Over communication – It is estimated that customers are exposed to between 800 to 2000 advertising messages per day.
Traditional media dilution – Due to the advent of cable TV, MP3 players and the web.
Increased choices and competition – Look at the number of fashion outlets, types of milk and mobile phones that are available now in comparison to the past.
Customers now have unprecedented access to information - with a few clicks they can look at how hundreds of other customers rate your product, or get independent reviews on products and services.
In this environment merely satisfying customers is not enough, as you have only met customer expectations not exceeded them. However, for many organisations customer satisfaction is still a key goal.
Net Promoter Score ® Description
To guarantee success you need to move beyond merely 'satisfying' customers to creating promoters for your Brand. To achieve this many organisations are embracing the Net Promoter Score® developed by Fred Reichheld.
Customers are asked the question How likely are you to recommend us to a friend or colleague? Based on their response they are categorised into three groups.
The percentage of Promoters less Detractors gives you your Net Promoter Score®.
Iconic organisations such as GE, Intuit, Microsoft, ebay, American Express, Charles Schwab, Apple, Logitech, The Wall Street Journal and the Harvard Business Review are some of the many organisations that use this unique metric.
This is what business leaders say about the Net Promoter Score:
“Net Promoter Score is the best customer metric I have ever seen” - Jeff Immelt, CEO General Electric1
"All companies should ask customers what (Bain) calls the Ultimate question" -Ken Chenault, CEO American Express*
"The only way to grow a business is to get customers to come back for more and tell their friends" - Andy Taylor, CEO Enterprise Rent-A-Car*
“So what’s driving growth? We measure the customers experience using a system called Net Promoter. The higher the score, the more customers are delighted with the product and service experience and would recommend it to a friend…It’s all about Net Promoter”. Steve Bennett [2005], President and Chief Executive Officer Intuit**
The reason for its popularity is that it is easy to understand and has a strong correlation to growth.
We believe this is a great measure and makes intuitive sense however the Net Promoter Score® is an end business outcome. The key issue is what do you need to do to achieve a high Net Promoter Score ®? Our Solution
So how do we help our clients retain and acquire new customers in this environment? Hhow do we convert your customers into promoters for your brands? More importantly how do we help you grow?
In our experience if you want to foster an environment that increases the number of customers that promote you to others you must have absolute clarity and alignment with the following elements outlined in our proprietary Total Engagement Model below.
We work with you to develop:
Customer Value Propositions that are unique and increase customer consideration, loyalty and repurchase rates
Brands which truly stand out and have a strong connection to your target market
Strong Internal Cultures that break down internal silos resulting in engaged staff that work together to achieve a unifying customer goal
Customer Experiences that are worthy of recommendation not just satisfaction
Customer Research & Metrics that strongly link to key business outcomes & provide clear direction on how to improve business performance
Critically we ensure that your customer value proposition, brand advertising, internal culture and customer experience are strongly aligned.
The end resultis engaging advertising, engaged staff and engaged customers.
Worldwide research strongly confirms the importance and links between Customer Value Propositions, Brand, Culture & Customer Experience:
Organisations with a clear understandable shared vision and values are five times more likely to achieve long term growth and success (Volvo, Nordstrom, Sears etc)
Source TARP International 1999 UK Benchmark Study.
70% of customer brand perception is determined by experiences with people.
Source Ken Irons Market Leader, Winter 1998.
UK Retailer: 1% increase in employee commitment equates to a 9% increase in
monthly sales
Source: enterprise IG case history for CLF UK, 8 July 2004.
Finally a study in the UK that brings brand, culture and shareholder returns together.
In a study that looked at 5 year returns to shareholders, if the S and P Index = 100, companies with high brand ratings from consumers scored = 160 and companies with high brand ratings from BOTH consumers and employees = 320. Source: The Vivaldi Brand Leadership Study 2002
