How can organizations harness better insights from customer metrics to drive performance?
Many companies fail to harness insights from customer metrics to drive performance.
As businesses learn more about customers, new ways to measure attitudes and behavior emerge. Metrics such as Net Promoter Score® (NPS®)1 and Customer Effort Score (CES), have each been heralded as ‘the next big thing,’ but often do not live up to expectations.
One reason is the (unrealistic) hope that a single metric can act as a ‘silver bullet’ to transform the business. For example, simply knowing that a customer is satisfied does not necessarily explain why she/he feels this way, nor does it tell you which part of your offering has had the greatest positive impact.
Customer metrics are not always treated seriously, and seen as mere market research, rather than critical performance data that drives action. And they’re rarely linked to executive pay.
By capturing customer data, and linking findings to strategy and operations, business leaders can make significantly better decisions. They should analyze customers in greater depth, understand their motivations, and generate strategies and tactics that address their needs more closely.
In this article, we look at three steps to drive change through customer metrics, to embed customer-centricity across your organization.
1 Net Promoter, Net Promoter System, Net Promoter Score, NPS and the NPS-related emoticons are registered trademarks of Bain & Company, Inc., Fred Reichheld and Satmetrix Systems, Inc.