If we consider the customer journey in perspective to acting on a referral from another, then the Net Promoter Score (NPS) has become cornerstone to customer satisfaction and a critical metric for referencing a company’s fortitude.
Here’s a baseline definition of NPS:
NPS is an index ranging from -100 to 100 that measures the willingness of customers to recommend a company’s products or services to others. The score acts as a leading indicator of growth while rating a customer’s overall satisfaction with a company’s product or service including loyalty to the brand.
Bottom line, it’s an important measurement if you are competing in the payroll services industry.
Our Director of Sales, Matthew Whitely summarizes the scores value as “an insightful way to determine our direction.” “Our NPS score is 52 for the 2015/2016 survey and I’m always pleased with a score north of 50”, Whiteley surmises.
The Net Promoter Network explains the calculation as using the answer to a single question with a scale of 0–10. The question: How likely are you to refer [brand x] to a friend or colleague?
Net Promoter Network summarizes respondents into groups of Promoters (scores of 9-10) – these customers are enthusiasts and will refer, even fuel growth by their high score. Passives (score 7-8) are satisfied to a certain extent but not included in score results due to their satisfaction. Still with me? Then there are the Detractors (score 0-6) where it appears ‘orgs’ are rotating bald tires as these customers are unhappy and can set forth a bumpy road of damaging your brand simply by spreading the word.
The calculation takes the Promoters less the Detractors to come up with your net NPS score.
NPS scores drive actions simply by communicating customer insights to be optimized when shared across the organization. “That’s the goal and when executed well, scores rise”, adds Whiteley.
Company Adopts an ESOP
More good news for SBS. Financial Business Group Holdings (FBG), the parent company to SBS recently made the announcement that they had become 100% employee owned. The Employee Stock Ownership Plan (ESOP) covers its 85 person employee base – read press release here. Well done!
For more information on SBS’s products and services, please contact Matthew Whiteley at (949) 225-3034.