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Customer engagement rate
Boost Customer Engagement Rate for Lasting Success. Enhance client Relationships and Maximize Loyalty.
What is Customer Engagement Rate?
Customer Engagement Rate (CER) is a metric that quantifies the interaction level between customers and a brand, product, or service. In Professional Service Automation (PSA), it measures how much clients or customers use a PSA software.
It reflects how effectively a company engages its audience through various channels like social media, email, or website interactions. A higher engagement rate indicates stronger customer relationships, brand loyalty, and potentially increased sales. Monitoring and improving this metric is essential for enhancing overall customer satisfaction and business success.
Importance of Customer Engagement Rate
Engaged customers are more likely to be loyal, make repeat purchases and advocate for your brand. For PSA platforms, a high CER indicates that users find the software valuable, leading to increased retention and organic growth. Furthermore, understanding engagement can help businesses identify areas for improvement, ensuring that the software meets user needs and expectations.
For instance, if a feature like the Gantt chart has high engagement, it indicates its importance in project management.
Why Earned Value Management is so important?
Calculating Customer Engagement Rate
Formula:
CER = (Number of Engaged Users/Total Number of Users) x 100
Example:
Let’s say KEBS has 1,000 users in a month, and 700 of them actively use the timesheet feature.
CER=(700/1,000) x100=70
This means 70% of KEBS users are actively engaged with the timesheet feature.
Customer Engagement Rate vs Other Metrics
While CER is crucial, it’s essential to differentiate it from other metrics:
CER vs User Activity Rate: While CER measures the depth of user interaction, User Activity Rate focuses on the frequency of user actions within a specific period.
CER vs Customer Satisfaction: Satisfaction measures the contentment level of users, while CER gauges their interaction depth. A user might be satisfied with a ticket management system but may not engage with it frequently.
| Metric | Definition | Importance in PSA |
|---|---|---|
| Customer Engagement Rate | The percentage of active customers or clients engaging with your professional services, such as using your software, attending webinars, or seeking support. It measures the level of interaction and satisfaction. | High – It indicates customer satisfaction and loyalty, which can lead to repeat business and referrals. |
| Customer Satisfaction | A measure of how satisfied customers are with your professional services, often collected through surveys or feedback forms. | High – Satisfied customers are more likely to stay loyal and refer your services to others. |
| Churn Rate | The rate at which customers or clients stop using your professional services. High churn can indicate dissatisfaction or loss of interest. | High – High churn rates can negatively impact revenue and profitability. |
| Net Promoter Score (NPS) | A metric that gauges the willingness of customers to recommend your professional services to others. It helps identify promoters, passives, and detractors among your customer base. | High – A high NPS indicates strong advocacy, which can positively affect your reputation and growth. |
Utilizing Customer Engagement Rate
Understanding CER can guide businesses in:
1. Feature Development: High engagement in areas like deal management can indicate where to allocate more resources.
2. User Training: Low engagement might mean users aren’t aware of features like employee 360, indicating a need for more training or tutorials.
3. Marketing and Sales: High CER can be a selling point when promoting PSA software, showcasing how features like the proposal builder are actively used and valued by clients.
Ready to Optimize Customer Engagement?
KEBS, as a leading PSA software, offers various features to enhance customer engagement:
Features like the sales pipeline are designed with user experience in mind, encouraging more interaction. KEBS continuously updates its features based on user feedback, ensuring that tools like finance management remain relevant and engaging. KEBS ensures users can maximize the platform’s potential, offering training sessions and robust ticket support.
KEBS Project Management
Ready to optimize your customer engagement with KEBS? Dive deeper into its features and see it in action. Contact us today or request a demo to learn more!
