Hacking the declining loyalty trend

It’s hardly news that consumer behaviour in general is becoming more fragmented and brand loyalty is declining. This makes your ability to convert unsatisfied customers into satisfied and loyal customers more important than ever.

Research has shown that 86% of consumers will pay more for a better customer experience and that 89% of consumers have purchased a product from a competitor following a poor customer experience. In other words, companies that succeed in getting and retaining satisfied and loyal customers are the winners. A satisfied customer is more likely to do business with you again and even more importantly; a satisfied customer is more likely to recommend your business and your products to others and bring in new business.

How to get started?

UserReport is a free website tool, and you can get a website up and running in no time.

Once you have activated UserReport and Net Promoter Score®, your users will be asked a simple but crucial question in our UserReport survey – “How likely is it that you would recommend us to a friend or colleague?” – we help you identify three types of customers on your website. Your customers respond on a 0-10 point rating scale and are then categorized as follows:

• Promoters (Score 9-10) are loyal enthusiasts who will keep buying and refer others, fueling growth.
• Passives (Score 7-8) are satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
• Detractors (Score 0-6) are unhappy customers who can damage your brand and impede growth through negative word-of-mouth.

Identify which user segments are promoters and which are not?

With UserReport you can track the development in your Net Promoter Score® over time, thereby see if your actions are actually improving the customer satisfaction.

Additionally, UserReport enables you to combine the Net Promoter Score® with demographic data or site specific questions, giving you the opportunity to track the Net Promotor Score® for e.g. gender, age and income. In this way, you are able to see if your male customers are more satisfied than your female customers and vice versa.

When you have identified the three types of customers, you can find out why the Detractors are unsatisfied and act on it, giving them the feeling that they are being listened to and that they matter. This is vital because you essentially want to convert Detractors into Promoters. But at the same time you learn from your Promoters what you do well and what you should continue to focus on.

This means that Net Promoter Score® is not only a tool that enables you to calculate your satisfaction score, but also a strategic model that helps you retain and acquire more customers. In this way, gaining insights into customer satisfaction helps you develop your business and increase your revenue.

Companies across industries have successfully used Net Promoter Score® as a business driver. Not only retailers but B2B enterprises have seen an increase in sales after implementing Net Promoter Score® as a benchmark – Lego, Maersk and Heineken among others.

About Net Promoter Score®

Net Promoter Score®, or NPS®, is based on the fundamental perspective that every company’s customers can be divided into three categories: Promoters, Passives, and Detractors.

You can calculate your company’s Net Promoter Score® by taking the percentage of your customers who are Promoters and subtract it with the percentage who are Detractors.

By using NPS®, you can get a clear measure of your company’s performance through your customers’ eyes. The NPS® can be used as a benchmark that you can improve over time by engaging with your Detractors.

Engaging with your Detractors means listening to why they are unsatisfied with your products or services and then acting on it. The most important aspect is listening and engaging with your Detractors – even if the root of the problem can’t be solved.