Understanding Containment Rate in Customer Service
Written by
Veena Nair, CEO
Post date
17 July 2024
Containment rate, in the realm of customer service, refers to the percentage of customer inquiries that are resolved by automated systems or self-service tools without the need for human intervention. Essentially, it measures the effectiveness of your automated support solutions, such as chatbots, IVR (Interactive Voice Response) systems, and online knowledge bases.
For example, if your customer service system handled 10,000 inquiries in a month and 7,000 of those were resolved by automated means, your containment rate would be 70%.
However, you can easily build a 100% containment rate by simply building a wall and never letting customers talk to a human. But we all know what is really the frustration rate for customers.
I need to talk to a human agent.
CustomerOver-reliance on automation can lead to customer frustration if complex issues are not appropriately escalated to human agents. Ensuring a seamless transition from automated systems to human support when needed is crucial for maintaining customer satisfaction.
You only know whether it worked, when you actually reach each conversation and can determine if the containment came at the expense of better resolution. A resolution rate is truly what we are all after and the truth is that sometimes it can come at the expense of the containment rate.
Resolution rate matters
The resolution rate measures the percentage of customer inquiries that are fully resolved, whether by automated systems or human agents. Balancing these metrics is crucial to ensure both efficiency and effectiveness in customer service. Classic examples are:
- Complex Queries
- When the automated systems can't catch
- Language barriers
- Poor triage
Turns out LLMs are really good at reading each scripts and understanding whether the issue was resolved and if it was resolved at the expense of human comfort. And looking at both metrics side by side can reveal the full picture more effectively.