Editor’s Note: The following column by Recreation Vehicle Dealers Association President details how dealers can gauge customer satisfaction. The article appears in the June issue of RV Executive Today.
One of the more valuable metrics that companies have been using over the past 15 years to measure customer satisfaction is the Net Promoter Score.
Customer Service Intelligence Inc. (CSI), the company that administered RVDA’s endorsed Customer Tracking and Reporting system, provides some aggregated dealer data on this issue and overall customer satisfaction, which certainly goes hand in hand with the promoter score.
Developed by Fred Reichheld, “The Ultimate Question, the Net Promoter Score” measures a customer’s willingness to recommend a company’s product or service to others. It is used to determine the customer’s overall satisfaction with a company’s product or service and the customer’s loyalty to the brand. It basically puts a measurement on a company’s word-of-mouth advertising.
Customers are surveyed on a single, or “ultimate,” question. They are asked to rate on an 11-point (zero to a high score of 10) scale the likelihood of recommending the company or brand to a friend or colleague. “How likely are you to recommend this company’s product or service to a friend or a colleague?” Based on their ratings, customers are then placed in three categories – detractors, passives, and promoters.
Detractors give a score lower or equal to six. These customers likely won’t purchase again from the company and could potentially damage the company’s reputation through negative word-of-mouth.
Passives or Satisfied give a score of seven or eight. These customers are generally satisfied, but could easily switch to a competitor’s offering if given the opportunity. They probably wouldn’t spread any negative word-of-mouth, but also won’t promote it.
Promoters give a score of nine or 10. These are the most loyal customers and repeat buyers and will recommend the company products and services to other potential buyers.
There is room to improve in salesperson contact after the sale and in the shared responsibility with manufacturers on the condition of the unit at time of delivery.
Many dealers are measuring customer satisfaction and/or their promoter score right now and RVDA will continue to work with CSI to publish this aggregate data on a quarterly basis moving forward.