Ryanair seeing ROI from customer experience
The old adage "You get what you pay for", seemed to have always corresponded well with Ryanair's low prices and lack of frills. But realizing that the approach was not fully working, O'Leary announced in March that it was time for a change. The company's CEO announced that the "Always getting better" plan would help get things back on track and fix what customers don't like.
With a Net Promoter Score of -60,59 earlier this year, there was a lot of room for improvement. So Ryanair went to work and, after listening to customers, scrapped a lot of unpopular policies by, for example, allowing more carry-on baggage. Now, nine months into the program, Ryanair predicts a 8% rise in profits and also says that complaints are down 40%.
From a competitive standpoint, things are looking bright as well: In November both Ryanair and rival Easyjet reported a traffic growth. Yet, Ryanair's November figures proved to be more impressive compared to Easyjet with a 22% rise in the number of passengers vs. 3,1%.
We remain curious to see what this did to their NPS Score. But it seems that O'Leary was right when he said that the new strategy is "working like a dream".
Starbucks is gunning for Apple and they have already started
For a company that years ago couldn’t spell your name correctly to save themselves and coffee that left connoisseurs reeling, Starbucks is beginning to leave those days behind. Although for the time being they will still probably spell your name wrong.
Posting an NPS score of 23 this time last year, it only fuelled their desire to improve the experience of their customers. Steaming towards this goal, they launched last week their first interactive Starbucks Roastery and Tasting Room. Creating a new immersive brand experience that will allow them to expand the availability of their premium small batch roasting to about 1,500 stores globally.
While in other ventures Starbucks is focusing on mobile orders and payments to improve speed of service and streamline store operations, so that customers will feel more satisfied with their experience.
Read more about the raft of changes Starbucks has envisioned to launch their NPS score above and beyond that holiest of scores, 50+, to stand alongside the likes of Apple and Amazon.
Meanwhile in the Southern Hemisphere
New Zealand’s 2014 Fitness Industry Awards decided to add a twist to this year’s competition by asking those who made it through to the second round to send out NPS surveys to their club members. A clear recognition of the importance NPS and customer experience is gaining across all kinds of industries.
- The UK division of the Spar supermarket chain has seen a rise in its NPS score from 42.5 to 57.
- While the software company C2FO, has posted an NPS score of 61.
- Bonmarché’s Net Promoter Score has gone up from 47 as of last year to 50 at the end of the first half.