If you've begun working toward being more customer-centric, you'll need to monitor your progress to see if you're on the right track. Here are three main indicators that will assist you in doing so:
Customer life expectancy (CLV)
The CLV is a calculation of the profits made by your company from a specific client. This measure is determined by adding up a customer's overall sales and subtracting the initial costs from the total. As a customer-centric company, your CLV is a vital metric that must be at an all-time low.
Level of churn
The customer turnover rate assists you in determining why consumers are leaving. This measure is measured as the percentage of customers lost by your company over a specified time period. If the number is big, you must investigate the causes and modify the techniques to minimize churn.
Net promoter score (NPS)
The Net Promoter Score (NPS) assesses your consumers' ability to recommend your company's product or service to others. This measure tells you whether your customers are happy with your product or service and is a good indicator of how loyal your consumer base is. The NPS is a 10-point scale based on an answer to the question “how likely are you to suggest brand name> to your friends or family?” or a series of questions, though the former is more common.
