Understanding net promoter journey
By Seshachari, December 14, 2017
A report by Deloitte & Touche found that businesses with a customer-centric strategy were up to 60% more profitable than companies without a focus on their customers.
Businesses interact with their customers through OMNI –channels, so listening, understanding and developing a clear view of the customer journey is not easy. Creating true customer centricity takes time, and therefore companies must have to craft a strategy to effectively engage their customers, manage responses, learn from the feedback and act with the right changes to improve customers’ experience, company’s revenues and the Net promoter score.
Moment-of-truth specialists must glean insights about their customer journey experience, and put the governance, processes and technology in place, in order to effectively monitor, measure, and report on those experiences. The company must use root-cause analysis to re-engineer processes and drive change across the board; ultimately, helping to create a customer-centric culture that fosters strong customer experiences, royalty, and drives change to continuously improve Net promoter score.Assess your organization by asking these 5 key questions about where your organization is on its Net Promoter journey.
1. Is your Leadership committed to drive change?
Leaders should inspire employees and partners to be fully engaged in the pursuit of a common vision. Leaders set out a clear roadmap for future state organization readiness, establishing process of working together to achieve this.
Leaders must make sure that everyone can focus on their task and are fully engaged; they should rally around and motivate team members to bring their best in getting done the expected outcome. In order to stay ahead of the competition, leaders must commit to process improvements, innovation programs and fund risk and reward plans, so that team members are aligned and fully engaged with the Organization Future State. Leaders must develop and implement processes that are reusable, scalable and quantifiable so that goals and objectives are tracked and measured to the best – Employee-Driven Net Promoter Score (NPS), linking customer experience and satisfaction.
2. Do we have an effective NPS governance structure?
Companies needs to adopt a good NPS Governance Strategy to make sure that every customer voice is listened to, understood, actionable, and followed up, endorsing customer-centricity, and achieving higher revenue growth success. Senior management teams must effectively communicate the value of Net Promoter with employees and get them aligned with the program, motivating them to take correct customer service actions to improve customer loyalty. Setting up an NPS program governance structure must allow employees to know their roles and responsibilities, accountability, strategic focus, appropriate sponsorship, financial and non-financial impacts. NPS Governance Strategy make it all come together – business goal alignment, fully engaged employees, continuous employee learning around customer experience improvement, and more productive relationships with customers.
3. Understanding customer life-time value economics
Revenue Weighted NPS – Companies must know the future lifetime value of each customer, which customers are repeat, how often they will come back, and how much they will spend. It becomes pivotal to calculate the forward-looking lifetime value of every customer. Given the customer install base,
high-end customers are so much more valuable than low-end customers that there is almost no comparison. The variance of that customer value distribution is much wider than most marketers realize. After sensing the value distribution of customer install base, companies must classify customers into more specific micro-segments to build new campaigns aimed at growing their CLV and keeping retention levels high.
4. Are we fully listening to the customer throughout the Customer Journey Life cycle?
Customers have embarked on a Journey with the company; strategic focus of the company will pay off in the form of longer lasting customer relationships, better retention and referral rates, and ultimately, more profitable growth. In order to lay down the path for longer lasting, profitable relationships with customers, every company has to time-to-time evaluate how well their customers’ customer journey are managed across Omni-channel touch points, by listening and understanding. Connecting the listening strategy to customer journey will help take corrective measures and gain actionable insights along the way. In order to promote customer-centricity and achieve success, companies need to implement processes that drives action, and follow-up on customer feedback at all employee levels.
5. Is there a technology put in place for an operational program?
Technology as an enabler – Many cloud-based technology business solutions are available and can be used to run various business processes, including customer engagement & experience, and customer service score metrics. Without such metrics, businesses usually end up doing a lot of guesswork, which often results in poor results. Using these technologies, companies can draw information together to paint a ‘big picture’ overview of the company to help solve problems, build success, and guide future development. Also, companies have to identify the buying behaviors that drive purchasing decisions and brand loyalty. These data insights help the company form strategic decisions, fuel revenue growth, customer acquisition, retainment, loyalty, and marketing & advertising strategies – Emotions come first, revenue follows.