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The Most Important Customer Success Metrics to Track and How to Improve Them

Businesses need customer success metrics to gain valuable insights about the customer experience the business is providing. The customers perspective and their journey from initial contact to successful conversion to a client is very important, hence businesses stress on going from good customer service to great customer service.

Customers need constant nurturing and education about the business so that they can help the business serve the customers better. The main objective of customer success metrics is to obtain consistent revenue by creating customer lifetime value.

How do you measure customer success metrics?

There are 3 factors of customer experience that can be used to accurately determine the customer success metrics. Each customer is unique for every company, unique for every industry and has unique expectations from a business. These insights about what the customer needs helps the business determine if the standards are high when it comes to customer satisfaction.

The 3 factors are:

  • Business Metrics :

    Measuring how customer engagement affects revenue.

  • Adoption Metrics :

    Measuring the customer’s use/Need of the product.

  • Outcome Metrics :

    Measuring the customer’s Product ROI

Business Metrics

Research shows that ensuring customer satisfaction in the long term can lead to recurring revenue. The metrics can be obtained by measuring customer success engagements against revenue goals by factoring in net retention, revenue generated and gross upsell. The numbers can also be obtained by getting feedback through introducing new features through specific campaigns. The company owner can gain valuable insights about which tactics were the most successful and focus on implementing those to increase the number of effective customer engagements.

Adoption Metrics

Adoption metrics give us a clear understanding of the purchase trends of the customer. It analyzes if the customer is using the product regularly and if the customer is getting value out of his product. Regular product use can be determined by license utilization metrics. This can be obtained by measuring the number of active users in an account against the total number of licenses purchased. The other method is to monitor the rate and duration of customer escalations, track responses to surveys or assess usage across account type segmentation.

Outcome Metrics

Outcome metrics are determined by the customer’s satisfaction of the product. The productivity of the business can be determined by insights obtained from outcome metrics each business has its own unique expectations and goals. Using outcome metrics, a business can determine if the customer is getting the most out of his purchase and take steps to assist them to maximize their value for the product. This will considerably increase the customer’s trust while giving insights about future purchase trends. All these factors into having the optimum customer satisfaction score.

The benefits of Customer Success Metrics

  • Provides insights about customer buying habits with detailed information.
  • Build a unique customer success metrics based on the required needs of the business or its customers.
  • Customized metrics are essential for outcome metrics as it considers various factors specified either by the business or the industry.
  • Track conversion rates across customer segments to observe where the ROI is highest.


Every company that strives to make the customer experience smooth and easy will need to start work on gathering information about how the customers perceive the business and take necessary steps to improve customer relations.