"Satisfaction is forward looking, behavior is backward looking"
In this part 2 of What's Wrong with Metrics?
, Larry Freed starts by providing a summary of what's is actually wrong with metrics often used:
- Consumers are multi channel and most metrics are not
- Traditional metrics tell you what has happened, not what will happen
- We cannot observe behavior and determine success from consumers perspective
- Traditional metrics ignore intent
- Too much reliance on gimmicks, proxies and assumptions
He then proceeds to discuss the differences between feedback and measurement: feedback is very reactive, while measurement is proactive
. Feedback can be a great source to understand the experience the customer is having, and measurement allows us to be strategic, to evaluate our performance over time, and prioritize improvements.
Larry goes on to talk about customer satisfaction and what is missing in terms of tracking. He also shows a few ways to measure and improve customer satisfaction.
More Videos by Larry Freed
What's Wrong with Metrics? Part I
: Often, metrics used to assess success are misunderstood, misinterpreted, and misleading. They measure KPIs important to the organization instead of what is critical in the customers’ eyes. This leads companies down a path of reactive management, but how can organizations proactively manage when most metrics look backwards?
Analytics For Multi-Channel & Multi-Device
: Larry Freed, President and CEO, ForeSee, discusses the difference in today's customers, who are multi-channel, multi-device users and have much more control than customers had in the past. Freed emphasizes the need for measuring behavior and connecting a user's behavior through different channels, but explains that today, the most important measure of success is customer satisfaction.
Larry Freed, President and CEO, ForeSee Results
Larry Freed is President and CEO of ForeSee Results
, a leading customer satisfaction management company with solutions based on the American Customer Satisfaction Index (ACSI). With nearly 20 years senior management experience, Mr. Freed has directed numerous e-commerce and technology initiatives. His background also includes 15 years of experience in the banking sector, holding senior level positions with First Chicago NBD and Bank One. An expert on web customer satisfaction, he is a frequent commentator on measuring online customer satisfaction and has been quoted in numerous publications and media, including: The Wall Street Journal, The Washington Post, Internet Retailer, Computerworld, ClickZ, Information Week, Investor’s Business Weekly, CNN, CBS Market Watch, CRM Today, Destination CRM and Federal Computer Week, among others.