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CUSTOMER,BY THE NUMBERS,SATISFACTION,ZENDESK CUSTOMER SATISFACTION INDEX, MARCH 2012,TABLE OF CONTENTS,What Drives Customer Satisfaction?,About the Science,The Zendesk Customer Satisfaction Index,3 Habits of Best-in-Class Companies,1,YESTERDAYSegregated by channelDisconnected from businessTreated as a cost centerSubpar consumer experience,TODAYInterconnected channel supportClosely tied to marketing/salesTreated as a revenue engineCritical to consumer experience,NEW CUSTOMER SUPPORT,2,$338.5BTheamountbad customer servicecostsmajor countries aroundtheworld annuallySOURCE: GENESYS GLOBALSURVEY,$289Average valueof eachlostbusinessrelationshipinthe U.S.,82%Percentageof Americanswho saidtheystoppeddoing businesswith acompanybecause ofpoor customer service,SATISFACTION COUNTSWhen it comes to customer service, satisfaction is what mattersmost. In fact, bad customer service can cost you billions.,3,Zendesks Customer Satisfaction Index delivers a periodic measure ofcustomer satisfaction by collecting data from more than 15,000companies serving 65 million consumers across 137 countries.,CUSTOMER SATISFACTION INDEX,4,This global CustomerSatisfaction Index isthe result of a simplequestion asked tomillions of customersat the end of a serviceinteraction: “Howwould you rate theservice you received?”,GLOBAL86%CUSTOMERSATISFACTION,GLOBAL BENCHMARK,5,CUSTOMER SATISFACTIONBY INDUSTRY,Real EstateIT Services & ConsultancyHealthcareProfessional ServicesPersonal & Business Support ServicesFinancial & Insurance ServicesNonprofitEducationTechnology - HostingTravel, Hospitality & TourismMedia & TelecommunicationsSoftwareWeb ApplicationsTechnology - HardwareManufacturingMarketingRetail & WholesaleSocial MediaEntertainment & Arts,GLOBAL86%CUSTOMERSATISFACTIONZendesk customers all interactdirectly with their end customers,and all want to delight those endcustomers.But satisfaction varies vastlyacross industriessome expected,some not.,0,50%,100%,96%95%94%94%94%93%93%91%91%91%88%87%86%85%85%85%82%78%77%,6,REAL ESTATE AND IT CONSULTING/SERVICESRATED HIGHEST IN CUSTOMER SATISFACTION OF ANY INDUSTRY,96%CUSTOMERSATISFACTION95%CUSTOMERSATISFACTION,Real EstateIT Services& Consultancy,7,GLOBAL86%CUSTOMER,CUSTOMER SATISFACTIONBY COMPANY SIZE,1-9,10-99,100-499,500-4,999,5,000+,91%,93%,90%,SATISFACTION50The smallestcompanieswhether amom-and-pop operation, smallbusiness or a techstartupperform well acrossalmost every industry.0,100,84%,88%,8,Yet once these companiesreach a certain scaleover 10employeesservice suffers.Its not until companies reachscale (500 employees) andhave mature processes andstructures that they recovertheir customer service levels.,WHY DO MIDDLE-CLASS COMPANIES STRUGGLE?CUSTOMER SATISFACTIONBY COMPANY SIZE,1-9,10-99,100-499 500-4,999 5,000+,91%,93%,90%,0,10050,84%,88%,9,GLOBAL86%CUSTOMER,CUSTOMER SATISFACTIONBY TARGET AUDIENCE,Businesses,Consumers,Internal (employees),SATISFACTION50Support organizations serve one ofthree audiencesconsumers, otherbusinesses or internal employees.Satisfaction varies widely, dependingon which audience you deliversupport to.0,100,93%,82%,94%,10,Support sites that serviceconsumers score the lowest ofany audience. And manyconsumer-facing support sitesscore well below 75 percent.,Businesses,Consumers,Internal (employees),93%,94%,Apparently, consumers arecranky when it comes tosupport.0,10050,82%,YOUD EXPECT THIS:CUSTOMER SATISFACTIONBY TARGET AUDIENCE,11,Internal help desks (think of yourIT team that handles employeerequests for software or networkhelp) have higher customersatisfaction ratings than help desksthat support either consumers orother businesses.,WHAT YOU WOULDNT EXPECT IS THIS:CUSTOMER SATISFACTIONBY TARGET AUDIENCE,Businesses,Consumers,Internal (employees),93%,82%,Perhaps IT doesnt deserve itsunhelpful stigma?0,50,100,94%,12,93,CUSTOMER SATISFACTIONBY COUNTRY*,UNITED STATES: 87%,UNITED KINGDOM: 83%,INDIA: 70%,100%,0%,100%,0%,100%,CANADA: 93%0%,100%,0%,RUSSIA: 80%,100%,0%,100%,SPAIN: 81%0%,100%,0%,AUSTRALIA: 93%0% 100%,FRANCE: 57%,100%GERMANY: 88%,0%,ITALY: 81%,100%,0%,BRAZIL: 79%,100%,0%,100%,%,13,Australia and Canada lead our Customer Satisfaction Index at0% 50%*Countries with the largest economies are shown,THE LEADERS AND LAGGARDSCUSTOMERS SATISFACTION BY COUNTRY*,THE LEADERSSATISFACTION SCORECROATIA: 98%,100%100%100%100%,0%PORTUGAL: 96%0%THAILAND: 96%0%GREECE: 95%0%,THE LAGGARDSSATISFACTION SCORECHINA: 59%,100%100%100%100%,0%FRANCE: 52%0%QATAR: 45%0%TURKEY: 43%0%,*Minimum 100 satisfaction ratings14,SO WHAT DRIVES,CUSTOMER,SATISFACTION?,15,Bigger companies that efficiently deliver high-quality support at a largescale have the most satisfied customers.,THIS IS THE WINNING FORMULA,FOR CUSTOMER SATISFACTION DEVELOPED BY ZENDESK,16,CUSTOMER SATISFACTION,EFFICIENCYHow welldo you handlecustomer issues?First ResponseTime,QUALITYWhat is the qualityof the support yougive?%of TicketsResolved,SCALEHow many issuesare you receiving?#Number ofTickets,17,SIZE MATTERSEach ticket constitutes a customerinteraction, making it a goodmeasure of the frequency andscale of your customer touches.Customers increasingly servethemselves via the web throughwell-crafted online forums, FAQsand knowledge bases.On average, Zendesk-poweredhelp desks handle more than600 tickets per month, anddrive more than 2,600 pageviews to their online forums.,1,6251,5601,4951,413979692675613527505413385360337315267261212181,Social MediaEntertainment & ArtsTravel, Hospitality & TourismRetail & WholesaleMarketingMedia & TelecommunicationsWeb ApplicationsFinancial & Insurance ServicesSoftwareEducationHealthcareManufacturingTechnology - HostingTechnology - HardwarePersonal and Business Support ServicesNonprofitProfessional ServicesReal EstateIT Services & Consultancy,0,1,000,2,000,F(X) = SCALE x EFFICIENCY x QUALITYNUMBER OF TICKETS BY INDUSTRY,18,We have a limited budget and staff,so we need to make sure weredelighting our customers asefficiently as possible. This is whyfirst-response time is a greatefficiency measure. The averagefirst-response time across allZendesk tickets is over 23.6 hours.Those taking more than a day toget back to customers may want toreexamine their processes.,F(X) = SCALE x EFFICIENCY x QUALITYFIRST RESPONSE TIME BY INDUSTRY,ManufacturingMarketing,Entertainment & ArtsEducationFinancial & Insurance ServicesNonprofitIT Services & ConsultancyTechnology - HardwareRetail & WholesaleSocial MediaReal EstateHealthcareMedia & TelecommunicationsPersonal and Bus. Support ServicesSoftwareProfessional ServicesWeb ApplicationsTravel, Hospitality & TourismTechnology - Hosting,0,24hrs,48hrs,36hrs,12hrs,38.2 hrs32.7 hrs,31.5 hrs30.8 hrs28.6 hrs28.3 hrs28.2 hrs28.1 hrs26.6 hrs25.9 hrs24.8 hrs22.9 hrs22.7 hrs22.3 hrs21.5 hrs18.2 hrs18.1 hrs14.7 hrs14.5 hrs,19,IT Services & ConsultancyEducationEntertainment & ArtsFinancial & Insurance servicesTechnology - HardwareHealthcareTechnology - HostingManufacturingMarketingMedia & TelecommunicationsNonprofitProfessional ServicesReal EstateRetail & WholesaleSocial MediaSoftwarePersonal & Business Support ServicesTravel, Hospitality & TourismWeb Applications,0%,50%,100%,78%82%90%85%71%88%76%77%89%86%85%85%82%87%85%82%82%84%86%,F(X) = SCALE x EFFICIENCY x QUALITY%OFTICKETSIN1TOUCHBYINDUSTRY,20,The percentage oftickets resolved in onetouch across all Zendesktickets is 85%Zendesks third measure isquality, which is measured byone-touch tickets.“One-touch” tickets are thoseresolved with only one serviceinteraction. The higher yourone-touch percentage, thehigher your service quality.,ZENDESK BENCHMARK,Scale630TicketsperMonth,Satisfaction86%CustomerSatisfaction,Efficiency23.6hrsFirst-ResponseTime,Across 15,000 Global Accounts21,INTERESTING ANECDOTESABOUT SATISFACTION SCORE,NUMBER OF TICKETSBY INDUSTRY,SATISFACTION SCOREBY INDUSTRY,FIRST RESPONSE TIMEBY INDUSTRY,Social Media,Entertainment,Zendesk Benchmark Average,77,78,0%,100%,50%,86,#,0(hrs),1020,23.6,58.9,5044.640,1,6251,560 1,560,630,0(Tkt),2,000,1,000,30Low satisfaction ratings are the result of high ticket volume and slowfirst-response time, as evidenced by consumer-facing companies.22,3 HABITS OF,BEST-IN-CLASS,COMPANIES,23,Data can be overwhelming, but there are three clear behaviors that,separate best-in-class companies from the rest:,IMMEDIATE RESPONSE MATTERS,YOU HAVE TO BE WHERE YOUR CUSTOMERS ARE,LET YOUR CUSTOMERS SERVE THEMSELVES,BEST-IN-CLASS COMPANIES,24,10:03,FACTOID:,100%,0%,IMMEDIATE RESPONSEThe clock begins ticking themoment you receive a ticket.Responding quickly has the singlegreatest impact on customersatisfaction.ON HOLD90%,Companies with an average first-responsetime under 10 hours have customersatisfaction over 90 percent.25,Today, its critical to beavailable where your,customers want to reachyou: your website,Facebook, Twitter, email,phone or chat.,Companies that supporttheir customers acrossmultiple channels drivehigher engagement and,respond faster to customerinquiriesall increasingsatisfaction.,BE WHERE YOUR CUSTOMERS ARE,26,LET CUSTOMERS SERVE THEMSELVESFORUM VIEW:TICKET RATIO,All Companies,SoftwareBest-in-ClassSoftware,100%,0%,SATISFACTION86%,100%100%,87%0%93%0%,FORUM VIEWS/TICKET4.2,4.0,7.5,Companies that offer rich self-service customer support forumsand FAQs have a higher level of customer satisfaction.Best-in-class companies invest in self-service, and those withhigher forum traffic drive greater satisfactionespecially in thesoftware industry.27,THE SCIENCE,ABOUT,28,ZENDESK BENCHMARK,“WHATS MEASURED IMPROVES”,PETER DRUCKER,29,ZENDESK DELIVERS AT GLOBAL SCALE,100MILLIONSERVICEINTERACTIONSPER YEAR,137 15,000 SERVED MILLION,65 CUSTOMERS ENTERPRISES COUNTRIES,30,INSIGHTS BASED ON ACTUAL HELP DESK USAGE:,We offer the metrics you need to measure your support volume, helpdesk efficiency and quality of engagement.LOADS OF COMPARISONS:,With the Zendesk Benchmark, you can compare yourself to the overallpopulation of Zendesk-powered help desks, to your industry peers, tocompanies of similar size or to companies supporting similar end users.,The Zendesk Benchmark is not your typical “expert” survey. Itscomprised of metrics based on real product usage and customerengagement.,THE BENCHMARK IS MEASURED BY,31,ZENDESK BENCHMARKDATA COLLECTION FROM MASSIVE CUSTOMER BASE,11,000+Accounts withUsage Data(Q4 2011),10,000+SurveyRespondents(Accounts),Large-Scale Demographic and Usage Data32,Customer Satisfaction# of Tickets per MonthFirst-Response TimeTickets per Agent% of Tickets in One Touch,Satisfaction Rating from End UserTotal Volume of New TicketsFirst-Response Time During Business Hours# of Tickets Solved per Active AgentTickets Resolved in One Human Interaction,Overall Monthly Forum TrafficMeasure of Customer Self-ServiceClick-Through Rate for Forum Searches,METRICS THAT MATTERTICKETS ARE THE CORE OF SUPPORT INTERACTIONS,FORUMS DRIVE CUSTOMER SELF-SERVICE,# of Forum ViewsForum View:Ticket RatioForum-Search Effectiveness33,YOU CAN START MEASURING,TODAY,YOUR CUSTOMERS,SATISFACTION,WITH ZENDESK,34,35,