If you work in customer service or sales, you’ve probably heard the term handle time thrown around.
But what does it imply in practical terms, and why does it matter so much?
On the note, regardless of whether you're managing a call center or just trying to improve your team’s performance, understanding handling time meaning and how to optimize it can make a huge difference in productivity and customer satisfaction.
Let’s break it all down—what handle time is, how to calculate it, and most importantly, how to reduce it without sacrificing service quality.
What Is Handle Time?
Handle time (often called Average Handle Time or AHT) is the total amount of time a customer service rep spends on a single interaction from start to finish. This includes:
- The time spent talking to the customer
- Any hold time while the rep checks information
- After-call work (like updating records or logging notes)
In simple terms, it’s how long it takes to fully resolve a customer’s issue. Some industries, like tech support or billing departments, naturally have longer handle times because problems can be complex. Others, like retail or sales follow-ups, aim for shorter interactions.
The key is finding the right balance—too long, and efficiency drops; too short, and customers might feel rushed.
Why Handle Time Matters in Customer Service
Handle time isn’t just a random metric—it directly impacts both customer experience and business costs. Here’s why companies track it closely:
1. Efficiency & Productivity
Shorter handle times mean reps can assist more customers in the same amount of time. If one call takes 10 minutes instead of 15, that extra 5 minutes adds up over dozens or hundreds of calls per day.
2. Customer Satisfaction
While speed is important, customers also want their issues resolved completely. If handle times are too short because reps are cutting corners, satisfaction drops. The goal is to solve problems quickly and effectively.
3. Cost Control
Longer calls mean higher labor costs. If a call center can reduce average handle time by even a minute, the savings across hundreds of agents can be significant.
4. Performance Benchmarking
Tracking handle time helps identify top performers and those who may need extra training. It also helps set realistic expectations for service levels.
How to Calculate AHT (Average Handle Time)
The formula for how to calculate AHT is straightforward:
AHT = (Total Talk Time + Total Hold Time + Total After-Call Work) ÷ Total Number of Calls
For example:
- If a rep spends 300 minutes on talk time, 50 minutes on hold time, and 100 minutes on after-call work over 100 calls, their AHT would be:
(300 + 50 + 100) ÷ 100 = 4.5 minutes per call
Most call center software (like Trellus, Genesys, or Zendesk) automatically tracks these numbers, so managers don’t have to crunch them manually.
What’s a Good Handle Time?
There’s no universal “perfect” handle time—it varies by industry and type of support.
- Tech Support: 6-10 minutes (complex issues take longer)
- Retail & E-commerce: 3-5 minutes (quicker transactions)
- Healthcare & Insurance: 7-12 minutes (detailed customer info needed)
- Sales Calls: 5-8 minutes (depends on pitch length)
The best way to determine your ideal AHT is to analyze your top performers and set benchmarks based on their numbers.
Common Reasons for High Handle Time (And How to Fix Them)
If your team’s handle time is creeping up, these could be the culprits:
1. Lack of Training
Reps who aren’t fully trained take longer to resolve issues. Regular coaching and knowledge base access can speed them up.
2. Outdated or Slow Systems
If CRM software lags or reps have to switch between multiple tools, calls drag on. Investing in faster, integrated systems can cut seconds (or minutes) per call.
3. Overly Complex Processes
Requiring too many steps for simple requests (like refunds or password resets) slows everything down. Streamlining workflows helps.
4. Unnecessary Hold Time
If reps constantly put customers on hold to check information, pre-call prep or better scripting can reduce delays.
5. Reps Not Following Best Practices
Some agents talk too much or don’t guide conversations efficiently. Call monitoring and feedback can help refine their approach.
Smart Action Plan for AHT Reduction
If you want to lower handle time without hurting customer satisfaction, a smart action plan for AHT should include these steps:
1. Analyze Call Data
Look for patterns—are certain types of calls taking longer? Are some reps consistently faster? Use this data to identify training opportunities.
2. Improve Knowledge Management
A well-organized internal wiki or FAQ database helps reps find answers faster instead of searching or transferring calls.
3. Optimize Call Scripts
Scripts should guide reps to resolve issues efficiently without sounding robotic. Role-playing exercises can help agents practice smoother conversations.
4. Use Call Deflection Where Possible
Simple issues (like balance checks or order status) can often be handled through chatbots or self-service portals, reducing call volume.
5. Set Realistic Targets
Instead of demanding drastic AHT cuts overnight, set incremental goals. For example, aim for a 10-second reduction per month.
6. Reward Efficiency (Without Sacrificing Quality)
Incentivize reps who maintain low handle times and high customer satisfaction scores—not just those who rush calls.
The Balance Between Speed and Quality
While reducing handle time is important, it shouldn’t come at the cost of customer experience. A rep who hangs up too quickly to hit AHT targets might leave the customer frustrated, leading to repeat calls—which actually increases workload.
The best approach is to focus on first-call resolution (solving the problem in one interaction) rather than just speed. Happy customers mean fewer repeat calls, which naturally improves efficiency.
Handle Time as a Performance Tool
Handle time isn’t just a number—it’s a reflection of how well your team manages customer interactions. By tracking it, analyzing trends, and making small adjustments, you can improve both efficiency and satisfaction.
The key is to avoid seeing AHT as just a "speed metric." Instead, use it as part of a bigger picture that includes quality, training, and smart process improvements. When done right, optimizing handle time leads to smoother operations, happier customers, and a more productive team.
If you haven’t been paying attention to your team’s AHT, now might be the perfect time to start.