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Guest Blogger Lior Arussy: What Do Your Measurements Say About You?

Every time I speak at a conference, at least one person approaches me with a version of the classic, "What should the average handle time be for calls from banking customers in the Midwest?" The person asking is seeking a magic bullet number to prove to his boss that his customer service operation is beating the best practices out there. Often my response is, "You are asking the wrong question."

What you should ask is what your measurements say about you. And, more important, what do your measurements say to your customers, and how do they determine the future and profitability of your business.

If your measurements are an indication of your customer relationships, let's examine the various measurements styles.

The Self-Centric
First there are those who measure themselves according to operational numbers: average handle time, sales costs, and other internal metrics. For them it is all about them and their ability to meet their operational numbers. Their customer relationships are also characterized by the same nature--they are self-centric. It's all about what the company gets out of it.

The Lip Service
The second group is those who fake it. They recognize that they ought to involve the customer in the measurements. After all it takes two to tango. But they do so as a lip service without true commitment. They will ask general satisfaction questions that sound like "you forgot to write us a thank-you letter, so we decided to give you a second chance." Customers see through this fake commitment and will reciprocate with a noncommittal relationship. No surprise that a mere 17 percent of satisfied customers say they will not consider the competition, according to a Forrester Research study.

The Crowd Followers
This group is trying. Unfortunately, they don't necessarily know how to select and track the right measurements. They score well on intentions, but low on understanding and depth. They will rush to ask Net Promoter Score because they read about it and were told it is the golden standard. NPS is a good measure but not sufficient. You need to know what makes you unique and what drives customers' actions in your specific relationship. NPS is too generic for that. It is a demanding metric and I give this group credit for assuming such demanding score. I wish more companies would know what to do with it.

The Differentiators
These are the rare few who measure true customer actions as a measure of their success. They subject themselves to the ultimate measure: Did we exceed your expectations? They do not seek to please, but to surprise. They do not rest on satisfaction laurels, but demand ideas for constant improvements. They continually seek ways to differentiate themselves and measure themselves against their unique brand promise. They form true lasting relationships because their measurements are authentic and unique to their value proposition.

The challenge of "what do your measurements say about you" goes beyond the questions you ask. It continues with the actions you take. Customers notice, and if their insight is not translated to actions, and fast, then they view it as a breach of trust. "Don't ask me for ideas if you are not planning to do something about it" they say loudly with their wallets as they approach your competitors.

Your employees take notice as well. They see those customer survey reports resting on a shelf gathering dust and understand exactly where your customer commitment is. They take operational guidance from your actions related to your measurements.

When selecting measurements, you need to think beyond point scale and question. The first question you should ask is, "What relationship do I want to drive?" If you're seeking a self-centric relationship, then follow the operational models. But if you're looking for a long-term, profitable relationship, you better think carefully before you set your measurements. They better drive inspirational performance on a regular basis and that means they must be demanding and uncompromising. Measure what matters to you. Measure the type of relationships you seek.

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Lior Arussy is president of Strativity Group, a customer experience research and consulting firm. His latest book is Excellence Every Day.

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