Did you know Netflix\u2019s Net Promoter Score\u00ae (NPS\u00ae) is higher than the cable companies? It is, and it is one of the reasons we see growth in Netflix and continued dissatisfaction with cable companies.<\/p>\n
I love Netflix. It is simple. You can start and stop it when you want. My recent experiences with my cable company have been the complete opposite. This poor Customer Experience<\/a> is one reason I now use Netflix more than my cable company. For those of you that don\u2019t know, Net Promoter Score\u00ae (NPS\u00ae) represents the likelihood a Customer would recommend your product or service to other people (i.e., the higher the score, the greater the likelihood they will recommend).<\/p>\n The NPS\u00ae score has been around for years and has seeped its way into business vernacular. It has become a standard metric used to determine if your Customer Service and Experience improvements are effective. Harvard Business Review called it \u201cThe One Number You Need to Grow<\/a>\u201d way back in 2003. One of the frequent questions I get is, \u201cOur NPS\u00ae is XX. How does that compare with the rest of the market?\u201d<\/p>\n Well, there is a simple way of finding out the answer to that question: Speak to the man that knows!<\/p>\n Brendon Rocks<\/a> is that man. He is the Head of Data Science (self-described as Chief Statistics Wonk) for Satmetrix<\/a>, a company devoted to combining their software, data, and Customer Experience (CX) expertise to help organizations achieve Customer-Centricity. In their 15th annual Net Promoter\u00ae Benchmark Study, he gave a great presentation of some really interesting stats on NPS\u00ae.<\/p>\n So the question is, what can we learn about what works for Customer Experience by looking at trends in NPS\u00ae? \u00a0Quite a lot, it turns out. For example, Rocks has discovered that brands that have made providing a simpler Customer Experience their priority have performed \u201cespecially well\u201d with regards to NPS\u00ae. So perhaps the most important thing we can learn is:<\/p>\n Simple experiences are king when it comes to NPS\u00ae.<\/strong><\/p>\n Simplicity is part of the reason that Netflix has fared better in NPS\u00ae trends than cable companies. According to Rocks, the following brands do simple to success:<\/p>\n Looking at the data, Rocks explains, \u201cTechnology companies have been superb at offering smooth customer experiences, and increasingly consumers want and expect to do business online. Comparing scores from Netflix and the cable companies’ in recent years has been interesting, especially in the context of cord cutting, and the PR war over Net Neutrality. It doesn’t look like the cable companies are winning.\u201d<\/p>\n Simple is important to your Customers. Really Important.<\/strong><\/p>\n What we can learn from this data is that Customers don\u2019t want much hassle these days. They want it easy; they want it accessible; they want it smooth. There are many reasons for this, but perhaps the biggest is the concept of cognitive depletion.<\/p>\n Cognitive depletion refers to the amount of energy you have left to think about something, which, as the name implies, isn\u2019t much. There is intuitive thinking, that doesn\u2019t require a large amount of energy to do and rational thinking, which does require a lot of energy to do. complicated Customer Experiences do not appeal to the intuitive part of one\u2019s thinking, and instead, require the less energy-efficient thinking of one\u2019s rational mind. If a person is cognitively depleted (Read: tired), then they are far more likely not to participate and look for an easier path of resistance (read: your competition\u2019s experience).<\/p>\n Who doesn\u2019t feel cognitively depleted from time to time? And who hasn\u2019t abandoned a purchase (online, via mail, in a store) because the next steps were just \u201ctoo much?\u201d \u00a0We all feel like this from time to time, and when we do, we appreciate easy. It\u2019s why more and more people resort to ordering groceries online for delivery. It\u2019s the reason people like setting up an Apple computer for the first time over a PC, and it\u2019s why we prefer to bank online instead of going to a branch. We are a society of people who just want it simple. And the proof is in the NPS\u00ae data.<\/p>\n Rocks and I will be presenting more information from Satmetrix\u2019s 15th Annual Net Promoter\u00ae Study in the upcoming webinar: \u201c15 Years of Tracking Net Promoter\u00ae: What Have We Learned?<\/a>\u201d on September 24th at 12 p.m. EST. Rocks will share his insight on simple experiences, as well as other interesting trends and discoveries Satmetrix has made over the years. \u00a0Please CLICK HERE<\/a> to join us for the Webinar.<\/p>\n If you enjoyed this post, you might be interested in the following blogs:<\/em><\/p>\n Colin Shaw<\/em><\/a> is the founder and CEO of<\/em> Beyond Philosophy<\/em><\/a>, one of the world’s leading Customer experience consultancy & training organizations. Colin is an international author of<\/em> five bestselling books<\/em><\/a> and an engaging keynote speaker.<\/em><\/p>\n
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