Net Promoter Conference Recap
We recently attended the Net Promoter Conference out in San Francisco and wanted to share some of the great insights we took away from our time there. Leximancer has a partnership with Satmetrix in which their Net Promoter customers can receive services based on The Customer Insight Portal alongside Satmetrix’s other solutions.
We were able to listen to some seasoned and brilliant professionals dedicated to building strong customer loyalty. One key takeaway from Brad Smith, the CEO of Intuit, was that Intuit found 81 percent of sales are directly attributable to word of mouth. With so many companies like Intuit seeing the majority of the sales deriving from current customers, it underlines the urgency of getting to the root of what customers are saying online.
Tony Hsieh of Zappos.com was another source of inspiration. Zappos’ company DNA is all about providing a great customer experience. And it really seems that customer comments really drive the energy they have; they love getting positive customer comments. They don’t just use a Net Promoter score in isolation, or any other metric in isolation for that matter, because they want to understand what the exact customer opinion is. As Bruce Temkin, a vice president and principal analyst at Forrester Research, pointed out, the value of the Net Promoter score isn’t as a metric, but rather as part of an approach for improving customer loyalty.
As we’ve talked about previously, we think online and social media communities can dramatically alter marketing research. The conference highlighted one company doing exactly that. Mars insists on getting to know their community and customers on the MY M&M’s community site. They look at all verbatim customer comments they receive through this ‘organic’ channel, rather than rely on slow study-oriented methods. Understanding all of their customer comments helps companies like M&M unleash ‘the wisdom of crowds.’
Ultimately, the biggest takeaway from the conference is that customers are a fantastic source, even the best source, for innovation. Wait for it…
To learn from customers and achieve real, actionable insight that drives innovation, customer feedback must be systematically understood and quantified in order to be acted upon. Reading comments one at a time, or worse coding them manually, will not provide a complete circle of feedback unless programmatic, ongoing, active listening and analysis happens.
It is refreshing for us at Leximancer to hear these same sentiments that we’ve built our company on delivered at the Net Promoter Conference. Not only did the conference reiterate to us the importance of the customer voice and influence, but also how imperative it is for companies to systematically understand customers and innovate for competitive advantage.