1. The document discusses using Net Promoter Score (NPS) to measure customer experience and discusses some common concerns with relying solely on NPS as a measurement. 2. It advocates developing a more comprehensive Voice of Customer program that incorporates both qualitative customer feedback data and quantitative customer behavior/transactional data to obtain a holistic view of the customer. 3. An effective NPS system is presented as a complex program that allows an organization to identify areas for continuous improvement, apply experimental design techniques, and support large-scale changes through understanding the root causes that drive customer experience.

1. NPS – IT’ S JUST A NUMBER
ISN’T IT?
Ivana Sekanic
Customer Advocacy Manager
Want to make contact? Find me on LinkedIn.

2. 30 July 2016
My most frequent Net Promoter
Score conversations ….
1. “Single number doesn’t tell us anything.”
2. “I am measured on something I can’t influence.”
3. “I never score above 8.”
… and our story of why we need to change.

3. EVERYONE UNDERSTANDS NPS….RIGHT?
30 July 20163

4. NPS LESSONS ARE LEARNT OVER TIME
A leader with 29.1% market share
An Australian icon with 40 years of providing health
insurance to over 3.8 million customers
Revenue of A$ 6.37 billion
Two brands – Medibank and AHM
5 years of Voice of Customer program

5. WHY SHOULD I CARE?

6. NPS AS A RISK MEASURE
WHAT’S THE IMPACT?
CUSTOMERS AT RISK
NPS =
DETRACTORS PASSIVES PROMOTERS

7. WHAT IS THE TARGET
EXPERIENCE AND HOW WILL
WE KNOW WHEN WE GET
THERE?

8. EPISODES AND INTERACTIONS
DOYOU REALLYKNOW WHAT’S GOING ON?
30 July 20168
WHEN ACTIVE? WHAT HAPPENS WHEN A
CUSTOMER IS INACTIVE?

9. WHAT WE HAD VS. WHAT WE NEEDED
• Heavily controlled sampling that
introduced variability in data
• Long list of questions with shorter list of
answers
• Greater dominance of channel
experience
• Questions structure that introduced
bias
• Variable targets
7/30/20169
SINGLE SURVEY EIGHT SURVEYS
• Less control, more customer centricity
• Built on foundation of CX attributes
• More flexibility in developing insights
• Greater ability for rapid root cause
analysis
• A quick predictor of major trends
• A shift towards CX statistical modeling
and experiment design

10. IS NPS A STRONG ENOUGH BASIS FOR
STATISTICALANALYSIS

11. CUSTOMER VOICE + CUSTOMER
BEHAVIOUR
“VOC PROGRAM NEEDS TO
BE A 360 DEGREE
PERSPECTIVE OF YOUR
CUSTOMERS.”

12. RESULT = A STABLE NPS WITH CLEAR AREAS
FOR CONTINUOUS IMPROVEMENT
• It now becomes an early warning
system of customer’s behaviour
• A rapid way to improve things
• Ability to apply experimental
design and track effectiveness
• Changing conversations about
the customer

13. 30/07/201613
CUSTOMERS ARE COMPLEX
AWELLDESIGNED NPS PROGRAM ISACOMPLEX SYSTEM
Interaction
Episode

14. AN NPS SYSTEM ALLOWS MULTI LEVELS
OF FOCUS
• PROVIDING CLARITY ON WHERE TO
CONCENTRATE THE EFFORTS
• CONTRACTING AREAS OF CONTINOUOS
IMPROVEMENTS THROUGH :

15. FROM ROOT CAUSE
TO
EXPERIENCE
DESIGN
AN NPS SYSTEM TO
SUPPORT
SCALABLE CHANGE

16. 0428373305
IVANA.SEKANIC@MEDIBANK.COM.AU
LINKEDIN:IVANASEKANIC
Thank you….