1 drive satisfaction to advocacy fred hollowood nps driving advocacy in the enterprise

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Drive Satisfaction to Advocacy

Fred Hollowood

NPS Driving advocacy in the enterprise

Competitive Positioning

Pricing

Products and services

Customer Experience

Access to products and service

Customer Service

NPS Driving advocacy in the enterprise 2

Satisfaction


Measuring Satisfaction is a start

Look for loyalty

Dilbert, Copyright ©United Features, Inc.

Improving Customer Loyalty

Increased customer retention

Lengthened customer retention

More products per customer

More customers

Cost of servicing may drop

Customer referrals

Loyal customers are less price sensitive


How to measure Loyalty and Advocacy?

Listening to customers is important

So is asking the right question

What is the business E=mc2 question?


www.theultimatequestion.com

Dilbert, Copyright ©United Features, Inc.

Play the NPS Customer Game

Your favourite bar

Your favourite drink (just poured)

Ultimate Question

“How likely are you to recommend your pub to a friend or colleague?” Score 0 – 10


Net Promoter Score


PromotersDetractors

Reduce the Detractors:• Fix the broken parts

• Call downs

Reduce the Detractors:• Fix the broken parts

• Call downs

Customer First : Branded Experience

Promoters

Detractors

• Create more Promoters • Deliver a differentiated and

consistent brand experience

• Create more Promoters • Deliver a differentiated and

consistent brand experience

Three Customer Clusters

Promoters – Those customers who have the highest rates of repurchase and referral, and will be advocates for your business

Satisfied – Passively satisfied customers stay with a particular company more due to inertia than true loyalty

They would move for a better deal

Detractors – Those customers (or employees!) who spread negative word-of-mouth comments about the company

Negatively impacts company’s reputation, ability to attract new customers and employee morale

NPS = % of Promoters - % of Detractors


9 and 10 0 to 6

What is the norm out there?

The average Net Promoter Score across over 400 companies in 28 industries is just 16%

Top performers out there have an NPS of 75-80%

Harley Davidson 81%

Amazon 73%

Apple 66%


Source: Bain, the Ultimate Question

On to Loyalty and Advocacy

Know what matters to your customers

Know how you stack up on these measures

Do something to fix them

Possible measures


Drivers of satisfaction Perceived value

Service level satisfaction Competitiveness of fees

Product level satisfaction How well you listen

Importance vs satisfaction The “closeness” of your relationship

Likelihood to recommend Likelihood to transact

Likelihood to extend the relationship Relationship strength

NPS Case Study in Symantec

Not only have they achieved over 50% increase in their Net Promoter Score (NPS)……but they have seen improvements in areas such as support satisfaction, support costs, and call efficiency.

Taking action on feedbackReduce install failure rates from 11% to 0.3%

Improve installation performance 500% to achieve 43s

Improve performance and reduce memory usage from 80Mb to 4Mb

Common metric creates collaboration between departments to improve customer experience and increase loyalty

30% reduction in support costs

10-12% reduction in call times


Source: Satmetrix Symantec Case Study.

Thank you!

Copyright © 2010 FRED Hollowood CONSULTING . All rights reserved.

This document is provided for informational purposes only and is not intended as advertising. All warranties relating to the information in this document, either express or implied, are disclaimed to the maximum extent allowed by law. The information in this document is subject to change without notice.


Fred [email protected]

1 drive satisfaction to advocacy fred hollowood nps driving advocacy in the enterprise

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