Free Customer Success Tool - Customer Success Metric Metric: Customer Engagement Score (CES)

Formula for Customer Engagement Score (CES)

CES is typically calculated using a weighted formula based on various engagement metrics:

CES = (w1 × Login Frequency) + (w2 × Feature Usage) + (w3 × Support Interactions)

Where w1, w2, w3 are the weights assigned to each metric based on their relative importance.

Example Calculation:

• Login Frequency (40% weight): 80/100
• Feature Usage (40% weight): 70/100
• Support Interactions (20% weight): 90/100

CES = (0.4 × 80) + (0.4 × 70) + (0.2 × 90) = 78/100

What CES Includes

Login Frequency

• Measures how often customers access the platform or service.

Depth of Feature Usage

• Tracks the extent to which key features are being used.

Support Engagement

• Captures the quality and frequency of interactions with support teams.

Feedback and Surveys

• Incorporates customer responses from NPS or satisfaction surveys.

In-App Engagement

• Tracks actions taken within the product, like completing workflows or accessing new features.

Why CES Matters

Retention Predictor

• High engagement correlates with better retention rates and lower churn risk.

Customer Success Insights

• Highlights which accounts are actively leveraging the product and which need more attention.

Proactive Management

• Provides early warning signs for at-risk accounts through declining scores.

Expansion Opportunities

• Engaged customers are more likely to adopt additional features or upgrade their plans.

Key Drivers of CES

Product Value Alignment

• Customers engage more when the product meets their goals and pain points.

Feature Awareness and Adoption

• Engaged customers frequently use core and advanced features.

Proactive Communication

• Regular updates and best practices encourage continued engagement.

Customer Enablement

• Training and accessible support help customers feel confident in using the product.

Timely Issue Resolution

• Quick and effective responses to customer concerns enhance engagement.

How to Improve CES

Monitor Engagement Trends

• Regularly track CES to identify declining scores and intervene early.

Provide Personalized Recommendations

• Suggest features or workflows based on customer usage data.

Host Training Sessions

• Offer webinars or tutorials to deepen product knowledge and usage.

Foster Two-Way Communication

• Actively gather and act on feedback to show customers they are valued.

Encourage Usage of Advanced Features

• Highlight how advanced capabilities can add value to their operations.

Tools to Track and Improve CES

Customer Success Platforms

• Churn Assassin, Gainsight, ChurnZero, Totango to calculate and monitor CES.

Product Analytics Tools

• Mixpanel, Pendo, Amplitude for detailed engagement insights.

CRM Systems

• Salesforce, HubSpot to centralize and analyze customer data.

Conclusion

Customer Engagement Score (CES) provides a clear snapshot of how invested customers are in your product. For CSMs, it’s an essential tool to proactively manage accounts, reduce churn risks, and identify growth opportunities. Improving CES requires consistent effort to align product value with customer needs, foster deeper engagement, and resolve issues quickly. High CES is a key driver of long-term customer success and business growth.