Net Promoter Score (NPS) is a metric used to gauge customer experience and loyalty. It is calculated based on responses to a single question rating customers from detractors to promoters. Having a high NPS correlates with improved reputation, customer retention, and business growth. Two case studies show how companies improved their NPS and business outcomes: a service provider increased NPS from insufficient product knowledge and communication, leading to higher customer retention. An insurance company found high NPS correlated with longer policy retention, so focused on improving loyalty.

1. Net Promoter Score
- Understand your customers
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2. Why Net Promoter Score?
To have a good reputation has always been important. However today it is
maybe more important than ever how your customer sees you.
Reviews or complaints can be spread through social media or the internet within
second to millions of other customers.
Net Promoter Score (NPS) helps you to grow the number of promoters and
reduce the numbers of detractors.
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3. What is Net Promoter Score?
NPS, is the industry leading measurement for customer loyalty and was first
introduced by Bain & Company in 2006
NPS makes customer feedback easy and takes origin in one standard
question and one scale. Below you can see how it is calculated.

4. Who uses NPS and what NPS do they
have?
what is your NPS….?

5. How NPS creates growth
NPS helps you to:
• Convert detractors into promoters
• Improve you reputation
• Benchmark against competitors
• Engage customers
• Reduce customer retention
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6. NPS Methodology
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Manage
frame-
work
• Design survey (questionnaire, sequence etc.)
• Select customers (segmentation,- VIP)
Capture
feed-back
• Send out survey (Email, telephone, app)
• Call back detractors (close the loop, <48h)
Build and
share
analysis
• Categorize comments from customers
• Be the voice of the customer (mgt presentation)
Create
impro-
vement
actions
• Select project with top impact (high priority)
• Corrective and preventive actions
Measure Customer
satisfaction level
Identify gaps
Set objectives
Implement improvement action

7. NPS case – Low number of
Promoters
Industry and Company: Service provider - Telius
Problem: Low NPS. TELUS International engaged its Operations, Quality Assurance and Business Process
Improvement (BPI) teams to improve the NPS metric by way of a Six Sigma Green Belt project.
Solution:The team conducted a Voice-of-Customer (VOC) analysis and determined that the top two negative
drivers of NPS were insufficient product knowledge and poor communication skills, specifically:
• Lack of knowledge regarding billing and product features, such as new billing call types and billing format
• No defined process for escalations and no established guideline for callbacks
• Dissatisfaction with communication skills such as accent, courtesy and comprehension
Result: The program’s NPS improved significantly. At the end of the project, NPS was at 62.50%, exceeding the
program target of 50%. TELUS International ranked first in NPS among all offshore vendors. To date, NPS
performance is consistently monitored and sustained.
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8. NPS case – Low number of
Promoters
Industry and Company: Insurance industry - ING
Problem: High retention rate. Customers left the company after short time and showing little loyalty.
Analysis and insight: “Three things that I want you to note from this overall segmentation. First,
solid correlation between policy life expectancy and Net Promoter Score. So while we monitor,
measure and act on Net Promoter Score and make investments to move that, we’re investing to
improve our policy life expectancy.”
Result: Focusing on customer loyalty drives the business from the bottom up. NPS turned out to
have direct correlation to customer retention rate and the best way to improve it.
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9. www.gyroconsult.com
Mads Hermann
Customer Experience Consultant
Get in touch…
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Lets meet for a free introduction presentation!
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