Home Depot's CEO Frank Blake gives NPS® shout-out on on the Q2 earnster: "Net promoter score has improved approximately 1,000 basis points year over year and is now at 62.7%. It’s particularly significant for us that our scores went up in the second quarter versus the first quarter since frequently there can be a deterioration of performance as foot traffic increases". Source: SeekingAlpha
Secrets of Sony from NPS "Walked-Man"... From an Exec on Net Promoter® in CE industry - Dan Wiersma, just-retired Senior Vice President for Consumer Service at Sony Electronics talked NPS -"My Proudest Moment".
Wiersma detailed how they used Net Promoter methodology and loyalty scores improved in every sector of the organization from 2006. "Not only for service, but for all of the consumer business in the organization, and people around the world in other regions and corporate areas started paying attention to the methodology and started adopting it."
He added how NPS had helped Sony: "I think we proved it, at least in one product area within the company made significant progress by using our data as well as some of their own to really focus on some of the customers and solve some real customer issues at the sales, marketing, out of the box, service experience level. It definitely panned out. I think companies may go wrong as not thinking of service as a significant part of the data repository for customer information and use it to help them improve their business."
(Ed: Small note of personal pride here - Adam Dorrell implemented Net Promoter Score in Sony Style division in March 2004 - predating Wiersma by two years). Article source: Customers 1st
Update: Sony have today announced a new logo "make dot believe" - I kid you not. What were those marketing guys smoking? Sell any remaining shares now... More here
Retailers: understand loyalty metrics or go broke! In a Viz! Top-Tips type article, SC Magazine shows connection between security and loyalty and urges Retailers to look at loyalty metrics to understand failings in security and customer perception. But some interesting stats from a previously reported YouGov Net Promoter Score paneller which discovered customer loss could cost brands in banking, insurance, gaming, retail and mobile a total of over £3.3 billion.
Average NPS for UK top retail brands was +25. However, when brands don't show their security credentials, the score dips to -52. Furthermore, if a brand tries to levy a £10 charge for additional online security, the score plummets to -62.
Kudos for Verisign for scoring PR points by making an NPS and security link. Source: SC Magazine
That's when good Neighbours become good friends... The Aussie Banks are in NPS News again - it seems a month can't go by with out some new competing Net Promoter Survey for Australian banks (European and US banks: take note, it'll be your turn soon). This time, "Bank Retail Customers Happier than Business [customers]" spouts The Sheet reporting on latest Nielsen nums. Net Promoter numbers dem how that consumers love current low rates, but business clients can't get overdrafts. Hard to get the real NPS numbers as they mention Customer Sat but they look similar to NPS from earlier this year. Poor Adelaide Bank is now bumping along the bottom of the table... Source: The Sheet
Net Promoter News Snippets…
Sweet Score Alabama: In the Orange Beach, AL area on 8-10 Oct? Check out the NAFA Fleet Management's 4th Annual Southern Regional Conference, where Net Promoter – Matthew Betz, Veep Sales for AmeriFleet Transportation will tell-all on setting up Net Promoter Score to determine how many customers would recommend service to a peer. Source: Announcement
NPS one of Top Ten Business Best Practices. Shaun Smith, smith+co puts Net Promoter at number nine in laundry list of ten sensible ideas to grow customer value. Money quote "...what is important is to reward the KPIs that you want to move.". Source: CustomerThink
FMCG guy: Is Loyalty Dead? Mike Linton, formerly of sudser P+G says customers are less loyal... rounds up nice op-ed with push on NPS. Source Forbes.com
Editorial: NPS Twilight Zone:
Ahhh Ambassador, you spoil us with your score... Education travel company People to People Ambassador Programs anounced NPS of 60.8 in self-puffer here. Mid-west leasing minnow Capital Systems report 63 in their self-puffer here. But is that a Net Promoter Score?
We have covered this before - I'm calling this the NPS Twilight Zone. PR bunnies are still reporting numbers with no context - NPS scores which are meaningless and allow an easy target for the NPS flat-earthers who want to criticise Net Promoter. We'll cover this more in a future post, and give some guidance to reporting Net Promoter. In the meantime, please don't promote an NPS score unless you state at least how many people answered, when you took it and what you asked them. Hiding it in the unsexy small print is fine, but please, include the details!