Maintaining high-quality customer support is crucial in e-commerce and multi-level marketing (MLM). However, many businesses need more skills, experience, and budget to hire and train in-house customer support, so they opt for outsourcing.
Customer support outsourcing lets you cost-effectively leverage external expertise to enhance customer satisfaction and streamline operations.
To maximize outsourcing potential, you must understand how to measure its success through well-defined metrics and Key Performance Indicators (KPIs).
We can help you.
This blog will cover the key KPIs and metrics for outsourced customer support and how your e-commerce and MLM business can effectively use them to improve customer support operations.
Let’s begin.
The Importance of Outsourced Customer Support in E-Commerce and MLM
Outsourced customer support involves contracting a third-party service provider to handle customer service operations. This strategy offers several benefits, including cost savings, scalability, and access to specialized expertise.
According to the Direct Selling Association (DSA), companies that invest in the training and development of their sales force experience higher retention rates and superior sales performance.
However, to ensure the effectiveness of this approach, it’s essential to monitor performance through specific metrics and KPIs.
8 Metrics and KPIs for Outsourced Customer Support
Here are the most common and essential metrics to track when outsourcing customer support.
1. First Response Time (FRT)
This metric refers to the average response time to a customer’s initial inquiry.
A quick first response is critical in e-commerce and MLM, where customers expect prompt service. Fast response times can significantly enhance customer satisfaction and reduce the likelihood of escalations.
2. Average Resolution Time (ART)
ART is the average time your support team takes to resolve customer issues.
Efficient problem resolution is a cornerstone of good customer service. Long resolution times can frustrate customers and negatively impact their perception of your brand.
3. Customer Satisfaction (CSAT)
You can measure customer satisfaction by getting customer feedback after their interactions with your agents.
High CSAT scores indicate that customers are happy with the service. This metric is particularly relevant in the e-commerce and MLM sectors, where customer loyalty is crucial.
4. Net Promoter Score (NPS)
NPS indicates customer loyalty according to their likelihood of recommending your brand to others. Like CSAT, you can measure NPS by getting customer feedback.
This metric provides insights into customer loyalty and can help identify advocates for your brand. A high NPS is a strong indicator of successful customer support.
5. First Contact Resolution (FCR)
This metric measures the percentage of customer issues your agents resolve during the first interaction.
High FCR rates demonstrate the efficiency of your support team and reduce the need for follow-up interactions, saving time and resources.
6. Ticket Volume
The total number of customer support tickets received.
Monitoring ticket volume helps understand the workload and identify patterns or recurring issues. This data can inform staffing decisions and process improvements.
7. Customer Effort Score (CES)
This metric measures how easily customers can get resolutions when interacting with support agents.
A low CES indicates that customers easily interact with your support team, leading to higher satisfaction and loyalty.
8. Quality Assurance (QA) Scores
This metric measures the quality of customer interactions according to your internal evaluation criteria.
QA scores help maintain high service standards by identifying improvement areas and ensuring consistent team performance.
Applying Customer Support KPIs in E-Commerce and MLM
Here’s how to leverage specific customer support KPIs for the e-commerce and MLM industries.
E-Commerce
In e-commerce, customer support is vital for managing pre-purchase inquiries, order tracking, returns, and complaints.
First Response Time
Quick responses to product or order status inquiries can boost customer confidence and drive conversions.
Average Resolution Time
Efficiently handling returns or refunds can foster customer trust and encourage repeat purchases.
CSAT and NPS
High scores in these metrics indicate a positive shopping experience, leading to increased customer loyalty.
FCR
Resolving issues like order discrepancies or shipping problems on the first contact reduces customer frustration and operational costs.
Ticket Volume
Monitoring ticket volume can highlight common issues, allowing for proactive measures to improve processes or product descriptions.
CES
Ensuring an effortless support experience can differentiate your brand in the competitive e-commerce landscape.
QA Scores
Regular evaluation of support interactions ensures that agents adhere to best practices and provide consistent service quality.
Multi-Level Marketing (MLM)
For MLM companies, customer support is crucial in managing distributor inquiries, product information, and order fulfillment.
First Response Time
Timely responses to distributor inquiries can prevent frustration and maintain morale, which is essential for MLM success.
Average Resolution Time (ART)
Quick resolution of commissions or product availability issues can keep distributors motivated and focused on sales.
CSAT and NPS
High satisfaction and promoter scores reflect well on the MLM company, attracting recruits and retaining existing ones.
FCR
Efficiently addressing distributor concerns on the first contact can streamline operations and enhance productivity.
Ticket Volume
Understanding the volume and nature of support tickets can help identify distributor training needs and improve communication strategies.
CES
A low-effort experience for distributors can lead to higher engagement and better performance.
QA Scores
Ensuring high-quality support interactions can strengthen the company’s relationship with its distributors, fostering loyalty and trust.
Best Practices for Measuring Outsourced Customer Support Success
Follow these tried-and-tested methods for measuring customer support outsourcing effectiveness:
1. Set Clear Expectations.
Establish clear performance expectations with a potential outsourcing partner. Define the KPIs and metrics that matter most to your business and ensure your partner aligns with your goals.
2. Conduct Regular Monitoring and Reporting.
You need a system for regularly monitoring and reporting KPIs, regardless of industry.
Develop streamlined monitoring and reporting systems that include automated analytics dashboards, periodic reports, and regular meetings with your outsourcing partner to review performance.
3. Use Analytics To Strive for Continuous Improvement.
Use the insights you gained from KPI analysis to drive continuous improvement. Identify areas for enhancement, provide feedback to your service provider, and implement changes to optimize performance.
4. Get Feedback From Your Customers.
Actively seek customer feedback to gauge satisfaction and identify areas for improvement. Customer surveys, feedback forms, and direct outreach can provide valuable insights.
5. Compare Results Against the Industry.
Compare your KPIs against industry benchmarks to understand how your customer support performance stacks up.
Benchmarking can help identify areas where you excel and areas that need attention.
Conclusion
Outsourced customer support is a great help in the e-commerce and MLM industries. It provides the expertise needed to deliver exceptional customer experiences.
However, the success of this strategy depends on effectively measuring performance through well-defined outsourced customer support KPIs or outsourcing customer service metrics.
Determine and focus only on the metrics that help you achieve your goals. Doing so helps ensure your outsourced customer support teams meet your business expectations and drive customer satisfaction.
Discover the ClearSource Advantage.
Are you ready to elevate your customer support to the next level? At ClearSource, we provide top-notch outsourced customer support tailored to your business needs.
We have years of valuable experience serving the e-commerce and MLM industries. Our unmatched commitment to delivering exceptional service ensures your customers receive the best possible experience.
Contact us today to learn more about how our services can help your business thrive.
