Ameriprise's LinkedIn surprise
Wealth management is an industry built on referrals, so it should comes as no surprise that financial planner Ameriprise stressed the importance of nurturing referrals for its bottom line at its Q3 earnings call.
Since many businesses in the industry say similar things, we did a quick search for “Ameriprise referrals” to test how the company may (or may not) be innovating in its approach to attracting potential leads, and in the process, uncovered at least one interesting initiative.
Based on the referral principal that people trust the word of their friends and colleagues, on the AmeriPrise site visitors can search for financial advisors by location and name (naturally), but also through mutual LinkedIn connections. At first glance, this may seem a rather cosmetic innovation - something the company does to 'prove' they understand social, but with over 16,000 employees on LinkedIn, the AmeriPrise LinkedIn social graph undoubtedly has some considerable referring power. I decided to give it a test run myself, and despite never having lived in the US and having very few connections in financial services, the search result showed up one second degree connection through a former colleague - complete with contact details, location, and link to the advisor's site and LinkedIn profile.
While this is an anecdotal example, what is really interesting is how the overall approach to growing the business through referrals has has paid off. Without going too much into the stats, it has translated into solid growth in client assets, which has in turn driven a significant growth in mass affluent and affluent client segments. This is reflected in client retention and satisfaction above 90%, and an NPS of +62.
In related news, the business beat market estimates and raised dividends in its Q3 earnings. We'd love to see some results of its LinkedIn activity, but at the moment this case study is as close as we could find. Seeking Alpha
DHL delivers express growth with Net Promoter
In a discussion about DHL in the UAE, country manager Frank-Uwe Ungerer talked about how the company implemented Net Promoter two years ago, and that DHL reached double-digit growth in the market in 2011.
In terms of the company’s approach to Net Promoter, each employee has ownership of their own score (though somewhat confusingly Net Promoter is referred to as “NPA”). This drives an atmosphere in which staff members have a personal commitment to improving customer satisfaction. Arabian Supply Chain
Survey boffin has no love for “Friends and Family”
The Net Promoter-based “Friends and Family” test has proven controversial since its inception to measure customer advocacy among UK National Health Service (NHS) patients, but unlike much of the professional punditocracy, the latest person to sink the boot in knows what he is talking about. Peter Lynn, professor of survey methodology at the University of Essex, told the HSJ that “Such a low response rate (due to some trusts receiving responses from only 15% of patients) would seriously call into question whether the results have any meaning at all.” HSJ (paywall with free trial)
Telmore taps staff empowerment for increased NPS
Danish virtual mobile operator Telmore has announced lower than average churn rates and a higher NPS. It puts the reason for this squarely on its focus on the customer experience, including nurturing an environment in which (hold your breath) staff are actively encouraged to sell the right plan, rather than the more expensive plan (and release). Sounds like a case of statin' the bleedin' obvious, but apparently not obvious enough for many telcos. 1to1 Media
- Home Depot has announced its NPS for both Pro and consumer sections are now consistently over +70. Seeking Alpha
- Vodafone has claimed its NPS still leads the market in India, and that its service revenue growth was up 11%. Seeking Alpha
- ValueVision Media announced and 11-point increase in its NPS between last year and this year, from +36 to +47. Seeking Alpha
- Boston-based unified communications provider DataMart has announced an NPS of +94. PR Web
Head of Audit Methodology Excellence, Philips, Amsterdam, the Netherlands
Net Promoter Score / Quantitative Research Manager, Bristol, the UK
Associate Net Promoter Score Specialist, Jacksonville, Florida