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Net Promoter Community > New York Conference Blog 2010 > Authors > Bill_Lee
 

Once a customer tells you he or she is a detractor, It's obviously important to understand why--and to find out in a reasonably efficient, cost effective way. How much of that information can be extracted from the open ended "why" answers customers provide on NPS surveys? It's a daunting challenge. Customers aren't always precise, or complete in their responses, for example.

 

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Satmetrix Director of  Methodology Dr. Vince Nowinski provided some in-depth insights.  The Stanford PhD described how "comment intelligence analysis" methods allow you to make conceptual sense of such data, to see with greater specififity where problems are actually occuring and what the underlying issue may really be.

 

But users of NPS much be careful not to look at verbatim analyis as the end all.  Rather, my understanding is that it helps you formulate intelligent hypotheses about where the critical issues with detractors lie. Further analysis will typically be required, perhaps in the form of focus groups, follow on surveys to targeted groups, individual interviews etc before you actually get at root causes of the issues detractors have.

 

Think of it this way. Without verbatims, you could only guess as to what's bothering detractors.  With verbatims and the analytical tools described by Vince, you can formulate a very good set of hypotheses for further testing.

 

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OK, I've never used that phrase in any context, but I'm in New York, and it just feels right! In any case, Beyond Philosophy's Colin Shaw followed Julia Gomez' presentation with a compelling one of his own showing how customer emotions can drive as well as destroy value.

 

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There's an old saying from sales that logic makes prospects think, but emotion makes them buy. Colin showed how firms can understand how they are impacting their customer's emotions, which emotions drive value and which ones destroy it, and how to change the emotional dynamic with your customers. This is powerful stuff. Whether your business is selling obviously emotional experiences like entertainment or vacation travel--or the most mundane B2B widgets, a critical part of your relationship with customers is emotional, involving such factors as trust, a sense of being valued, a sense of being cared for, safety in dealing with you, and the like. We know these things are important intuitively, as human beings. Colin showed how to sort through and leverage such factors in a practical way.

 

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I chaired this afternoon Advanced Track: following are some of the highlights from my perspective. If you were there, please chime in!

 

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JetBlue's Julie Gomez kicked things off by showing how her team applies NPS methodolgy to employees to keep abreast of their tendency to promote working for the firm, under the theory of course that happy employees make for promoter customers. Julia is -a former Morgan Stanley analyst with hefty research credentials, and showed not only how the firm made substantial improvements to its "employee NPS" during a period when morale had been low, but also how these increases tie to ultiimate business results, including revenue growth and shareholder value.

 

Some key findings:

 

  • Emotional dimmensions had the higgest corrleations to whether someone is a promoter or detractor.
  • Small improvements in leadership result in large improvements in crewmember NPS scores.
  • Employees respond very well to being able to volunteer their time for worthy causes on behalf of the company, apropros of the importance of the emotional dimension.

 

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One of the most exciting things about Net Promoter is that in building your NPS, you create a tremendous asset. Promoters will not only buy from you, and keep buying for you--they are are also far more likely to:

 

- refer business to you

- take reference calls and site visits

- provide testimonials (check out these impressive video testimonials from Intel's website.)

- participate on yoru social media sites

- say great things about you on other social media sites

- speak about you at industry events

- engage in customer co-design

- participate in advisory boards

- participate in marketing and advertising and initiatives

 

In other words, you have a community of highly credible sources that can help improve your sales, marketing and branding efforts in measurable ways.

 

I think the next great question for NPS is, "How do we organize our promoters into customer reference programs, advisory boards, online and in-person customer communities, executive forums, and other customer engagement efforts to create even more mutual value for them and for our firm?"

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