Net Promoter Score tools, training and implementation support - by Quality Solutions Inc

Net Promoter Score

Customer Loyalty Surveys
Using the Net Promoter ScoreTM

Net Promoter® is a process which utilizes a metric to access customer loyalty. More importantly it is a discipline for using customer feedback which engages everyone to attain higher levels of customer loyalty and profitable business growth. Quality Solutions has always been committed to applying leading edge methods to assess customer satisfaction and customer loyalty. A number of years ago we began to incorporate the Net Promoter Score process into our research tools.  Our use of NPS® came after serious benchmarking of best practices from a variety of industries. Our use of the Net Promoter Score is based on the knowledge that companies with higher a NPS will be more profitable than those with lower scores.  

net-promoterWhen you select Quality Solutions to assist you in your Net Promoter Score process you will have the assurance of knowing you are working with a Certified Net Promoter Associate. Quality Solutions, Inc. is a Net Promoter Loyalty Partner giving us access to a wide range of NPS benchmarking support, research capabilities, and systems support.  

Loyal customers drive profitable growth within organizations. Generally when companies want to get feedback from their customers many enter into the process thinking they will find out how happy people are with their products and services. For smart companies that only represents part of the reason for the research. Organizations such as American Express, Apple, and Southwest Airlines know that loyal customers increase their bottom line and profitability.  

Loyal customers are significantly more valuable to your company since they will typically repurchase more often, and represent up-sell and cross-sell opportunities. They will also refer your company to others who may benefit from your products and services and lastly they are much more likely to give you constructive feedback since they know both parties will benefit from the improvements. The Net Promoter Score provides your company with a common metric to examine your company’s performance through the eyes of the customer.

If only given the opportunity to ask one question in a survey, what question would best correlate to customer loyalty and revenue growth? Research shows that by knowing “how likely people would recommend” has a stronger correlation than overall satisfaction or intentions to repurchase in terms of predicting future behavior.  The Net Promoter question asks customers: “How likely would you be to recommend this company to a friend or colleague?” Respondents are asked to respond using a 0 to 10 scale where 5 is neutral. Individual scores allow you to categorize respondents into one of three categories, Promoters, Passives and Detractors.    Scores of 9 or 10 are representative of Promoters. These are your loyal customers who will use your products and services over that of your competitor. They are delighted and they will tell others about the positive experiences they have enjoyed with your company’s products, services, and support. Passive customers are indifferent and the 7 or 8 score represents their indifference and passive view of their customer experience. Detractors may display their emotions like the Promoters, unfortunately the lower the score they give from 0 to 6 the more horror stories they are prepared to pass along to anyone who is willing to listen. Detractors are not simply dissatisfied customers; they can represent a real threat to your future growth.

scale-revised

A company’s NPS is based on the percentage of customers or Promoters giving a score of 9 or 10 on a zero to ten point scale, minus the percentage of customers or Detractors who gave the company a score of 6 or less.   

The Net Promoter Score is much more than a scale or a single metric. It represents a rigorous process which engages the entire organization around one principle “to provide an excellent customer experience”. It also represents a management discipline which drives increased profitability through enhanced customer loyalty. NPS is also a corporate Key Performance Indicator serving as a predictor of sales growth and profitability. It can also serve as a process level KPI when used to assess customer experience along various customer touch points.

The Net Promoter Score process relies on the fundamental understanding that companies are not interested in simply satisfying customers. Satisfied customers or passive customers will easily go elsewhere for a cheaper price or convenience. Promoters on the other hand are committed to the relationship they have with your company. They will go out of their way to use your products, go to your restaurant, use your service, and most importantly sing your praises to others.

one-col-divider

Learn More About:


Net Promoter, Net Promoter Score, and NPS are trademarks of Satmetrix Systems, Inc., Bain & Company, Inc., and Fred Reichheld.