ROI Toolkit
Investing in service reduces complaints and associated handling costs.
The methodology
To measure ROI using CSAT/NPS, organisations can begin by collecting customer feedback through surveys. If scores are anonymised, data analysis and behaviour mapping can link them to individual customers. The next step is to monitor the relationship between CSAT/NPS scores and customer retention or churn over time, identifying any patterns.
For instance, a 10-point increase in CSAT might correlate with a 15% reduction in churn, allowing the organisation to project business value. If this improvement leads to retaining 15% more customers and increasing revenue by Ā£100,000, with an investment of Ā£20,000 to achieve it, the ROI would be Ā£80,000 (Ā£100,000 revenue gain minus Ā£20,000 investment).
This approach highlights how enhancing customer satisfaction can directly drive financial performance across various sectors.
An example of how an organisation might use the Complaints Reduction metric
Things to consider
test
