Ep. 113 |Activating the Customer Feedback Loop
This week, we chat with Sarah Moore, Act-On’s senior customer marketing manager, about activating the customer feedback loop using marketing automation.
Knowing how your customers feel about your company and your product is powerful, but it’s only half the battle. To be truly customer-centric, it’s important to create and nurture a feedback loop that brings customer insight back into the business.
What is the value of relationships with our current customers?
Sarah Moore: Developing and nurturing relationships with customers is fundamental to creating customer loyalty.
Customers, myself included, want to feel valued, heard and prioritized. The more we can connect with customers in real-time and respond to their needs, the better.
It takes effort to earn customer loyalty and is easy to lose if you’re not careful. But, if you have earned a customer’s loyalty and make a mistake, they are much more likely to forgive. So get to know them and solicit their feedback regularly and at key points in their customer journey.
What does NPS and its scores mean?
Sarah Moore: NPS stands for Net Promoter Score and is a management tool that can be used to gauge the loyalty of a company’s customer relationships.
It measures customer perception based on one simple question:
How likely is it that you would recommend Act-ON to a friend or colleague?
Respondents give a rating between 0 (not at all likely) and 10 (extremely likely) and, depending on their response, customers fall into one of 3 categories to establish an NPS score:
- Promoters respond with a score of 9 or 10 and are typically loyal and enthusiastic customers.
- Passives respond with a score of 7 or 8. They are satisfied with your service but not happy enough to be considered promoters.
- Detractors respond with a score of 0 to 6. These are unhappy customers who are unlikely to buy from you again, and may even discourage others from buying from you.
To calculate your NPS score -you subtract the percentage of Detractors from the percentage of Promoters.