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Article: Weighing in on Net Promoter.(CMO Strategy)
- Article from:
- Advertising Age
- Article date:
- September 10, 2007
CopyrightCOPYRIGHT 2007 Crain Communications, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Byline: r.t.r
Loyalty guru Fred Reichheld has proposed a number called the Net Promoter Score that can be used to measure the loyalty of a company's customers. This simple ad-hoc approach takes the responses to a firm's willingness-to-recommend question, typically measured on a zero-to-10 scale, and says nines and 10s are promoters, sevens and eights are neutrals, and the rest are detractors. By subtracting the number of detractors from the number of promoters, the firm can calculate net promoters.
It has appeal because it is simple and because Mr. Reichheld claims it is the by far the most effective metric for predicting future growth. The method has ...