A Business Relationship Management (BRM) can use NPS tool to understand the demand shaping and avoid value leakage. It can be helpful tool for business by providing insights into how IT services and projects impact business outcomes to both internal and external stakeholders/clients. Net Promoter Score (NPS) is a metric used to gauge customer loyalty and satisfaction. It’s widely recognized for its simplicity and effectiveness in understanding how customers perceive a company or its services.
By leveraging the NPS tool and understanding outcome, BRM of the company can systematically address customer concerns, leading to higher satisfaction scores and improved business outcomes.
Practical Use Case: Enhancing Customer Satisfaction with Net Promoter Score
Scenario: A mid-sized software company is experiencing a decline in customer satisfaction scores. The IT department wants to understand the root causes and improve their services.
Steps:
- Implement NPS Surveys: The Company uses an NPS tool to send out surveys to customers, asking them to rate their likelihood of recommending the company’s services on a scale of 0 to 10.
- Collect and Analyse Data: Collects responses and categorizes customers into Promoters, Passives, and Detractors based on their scores.
- Identify Issues: The tool helps identify common themes in feedback from Detractors, such as slow response times or frequent system outages.
- Take Action: The IT department uses these insights to prioritize improvements, such as upgrading infrastructure or enhancing support processes.
- Monitor Progress: The Company continues to use the NPS tool to track changes in customer satisfaction over time, ensuring that the implemented changes are effective.
Specific IT Survey Questions
- Help Desk Support:
- How satisfied are you with the speed and efficiency of our help desk support?
- How helpful and knowledgeable are our help desk technicians?
- How easy is it to contact and get assistance from the help desk?
- Application Support:
- How satisfied are you with the performance and reliability of the applications you use for work?
- How well do our IT services support the business applications you need to be successful?
- How timely and effective are application updates and upgrades?
- Network and Infrastructure:
- How reliable is the company’s network and internet connectivity?
- How satisfied are you with the availability of network resources and devices?
- How well does the IT infrastructure support your daily work activities?
- IT Security:
- How confident are you in the security of your data and devices?
- How well does IT communicate security risks and best practices?
- How effective are IT security measures in preventing and mitigating threats?
- IT Project Delivery:
- How satisfied are you with the quality and timeliness of IT project delivery?
- How well do IT projects meet business requirements and objectives?
- How effectively does IT communicate project progress and updates?
- Business Impact
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- How has the quality of IT services impacted your productivity?
- How has IT support helped you meet your business goals and objectives?
- How have IT services contributed to the overall success of your department/team?
- Employee Experience
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- How easy is it to access and use IT resources and services?
- How well does IT communicate with employees about service changes and updates?
- How supportive and collaborative is the IT team?
How NPS is measured:
- Survey Question: Customers are asked a single, straightforward question: _”On a scale of 0 to 10, how likely are you to recommend our product/service to a friend or colleague?
- Categorizing Responses: Based on their scores, customers are classified into three groups:
– Promoters (9-10): These are enthusiastic customers who are likely to recommend the company and contribute to growth.
– Passives (7-8): Satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
– Detractors (0-6): Unhappy customers who may harm the brand through negative word-of-mouth.
- Calculating the NPS: NPS is calculated by subtracting the percentage of Detractors from the percentage of Promoters:
$$NPS = \% \text{Promoters} – \% \text{Detractors}$$
The score ranges from -100 (if every customer is a Detractor) to +100 (if every customer is a Promoter).
Example:– Suppose a company has 100 respondents:
– 60 are Promoters
– 20 are Passives
– 20 are Detractors
The NPS would be: $$NPS = 60\% – 20\% = +40$$ ,
This score helps companies understand their overall customer sentiment and identify areas for improvement.
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