Net Promoter Score and Customer Experience
Over the last decade Net Promoter Score, NPS ©, has become the measurement of choice for Corporates who aspire to delivering the best customer experience . It provides a simple way of measuring customer satisfaction, and challenges the business to focus on the importance of the customer. Implementation of NPS is a declaration that doing just enough is no longer good enough.
How does Net Promoter Score measurement work?
NPS uses an 11-point Likert measurement scale to record the response of the customers when they are asked a simple question; on a scale of 0 to 10 with 10 being extremely likely, how likely are you to recommend our company’s products or services?
But, NPS is more than just a score. It forces organisations to listen to their customers by asking them, why have you given us this score?
To understand how NPS works, only the customers that have given the top two scores are considered as promoters while the ones that have given the seven lowest scores are classified as detractors. Subtracting the percentage of the detractors from the percentage of the promoters gives you your overall score. This method of calculation gives a negative score to any company that provides an ‘ average’ experience.
This is why we say NPS is suitable for companies that are committed to put their customers at the centre of everything that they do.
Somewhere on the customer journey, a promise has been broken
All interactions with customers are circular; they start with customers and end with them. It is your customers that decide whether they are delighted with your products and services not your KPIs and SLAs.
We work with a hypothesis that interactions with customers have three primary reasons.
- The customer has a concern or an issue that needs to be addressed.
- The service provider have new services or products that they believe could add value to their customers.
- The service provider need something from the customer to enable them to fulfil their promises.
These interactions have one thing in common, in all cases new commitments are being made. To delight the customers, service providers need to listen to their customers, make promises that matter to them, and have processes in place to reliably fulfil those promises. These are the building blocks of achieving mutually beneficial customer relationships.
We see processes as networks of promises people in organisations make to each other to satisfy customers. This lens enables us to generate nuances and insights which always bring measurable value.
Our engagements start by us listening to your customers, the supporting network of promises (promise makers and takers), and the strategy setters. This allows us to identify the most common and costly breakdowns together with their root causes.
Our solutions always focus on improving value to and from our clients’ customers, and uses NPS as one of the early indicators in the journey to improve business performance.
- A solution capitalising on all our expertise
- Understanding the root cause of poor experiences
- Our customer centric lens to a structured improvement programme
- Grounded forecast results prior to investment in a large scale implementation
- Co-invention and joint ownership while committing to deliver business results
- Repeatable and sustainable change through skill development
We demonstrate where you need to take action to improve customer interactions in three weeks. Typically, we start by applying our diagnosis phase into one functional area. This will demonstrate the main challenges our clients face in improving their NP scores as well as the insights and value which we can bring.
Contact Pathfinder net promoter score consultants today. Please contact us at our Ireland and Scotland office to find out more.