The success of any IT department is largely dependent on its ability to deliver value to its customers. The traditional KPIs that IT departments used to measure their success, such as uptime and availability, are becoming less relevant in a world where customer experience is king. That’s why customer-centric KPIs have become increasingly important for IT departments. These KPIs help IT departments measure the impact they have on their customers and identify areas for improvement.
In this article, we’ll be exploring ten customer-centric KPIs that IT departments can use to measure the success of their customer experience initiatives.
Why are customer-centric KPIs important for IT?
Customer-centric KPIs are important for IT departments because they help them understand how their customers perceive the services and products they offer. IT departments need to be customer-focused to provide value to their customers and stay competitive. Measuring customer-centric KPIs helps IT departments identify areas for improvement and make data-driven decisions to elevate the customer experience.
8 customer-centric KPIs for IT
1. User satisfaction
User satisfaction is a key customer-centric KPI for IT departments. It measures the extent to which customers are satisfied with the services and products offered by IT. User satisfaction can be measured through surveys or feedback forms and can provide valuable insight into customer needs and preferences. A high user satisfaction score indicates that IT is providing value to its customers, while a low score indicates that there are gaps that can be filled.
2. Adoption rate
The adoption rate is the percentage of customers who use the services or products offered by IT. It is an important customer-centric KPI because it helps IT departments understand how well they are delivering value to their customers. If the adoption rate is low, IT departments need to identify the reasons and make adjustments to increase adoption.
3. Net promoter score (NPS)
Net promoter score (NPS) is a measure of customer loyalty. It measures the likelihood of customers recommending a company’s services or products to others. NPS is calculated by asking customers to rate their experience on a scale of 0-10 and then grouping them into detractors, passives, and promoters. A high NPS indicates that customers are satisfied with IT services and products, while a low NPS suggests that improvements are needed.
4. First-call resolution
First-call resolution is a measure of the effectiveness of IT’s support team. It measures the percentage of customer support inquiries that are resolved during the first call. A high first-call resolution rate indicates that the service desk is providing value to customers, while a low rate may suggest that the service desk is lacking resources or the staff may require further training on the subject matters raised.
5. Time to resolution
Time to resolution is the amount of time it takes for the service desk team to resolve a customer support inquiry. It is an important customer-centric KPI because it measures the efficiency of the IT service desk and the value it provides to customers. If the time to resolution is high, IT departments need to identify the reasons and make improvements to decrease resolution time.
6. Customer retention
Customer retention measures the number of customers who continue to use IT services and products over time. It is an important customer-centric KPI because it indicates the level of customer satisfaction and loyalty. If customer retention is low, IT departments need to identify the reasons and take appropriate actions to increase customer loyalty.
7. User engagement
User engagement measures the level of customer interaction with IT services and products. It is an important customer-centric KPI because it provides insight into customer behavior and can help IT departments understand what drives customer engagement. If user engagement is low, this can suggest the service or product is not intuitive enough, confusing to use, or users not understanding its purpose. The IT department needs to identify the root cause and resolve it to increase engagement.
8. Customer lifetime value (CLV)
Customer lifetime value (CLV) is a measure of the total value a customer brings to a company over the course of their relationship. It is an important customer-centric KPI because it helps IT departments understand the long-term value of their customer relationships. CLV can be calculated by multiplying the average value of a sale by the number of times a customer is expected to purchase from the company. A high CLV indicates that IT is providing value to its customers and building strong customer relationships, while a low CLV suggests that there may be some issues within your service delivery processes that are harming your customer relationships.
Customer-centric KPIs are essential for IT departments to measure the impact they have on their customers and identify areas for improvement. By measuring these KPIs, IT departments can make data-driven decisions to improve customer experience and stay competitive.
SOURCE: Hannah Mandapat.(2023 February 14).8 customer-centric KPIs for IT. IFSBlog. https://blog.ifs.com/2023/02/customer-centric-kpis-for-it/.
