Identifying the correct Key Performance Indicators will not only help you measure your organization's performance, they also assist in developing goals and strategies and point out where technology can assist in automating business operations.
Knowing which account management KPIs to track will help you identify strengths and weaknesses in each financial process in order to improve the customer's experience. Here are the best account management KPIs for an effective account origination:
Three goals of account management KPIs
There are three major areas that should be considered in order for you to identify the metrics that need to be measured, and these are: customer retention, strengthening of relationships, and growing revenue.
Focusing on retaining existing customers should be at the top of your goals. Studies show that 80% of a company's revenue comes from existing customers. Some key performance indicators to measure this are:
- Retention rate - percentage of contract renewals against dropoffs
- Customer Satisfaction - surveys can be used to track how satisfied customers are with a product or service.
- Support calls and Emails - number of calls or emails in response to a support request
- Resolution Time - how quickly are customer's problems being resolved?
- Product Engagement - frequency of use with product that can be monitored
Making sure the customer feels valued and supported will keep them interested in what your organization has to offer. Keeping up with each key account is fundamental, and can be measured through the following KPIs:
- Strategic Calls/Emails - number of calls/emails containing valuable information for the customer (e.g.: consulting, strategic advice)
- Referrals - how many new customers are obtained through referrals?
- Outreach Engagement - how often does a customer respond to account management calls/emails?
Finally, the third objective should be to increase revenue. You can measure growth through the following account management KPIs:
- Customer Upsell Revenue
- Customer Cross Sell Revenue
- Contract Extension Revenue
Measuring your key performance indicators will help your organization identify your efficiency at retaining customers, growing relationships, as well as revenue. In today's fast-paced society, it is more important than ever to increase customer satisfaction, in order to retain them and grow a business.
Modern financial institutions are looking to automated business operations to give a faster and more effective experience for customers, as well as to comply with commercial rules..