The Net Promoter System – It's more than just a Score June 2012 MLG Users Webinar

In a remarkable explosion of creative intelligence, NPS soon morphed into something much more than a metric. Though the science is still young, it became a management system, an entire way of doing business. The initials themselves, NPS, came to mean Net Promoter system rather than just Net Promoter score. Fred Reichheld, The Ultimate Question 2.0

It’s more than a Score, it’s a System Satmetrix interviewed hundreds of companies and found common traits among those who achieve financial results and those who did not. MetricDiscipline ResearchOperational ScoreBusiness Outcome Outside the core strategyCentral to the strategy Finance always winsCustomer sometimes wins Delivers SuccessFails to Yield Results Move the metricCreate Promoters

Net Promoter ® system roadmap The path to a best-in-class member experience Developing  Mixed Net Promoter adoption  Limited communications  Lack of trustworthy data  Low investment in program  Inconsistent closed loop process  NPS embraced by all levels and functions  Resources allocated to improve loyalty  Target setting & compensation planning  Understand competitive NPS standing  Use feedback to initiate organizational change  Invest in creating Promoters Progressing  Widespread NPS adoption  Reliable data  Root causes investigated  Improvement targets  Employee involvement  Invest in reducing Detractors World-Class Loyalty Leader

Net Promoter ® practices Developing Progressing World-Class Loyalty Leader Questioning the score Digging into the “why” of the score Re-engineering the experience

We NEED nails!

Net Promoter ® practices Developing Progressing World-Class Loyalty Leader Plan to add improving member experience to the project list Prioritizing member experience projects together with other strategic initiatives Member experience projects ARE the strategic initiatives

Net Promoter ® practices Developing Progressing World-Class Loyalty Leader Invest resources in gathering feedback Invest resources to reduce Detractors Invest resources to create/activate Promoters

Charles Schwab 1.Instituted Client Promoter Score in Reduced detractors by eliminating bad profits 3.Beefed up client-facing staff – client service as competitive advantage

Net Promoter ® practices Developing Progressing World-Class Loyalty Leader Results are shared among a select group on a periodic basis Results are role specific and widely distributed on a regular basis Results, comparisons & best practices shared among all levels on ongoing basis

Apple Employees know where they stand among peers and where there store stands in the region Discuss NP feedback in “daily downloads” Store rankings based on NPS Ovation Awards

When you’re stuck Share best practices –What’s working? What challenges are you facing? Work to ensure reliability of data Identify areas of strong/weak performance –5 Whys –Find your allies Program Communications Developing Progressing

When you’re stuck Assess delivery of NPS information –What is everyone getting? Is this what’s needed? Cross-functional teams to evaluate & re-engineer member experience in key areas Review what makes members Promoters –More, better, faster Look to other credit unions/industries for inspiration Developing Progressing World-Class Loyalty Leader

Questions?

MLG Users Group Meeting Monday, October 22 – Tuesday, October 23 Hilton Suites Chicago/Magnificent Mile Agenda and details TBA