How to Measure Customer Experience

Measure customer feedback

Gaining a competitive advantage starts with measuring your customers’ experience. and then analyzing the results. You can then use the data and insights to improve your customer experience strategy.

By having a measurable indicator of your customer experience (CX), you can track how it improves (or worsens) over time. And how these changes are affecting the customers.

Let’s take a look at what you need to get started…

3 Steps to Measuring Customer Experience

To measure and analyse the customer experience, you need three things in place.

You need to have:

  • Identified your ideal customers whose experience you want to measure and analyze
  • Identified the key touchpoints in their journey where you want the experience to be measured
  • Collected customer feedback and insights

Above is the basic overview of the steps to follow when it comes to measuring and collecting data. We will now look at each step in a bit more detail to help you get a better understanding.

Step 1 – Identify Your Ideal Customers to Measure

Ideal customers are those who would get the most value from your products or services. Your perfect and happy customers are also the ones who will keep coming back again if you give them a great customer experience. These customers will also advocate for your brand and even bring their friends with to buy from you next time.

These ideal customers are the backbone of your customer base.

If you’re not entirely sure who those customers are, then don’t worry. You can find your ideal customers by launching a simple survey for example. This survey should ask your website and business visitors who they are, what they do, and how they use your products or services. You can then narrow your focus on the customers who purchase from you the most, the ones who have done so recently, and spend the most money on your business and brand.

Once you have a better idea of who your ideal customers are, you can start digging deeper and build the user personas and profiles. This will guide you through the rest of the steps.

Step 2 – Identify Key Customer Touchpoints to Measure

Here is a very common misconception about customer feedback…

“There’s nothing wrong with collecting random, unstructured feedback from your customers. Feedback is feedback!”

The above statement is wrong! Because if you’re trying to reinvent, fix, and improve your customer experience around this concept, you’ll need to be laser-focused on asking the right questions to get the right answers.

There are certain touchpoints that demand special attention. Even if your customers don’t pinpoint them as problems, many of these are happening at an unconscious and submissive level.

Below are a few examples that could result from bad customer experiences at various customer touchpoints:

  • Immediately following purchase
  • New customer on-boarding
  • Lost deals
  • Customer renewals
  • Customer cancellations
  • First-time website and business visitors
  • Product returns
  • Closed support tickets

Step 3 – Measure to Collect Customer Feedback and Insights

You probably have some sort of an idea regarding good and bad customer experience. But for it to make an impact on your business you need to have a reliable method of collecting insight from your customers. Enabling you to act and make impactful changes, based on the feedback you have received.

There are many different ways you can go about collecting feedback and insights from your customers to get the data you need. Below are a few examples:

Run customer experience surveys.

Once you’ve identified the main areas that you want to investigate, you can set up customer experience surveys. Common CX surveys include:

Net Promoter Score It is easy to see how customer experience can look like a subjective concept. One that’s difficult to measure. That’s why you need to rely on a number of different customer experience metrics. These metrics can be used individually or together to get an indication of customer experience in your business.

  • TTR – this is time to resolution. TTR is the average length of time it takes customer service teams to resolve an issue or ticket after it’s been opened by a customer
  • CSAT – this is your customer satisfaction score. An example is how satisfied they were with the level of support they received throughout their experience with your business and brand
  • CES – this is your customer effort score. An example is fixing a problem or going over and above your job role to help
  • NPS – this is your net promoter score measures the likelihood that customers will recommend you to friends or colleagues
  • Milestone surveys – this is where businesses send out specific surveys at key touchpoints throughout the customer lifecycle

When it comes to collecting customer feedback, the best tip I can give you is to start small.

When setting up feedback surveys for the first time, try focus on single touchpoints. This will help you keep your data feedback organized.

Customer Feedback Best Practices

There is no exact formula or checklist to follow when it comes to measuring your customer experience. Every business is unique and so are their customers. But, according to research there are a few best practices to follow.

These best practices include:

  • Make listening to customers a top priority across your business
  • Use customer feedback to develop an in-depth understanding of your customers
  • Implement a system to help collect feedback, analyse it, and act on it regularly
  • Reduce conflict and solve your customers’ specific problems and unique challenges

Good customer experience comes from asking your customers questions, listening to their responses, and taking action. It’s not rocket science. Figure out what you want to measure and measure it.

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