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Unforgettable Episode 31: The Three Best Customer Experience Metrics

Rachel Anderson
April 19, 2019

2 minute read

Unforgettable is a customer experience education program, focused on delivering fresh content weekly to give business leaders what they need to succeed in a customer-driven, digitally-disrupted world. The program brings together the expert minds of Jay Baer, Shep Hyken, Jeanne Bliss, Ian Golding, and Blake Morgan to spotlight modern customer experience excellence. Get the latest content by bookmarking smartercx.com/unforgettable.

Success in customer experience is notoriously difficult to measure—there are many metrics to choose from, trends in what to measure come and go, and determining which metrics are impactful can be confusing. Blake Morgan’s latest Unforgettable episode cuts through the muddle and offers the three best customer experience metrics to use.

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It has been said that what you measure matters. Why? Well, if you can’t measure something, you can’t improve it.

Take an example from your own life. Let’s say you’re saving up to buy a house. You’ll likely start by determining where your money is going, how much you’re spending, how much money you’re making. When you measure something week to week, month to month, you can understand how to improve it in the future.

It’s the same with metrics for customer experience, because we all have metrics in our own lives, such as performance goals at work. Let’s say that’s a sales quota, or how happy your customers are, or how much you’ve produced. These are all examples of metrics, but when it comes to customer experience, it can be confusing because there are many different types of metrics out there.

I have three metrics to recommend, they’re simple but critical to running a successful customer experience-focused company. The first of my three is Net Promoter Score. Super simple, “would you recommend us to a friend?” This isn’t a very old-style of measurement, it was created in 2003 thanks to Fred Reichheld. The idea is you have promoters and detractors, and then you have people in the middle who are neutral. The goal is to understand if someone hasn’t recommended you, why they haven’t. That’s what I love about NPS, and why you as a customer, get so many Net Promoter Score surveys.

The second metric I’m a fan of is customer loyalty, “how many of your customers are simply coming back?” It makes sense that if customers are happy, they come back and they tell their friends. Customer loyalty is still an important metric that shouldn’t be forgotten, even though it’s been around for many years.

The third metric might shock you– it’s employee satisfaction, because employee satisfaction proves to be a critical piece of customer satisfaction. It makes sense. You know in your own life; if you’re happy at work, and you whistle while you work because you’re enjoying yourself, and you’ve got all the tools you need to do your job well, you’re going to produce better work. It’s not rocket science. Increasingly, we’re seeing research that ties employee satisfaction to customer experience, and even to stock price on Wall Street! Companies like Sephora are using employee satisfaction as part of their own ROI model. Seems counterintuitive, but employee satisfaction is your first stop on the journey of being a more customer-focused company.

Those are my three metrics for you: Net Promoter Score, customer loyalty, and employee satisfaction. Looking forward to hearing more from you about your own metrics journey, and how these metrics are improving your customer experience.

Rachel Anderson
Rachel Anderson is passionate about customer experience, snacks, and creating a farm in her backyard. Rachel is a Campaign Marketing Manager for Oracle CX with 10 years of experience in the industry.
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