Using NPS to Create a
Customer-Centric Company

Transforming your organization through NPS using the Customer Centricity Model

Building meaningful and lasting customer relationships is key to a brand's long-term growth, but how do you know if your company is succeeding on this front?  Companies that measure their Net Promoter Score (NPS) have the benefit of receiving valuable feedback about the current state of their customer relationships; in addition, the insights provided by NPS can act as a compass of sorts, helping management identify ways to deliver better customer experiences.  It's not always easy to make these improvements happen - you need to ensure that your employees are ready to embrace change.  In this article, we'll look at a few strategies that can help you transform your organization into a more customer-centric company using the power of NPS:

In 2013, 62% of global consumers switched service providers due to poor customer service experiences, up 4% from the previous year.

- Accenture Global Consumer Pulse Survey

It is 6-7 times more costly to attract a new customer than it is to retain an existing customer.

- White House Office of Consumer Affairs

  • Provide training: It's important to be clear about your new objectives with employees and spell out expectations. Your training is likely to focus on your company's values and how those values are reflected in each employee's role.  With the right training, you can reinforce the customer-centric mindset with your employees and help them learn new ways to interact with customers.

  • Offer coaching:  While customer feedback certainly helps employees figure out what works and what does not, it may take quite a bit of trial and error for employees to learn this way.  You can speed up the process considerably by observing your employees and coaching them.  Select a few of your most effective team leaders - the ones who have a real talent for interacting with customers and resolving problems.  This group can observe other team members and offer constructive feedback.

  • Share NPS data company-wide:   Don't keep NPS insights to yourself - if you're on a regular NPS survey schedule, share the data with your teams on a monthly, or even weekly, basis.  It's helpful for teams to track any trends in your Net Promoter Score over time; in addition, employees can learn quite a bit from the customer feedback you receive in your NPS surveys.  The words that customers use to describe your product's benefits can be some of the best words for sales and marketing to use when interacting with potential customers.

  • Reward progress:  Be sure to use positive reinforcement to recognize employees who adopt new behaviors and get good results.  Rewards don't always have to take the form of compensation - some of the most effective rewards involve praise and recognition.  TD Bank is one company that has improved their customer experience using NPS and makes sure that employees are recognized for their efforts.  The company regularly acknowledges employees that "wow" customers with certificates they can hang on their wall, and they surprise employees who are eligible for regional awards with a visit from the TD Bank "Wow the Customer!" van.[1] Managers also read testimonials from NPS promoters during team huddles and discuss the employee behaviors that led to such glowing praise.

  • Look for the right skills when hiring:   During the hiring process, it's normal to lean towards candidates with a better set of technical skills.  However, customer-centric companies know that it's more important to screen potential employees for the right interpersonal skills and attitudes toward customer care.  When American Express adopted the Net Promoter System, they analyzed the performance of their call-center employees.  They found that their most successful employees weren't necessarily the ones with the best "hard" skills; personality and a willingness to listen went much further.  This insight led the company to retool the hiring process for their call center, favoring candidates with backgrounds in hospitality and other service-related fields.[2]

89% of consumers have stopped doing business with a company after experiencing poor customer service.

- RightNow Customer Experience Impact Report

It takes 12 positive customer experiences to make up for one negative experience.

- Parature

Making the transition to a more customer-centric company culture takes time, but NPS insights can help guide your efforts.  There's a lot of truth to the old saying "What gets measured, gets done".  A regular NPS survey schedule will provide you with a steady stream of valuable data that you can use to make informed business decisions.  When you know what your customers really think, you're one step closer to delighting them and building your Customer Centricity Model.