Customer Centricity

You need good measurement for your voice of customer program

How do you measure the success of a voice of customer (VoC) program? At TM Forum Live! Asia in Singapore, Mao Gen Foo, Head of Southeast Asia, Qualtrics, will answer this question during a session entitled Using metrics to change the way you do business. Read on for a preview before the big event in December.

A strong and scalable VoC program is one where the success is measured, as with any organizational initiative. Many companies see VoC metric selection as challenging, though, and are unsure of what to measure and when.

It’s an old management truism that what gets measured, gets done. Organizations seem to remember this when setting key performance indicators, but forget it when running VoC programs.

In fact, putting clear and relevant measurements in place is the only way to run a good customer experience program. It’s essential to know both what you’re measuring and how to measure it, and then how to turn that information into actionable insights.

We have identified four key customer metrics to measure for a successful VoC program:

  1. CSAT

Customer satisfaction (CSAT) quantifies how well specific products or elements of the customer experience meet their expectations, usually by using a response scale.

  1. NPS

Net promoter score (NPS) measures a customer’s intention and is derived from asking customers a single question: “How likely is it that you would recommend [name of company]to a friend or colleague?” Using a rating scale, respondents are grouped into three categories: detractors, passives, and promoters. Companies calculate the NPS by subtracting the percentage of customers who are detractors from the percentage of customers who are promoters.

  1. CES

Customer effort score (CES) measures how much effort a customer must use to get an issue resolved, a request fulfilled or a question answered. This is a good measurement to track over time.

  1. BD

Brand drivers (BD) measure the importance of key product and service offerings across not only for current customers, but also to target future customers. This allows organizations to measure the viability of current and new product and service offerings to ensure it is delivering to customers’ needs/wants and staying relevant in the market.

Organizations that aren’t measuring these four metrics are unlikely to have a genuine understanding of how their customers and markets view them. As a result, they’re less able to respond to customer sentiment and may find it difficult to compete effectively.

Measuring these elements doesn’t have to be difficult; for example, some companies (including Qualtrics) provide the balance of full-function capability, with a scalable and easy-to-use VoC platform. This enables organizations to have a flexible and agile program where the company can start small, implement the program, and then learn and iterate and grow the program out in terms of capabilities/customer touchpoints, scale and measurements. However, effective measurement does require a mind-shift for organisations that have not had a strong measurement culture until now.


    About The Author

    Head of Southeast Asia - Qualtrics

    With 20 years’ experience in the IT industry, Mao Gen Foo has worked with many clients across industries in Asia to help solve business challenges leveraging IT solutions. Mao Gen has held senior executive management roles across Asia Pacific. His career highlight includes holding the the Vice President (Asia) at OpenText. Mao Gen joined OpenText in Dec 2011. During this tenure with OpenText, he setup OpenText operations in India, Hong Kong and South Korea to expand OpenText’s footprint in key cities to support growth and improved customer engagements. Prior to joining OpenText, Mao Gen founded his own consulting firm which help global MNCs establish presence in Asia. His firm also secured funding from Infocomm Development Authority of Singapore (IDA) to develop a portal that analyse market news sentiment which helps banking relationship managers service their clients better.

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