Note: The data and comment used in this report is for sample purpose only and does not represent actual data.

Customer SatisfactionCustomer Satisfaction– recent updates in measurement and – recent updates in measurement and

performance across all channels? performance across all channels?

Serve Serve You Right You Right

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Customer ServiceBenchmarking Australia (CSBA)

Helping companies Understand, Measure and Improve their customer service experience.

Since 1997.

Specialists in Customer Service and Customer Satisfaction.

Unique methodology.

Test and report on more than 200 Australian organisations.

• Across 15 different industries.

CSBA BUILDS SERVICE EXCELLENCE COMPANIES

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Agenda

1. What to look for in customer service measures

2. The overall service improvement model

3. Customer satisfaction measures

4. Understand current performance

5. Key points for successful customer satisfaction measurement

6. Discussion

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Customer Customer Centric Centric

OrganisationOrganisation

Measurement Improvement Model

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Customer Service and Satisfaction Why is it important?

DEFINITION OF MATURITY CLASS MEAN CLASS PERFORMANCE

Best-in-Class: Top 20% of aggregate performance scorers

• 26% increase in customer satisfaction• 26% increase in customer retention• 19% increase in customer-focused innovation

Industry Average: Middle 50% of aggregate performance scorers

• 5% increase in customer satisfaction• 4% increase in customer retention• 7% increase in customer-focused innovation

Laggard: Bottom 30% of aggregate performance scorers

• 3% increase in customer satisfaction• 1% increase in customer retention• 1% increase in customer-focused innovation

Customer Feedback Management, Aberdeen Group June 2008

Studies by Bain & Company show that a 5 percent increase in customer retention can increase a company's profitability by 75 percent.

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Why bother with customer service?

Interdepartmental service providers e.g. Shared Service

Keeps our costs low cost of rework/dealing with issues

“Newspaper factor” + pride and staff moraleHigher retention of staff

Some discretionary servicese.g. recreation centres, libraries

Customer service is ALL across the organisation

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CSBA Measurement Improvement Model

Customer Customer Centric Centric

OrganisationOrganisation

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Customer Satisfaction Measures

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Net Promoter Score (NPS)

Net Promoter, NPS, and Net Promoter Score are trademarks of Satmetrix Systems, Inc., Bain & Company,

and Fred Reichheld

83 9

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NPS® by Number of Times Company Contacted

Net Promoter, NPS, and Net Promoter Score are trademarks of Satmetrix Systems, Inc., Bain & Company, and Fred Reichheld

+18 +20+15

-15

+26

-22

+6+9

-42

-11

-54

+8

-64

-57

-31

-72

-5

-72

-26

-43

-66

-23

-65 -65-60

-80

-60

-40

-20

0

20

40

Overall General Enquiries Department A Department B Department C

Once Twice Three times Four times More than four times

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40

85

40 85

Perf

orm

ance

Importance

Agent provides 1st call resolution Agent is friendly, polite, courteous

Agent listens carefully to you Agent projects confidence

Agent tries to solve issue over the phone Getting through to a person quickly

Agent is easy to understand Agent shows an understanding of the issue

Strengths -Consolidate

Key Improvement

Area

SecondaryImprovement

Area

Maintain Performance

Identify Areas for Improvement

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Elements to Customer Satisfaction

Delivery• The final outcome• Keeping promises

• The way promises are handled

Professionalism• Competent staff

• Being treated fairly

Staff Attitude

• Polite and friendly staff• How sympathetic staff

were to your needs

Information• Accuracy• Comprehensiveness• Being kept informed about

progress

Physical Environment•Clean and comfortable premises•Appearance of staff

Timeliness• Initial wait• How long it takes overall• Number of times they had to

contact the service28%

13%

14%

18%

6%

24%

The Office of Public Services Reform, “The Drivers of Satisfaction with Public Services”

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Ease of doing

businessCustomer effort

score

Regulatory measures

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CSBA Measurement Improvement Model

Customer Customer Centric Centric

OrganisationOrganisation

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CSBA Measurement Improvement Model

Customer Customer Centric Centric

OrganisationOrganisation

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Understand Current Performance

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Driver Internal Measure

Timeliness

GOS – Internal Call Duration – internal FCR – Internal and External

Physical Environment Mystery shopping - External

Information Internal QA External Mystery shopping

Staff attitude External Mystery shopping

Professionalism External Mystery shopping

Delivery Internal and External

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Current Performance

0

50

100

0 50 100

Gett

ing T

hro

ugh

Service Delivery

Customer Satisfaction Grid

Company X

Best in Sector

All Companies

Company A

Company B

Company C

RESTLESSNESS

RESTLESSNESS

VALUE FOR MONEY

ALIENATION

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Current Performance

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Customer Service Performance from CSBA

Industry

Total Grid ScoreBetterWorse

March to June 2011

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Ten Key Points for Successful Customer Satisfaction Measurement

1. Research Objectives alignment with the overall strategy of the organisation.

2. Understand the balance between perception and objective.

3. Involve all the stakeholders from the outset.

4. Plan early-on for how you will share and follow up the results.

5. Carry out an insight audit and build on what is already known within the organisation. Add or delete as appropriate.

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6. Identify the key drivers of customer satisfaction and work with your stakeholders to decide where to take action first.

7. Make sure drivers have ‘Line of sight’ for all employees.

8. Understand what the customer experience is actually like and how the customer defines the service: consider customer journey mapping if there are gaps in your knowledge.

9. Use external customer satisfaction measurement to track progress and provide feedback to those responsible for making change happen.

Survey soon after experience

10.Make sure you have the right team in place to deliver results.

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Other Measures

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Hardship measures

LOTE assessment

Website ease of

doing business

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Social Media

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Discussion

Customer Service Benchmarking AustraliaLevel 5, 10-16 Queen Street

Melbourne VIC 3000T:03 9605 4900 | F:03 9642 1741

www.csba.com.au