The Changing Landscape of Customer Service Metrics
Customer expectations are constantly evolving, and it’s undoubtedly the result of how technological advancements are reshaping the way we interact. We’ve also seen it impact traditional customer service metrics like Average Handle Time (AHT) and raise the bar on Net Promoter Score (NPS) scrutiny.
Recently, I had the privilege of attending Genesys’ G-Summit Sydney 2023, where I immersed myself in seminars dedicated to Customer Experience and AI-driven customer journeys. They had some amazing sessions, but one of my takeaways was how the increase in customer self-service and digital journeys impacts the customer service metrics we have all come to know and love. Specifically, reducing the volume of low value short inquiries through conversational AI and self-service technology will both reduce inquiry volumes and increase Average Handle Time (AHT). If chatbots and other self-service options take the high-volume, short, simple inquiries, human agents will be left with the lower volume, long, and more complex inquiries. Now I am no mathematician, but I can even see how this will increase the Average Handle Time.
Here, we explore the changing landscape of customer service metrics, uncovering the significance of Average Handle Time (AHT), Net Promoter Score (NPS), and other key performance indicators. We also look at how metrics are evolving to encompass broader aspects of customer satisfaction and experience as we shift from single channel to multi-channel and omni-channel customer journeys.
What does a omni–channel customer journey look like?
When writing this blog, I thought what better way to depict an omni-channel customer journey than to share one of my own experiences? So, here’s how it all went down.
Recently, I decided to purchase a new Kindle. With the convenience of shopping online, I began my journey researching what was out there, prices, and which retailer had the version I wanted. I found one discounted price via an online-only retailer, but I wanted to get it that day. I then searched online to figure out which local retailers would price match and had the product in stock. Attempting to take advantage of customer self-service portals (FAQs, T&Cs etc.), I soon realized I needed to talk to someone.
I stayed online and decided to use webchat to check if the retailer would match the online price. The agent collected my information and confirmed they would match the price I found online. They also advised me which stores had the product in stock so I could pick it up right away. The webchat lasted about 20 minutes, and I got an instant email and SMS confirmation.
An hour later, the store informed me my order was ready for collection. When I arrived at the Click-and-Collect counter, they scanned the email barcode, verified my identity, and handed me my new Kindle. In less than 5 minutes, I was out the door. I couldn’t have asked for a smoother omni-channel customer journey!
This is just a quick look at how the customer experience is changing in the face of tech. Omni-channel experiences are starting to become routine for consumers. But what does this mean for traditional customer service metrics in contact centers?
Are AHT and NPS Still Relevant?
When we think about contact center metrics, the go-to measurements for success have traditionally been Average Handle Time (AHT) and Net Promoter Score (NPS). The faster you can get through a call, the better, right? Well, it depends on a few external factors and tech is changing that. Let’s take a further dive into these metrics.
Historically, AHT has been a major metric for contact centers, reflecting the average amount of time it takes to complete a customer interaction. However, as AI and self-service technology increasingly handle basic inquiries, the focus can no longer be solely on reducing AHT. We need to make sure we are being efficient without compromising on the quality of customer interactions. As AHT alone can be unreliable when trying to assess customer satisfaction or more complex interactions, we also need to consider other metrics.
NPS allows us to measure customer loyalty by asking them how likely they would be to recommend a product or service. However, this can be too simplistic and overlooks the different customer experiences at different touchpoints, such as interactions with AI bots or self-service and moving between channels.
The Rise of New Customer Service Metrics
As organisations rapidly embrace AI bots and self-service technology, along with the increase in communication channels, metrics that measure customer satisfaction and operational efficiency must keep up with the changes. Here are some metrics to consider:
- First Contact Resolution (FCR): FCR measures the ability of a contact center to resolve customer issues within a single interaction. It reflects the effectiveness of these technologies meeting customer needs promptly, reducing the need for follow-up interactions. By focusing on FCR, you can save both time and resources while ensuring customer satisfaction.
- Customer Effort Score (CES): CES assesses how easy it is for customers to interact with a company. As self-service options become more common, measuring the ease of use and convenience of these tools becomes crucial. By reducing customer effort, you can enhance their overall experience and increase loyalty.
- Channel Escalation Rate: This metric tracks the percentage of interactions that escalate from self-service to human-assisted channels. It shows the effectiveness of self-service solutions and identifies areas where the technology might fall short, prompting customers to seek assistance from agents.
- Sentiment analysis: This has become a game-changer in understanding customer feedback. By analyzing text data from various channels such as surveys or social media posts, sentiment analysis helps you gauge how customers feel about your brand. This valuable insight allows you to identify areas for improvement and tailor your offerings accordingly.
- Channel Switching Frequency: This metric quantifies how often customers move between channels to resolve an issue. High rates of channel switching may indicate gaps in the customer experience, highlighting the need for seamless integration across channels.
- 6. Omni-Channel Completion Rate: Omni-channel metrics track a customer’s ability to start an interaction on one channel and seamlessly continue it on another without repetition or loss of context. This provides insights into the effectiveness of an organization’s cross-channel strategy.
Thinking about my own customer journey earlier in this post, I seamlessly moved across multiple channels without needing to repeat myself (Omni-Channel Completion Rate), my issue was resolved in a single enquiry (FCR), and there was minimal effort on my behalf (CES). I was so impressed with the service I even completed a product review for their website (Sentiment analysis).
Embrace the Future of Customer Service Metrics to Drive Exceptional Experiences
To sum up, AHT and NPS remain of great importance. However, with conversational AI becoming increasingly popular and customers relying more and more on omni-channel journeys, we need to take a broader, more sophisticated approach when assessing customer service performance.
Today’s customer journey is a complex, multi-faceted network of interactions. It’s hard to quantify every moment that happens along the way. The days of using a single metric for a holistic view of customer experience are over. Customers want personalization, regardless of channel, and want a seamless connected experience.
The good news is, there are better ways to measure the customer experience than surveys and averages — new metrics that consider the entire customer journey and give you a more complete picture of how people feel about your organization.