As an entrepreneur, your primary focus lies in the revenue growth of your company. The ability for the customers to use the product easily is the key to measuring your revenue growth. However, many brands judge the business health with the productivity of the customer support organization.
Nowadays, the customer success playbook focuses less on making the maximum amount of calls and more on developing, maintaining, and strengthening the relationships with the potential customers.
Here are a few customer success metrics that can help you determine your business’s success and measure your revenue growth.
Customer Health Score
Customer health score means how often your customer is using the products and its impact on the customers and your business. Customer support needs to ensure that customers are thriving after their purchase. Customer services representatives should follow up with their clients, offer assistance, resolve their problems, and help them proactively strategize for the future.
You can count Customer Health Score by compiling the factors, such as finances and total customers, and using the index as the actual score metric to keep the tracking accessible and uphold consistency.
Net Promoter Score
Net Promoter Score means whether someone is likely to recommend your brand to someone else. The relationship between business reps and customers plays an important role in rating as the majority of the customers interact with them. NPS provides quantitative and qualitative data about your customers and asks them about their experience on a numeric scale.
You can easily measure your NPS with a form tool that can generate a rating scale response.
Qualitative Customer Feedback
Customer feedback is essential for an eCommerce business. Customers’ likes and dislikes are crucial and provide insights that can help you build long-lasting and healthy relationships. Customer success managers can determine the progress of the relationship between reps and clients.
You can quickly gather customer feedback by sending out surveys. Invite your existing customers, other employees and ask them how your services are working for them and how you can improve them.
Customer Retention Value
CRC helps businesses invest in their customer success programs. By measuring CRC, you can make wise investments by comparing your potential cost of retaining customers versus the potential revenue you’ll generate from new features and services.
You can calculate CRC by auditing the expense of your customer success efforts, such as customer services team, engagement, adoption, professional services, and marketing expenses. Add all expenses and divide that sum by the number of customers to get your average customer retention cost.
Customer Lifetime Value
CLV is the key customer success metric that you can use to measure your business growth. It shows the total revenue that you can expect a single customer to generate over time. If the value increases, it means your products are contributing to your customer’s success. And if it decreases, you need to take a look at your strategies and find out the flows you may have.
CLV calculation consists of two steps.
- Multiply average purchase value by average person frequency rate
- Multiply that value by your average customer lifespan, and you’ll get the estimated amount of revenue about one customer’s spending.
In the end, we know that your entire business success depends on your customers. Customer success determines how far your company will go. Use the metrics, get the accurate results of your business revenue, and enhance your business.