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Rallying around the right metric

Is Net Promoter engaging? What about other metrics? What motivates an organization to make more customer focused decisions?

Net Promoter is a simple metric. People like that. However, while NPS can be engaging, it often doesn’t tie to business metrics and typically isn’t very actionable. Loyalty metrics are more robust and relevant. But you know what? They are even useless if the users of customer information aren’t engaged.

Putting the debate aside, here are three thoughts when considering customer metrics:

1. Find the right customer metric. That will depend on your industry and your business. We have a number of clients for which we calculate metrics for loyalty, Net Promoter, commitment, and much more. We do this to determine the most relevant customer information that ties to business performance.

2. Use the metric effectively. Too often the metric alone is a shallow rally cry. Naturally, for it to be engaging you have to understand what is driving it and what actions will make it move.

3. Get people engaged. Armed with the right metric and an understanding of what drives it, customer advocates can really engage the users of customer information. The Hierarchy of Engagement is an appropriate framework for the use of a rallying metric – if people are aware of it, understand it, and believe in it, they will take action.

The debate about Net Promoter, loyalty, and other metrics is relevant, but sometimes I think we get caught up in analyzing the metric as opposed to the way we can get people engaged to use customer information in the most productive ways to improve business performance.

Patrick Gibbons
Principal/SVP

About the Author

Patrick Gibbons

Patrick Gibbons

As Principal and Senior Vice President of Marketing for Walker, Gibbons has global responsibility for definition, branding, and promotion of the company and its solutions. Gibbons has published and/or contributed to a number of articles, papers, and blogs on customer intelligence topics and has a regular column in CRM Magazine. He has been a featured speaker at a wide range of conferences, and has produced a series of educational events for customer experience leaders.

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