Customer Experience Glossary

A method of comparing two versions of a survey (different questions, formats, or timing) to determine which produces better response rates or data quality.

The annualized value of recurring subscription revenue, calculated as MRR multiplied by 12.

The mean amount of time it takes to fully resolve a customer support ticket or issue from the moment it is opened.

A survey designed to establish a baseline measurement that can be compared against future results, industry standards, or competitors.

The number of months it takes to recover the cost of acquiring a customer through their subscription revenue.

The percentage of customers who stop using your product or cancel their subscription during a given time period.

A process where every piece of customer feedback receives a follow-up action, and the customer is informed about what was done.

A method of grouping customers by a shared characteristic (such as sign-up date) and tracking their behavior over time to identify patterns.

The reduction in recurring revenue from existing customers due to plan downgrades, seat removals, or discount applications.

A statistical method that measures the strength and direction of the relationship between two variables, such as NPS score and renewal rate.

The total cost of acquiring a new customer, including marketing, sales, and onboarding expenses.

A select group of strategic customers who provide regular input on product direction, strategy, and priorities in a structured advisory capacity.

A strategy focused on turning satisfied customers into active promoters who recommend your product to others through word-of-mouth, reviews, and referrals.

A business philosophy and operating model that places the customer at the center of every decision, from product development to support processes.

Programs and resources designed to help customers learn how to use your product effectively, including documentation, tutorials, webinars, and courses.

A metric that measures how much effort a customer had to exert to get an issue resolved, a request fulfilled, or a task completed.

A deliberate, organization-wide plan for designing and delivering customer interactions that meet or exceed expectations and drive business outcomes.

A composite metric that combines multiple signals—such as product usage, support tickets, and survey scores—to predict the likelihood of a customer renewing or churning.

The process of creating a visual representation of every interaction a customer has with your company, from first awareness through post-purchase.

The total revenue a business can expect from a single customer account over the entire duration of their relationship.

The structured process of guiding new customers from sign-up to their first moment of value, setting the foundation for long-term engagement.

A metric that measures how satisfied customers are with a product, service, or interaction, typically on a 1–5 scale.

The practice of dividing your customer base into distinct groups based on shared characteristics such as behavior, demographics, value, or needs.

A proactive business function focused on helping customers achieve their desired outcomes with your product, thereby driving retention and expansion.

A survey question that asks about two different things in a single question, making it impossible for respondents to answer accurately.

A statistical technique that identifies which specific aspects of the customer experience have the greatest impact on overall satisfaction or loyalty.

Additional recurring revenue generated from existing customers through upsells, cross-sells, and add-ons.

An organizational culture where customer feedback is actively sought, openly shared, and systematically used to drive decisions and improvements.

The percentage of customer issues that are fully resolved during the first interaction, without requiring follow-up.

The percentage of revenue remaining after subtracting the direct costs of delivering your product or service.

A survey question that is phrased in a way that suggests or encourages a particular answer, introducing bias into the results.

A psychometric scale commonly used in surveys that asks respondents to rate their level of agreement with a statement, typically on a 5- or 7-point scale.

The percentage of customer accounts (logos) that cancel or stop using your product during a given period, regardless of their revenue contribution.

A structured program that rewards customers for continued engagement, repeat purchases, or advocacy behaviors to increase retention and lifetime value.

The predictable, recurring revenue a subscription business earns each month from active subscriptions.

A loyalty metric that measures how likely customers are to recommend your product or service on a 0–10 scale.

The percentage of recurring revenue retained from existing customers over a period, including expansion and contraction but excluding new customers.

A strategy for collecting customer feedback across all channels and touchpoints—in-app, email, SMS, web, social—and unifying it into a single view.

The practice of tailoring experiences, communications, and interactions to individual customer preferences, behaviors, and needs.

The use of historical data, statistical models, and machine learning to forecast future customer behavior such as churn risk, expansion likelihood, or satisfaction trends.

A support strategy that anticipates and addresses customer issues before they occur, rather than waiting for customers to report problems.

A periodic survey sent to customers on a regular cadence to measure their overall sentiment and loyalty toward your brand.

A systematic tendency for survey respondents to answer inaccurately or untruthfully, skewing results away from the true population sentiment.

The percentage of people who complete a survey out of the total number who were invited to participate.

The percentage of customers who continue using your product or service over a given time period.

The percentage of recurring revenue lost from existing customers due to cancellations and downgrades during a given period.

A systematic process for identifying the underlying reasons behind a customer experience problem rather than just addressing its symptoms.

A systematic error that occurs when the group of customers surveyed is not representative of the entire customer population.

The use of natural language processing to automatically determine whether a piece of customer feedback expresses positive, negative, or neutral sentiment.

The process of identifying and resolving a customer’s negative experience to restore satisfaction and prevent churn.

The practice of crafting survey questions, structure, and flow to maximize response quality, minimize bias, and generate actionable insights.

The phenomenon where customers become tired of receiving surveys, leading to declining response rates, lower data quality, and negative sentiment.

The broad discipline of extracting meaningful insights from unstructured text data, including sentiment, themes, intent, and urgency.

The automated process of identifying recurring topics and themes across large volumes of customer feedback text.

The systematic evaluation of every point of interaction between a customer and your company to identify strengths, weaknesses, and improvement opportunities.

A survey triggered by a specific customer interaction or event, such as a purchase, support ticket resolution, or onboarding completion.

The practice of examining customer experience metrics over time to identify patterns, shifts, and trajectories that inform strategic decisions.

The process of reviewing and analyzing customers’ exact words from open-ended survey responses and other text-based feedback.

A research methodology that captures customers’ expectations, preferences, and aversions through direct and indirect feedback channels.

A targeted effort to re-engage customers who have churned or become inactive, using personalized outreach and incentives to bring them back.