How to Measure Customer Service Performance Using the Top Metrics

According to the Customer Service Retail Report, nearly eight out of ten customers stated they would be less likely to buy with a brand again if they had received poor customer service. You must maintain a high level of customer service performance unless you want to lose up to 80% of your business.

Consider the approaches and measurements provided below if you’re not sure how to measure customer service performance. You’ll get the most relevant insights if you can combine a variety of key performance indicators (KPIs) in a way that complements your entire growth strategy.

The Most Important Reasons to Track Customer Service Satisfaction

Let’s take a look at some of the top benefits of measuring customer service before we get into the intricacies of how to do so:

It will help you see where you need to improve

As a responsible business owner, you want to provide the best possible service to your clients. With the correct data, you’ll be able to see which areas of your customer service and customer experience (CX) may be enhanced. You’ll have the actual proof you need to back up your judgments and process changes if you collect and monitor customer service data.

It will help you discover your strengths

It’s just as important to quantify customer service benefits to evaluate poor performance. You might have a hunch that you’re doing a good job with some parts of customer service. You could end up squandering valuable efforts gilding the lily if you don’t have these insights. Nonetheless, with the data to back it up, you can celebrate your victories, keep effective solutions in place, and spend more time and focus on problem areas. 

The long-term success of a company depends on customer satisfaction

Finally, knowing how to analyze and improve customer service can help you keep happy, loyal customers. Consider the financial ramifications of consistently poor service quality, especially if a single bad customer service encounter is enough to drive clients away. Implementing a solid, data-driven customer service strategy can help mitigate these risks.

Methodologies for Evaluating Customer Service

When deciding how to measure customer service at your firm, you’ll quickly discover several factors to consider. It may also become apparent that focusing primarily on one region at a time might lead to major blind spots.

How many consumer queries can your personnel handle every day, for example? It is not a sign of success to leave hundreds of disgruntled consumers at the end of each contact, no matter how large the number is. As a result, it is critical to determine how satisfied each customer is with the service they are receiving within that volume.

You’ll need to know how to track both quantitative and qualitative customer experience indicators, as well as how to quantify customer service success quantitatively. Put another way; it’s critical to keep track of your processes and software solutions’ success and efficiency, as well as the time savings, cost-effectiveness, and other intangible benefits they provide. Client satisfaction surveys are also essential for receiving immediate feedback on performing well.

As we go over the many ways to evaluate customer service performance, consider that taking a holistic approach to assessing customer service success is the most effective option.

Metrics for Measuring the Quality of Customer Service

The most important customer service KPIs that businesses can monitor are given below. These KPIs can provide a holistic picture of your performance and accomplishment when utilized in conjunction with one another.

1. Average Resolve Time

When problems can be solved quickly, customers are usually satisfied. Add all case resolution times and divide by client cases to find your average resolution time. This metric will show you how well you compare against your competitors.

2. Customer Service Abandonment Rates

According to our research, customers will hang up on a call or abandon a conversation if they wait an unreasonable amount of time for customer service. Your call or chat abandonment rate would be 0% in an ideal world. Divide the total number of customer service queries by the number of abandoned customer service inquiries to arrive at this figure.

3. Customer Effort Score (CES)

The Customer Experience Score (CES) is a new metric to keep an eye on for customer service. It determines how much effort your customers believe they must expend to solve a problem. The issue becomes more aggravating as more effort is required. A Likert scale question can collect these feelings after a customer service contact.

4. Retention Rate of Customers

A value indicates a high retention value around one. Subtract the total number of new clients after a specified period to get the retention rate. Then divide the total number of clients you had at the start of the period by the total number of clients you kept. Customer turnover rate is the polar opposite of this statistic, but both reflect how likely your customers stay with you.

5. Customer Satisfaction Score (CSAT)

CSAT is a metric that determines how satisfied a consumer is after interacting with a customer care representative. A Likert scale survey question, similar to CES, can be used to record your customer’s satisfaction level on a range of one to five.

6. Time to First Reaction

Customers expect immediate assistance, and the first response time can track how quickly they obtain it. Calculate the average time it takes for a customer to contact you and receive a response from a customer care agent.


As the name implies, in-field customer service KPIs provide information on the efficiency and speed of your customer care professionals. These indications are based on data, such as the number of emails you receive every day, the number of phone calls you answer, and your response rate, among other things.