6 Key Performance Indicators for Customer Service by TechFunnel
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6 Key Performance Indicators for Customer Service

6 Key Performance Indicators for Customer Service

Key performance indicators are essential to measure to understand how well your business is performing in the eyes of your customers.

It’s important to measure key performance indicators for the success of your customer service business but knowing which indicators to measure can be difficult to figure out. To avoid being paralyzed by the analysis of key performance indicators for customer service managers, tracking the most essential KPIs is a necessity. While there are plenty of key performance indicators for customer service to measure to ensure the overall success of your business, measuring the right KPIs will not only help keep your customers and employees satisfied but ensure the longevity of your business as well.

Know which key performance indicators for customer service you need to measure to ensure the success of your business.

Customer Satisfaction

Customer experience key performance indicators are a great place to start to ensure that your customers are not only satisfied but to ensure that they’re happy with the experience your business provides. Customer satisfaction scores can help you properly gauge the overall satisfaction of your customers whether it’s with your business, your products or the services you provide. Make sure you perform regular customer satisfaction surveys to know exactly how customers view your business and ask them for ways you can improve your offerings.

Customer Retention

Another customer key performance indicator that is essential to analyze is how well your business is retaining customers. Since happy customers are essential to the life-long performance of a successful business, it’s important to understand how many of your customers are return customers. It costs far more to gain a new customer than to keep an existing one so make sure you’re measuring how many customers you’re bringing back to your business and fix any issues these customers may experience to ensure that your customer retention efforts are working.

Conversion Rate

Key performance indicators for customer service representatives will allow you to properly gauge how well your business efforts are converting potential customers into purchasing customers. When you know how likely a customer is to take action after interacting with one of your customer service representatives, you’ll be able to truly understand how effective your customer service efforts are.


Developed in 1990, SERVQUAL stands for service + quality and will allow you to better understand how satisfied your customers are with the service you provide. SERVQUAL consists of five aspects including:

  • Reliability: your ability to deliver the service you promise to customers consistently and accurately.
  • Assurance: how knowledgeable and polite your employees are and how they use these traits to create trust and confidence with your customers.
  • Tangibles: the environment you offer to customers including the appearance of your building, your website, your employees, etc.
  • Empathy: how much your employees care about the satisfaction of your customers and the individual attention they offer them.
  • Responsiveness: how speedy the service is that your employees offer to your customers.

Employee Engagement

Key performance indicators for employees is just as important to measure as it is for customers because it is impossible to create life-long satisfied customers without satisfied employees to assist them. If your business suffers from high employee turnover, this is an indication that your employees aren’t satisfied with their jobs. Just like it’s much more costly to gain new customers, it’s extremely costly to find and train new employees so employee satisfaction should be included in the KPIs you measure to determine the success of your business.

Net Promoter Score

Also known as NPS, net promoter score is how you determine how likely customers are to refer your business to others. Many businesses gauge NPS with surveys and asking customers how likely they are to recommend the business to others. This score will not only allow you to properly gauge how well your customer service efforts are performing but allow you to discover any areas of improvement you need to make to create a better atmosphere for your customers.

While measuring the right KPIs to determine how satisfied your customers are with your business, your products, and the service you offer them is essential to understand how well your business is performing, key performance indicators measuring employee evaluation are also essential. Remember, without happy, satisfied employees, your overall satisfaction efforts will suffer.

Emily Pribanic
Emily Pribanic
Emily is a graduate of the University of North Texas. She has her B.A. in Advertising with a concentration in Copywriting. Emily has been writing since she was young and has a creative imagination. She lives in Dallas, Texas with her family and two cats.