience is supporting business growth. It’s not even a question of how it does. The biggest question is when you’ll start improving your  Customer Experience and, more importantly, how?

customer experience

Why is customer experience so important?

Everybody is talking about customer experience nowadays, but what is CX, and why is it so important?

All of the interactions a customer has with your company, brand, product, or service, along their customer journey, how they feel about all those interactions, and the outcome is Customer Experience. From discovering the brand, receiving information about products or services, pricing models, and purchasing options to post-purchase handling, troubleshooting, and support, it shapes the Customer Experience. And it doesn’t matter if their interactions are offline (in a physical store) or online (e-commerce or social media, email, etc.). Everything contributes to their overall Customer Experience. And today, this is especially important. In essence, Customer Experience = Brand Experience.

It’s a fairly large field of brands out in this world, and each of them is unique, as every single one of their customers is. Therefore, today it’s all about knowing your customers, asking them the right questions, listening to their responses, and acting on their feedback. All of this adds up to an amazing Customer Experience. Making your customers feel heard is the key to success, as healthy customer relationships create vibrant and long-standing businesses. It’s not unknown that a great customer experience improves Customer Lifetime Value (CLV), improves Customer Retention and CSAT score, and increases loyalty and brand advocacy. And this is precisely why Customer Experience is so important.

Customer experience employees

The power is in the customers, not in the brands.

Will you and your company fail to meet a customer’s need – you’re domed. They sit on the throne today. Like never in the history of business, customers have the power to shape how business is done. And at the end, every business exists to serve its customers.

So, naturally, Customer Experience has become a top priority for almost every company today. If you like your brand to be good-standing, especially in the eyes o your customers, you ought to make CX right. If your customers like your brand and the experience, they will talk about it loud and clear. They will share on social media; they will spread the word of mouth, review, refer and bring new customers in. BUT they will do the same if they’re unsatisfied, in a much worse and more aggressive way. And believe it or not, there isn’t anything like a furious and unsatisfied customer today.

The shift from a profit-centric to a customer-centric business model

As Customer Experience has become the real game-changer, all successful businesses are obsessed with delivering mind-blowing customer experiences. The latest trends are shifting from profit-centric to a customer-centric business model. However, building a customer-centric business model and excellent customer experience requires company-wide commitment and trustworthy partners. But sometimes, this is easier said than done. And as much as companies like to make this shift, many fail to deliver.

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Getting your business to the next level

Today, an average customer uses at least three devices for communication. In their ideal world, they want a seamless transition among all devices. Picking up from tablet to smartphone to desktop to person—should be the foundation of the next-generation Customer Experience. But all of this is an exhausting and overwhelming process, and not all companies can do it well. Especially when “well” is not good enough anymore. CX needs to be amazing! That’s why many businesses decide to outsource the Customer Experience to BPO providers and contact centers. And it seems the right thing to do. By outsourcing CX, you ensure your customers are handled professionally and promptly. And with that, the overall experience of your brand is rising to another level. Once happy, your customer not only will choose your brand among other competitors but most probably will come and ask for more.

[Тhe definitive guide to outsourcing services]