1. Social Customer Service ROI
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2. ROI Gains
Call Center Savings:
• Increased Agent Deflection:
• Direct,
• Indirect.
• Improved Agent Productivity.
• Lowered Average Handling Time
• Increased First Contact Resolution Rate and
• Knowledge Base generation.
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3. ROI Costs
Common costs for social customer service
programs:
• People,
• Technology, and
• Marketing (of the social customer service
program).
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4. ROI Formula
ROI = (Gains - Costs)/Costs x 100
ROI is shown as a percentage.
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5. Sample Calculations
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6. Gains
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7. Call Center Savings -
Direct Agent Defection
FORMULAS
# New Convos answered by Customers =
(# Total New Convos Answered) x (% New Convos
Answered by Customers)
# of Direct Deflected Contacts =
(# New Convos answered by Customers) * Est
Direct Deflection Rate
Savings per period=
(# of Deflected Calls) x (Avg Cost per Call)
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8. Call Center Savings –
Agent Defection
CALCULATION:
# New Convos Answered by Customers =
(6,500 New Convos Answered/month) x 70% =
4,550 New Convos Answered by Cust per month
# Direct Deflected Calls = (4,550 New Convos
Answered per month) * 10% = 455 per month
Savings = (455 Deflected calls per month) *
($25/call) = $11,375 per month = $136,500/year.
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9. Call Center Savings –
Reduced AHT
FORMULAS
# Social Cases Impacted =
(# Social Cases per period) x (% Social Cases
Impacted)
Savings per period =
AHT x (Agent Cost per hour) x (# Social Cases
Impacted)
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10. Call Center Savings –
Reduced AHT
CALCULATION
# Social Cases Requiring Assistance will be a known
metric.
For example purposes, assume based on examples
related to Agent Deflection shown above. Out of
6,500 New Social Conversations per month, a total
of 1,755 were deflected. 4,745 cases still require
agent assistance.
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11. Call Center Savings –
Reduced AHT
CALCULATION
# Social Cases = 4,745 Social Cases/mo = 56,940
Social Cases/yr
# Social Cases Impacted = (56,940 Social Cases/yr)
x 10% = 5,694/yr
Savings per period = (12 min/case) x ($30/hr x 1
hr/60 min) x (5,694 Cases/yr) = $34,164/yr
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12. Costs
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13. People costs…
FORMULAS:
Burdened Compensation per Social Team Member
= (Salary + bonus + benefits load) x (% Time
Devoted to Social).
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14. People costs…
CALCULATION:
Cost of Manager =
($105,000/yr burdened compensation) x (20%
Time) = 21,000$/yr
Cost of data analyst =
($100,000/yr burdened comp) x (20% Time) =
$20,000/yr
Total costs = $41,000/yr
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15. Tech costs
FORMULA
Tech costs =
Sum of individual tech components
described above. Use incremental
costs only.
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16. Tech costs
Assume 3 Support Techs (shown under
People Cost example) are new hires.
Need incremental CRM seats with
Social Add-on functionality.
Also needed is modest community
solution to supplement searchability of
Facebook community.
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17. Tech costs
Total Tech Solution costs for example =
[Incremental seats social customer
service solution]
+ (Cost for modest Community solution)
+ (Subscription Costs for Premium
Social Monitoring)
+ Implementation Costs
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18. Tech costs
CALCULATION:
Tech costs=
[($200/user per mo for CRM/SCRM) x
(3 seats)]
+ ($4,167 per mo Community)
+ ($1,500 per month Social Monitoring)
+ $15,000
= $90,204 for first year.
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19. ROI
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20. ROI Formula
ROI = (Gains - Costs)/Costs x 100
ROI is shown as a percentage.
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21. ROI Formula
GAINS =
$136,500 + $34,164 = $170,664
COSTS =
$41,000 + $90,204 = 131,204
ROI =
($170,664 - $141,204)/$131,204 x 100 = 22.5%
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22. Contact information
Natalie Petouhoff Kathy Herrmann
DoctorNatalie@gmail.com info@kathyherrmann.com
DrNatalieNews www.kathyherrmann.com
@DrNatalie @KathyHerrmann
+DrNatalie +KathyHerrmann
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