The 6 Pillars of High-Performance Customer Service Leadership: A Complete Guide to Building Exceptional Teams

Introduction

Customer service leadership has never been more challenging.

Today’s leaders are expected to improve customer satisfaction, increase retention, reduce costs, develop employees, embrace artificial intelligence, and drive operational excellence—all while navigating rapidly changing customer expectations.

Yet despite investments in technology, automation, analytics, and process improvement, many organizations continue to struggle with employee engagement, inconsistent performance, and customer dissatisfaction.

The reason is often surprisingly simple.

Exceptional customer experiences are not created by technology alone. They are created by people.

More specifically, they are created by leaders who understand how to align people, processes, culture, and technology around a common objective: delivering exceptional value to customers. Organizations that consistently outperform their competitors almost always have leadership systems that intentionally develop employees, reinforce accountability, and foster continuous improvement. While technology and artificial intelligence continue to transform customer service, the organizations generating the greatest results recognize that leadership remains the ultimate differentiator. For additional insights into how AI is reshaping customer service operations, read my article, https://bit.ly/4aaFUNy, “The 10 Most Powerful Applications of AI in Customer Service — And the Platforms Actually Leading the Market”.

More specifically, they are created by leaders who establish clear expectations, develop talent, inspire purpose, foster trust, create customer-centric cultures, and continuously challenge their teams to improve.

When Customer Service Teams Struggle

When customer service teams struggle, the root cause is rarely the employees themselves. More often, the issue lies in the leadership systems, coaching practices, culture, and accountability structures that shape daily performance.

After more than two decades leading customer service, customer success, customer experience, CRM, consulting, sales, and operations organizations, I have learned that technology, processes, and organizational structures matter far less than most leaders believe. The highest-performing teams consistently excel in six critical leadership disciplines.

These six pillars form the foundation of a high-performance customer service organization capable of delivering exceptional customer experiences, engaged employees, operational excellence, and sustainable business results.

Effective customer service leadership requires far more than managing operations and service metrics. It requires creating an environment where employees can consistently deliver exceptional experiences while growing professionally and contributing to organizational success.

Customer Service Leadership framework showing the six pillars of high-performance teams

Pillar 1: Customer Service Leadership Through Performance & Accountability

Performance creates predictability. Accountability creates consistency.

Without clearly defined expectations, even the most talented employees can struggle. Great customer service organizations establish objective performance standards and create a culture where everyone understands what success looks like.

The first step is establishing SMART goals that are specific, measurable, achievable, relevant, and time-bound. Employees should understand not only what is expected of them but also how their performance contributes to broader organizational objectives.

Successful leaders balance operational metrics such as Average Speed of Answer (ASA), Time to Resolution (TTR), First Contact Resolution (FCR), Customer Satisfaction (CSAT), Customer Effort Score (CES), and Net Promoter Score (NPS) with behavioral expectations around teamwork, professionalism, and customer advocacy.

Customer Service Leadership performance management and accountability model

Performance management should never be viewed as a once-a-year event. Instead, it should be reinforced through regular coaching discussions, performance reviews, and ongoing feedback.

One of the most important leadership responsibilities is distinguishing between skill issues and will issues. Skill issues require coaching, training, and development. Will issues require accountability and performance management. Leaders who fail to recognize the difference often apply the wrong solution to the wrong problem.

High-performing teams also develop peer accountability. Team members hold one another accountable for commitments, collaboration, and customer outcomes. Accountability becomes part of the culture rather than something imposed by management.

Leaders must also model accountability themselves. Employees quickly notice whether leaders follow through on commitments, communicate transparently, and hold themselves to the same standards they expect from others.

Leadership Takeaway

Great cultures are not built on good intentions. They are built on clear expectations, objective measures, consistent coaching, and accountability at every level of the organization.


Pillar 2: Customer Service Leadership Through Coaching & Mentoring

Great leaders do more than manage performance, they develop people.

While performance management focuses on today’s results, coaching and mentoring focus on tomorrow’s potential.

Every employee brings a unique combination of strengths, experiences, interests, aspirations, and challenges. Effective leaders invest time in understanding what motivates each team member and where they want to grow professionally.

The best coaching begins with curiosity. Leaders should seek to understand each employee’s career goals, strengths, preferred learning styles, and development opportunities. What motivates one employee may have little impact on another.

Empathy is equally important. Team members face personal and professional challenges that affect performance. Great leaders listen, seek understanding, and demonstrate genuine concern for their employees’ well-being. However, empathy should never replace accountability, and instead, it should enhance the effectiveness of performance conversations.

Individual development plans can be powerful tools for growth. These plans should identify key strengths to leverage, skill gaps to address, and career aspirations to support. Development should be personalized rather than standardized.

Stretch assignments are another critical leadership tool. Employees build confidence and competence when given opportunities to take on new responsibilities, lead projects, participate in cross-functional initiatives, or solve complex customer challenges.

Customer Service Leadership coaching and mentoring employeesShow more lines

Future leaders are often identified through these opportunities. Organizations that consistently develop internal talent create stronger succession pipelines and higher employee engagement.

The strongest examples of customer service leadership recognize that developing people is not a secondary responsibility—it is one of the primary drivers of long-term organizational performance.

Leadership Takeaway

The greatest legacy of any leader is not what they accomplish personally, but what they help others become.


Pillar 3: Service Leadership Through Motivation & Inspiration

Employees perform at higher levels when they understand why their work matters.

Unfortunately, many customer service teams become disconnected from the larger mission of the organization. Team members see transactions instead of impact. They observe tickets instead of customers. They analyze processes instead of purpose.

I once worked with a customer service organization supporting a medical device company. Despite supporting products that significantly improved patients’ lives, many employees viewed their roles as simply answering calls and resolving issues.

When leadership began sharing patient success stories and connecting daily activities to real human outcomes, employee engagement increased dramatically. Team members began to understand that their work extended far beyond service metrics. They were helping people live healthier, safer, and more productive lives.

Adding on to that, purpose is one of the most powerful motivators available to leaders. Recognition is equally important. Employees want to know their contributions matter. Great leaders celebrate professional accomplishments, personal milestones, certifications, promotions, work anniversaries, and examples of exceptional teamwork

Service leadership strategies for motivating and inspiring customer service teams

Motivation also increases when employees feel trusted and empowered. Leaders should provide appropriate decision-making authority and encourage ownership of customer outcomes.

Healthy competition can further enhance engagement. Team challenges, performance recognition programs, and collaborative goals can create energy and excitement when implemented thoughtfully.

Leadership Takeaway

Lastly, motivation occurs when employees understand the purpose behind their work, feel valued for their contributions, and believe their efforts make a meaningful difference.


Pillar 4: Customer Service Leadership – Creating a Customer First Culture

Many organizations claim to be customer-centric but fewer actually operate that way.

Customer-first cultures are built intentionally through leadership behaviors, organizational priorities, and daily decision-making.

A customer-first culture begins with a simple question:

“What is best for the customer?”

This last question should influence decisions ranging from process design and policy development to technology investments and employee behaviors.

Therefore, leaders should regularly share customer feedback, success stories, testimonials, and Voice of Customer insights with their teams. Customer comments help employees understand how their actions affect customer experiences.

Additionally, recognition programs should highlight employees who go above and beyond for customers. Whether resolving a difficult issue, saving a customer relationship, or creating a memorable experience, these stories reinforce desired behaviors throughout the organization.

Customer journey mapping can further strengthen customer-centric thinking. When employees understand the entire customer experience—not just the touchpoints they directly support—they make better decisions and identify opportunities for improvement.

Customer Service Leadership and customer-first culture development

Organizations should also treat customer complaints as valuable sources of insight. Complaints often reveal friction points, process failures, communication gaps, and unmet expectations that can drive meaningful improvements.

Leadership Takeaway

Customer-first cultures are not created through mission statements or posters on walls. They are built through daily actions, leadership decisions, and an unwavering commitment to customer success.


Pillar 5: Customer Experience Leadership Through Collaboration & Trust
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Trust is the foundation upon which all high-performing teams are built.

Without this trust, accountability feels punitive. Feedback feels personal. Collaboration becomes transactional. Innovation becomes risky.

Trust begins with psychological safety. Employees must feel comfortable sharing ideas, asking questions, admitting mistakes, and expressing concerns without fear of embarrassment or retaliation.

Consequently, research consistently shows that psychological safety is one of the strongest predictors of team effectiveness, collaboration, and innovation. Leaders who create environments where employees can speak openly, share concerns, and challenge assumptions without fear are more likely to build high-performing teams. Readers interested in exploring this concept further may find Harvard Business Review’s seminal article on psychological safety especially valuable: https://hbr.org/2023/02/what-is-psychological-safetyWhat Is Psychological Safety?.

Open communication is essential. Leaders should communicate transparently, provide regular updates, explain decisions, and encourage dialogue. Employees rarely expect leaders to have all the answers, but they do expect honesty.

Also, high-trust teams assume positive intent. Rather than immediately assigning blame, they focus on understanding situations, solving problems, and supporting one another.

Conflict should be addressed quickly and constructively. Healthy disagreement often leads to better decisions, but unresolved conflict can damage relationships and performance.

Successful teams also establish shared operating principles that guide behaviors and expectations. Examples include:

  • We communicate openly.
  • We support one another.
  • We hold each other accountable.
  • We assume positive intent.
  • We put customers first.
  • We solve problems together.

Correspondingly, cross-functional collaboration is another critical component of trust. Customer service rarely operates in isolation. Partnerships with sales, marketing, product, operations, finance, and technology teams are essential to delivering exceptional customer experiences.

Customer service leadership becomes significantly more effective when trust exists between leaders, employees, and cross-functional partners. Without trust, even the best processes and performance systems struggle to achieve their intended results.

Customer experience leadership built on trust and collaboration

Leadership Takeaway

Trust transforms a group of employees into a team. It accelerates performance, strengthens relationships, and enables every other leadership practice discussed in this article.


Pillar 6: Customer Service Leadership Through Innovation & Continuous Improvement

The strongest customer service teams do not simply execute processes efficiently but rather they continually improve them.

This is where great organizations separate themselves from good ones.

Customer expectations evolve. Technology evolves. Competitive pressures evolve. Teams that fail to innovate inevitably fall behind.

Furthermore, one of the most influential continuous improvement philosophies emerged from General Electric’s Work-Out initiative. Its premise was simple yet powerful:

Find a Better Way, Every Day.

The philosophy encouraged employees closest to the work to identify inefficiencies, eliminate bureaucracy, challenge assumptions, and continuously improve processes.

Customer service leaders should adopt a similar mindset.

Encourage teams to ask:

  • Why do we do it this way?
  • Is there a simpler approach?
  • Can we automate this process?
  • Can we reduce customer effort?
  • Can we improve the employee experience?
  • Can we eliminate unnecessary work?

Innovation should become part of everyday operations rather than an annual planning exercise.

Front-line employees often identify the best opportunities for improvement because they interact with customers daily. They see recurring pain points, process breakdowns, communication failures, and inefficiencies long before executives do.

The challenge is creating systems that capture and act upon those ideas.

Unquestionably, many organizations still rely on spreadsheets, email chains, or suggestion boxes to manage innovation. Unfortunately, good ideas often disappear into a black hole.

Leveraging Innovation Management Platforms

Consequently, leading organizations increasingly leverage Innovation Management Platforms to formalize and automate the innovation process.

Examples include:

  • Brightidea
  • IdeaScale
  • Qmarkets
  • HYPE Innovation
  • ITONICS
  • Wazoku
  • Planview IdeaPlace
  • Ideawake
  • Planbox
  • InnovationCast
  • Viima
Customer Service Leadership innovation and continuous improvement framework

Additionally, these platforms help organizations:

  • Capture employee ideas
  • Launch innovation campaigns
  • Facilitate collaboration
  • Prioritize initiatives
  • Track implementation progress
  • Measure business impact
  • Manage recognition programs
  • Leverage AI-assisted idea evaluation and categorization

The result is a repeatable innovation process rather than sporadic brainstorming sessions.

Leaders should also establish structured innovation programs that include:

  • Weekly idea submissions
  • Monthly innovation reviews
  • Quarterly improvement initiatives
  • Customer feedback workshops
  • Cross-functional innovation sessions
  • Continuous improvement councils

Equally important is recognizing innovation. What gets recognized gets repeated.

The Optimal Company & Team Innovation Operating System

Consider implementing:

Weekly Innovation Spotlight

Recognize employees who identify:

  • Customer experience improvements
  • Process enhancements
  • Automation opportunities
  • Cost-saving initiatives

Quarterly Innovation Awards

Recognize:

  • Most impactful implemented idea
  • Largest customer satisfaction improvement
  • Best productivity improvement
  • Most valuable cross-functional innovation

Annual Innovation Excellence Awards

Recognize:

  • Innovator of the Year
  • Customer Experience Innovation Award
  • Continuous Improvement Champion
  • Team Innovation Award

Innovation should ultimately connect back to measurable outcomes, including:

  • Higher CSAT
  • Higher NPS
  • Lower CES
  • Improved FCR
  • Faster TTR
  • Increased employee engagement
  • Greater productivity
  • Reduced cost-to-serve

Leadership Takeaway

Lastly, the best customer service organizations are not those with the smartest leaders. They are the ones that create systems enabling every employee to contribute ideas, challenge the status quo, and continuously improve the business.


Conclusion

Exceptional customer service leadership is not about managing tickets, queues, or service levels alone.

The most successful customer service leadership practices focus on building strong cultures, developing employees, strengthening accountability, and creating sustainable systems for continuous improvement.

Rather, it is about building an environment where people can perform, grow, contribute, collaborate, innovate, and consistently deliver exceptional customer experiences.

The six pillars of high-performance customer service leadership are:

  1. Managing Performance & Accountability
  2. Coaching & Mentoring Team Members
  3. Motivating and Inspiring the Team
  4. Creating a Customer-First Culture
  5. Building Collaboration & Mutual Trust
  6. Driving Innovation & Continuous Improvement

Organizations that master these six disciplines don’t simply create better customer service teams.

They create cultures capable of delivering sustainable competitive advantage through people, purpose, customer obsession, trust, and continuous improvement.

The Leadership Multiplier

In a world increasingly shaped by automation and artificial intelligence, leadership remains the ultimate differentiator. Technology may enable great customer experiences, but exceptional leaders create the cultures that make them possible.

Therefore, the organizations that thrive in the years ahead will not necessarily be those with the most advanced technology. They will be the ones whose leaders consistently develop people, inspire innovation, and empower teams to deliver extraordinary value to customers every day.

Customer Service Leadership creating sustainable competitive advantage

HOW I HELP ORGANIZATIONS BUILD HIGH-PERFORMANCE CUSTOMER SERVICE CULTURES

Understanding the six pillars of customer service leadership is one thing.

Successfully embedding them into an organization’s culture, operating model, leadership practices, and employee experience is something entirely different.

Many organizations struggle not because they lack capable employees, but because they lack the leadership framework, accountability systems, coaching disciplines, customer-centric culture, and continuous improvement processes required to consistently achieve exceptional results.

Over the course of my career, I have helped organizations ranging from startups to Fortune 500 enterprises improve customer service, customer experience, customer success, CRM, sales, operations, employee engagement, organizational effectiveness, and digital transformation initiatives.

My experience includes leadership, consulting, and transformation work supporting organizations such as:

American Express • HP Verizon • AT&T • Microsoft • Amazon • Hilton Southwest Airlines • Ritz-Carlton • Pfizer • Toyota • SAP • MacysPfizer • Salesforce • Intuit • Cox Automotive • General Mills INEOS Automotive and many other global brands (see below for full list).

I work with executive teams and customer-facing organizations to:

  • Build high-performance customer service cultures
  • Improve customer satisfaction, loyalty, and retention
  • Develop stronger leadership and management capabilities
  • Create effective coaching and mentoring programs
  • Design customer-centric operating models
  • Improve employee engagement and accountability
  • Implement continuous improvement and innovation frameworks
  • Transform customer experience into a measurable competitive advantage
  • Align AI, technology, and process improvements with business outcomes

Therefore, the objective is straightforward:

Help organizations create stronger employees, stronger leaders, stronger customer relationships, and stronger business results.


ABOUT THE AUTHOR

Steven Jeffes
Managing Director, LegendaryCX

Customer Experience Strategist | Customer Service Executive | Customer Success Leader | CRM & Digital Transformation Consultant | AI & Customer Experience Advisor

🌐 LegendaryCX: https://www.legendarycx.com
🌐 Professional Website: https://www.stevenjeffes.com
📧 Email: stevenjeffes@gmail.com
📞 Phone: (518) 339-5857

Lastly, to learn more about my background, leadership experience, consulting engagements, transformation initiatives, and career accomplishments, visit my professional career profile pages and website portfolio:

  • Executive Career Profile
  • Career Specialties & Expertise Overview
  • Leadership Accomplishments Portfolio
  • Selected Clients, Companies & Industry Experience
  • Speaking, Consulting & Advisory Services

LET’S START THE CONVERSATION

If your organization is looking to improve customer service performance, leadership effectiveness, customer experience, employee engagement, customer success, operational excellence, or AI-enabled service transformation, I would welcome the opportunity to discuss your goals.

The organizations that outperform their competitors rarely do so because of technology alone. They outperform because they develop exceptional leaders, exceptional cultures, and exceptional customer experiences.

Let’s explore how your organization can do the same.

Steven Jeffes
Managing Director, LegendaryCX
🌐 http://www.legendarycx.com
🌐 http://www.stevenjeffes.com
📧 stevenjeffes@gmail.com
📞 (518) 339-5857

“Building Legendary Customer Experiences Through Exceptional Leadership, Culture, Innovation, and Execution.”

Steven Jeffes: Background & Experience
Steven Jeffes: Career Specialties

Best Practices in Customer Experience (CX) Measurement and Analytics

The following are the top 10 concepts you will learn in this blog article:

  1. What are the most common set of metrics used to measure customer experience quality and effectiveness.

  2. What these common customer experience metrics are used for

  3. When are these best practice customer experience metrics best measured

  4. What a customer journey (a.k.a. customer life-cycle) is and how it related to customer experience metrics

  5. Why a balanced scorecard is better than any one single customer experience metric

  6. Why NPS is not sufficient to provide a comprehensive picture of your customer experience quality and effectiveness

  7. The top 10 best practices in developing a world-class customer experience measurement program and balanced scorecard

  8. Sample of what a customer journey looks like as well the customer experience analytics collected at each journey phase

  9. Examples of embedded detailed customer journey phase analytics paired with summary & executive level customer experience analytics

  10. How to develop customer experience analytics that also drive the development and support of a customer first, surprise and delight culture.

Peter Drucker once said “If you can’t measure it, you can’t manage it”. This ageless and famous quote applies to almost all situations and customer experience is no exception. There is virtually no way to determine how effectively your customers are being treated without a robust set of measures to gauge how well you are fulfilling their needs, wants, desires, etc. In this blog article, we will cover the specific metrics that best practice companies use to measure their customer experience delivery along with it is done.

 

Peter Drucker's Famous Measurement Quote

Peter Drucker’s Famous Measurement Quote

The Chart below illustrates some of the more commonly used customer experience (CX) metrics and how/where they are used in the customer journey continuum.

Commonly Used Best Practice Customer Experience (CX) Metrics

Commonly Used Best Practice Customer Experience (CX) Metrics

  • Customer satisfaction (CSAT) – one of the most common uses of customer satisfaction ratings is on ratings websites like Yelp, TripAdvisor, Facebook, Google, etc. using the now famous five star rating system seen below. Other customer satisfaction feedback mechanisms are more sophisticated, querying customers on an array of customer experience topics that are multi-dimensional in nature.

Customer Satisfaction Score Example

Customer Satisfaction Score Example

  • Customer Churn Rate: Customer churn rate is almost always expressed in terms of a percentage and is a product of the number of lost customers divided by the number of retained customers for any given period (day, week, month, Quarter, Year).

Customer Churn Rate Example Calculation

Customer Churn Rate Example Calculation

  • Customer Effort Score: Customer Effort Score is recorded to keep a pulse on how easy it is for a customer to accomplish certain transactions with your company (e.g. return a product, handle an issue, inquire about upgrades, etc.). It is obtained via surveying customers following a major interaction and is expressed in terms of a numeric, typically on a 1-10 or 1 to 7 scale. Here is a sample I developed for a client where the score is translated into a 1 to 7 scale (from “Strongly Disagree”=1 to “Strongly Agree”=7).

Customer Effort Score Example Quantification

Customer Effort Score Quantification Example 

  • Customer Average Time to Resolution (CATTR): This metric is a measure the average time it takes to resolve categories of customer interactions (inquiry, product issue, service issue, contract renewal, return, etc.). This is expressed in average time per interaction category as shown in this example

Customer Average Time to Resolution (CATTR) Example Calculation

Customer Average Time to Resolution (CATTR) Example Calculation

  • First Contact Resolution (FCR): All companies should strive for what is called “one and done” customer service, enabling the customer to handle any need with one short effort. The benefits of achieving this are endless including the following: Research I have read has indicated that a 1% increase in FCR rates translate into decreasing operating costs by 1%, increases of both customer satisfaction and employee scores by 1-3% as well as increasing customer loyalty (up to 20%). How companies measure FCR vastly differs including surveying customers, tracking it in a CRM system, tracking it in a contact center database or querying the customer at the end of a call. Many companies sadly do not track this metric and lose out on the visibility and resulting benefits this provides.

One & Done Customer Service

One & Done Customer Service Creates Elated Customers

  • Contract Renewal Rates: This metric is more company specific but, when applicable and used in conjunction with the other metrics, provides a great barometer on the health of the contract oriented business. For example, you might be experiencing great FCR and customer average time to resolution, but contract renewal rates might be lagging due to a perceived lack of value by the customer for the price paid. By using this metric in a balanced scorecard along with CSAT, FCR, CATTR you have a much more comprehensive view of total customer satisfaction than with just a few measures, allowing you to reduce business risk and potential revenue surprises.

High Contract Renewals = High Customer Satisfaction

High Contract Renewals = High Customer Satisfaction

  • Net Promoter Score (NPS): Net Promoter Score (NPS) is the most commonly used and simplest customer experience metric that exists.  NPS is typically measured by asking the following question:

How likely are you to recommend [business, service, product] to a friend or colleague?

Customers rate your company, service, product, etc. on a scale of 0 to 10. Respondents are grouped in the following categories:

    • Customer Promoters (Score 9-10)

    • Customer Passives (Score 7-8)

    • Customer Detractors (Score 0-6)

Calculate Net Promoter Score is typically calculated by subtracting the percentage of net detractors from net promoters. Here is a great illustration on how this is determined, calculated:

Net Promoter Score Example Calculation

Net Promoter Score Example Calculation

It has been found that only those customers who provide a rating of a 9 or 10 on the NPS scale are those who will truly become adjunct volunteer company sales and marketing agents and are a result of experiencing surprise and delight levels of customer service. These same elated customers are the ones who tell everyone they meet about your exceptional company and your amazing, services, products, customer service, etc. More on this in a future blog that will address the topic of “Delivering Consistent Surprise and Delight Customer Service”.

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On this last point of NPS, there exist many misnomers about what to measure for customer experience effectiveness. Many professionals I have met in my consulting travels have the misconception that measuring one metric like Net Promoter Score (NPS) is sufficient to measure the quality of the customer experience you are delivering to their customers.  This is equivalent to believing that taking your body temperature is sufficient to determine your overall health when in actuality there are many measures taken together that help make this healthy/not healthy determination. The same is true for measuring the quality of your customer experience. While NPS is a good measure for helping to determine the quality of your customer experience effectiveness when used correctly, similar to body temperature, it must be augmented with many other measures to determine its overall effectiveness.

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Other customer experience metrics include employee turnover (a leading indicator of customer satisfaction), year-over-year same customer spend, customer loyalty and average longevity, customer acquisition rates over time, etc. I will go more into this when I cover the topic of customer journeys.

Customer Experience, Satisfaction Humor

Customer Experience, Satisfaction Humor

First, let’s examine my recommended top 10 best practices for measuring your customer experience delivery effectiveness.

  1. Monitor Customer Experience Metrics in Real Time and continuously improve customer experience programs based on actual CX metrics/program performance.

  2. Track top level Customer Experience (CX) Metrics for all customers (i.e. average customer satisfaction) and for individual customer segments (i.e. price sensitive customers or high value customers).

  3. Request both customer qualitative and quantitative ratings throughout the Customer Life-cycle during critical customer interactions. Accomplish this my providing a conduit for your customers to become brand partners who are invited to participate in providing program feedback prior to full launch, provide detailed focus group feedback on selected topics and for most valuable customers to participate in exclusive customer advisory boards.

  4. Ensure group appropriate customer experience metrics are being delivered to each layer of the organization (highest importance summary level for CEO – Chief Customer Experience officer, more granular metrics for tactical managers and line staff).

  5. Cultivate and measure your own internal customer metrics and calibrate against externally measured CX like the American Customer Satisfaction index or metrics collected by firms like the Service Management Group (Kansas City), Direct Opinions (Beachwood Ohio), C-Space (Boston), Engine Group (NYC), etc.

  6. Track customer experience effectiveness via a balanced scorecard of Customer Experience Metrics including customer satisfaction, NPS, Customer Churn and renewal rates, customer spend per year and employee turnover (a proven leading indicator of customer satisfaction).

  7. Ensure the collection and dissemination of Customer Experience metrics meet the golden rules of being seamless to your customers, easy to obtain and are ingrained as part of normal business operations.

  8. Review customer experience metrics during key management reviews like operational reviews, leadership team reviews and financial reviews. Ensure action plans are developed for metrics above and below expected performance levels.

  9. Ensure that the company culture and training is supported and in-line with customer experience metrics by making everyone’s KPIs metrics align to the performance of key customer metrics.

  10. Develop customer journeys (a.k.a. customer life-cycles) and develop customer experience metrics for each major step in the customer journey.

The last best practice is to identify key end-to-end customer journeys or paths of customer progression when engaging your company and then attach appropriate customer experience journey analytics along those customer paths. Once you understand the different touch-points and how they impact the overall customer journey, you will be in a far better position to pick the most appropriate metric to use at each touch-point. The best metric is company determined based on a developed set of customer experience standards and goals.

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In my example in the introduction, Net Promoter Score (NPS – which answers the question, “How likely are you to recommend [business, service, product] to a friend or colleague?” and is rated on a 0 to 10 score), is not a total customer experience solution metric. The reason is that NPS works best when measured at the end of a customer journey (a.k.a. customer life-cycle), such as at contract renewal time. For example, if a customer is getting frustrated returning a product or trying to resolve a service issue, then they will likely defect long before they are queried on NPS. It is better to measure customer satisfaction right after an interaction to have real-time insights into a customer’s experience satisfaction and not wait until NPS query time.

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Here is a sample customer journey I developed from a recent client consulting engagement along with the metrics they decided to collect at an aggregate level as well as along this customer journey. Some of the metrics and customer journey names have been changed to protect my client’s identity. In addition, this client wanted to err on the side of measuring many metric points frequently and not all clients are this exhaustive in measuring their program. Some of these metrics were already in place before we added many others.

Customer Journey Analytics Illustration

Customer Journey Analytics Illustration

The above illustrates one of the main customer journeys (discover to renewal) in the life of a customer along with the Macro customer phases in that journey (i.e. 1-customer discovery, 2-customer sales & on-boarding, 3-customer support, 4-customer renewals) as well as the micro phases in that journey (product, service credibility evaluation).

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The above chart also illustrates the fact that it is important to track global/summary metrics at the top of the organization (i.e. total customer satisfaction) in order to gauge overall customer experience health and to balance these with more granular measures along the customer journey phases (i.e. First Contact Resolution in the on-boarding and support phases). While there is a recommended set of best practice metrics to collect for standard customer journeys, each company will make a different selection of the mix of metrics. For example, if a company’s life blood is contract renewals then the metrics will be more geared toward gauging the customer’s satisfaction for the existing contract experience (value for contract price, value of contract to client’s business, contract terms & ease of doing business vs. perhaps product return rates).

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One best practice embedded in the above is to report on the number of customer stars (in the 1st and 3rd phases above) per period whereby employees who have delivered exceptional “surprise and delight customer service” are recognized and rewarded. Customers of this company as well as executives from the company are provided incentives to recognize employees who went above and beyond in delivering exceptional customer service. This company tracks this via reports and recognizes top employee customer stars quarterly and annually with top company customer stars getting recognized, rewarded, etc. This helps build a culture of support for being customer exceptional with top stories being told over and over to teach employees what it means to be customer exceptional  and encourage others to emulate this valued behavior.

Summary:

In summary, measuring your customer experience quality/effectiveness must be guided by a set of best practices to be effective and comprehensive. The use of customer journeys as well as customer experience journey analytics, balanced by summary customer experience metrics comprises a customer experience balanced scorecard.  By not measuring or under-measuring your customer experience delivery effectiveness, you are flying blind and having to take guesses as to whether your program is delivering exceptional customer service to your customers or not. Only when you reach the level of consistently delivering exceptional “surprise and delight” customer service will you reap bottom line benefits of accelerated customer acquisition, reduced sales and marketing costs, increased customer loyalty and increased employee and customer satisfaction.

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With all this being true, there is no excuse to not actively work on creating the best customer experience program possible!!

If your organization is seeking experienced assistance in measuring and improving your customer service and customer experience, then give me a call or e-mail me at 518-339-5857 or stevenjeffes@gmail.com

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Lastly, this is just one article of nearly 50 articles I have written on Customer strategy, customer experience, CRM, marketing, product management, competitive intelligence, corporate innovation, change management – all of which I have significant experience in delivering for Fortune 500 companies.  In fact, my blog is now followed by nearly 121,000 world-wide and was just named one of the top 100 CRM blogs on the planet by Feedspot, alongside Salesforce.com, Infor, Microsoft, SAS, etc. – Reference this informative site here: https://blog.feedspot.com/crm_blogs/